The Ministry of Industry continues to support Small and Medium Industry (IKM) players. Including the textile and apparel sector in order to be able to rise from the pressure of the Covid-19 pandemic.
Various strategies have been carried out, for example encouraging increased production and sales through online marketing support. "We know that SMEs can be more agile in their strategies by taking advantage of existing assets and opportunities, so that their productivity performance can increase," said Industry Minister Agus Gumiwang Kartasasmita.
Supported by a workforce of 139 people and using 104 units of weaving machines, PT Santosa Kurnia Jaya managed to market its products to the local market in the form of headscarves with the Rabbani, Elzata, and Nibras brands. As for exports, the textile SMEs supply products to two Japanese manufacturers, namely Hattori Takeshi and Toyoshima.
The Minister of Industry said that exports of textiles and textile products needed to be re-optimized after being hit by the impact of the Covid-19 pandemic. This is in line with optimism from production growth and manufacturing demand which shows positive numbers.
“Positive expectations can be seen from the Purchasing Managers Index (PMI) of Indonesian manufacturing, which is currently at the highest position in Asia. Indonesia's manufacturing PMI broke to the level of 55.3 in May 2021, and is higher than other countries such as Vietnam, India, China and South Korea," he said.
So the Ministry of Industry continues to actively support the recovery of the productivity of textile and apparel SMEs. Go strategically by providing various facilities such as machine restructuring, opening market access, and providing online marketing training in order to pursue positive growth.
Agus added, in order to maintain the continuity of the production process or industrial development, the Ministry of Industry is currently drafting implementing regulations from Government Regulation Number 28 of 2021 regarding the central provider of raw materials and/or auxiliary materials for IKM. Especially for SMEs who cannot carry out their own imports, so that they can increase the productivity and competitiveness of SMEs.
Referring to data from the Central Statistics Agency (BPS), the contribution of the textile and apparel industry reached 6.11 percent of the total GDP of the non-oil and gas processing industry in the first quarter of 2021. Meanwhile, apparel exports from January to March 2021 reached 1.94 billion US dollars.
Exports were dominated by convection garments with a value of 1.64 billion US dollars. The remainder is exports of knitted garments, textile apparel, knitted socks, and leather garments and accessories.
In the same period, textile industry exports were recorded at 1.06 billion US dollars. Exports were dominated by the spun yarn group with a value of US$0.42 billion and was followed by exports of man-made staple fiber valued at US$0.21 billion, and other textile goods at US$0.14 billion, as well as several other commodity groups.