The deserted Tanah Abang Market in Jakarta is considered by several textile business players as a worrying alarm for the domestic textile industry. Deputy Secretary of the Solo Indonesian Employers' Association (Apindo) and Central Java Apindo Administrator, Sri Saptono Basuki, said that the condition currently being experienced by the textile industry nationally is the snowball effect of the industry's sluggishness since the Covid-19 pandemic. "Current economic growth has not had an impact on the textile and footwear industry, like it or not, we have to admit that the industry is struggling to gain markets, both local and export," said Basuki.

He also regrets that the City of Solo does not yet have data on the conditions at the Solo Klewer Market, the Solo Wholesale Center (PGS), or the Beteng Trade Center (BTC).

According to Basuki, the number of events for MSMEs in Solo needs to be reviewed to see whether they are linear with general conditions. Accurate data can make it easier for all parties to calculate their respective efforts.

He also hopes that the many events in Solo that have succeeded in driving the growth of the hotel and culinary business will also be felt by other business sectors.

Basuki is of the opinion that an economy that is too heavily supported by MSMEs and the informal sector actually shows that industrialization has not moved forward.

"If there are too many MSMEs, they actually only compete domestically. When there are imports with cheaper prices and quality that meets market expectations, MSMEs will fail to compete. "Moreover, it should be noted that the informal sector still has too many subsidies, one of which is the issue of workers' wages," added Basuki.

He added that the government has an important role in strengthening the Indonesian textile industry, including through financial institutions and the business services sector - industries including electricity and being willing to exercise discretion.

This is able to provide a stimulus so that the industry can reorganize production mechanisms and find new markets so that it can survive.

Basuki also appreciated the Indonesian government's steps in dealing with economic turmoil and contraction at the start of the Covid-19 pandemic, but according to him what needs to be done now is to eliminate overlapping policies between institutions or ministries.

Basuki reminded that the contribution of labor-intensive industries in Central Java, including textiles, shoes, furniture and handicrafts, contributed more than 50% to non-oil and gas regional income. According to him, this needs to be maintained and used as policy direction.

He warned that the demographic bonus challenge that Indonesia will soon face if investment slows down could seriously affect labor-intensive industries.

Separately, Deputy Chair of the Indonesian Textile Association (API) Central Java, Liliek Setiawan, said that the challenges for the domestic textile industry were also felt by the proliferation of imported clothing and shoe products.

"In fact, thrift or used clothes still exist, even though the regulations prohibiting it have already become law, this means that law enforcement in Indonesia is still flawed and that is one of the challenges for the domestic textile industry," said Liliek, Thursday ( 9/14/2023).

Liliek reminded that Indonesia is the country with the fourth largest population in the world, so the Indonesian clothing market should be controlled by domestic business actors. That is why textile industrialization must continue to be assisted by the government.

According to him, industrialization that is pushed forward will increase worker productivity, so that under ideal conditions the regional minimum wage (UMR) for workers can increase and the community's economy moves forward.