Chairman of the Indonesian Fiber and Filament Yarn Producers Association, Redma Wirawasta, suspects that the value of illegal textile imports in 2022 will reach US$ 2.94 billion or around Rp. 43 trillion. The large number of illegal textile imports causes pressure on domestic industries ranging from large to small scale. Redma discovered the illegal import figures when comparing Indonesia-China textile trade records at the International Trade Center or ITC. Redma noted that the value of Chinese textile exports to Indonesia will reach US$ 6.5 billion in 2022 based on the General Custom Administration of China. In the same year, the Central Statistics Agency recorded that the value of imported textiles from China was only US$ 3.55 billion.
"If it is assumed that imports per container are worth IDR 1.5 billion, it is estimated that around 28,480 illegal TPT containers will enter per year, or around 2,370 illegal containers per month," said Redma in an official statement, quoted on Wednesday (20/9).
Controls 41% of the Domestic Market. Redma recorded that the value of national textile and textile product consumption last year reached US$ 16 billion. This means that illegally imported textiles contribute up to 41% of the national textile market. ad In addition, Redma calculates that all imported textiles throughout 2022 are equivalent to 800,000 tons or around 45% of the production capacity of domestic-oriented Small and Medium Garment Industries.
In other words, Redma assesses that all imported products are equivalent to the loss of domestic employment of up to 2.4 million people.
"The economic multiplier effect is very large, apart from government income from the tax sector, also from electricity use, BPJS payments and so on," said Redma.