Textile entrepreneurs anticipate restrictions on shopping centers following the surge in Covid-19 cases and the government's steps to increase the level of application of restrictions on community activities (PPKM). Secretary General of the Indonesian Textile Association (API) Rizal Tanzil Rakhman said the policy threatened to make the textile sector contract again in the first quarter of this year. "If the PPKM limits business activities such as malls or markets, and textile wholesale centers, we are worried that it will go down again," said Rizal, Monday (7/2/2022).
Based on records from the Central Statistics Agency (BPS), the textile and apparel industry contracted 4.08 percent throughout 2021, although it managed to grow 5.94 percent in the fourth quarter of 2021.
In 2022, the Ministry of Industry targets the textile and textile product (TPT) industry to grow in the range of 5 percent. According to Rizal, the realization will be in the range of 3 percent to 4 percent for this year.
Despite anticipating a decline in domestic market performance, Rizal said that the condition of the industry at the beginning of this year was quite conducive, as indicated by the utility of production capacity which was above 70 percent. Meanwhile, export orders have been flowing until April-May 2022.
"This is indeed what must be maintained in domestic conditions. We hope that the PPKM will not limit economic activities as before," he continued.
Facing the threat of a decline in performance due to the surge in Covid-19 cases, Rizal said industrialists would still observe further developments. At present, entrepreneurs have not dared to produce in large quantities, including stockpiling raw materials and production goods.
Apart from that, the textile industry is also still facing a number of other challenges, such as the high price of coal, plans to increase the basic electricity tariff, and the scarcity of containers and high shipping rates.
"We will wait and see and remain vigilant to see conditions and developments. We can't over-production," he said.
Starting to Improve at the Beginning of the Year, Ketar Ketir Textile Industry with PPKM Level
Textile entrepreneurs anticipate restrictions on shopping centers following the surge in Covid-19 cases and the government's steps to increase the level of application of restrictions on community activities (PPKM).
Secretary General of the Indonesian Textile Association (API) Rizal Tanzil Rakhman said the policy threatened to make the textile sector contract again in the first quarter of this year.
"If the PPKM limits business activities such as malls or markets, and textile wholesale centers, we are worried that it will go down again," said Rizal, Monday (7/2/2022).
Based on records from the Central Statistics Agency (BPS), the textile and apparel industry contracted 4.08 percent throughout 2021, although it managed to grow 5.94 percent in the fourth quarter of 2021.
In 2022, the Ministry of Industry targets the textile and textile product (TPT) industry to grow in the range of 5 percent. According to Rizal, the realization will be in the range of 3 percent to 4 percent for this year.
Despite anticipating a decline in domestic market performance, Rizal said that the condition of the industry at the beginning of this year was quite conducive, as indicated by the utility of production capacity which was above 70 percent. Meanwhile, export orders have been flowing until April-May 2022.
"This is indeed what must be maintained in domestic conditions. We hope that the PPKM will not limit economic activities as before," he continued.
Facing the threat of a decline in performance due to the surge in Covid-19 cases, Rizal said industrialists would still observe further developments. At present, entrepreneurs have not dared to produce in large quantities, including stockpiling raw materials and production goods.
Apart from that, the textile industry is also still facing a number of other challenges, such as the high price of coal, plans to increase the basic electricity tariff, and the scarcity of containers and high shipping rates.
"We will wait and see and remain vigilant to see conditions and developments. We can't over-production," he said.