Investors in Tangerang must face realities such as higher wages from other regions and other factors. This is what determines the investor's steps in surviving to invest in the region. Like in Tangerang, factory relocation is inevitable due to various factors. "Tangerang Regency, the wages are indeed quite high. Compared to the Java region, where the industry is quite high and is developing, the wages are lower," said Desyanti quoted on Tuesday (20/6/2023). "Our competitiveness is now starting to wane. The sexiness of making new investments in the Tangerang area has many competitors. There are many advantages offered by other regions," he added.
He said, currently manufacturing factories, especially textiles, are experiencing shocks due to the domino effect of Covid-19. What was exacerbated was the Russian-Ukrainian war and economic slowdown in various countries.
"And the info is that interest rates in the US are high, making it difficult to get capital loans for PMA investment (foreign investment)," he said.
"If operations are high, while demand is decreasing, it will be overwhelming if they have to save others. It will be efficiency," said Desyanti.
Not to mention, he said, the company still has to face other conditions that are considered to cause inconvenience to the company. Namely, the emergence of mass organizations or NGOs around the factory.
"Indeed, their demand has decreased. But what companies complain about the most is the convenience of investment. First, the UMK (district/city minimum wage)," he said.
"And, we can't cover up the fact that in the corporate environment, there are many NGOs or mass organizations that often send letters to companies, annoying letters. They say, 'Ma'am, why are we being sent letters like this?'" he said.
In fact, he said, foreign investors admit that they have not found this in other countries, such as Vietnam.
"Because it could be that wages in that country are also high, but there are not many problems like this. The fact is that there is this disturbance," he said.
For this reason, he hopes that there will be regulations that regulate investment security and comfort guarantees.
"This is already extraordinary. But it would not be right for me to talk like that. I was only talking about the company's complaints," said Desyanti.