Used textiles continue to flood Sumatra, Jakarta

Used textiles continue to flood Sumatra, Jakarta

Haidir Anwar Tandjung and Apriadi Gunawan, The Jakarta Post,
Medan/Pekanbaru

Tembilahan, a small coastal town in the Riau regency of Indragiri
Hilir, has drawn a lot of attention from small-scale businessmen
over the last few months as it has become a gateway for used
clothes into the provinces of Jambi, South Sumatra and Lampung.

It has two major markets especially offering imported products
to local businessmen who distribute them to other markets in
other cities in the provinces.

Many local people have left their daily jobs as fishermen and
coconut farmers to become suppliers and middlemen for imported
used clothing and fabrics. They bring in the imported commodity
from Malaysian and Singaporean suppliers via the Malacca Straits.

Maman, 45, a trader in Tembilahan, conceded that the business
was quite lucrative because he could sell between five and ten
bales of second-hand clothes every day.

"We buy the used clothes at the price between Rp 500,000 and
Rp 1.5 million per bale. We can gain a profit of between Rp 1
million and Rp 2 million per bale after all other expenses
because a bale contains around 200 pieces with the prices between
Rp 15,000 and Rp 35,000 per piece depending on their quality and
condition," he said.

Maman, also a civil servant at the Indragiri Hilir
administration, cited that around 1,000 bales of used clothing
entered through the town every day.

Despite the government ban, the second-hand textiles imported
from Europe, the United States, Japan and South Korea through the
two neighboring countries, continue flooding Sumatra and Java.

Many markets and shopping centers in Medan, Tebing Tinggi and
Pematang Siantar in North Sumatra offer second-hand clothes which
are brought in through Tanjungbalai seaport.

"It is easy to find cheap used clothes in Pasar Baru and Senen
shopping areas in Jakarta. The used clothes have entered the
Indonesian capital through Tanjungpriok seaport," Brig. Gen.
Deddy S. Komaruddin, chief of the Riau Provincial Police, said
here recently.

He acknowledged that the police had "difficulties" in
eradicating the lucrative smuggling of used clothes because of
the large coastal areas in the province and the increasing demand
for the commodity.

"Apart from the violations of law, we should be realistic that
the increased flow of clothes had a lot to do with increasing
demand at home. The crisis has hit the purchasing power of a
majority of the people so that they are unable to purchase new
products locally in malls.

"Everyone wants to wear a new set of clothes especially to
celebrate Idul Fitri but most people would be financially
incapable of doing that if it were not for these lower priced
clothes," he said.

Acin, a Chinese trader, conceded that the entrance of used
clothes has affected the local products but said he could do
nothing because the smuggling could not be stopped by local
relevant authorities.

Indragiri Hilir Regent Rusli Zainal said the illegal entrance
of the used clothes was really a dilemma for the local
authorities because Indonesia, including the province, has been a
dump site for second-hand goods from foreign countries but at
same time, the demand for the used clothes was still on the rise
at home.

"We must be extra alert in handling the problem. We have not
imposed taxes on traders or importers because we have not
completed publicizing Ministerial Decree No. 22/1997 banning
imports of used commodities, including textiles and cars."

Some 80 used cars granted by the Singaporean Police to state
universities in the provinces have been seized by the local tax
and excise office because of the government ban.

The coordinator of the Forum for Indonesian Youths (FIM) in
Medan, North Sumatra, Fadli Nurzal, criticized the government ban
that has affected 200,000 traders and thousands of workers in the
seaport in Tanjung Balai who have been earning their livelihood
from the used imports.

"More than 200,000 used clothing traders have to seek new jobs
after the local authorities banned imports. To be consistent, the
government should also take actions against the import of used
cars from Singapore and Japan," he said.

Rijal Sirait, a member of the North Sumatra provincial
legislative council, concurred and said the government should
control the rising price of domestic products and improve the
people's purchasing power.

"The government should not be manipulative in making
controversial rules but make policy and regulations benefiting a
majority of the people," he said.