Textile industry needs revamped machinery

JAKARTA (JP): Textile industry analyst Chamroel Djafri urged textile and garment companies yesterday to upgrade old plant equipment and machinery to remain internationally competitive.

Djafri said technology enabled textile companies in developed countries to compete in developing countries despite higher labor costs.

Djafri, who is also an advisor to the Indonesian Textile Association, said Indonesian textile makers should shift to higher value-added products to stay competitive.

API chairman Bambang Riyadi Soegama earlier said 60 percent of textile machines in Bandung, West Java, which accounts for more than 40 percent of national textile output, were made in the 1970s.

"The government should encourage textile firms to modernize by giving them tax incentives," Djafri said while promoting the Bandung Tex '97 textile exhibition and the Indo Textile '97 textile product exhibition.

PT Peraga Nusantara Jaya Sakti is organizing the exhibitions which will be from July 3 to July 7 at Bandung's Husein Sastranegara Airport.

About 500 companies from 26 countries, including Italy, Switzerland, Korea, Japan, China, Taiwan, Slovenia, Ukraine, will take part.

The Italian Embassy's trade commissioner, Michele Branca, said about 50 Italian textile machine makers would display their products.

"Italy manufactures machines designed to produce high quality textiles," he said. (jsk)