Indonesian garment exports to remain stable in 2017: API

March 29, 2017 - Indonesia

Garment exports from Indonesia are likely to remain stable this year at $11.9 billion, the figure achieved in 2016, according to API, the Indonesian Textile Association. The setting up of dozens of bonded warehouses in recent months and establishment of additional cargo lines from Gedebage in West Java to Tanjung Priok Port in Jakarta has helped exports.

In 2016, apparel exports from this Southeast Asian nation decreased 3.2 per cent due to several challenges including high logistics costs, and gas and power tariffs being higher than other competitor countries, according to API chairman Ade Sudrajat, a leading Indonesian daily reported.

At present, the US is the largest clothing importer from Indonesia. Sudrajat urged the government to lobby with the new US administration to expand its Generalised System of Preferences (GSP) to include more Indonesian apparel and accessories. This would facilitate the entry of more Indonesian products into the US at lower tariffs. (RKS)