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Indonesia to surpass Vietnam in footwear sector
Aug '10
Indonesia aims to become the second largest shoe hub of the world, within two years, surpassing Vietnam. It will outshine Vietnam as biggest footwear exporter of the world with estimated annual exports worth US $2.1 billion.

The country that stands third in shoe production, following China and Vietnam, can now produce over three million pairs of shoes, each year, of renowned brands like Nike, Adidas, New Balance. Several famous shoe brands intend to move their industries to Indonesia from Vietnam and China.

Two shoe producing companies of Korea would set up new plants in Indonesia investing $150 million, and would also relocate their plants from Vietnam and China. The two companies have so far produced shoes bearing Adidas and Geox brands.

A new plant worth $100 million would be built on 20 hectares in Serang, west of Jakarta by the famous shoe brand, 'Adidas', while, 'Geox' will establish its new plant worth $50 million on 5.6 hectares of land in Pasuruan, East Java.

Adidas and Geox have production capacity of 850,000 and 1.2 million pairs of shoes, respectively. Such relocation is also making textile and electronic companies to shift their plants to Indonesia.

Fibre2Fashion News Desk - India

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