The textile and textile products (TPT) industry has the potential to benefit from the momentum of the 2024 General Elections. In addition, this five-year Indonesian people's democratic party will be held in less than a year. General Chairperson of the Indonesian Filament Fiber and Yarn Association (APSyFI) Redma Gita Wirawasta said the effect of the election on the textile industry was visible but still very small. Furthermore, with the election, industrial activity should be able to increase. "But we are still worried that the increase will not be large and will be able to boost industry performance to normal conditions, especially since the supply of imported fabrics is still dominating," said Redma.
Redma said, there is no specific strategy to face the election momentum, because the current production position is below 50%.
"We are very ready to accommodate orders from parties for election purposes," he continued.
Meanwhile, Redma said that currently the trend in the textile business is still the same as in the fourth quarter of 2022, there are still many companies that have not been able to fully operate, the average utilization from upstream to downstream is still below 50%.
"This is because the stock in the warehouse is full, they cannot sell because the market is flooded with imported goods. The goods in the warehouse cannot be sold, they do not have cash flow strength to buy raw materials," he concluded.
Meanwhile, an issuer engaged in the TPT industry, PT Asia Pacific Fibers Tbk (POLY) stated that as an issuer they must be prepared for the potential for political uncertainty during the election stages which will directly indirectly affect industrial policy.
Head of Corporate Communications and Public Relations POLY Prama Yudha Amdan said, there are main things that must be observed in the context of textiles and elections.
Prama explained, directly, from a business perspective, there is no relationship between Elections and TPT, but of course the most important thing is the government's policy towards industry, which is the basis of the relationship between industry and elections.
"In terms of the impact of seasonal demand, of course in the downstream sector there is a trend of increasing seasonality from requests for political party attributes. But fundamentally, there has been no change," he said.