Textile industry to be restructured<\/p>\n
JAKARTA (JP): The country's textile industry will undergo a
\nmajor restructuring in May in order to boost its exports and
\nenable Indonesia to face new competitors on the world market, an
\nexecutive says.<\/p>\n
Secretary of the Indonesian Textile Association's Jakarta
\nchapter, Lendo Novo, said yesterday that the restructuring is
\nexpected to increase the country's revenues from exports of
\ntextiles and textile products to US$20 billion by the end of the
\nSixth Five-Year Development Plan period in 1999.<\/p>\n
According to the Central Bureau of Statistics, revenues from
\nthe exports of textiles and textile products increased by 6.9
\npercent to $6.2 billion last year from $5.79 billion in 1994.<\/p>\n
In the last few years, Lendo said, between 20 and 40 textile
\nand textile-product companies have canceled their memberships in
\nthe textile association.<\/p>\n
He pointed out that Indonesia has the potential to become the
\nbiggest producer of textiles and textile products in the Asia-
\nPacific region but cannot in the current situation, which
\nrequires exports to travel through a third country.<\/p>\n
To anticipate the rise of new competitors -- such as Myanmar,
\nVietnam and Cambodia, which are all capable of offering products
\nat low prices -- Lendo was quoted by Antara as saying that
\nIndonesia must at least be able to maintain its present
\ncustomers.<\/p>\n
Lendo said that the restructuring will mainly affect the
\nspinning and weaving industries, while having a trickle-down
\neffect on the sector's upstream and downstream industries.<\/p>\n
Funding for the restructuring, he added, will be done through
\nsoft loans, the sources of which are currently being evaluated by
\nthe government. (pwn)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/textile-industry-to-be-restructured-1447893297",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}