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'Exempt textile sector from ban on used machinery' – Mr Ismy, API

22
Dec '08
Recently the Indonesian government had announced to ban import of second hand machinery in the country. “This move on the part of the government is to help the domestic machinery industry as well as reduce energy consumption”, Mr Ansari Bukhari, Director General, Ministry of Trade and Industry, had said will announcing the same.

Since this decision may affect the textile industry which imports a sizeable amount of textile machinery, fibre2fashion.com spoke to Mr. Ernovian G. Ismy, Secretary General of the Indonesian Textile Association to get his views on the decision of the Ministry of Industry.

Mr Ismy said, “In our opinion the policy should be re-investigated since the local textile machinery industry is still unable to fulfill demand of machinery from textile industry and due to the ongoing crisis, some of the textile industry players are facing difficulties in purchasing the more expensive new machines.”

Contradicting the decision of the ministry, Mr Ismy added by saying that, “Not all used machines are in-efficient. Actually a few of the used machines are able to work for good periods of time and the biggest stumbling factor is that the textile industry in Indonesia lacks trust and support of the banking and financial agencies to fund purchase of new machineries.”

He ended by saying that, “Therefore we would like to suggest not to ban all kinds of used machines, instead the policy should exempt a few sectors like the textile sector by allowing import of used machineries.”

Fibre2fashion News Desk - India


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