Indosteel eyes garment export

JAKARTA (JP): Publicly listed Indosteel will establish an export-oriented garment factory in Purwakarta, West Java, with investment of US$20 million, of which $7 million will be equity financing, the company said here on Thursday.

Indosteel announced that the garment unit would be designed with an annual capacity of 22 million garments consisting of high-quality trousers, jackets, T-shirts and sweatshirts for export to the United States, Europe and the Middle East.

It said Indosteel would soon increase its paid-up capital from Rp 25 billion last year to Rp 75 billion ($10.5 million) to support the business diversification.

The factory is slated to start production later this year.