RI textile, fashion face stiff competition

RI textile, fashion face stiff competition

Rita A.Widiadana, The Jakarta Post, Kuta

In the free-trade era, Indonesian textile and garment producers,
as well as fashion designers, must improve their quality and
professionalism in order to make inroads into the international
market.

The flood of foreign (imported) textiles and fashion goods,
especially from China and other countries in Asia, has badly
affected Indonesian products, both on the domestic and world
market.

Textiles and garments became Indonesia's major non-oil exports
from the early 1980s, generating millions of dollars in revenue
and providing employment opportunities for at least 1.5 million
people.

Despite quota systems imposed by several importers such as the
United States and European Union countries, Indonesian textile
exports in 2004 generated US$7.7 billion as compared with $7.1
billion in 2003.

During the opening of the Sixth Bali Fashion Week here in
Kuta, Minister for Women's Empowerment Meutia Hatta urged local
textile and fashion industries to explore more the richness of
traditional textiles while, at the same time, using modern
techniques.

"We need to create unique textile and fashion designs that are
incomparable," the minister said.

Protecting intellectual property rights

Obtaining intellectual property rights for Indonesian textile
motifs and fashion is very urgent, she added. "Indonesian
producers can only stand tall in the international textile market
and fashion stages if we have specific and unique products," the
minister urged.

Indonesia is well-known for its rich traditional textile
heritage including batik, single- and double-woven cloth, songket
(gold- and silver- thread weaving) and many other forms of
textiles made from natural fibers.

Yet, the country has not yet processed important property
rights for its traditional textile motifs. Some prominent
designers such as Iwan Tirta and Harry Dharsono have been working
hard to acquire property rights for their products and
meticulously documenting Indonesian textiles, but many others are
not yet aware of the importance of registering their rights.

Indonesian batik, for instance, has to compete with its
Malaysian counterpart.

Malaysia has been actively promoting batik as a textile
trademark at a variety of international fashion events. Fully
supported by their government, Malaysian batik producers and
designers freely and easily display and market their products.

They also try hard to patent every batik motif, many adapted
from Indonesian patterns.

To make matters worse, many Indonesian batik makers are now
working in Malaysian batik workshops, while, at the same time, a
large number of batik factories in West, Central and East Java
are now on the brink of bankruptcy because of a lack of capital,
human resources and managerial and marketing skills.

Uniqueness as a survival ploy

Batik is one of many examples. There are many traditional
textile motifs, including ikat, that deserve serious attention.

Designer Nelwan Anwar, for example, is now developing textiles
from various natural fibers. "We have abundant sources of natural
fiber that can be developed into a large variety of high-quality
textile and garment products," Nelwan said, adding that
Indonesian designers must focus on this particular field.

"It is very difficult for Indonesian designers and others from
developing countries to enter the international fashion scene
unless we have something very special and unique to display to a
fashion-conscious Western clientele," Nelwan said.

Fashion and textiles in most Western countries have developed
into a very sophisticated industry involving large-scale capital,
high-tech equipment and skilled human resources.

Becoming more professional

Panudhiana Kuhn, a member of Bali's Indonesian Chamber of
Commerce and a garment producer, explained that many local
producers, especially those operating in Bali, were still family-
based businesses.

"There is nothing wrong with this if the companies are managed
professionally. The fact is many of them are seasonal business
lacking professionalism and commitment," Kuhn said.

Many garment factories were established on the basis that
their have been successfully exporting garments to Japan,
Australia, European countries and the United States. In reality,
only a few of the companies have skilled workers or professional
management and marketing systems.

"We are now facing competition from Vietnam, Cambodia,
Pakistan, India and Bangladesh and, most of all, China," Kuhn
said.

China has grown into a gigantic textile and garment producer
selling inexpensive, quality garments to every corner of the
world, to the consternation of many countries, including the
United States and European Union.

Need for government support

"As long as the competition is fair, Indonesia should not
worry about the inundation of Chinese products. Indonesia,
especially Bali, can still offer handmade, unique textiles and
garments," explained Dewi Motik Pramono, chairperson of the
Indonesian Business Women's Association.

What is more important, she said, is strengthening the local
textile and fashion industry by eliminating the handicaps. "The
government can do a lot more to support the local textile and
fashion industry, which is currently facing a difficult business
environment," she said.

Kuhn added that the government is in a position to address the
unfavorable climate such as costly bank interest, additional
business "expenses", taxation and labor policy. The government
could also improve infrastructure and supporting facilities, he
maintained.

The government, according to Director General for Foreign
Trade Diah Maulidia, has started to tighten controls at various
port entry points across Indonesia to prevent illegal imported
textile and garment products from flooding the country.

The government will also closely control import documentation,
including letters of origin, to eliminate discrepancies involved,
for example, in transshipment of goods.

"It is hoped that Bali Fashion Week and other, similar events
can bring together people from the textile and fashion industry
with the government so that handicaps can be discussed and
problems can be solved immediately," Diah said.

Ika Mardiana, the initiator of Bali Fashion Week, also hoped
that the event would also bring international designers, buyers
and clients together to see how the Indonesian fashion and
textile industry is progressing.

"Exposure to the international world is very urgent if we want
to show off our designs and to show to the world that we have
abundant talent in the industry," Ika said.

The 6th Bali Fashion Week, which ended on Wednesday, June 8,
included trade and fashion shows displaying the work of 30 local
and international designers, plus discussions and other
activities.