The Indonesian Fiber and Filament Yarn Producers Association or APSyFI projects that the Textile and Textile Products industry will grow negatively by up to 7% on an annual basis. This is caused by the domestic TPT market being filled with imported products. APSyFI General Chair Redma Wirawasta found that imported products dominate up to 60% of local market capacity. The dominant imported textile products are apparel and garments. Therefore, Redma said that some textile factories are currently not producing. In general, the textile industry is currently producing to meet demand during Christmas 2023 and New Year 2024.

"We are a bit pessimistic about being able to get the Nataru Market, because imported goods are coming in continuously. So, the imported goods haven't finished yet, other imported textiles are continuing to come in," said Redma, Thursday (14/9).

Therefore, Redma projects that the growth of the textile industry in the third quarter of 2023 will decrease by up to 5% on an annual basis. This figure is lower than the realization in the second quarter of this year which grew negative 1.7%.

Global Demand Falls Previously, the Indonesian Textile Association or API stated that increasing the minimum wage in 2024 would be challenging. This is because the textile industry is now considered to be the sector most affected by the depressed global economic conditions.

API General Chair Jemmy Kartiwa explained that the textile industry in several countries was experiencing difficult times, such as what happened in China, India and including Indonesia. In particular, Jemmy said that the weakening economy in China was causing the influx of imported garments into the country to increase.

"This condition worsens the condition of the textile industry and textile products, so that the policy of laying off employees occurs everywhere, both upstream and downstream in the textile industry," said Thursday (24/8).

According to a report by the Central Statistics Agency (BPS), Indonesia imported 2.20 million tons of textiles and textile products throughout 2021. This amount increased by 21.1% compared to the previous year which was 1.82 million tons.

The largest number of imported clothes in the country comes from China. It was recorded that the total textiles and textile products imported from this country amounted to 990.20 thousand tons or 44.86% of last year's total imports. Brazil is in second place with total imports of textiles and textile products to Indonesia of 174.80 thousand tons.

The United States (US) is in third place by importing 137.90 thousand tons of textiles and textile products into the country.