Indonesia seeks larger quota for textile exports to the U.S.<\/p>\n
JAKARTA (JP): Indonesia will ask for a larger textile export
\nquota from the United States to enable the country's textile
\nindustry to absorb jobless workers during the economic crisis,
\nMinister of Industry and Trade Luhut B. Pandjaitan said on
\nWednesday.<\/p>\n
Luhut said he would lobby the U.S. trade representative Robert
\nZoellick over the larger textile quota during the Asia Pacific
\nEconomic Cooperation (APEC) ministerial meeting in Shanghai,
\nChina.<\/p>\n
APEC's trade ministers will meet in Shanghai for two days
\nstarting on Wednesday.<\/p>\n
"It's a normal request that could be made by other textile
\nexporter countries," Luhut told reporters after the opening of
\nthe Interior and Craft 2001 exhibition by Vice President Megawati
\nSoekarnoputri.<\/p>\n
"We will ask for a larger textile quota as it will generate
\nmore income for the country and enable us to absorb a larger
\nnumber of the unemployed," Luhut was quoted by Antara as saying.<\/p>\n
The Association of Indonesian Textile Exporters (API) welcomed
\nthe government's initiative, but it warned that such a move
\nshould be carried out seriously and continuously.<\/p>\n
The association's executive director Irwandy Muslim Amin told
\nThe Jakarta Post that without strong and persistent efforts,
\nsupported by complete and accurate data, the lobbying could be
\nuseless.<\/p>\n
"Thus far, the American government has paid little attention
\nat any pleas from the Indonesian negotiating teams as they (the
\nteams) did not make an all-out effort and 'simply asked' without
\nknowing what they were really asking," Irwandy said.<\/p>\n
According to him, there were two key reasons that Indonesia
\ncould present for an increase in the export quota.<\/p>\n
First, Indonesia should point out that the country is among
\nthe largest importers of American cotton, he said.<\/p>\n
"If Indonesia is the largest importer of U.S. cotton, why does
\nthe U.S. not give greater privileges to Indonesia?" he said.<\/p>\n
According to him, Indonesia imports 30 percent of its total
\n500,000 ton cotton imports, worth US$1 billion, from the U.S.
\neach year. Australia accounts for 40 percent of the imports.<\/p>\n
Second, Irwandy said, the Indonesian team should convince the
\nU.S. that the latter, as a wealthy country, should provide
\ngreater help for Indonesia to recover from the protracted
\neconomic crisis.<\/p>\n
"The Indonesian team must play these two cards carefully. I'm
\nsure that their efforts will be fruitful," he added.<\/p>\n
Irwandy explained that the U.S. was a very exclusive textile
\nmarket compared with other markets.<\/p>\n
"Only high-quality textiles with high prices are offered in
\nthe U.S. That's why decreasing orders from the U.S. have dealt a
\nmajor blow to Indonesia's textile exports,"<\/p>\n
Irwandy earlier said orders from the U.S. had significantly
\ndropped in the first quarter of this year.<\/p>\n
"The decrease in demands from the U.S., Europe and Japan
\nresulted in a 10 percent drop in Indonesian textile exports
\nduring the period," Irwandy said last week.<\/p>\n
Irwandy said that many textile companies had reduced their
\nproduction to only 60 percent of capacity, compared with 90
\npercent last year, due to sluggish export markets.<\/p>\n
The U.S., Europe and Japan account for about 45 percent of
\nIndonesia's textile exports, while the so-called "non-quota
\ncountries" such as the Middle East, Latin American and African
\ncountries take the remaining 55 percent. (03)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/indonesia-seeks-larger-quota-for-textile-exports-to-the-us-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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