Deputy Chairman of the DPR, Azis Syamsuddin, highlighted the rampant cases of illegal imports in the textile and textile product (TPT) industrial sector over the past two years. The deputy chairman of the Golkar Party stated that the illegal imports had hampered the growth of the domestic textile industry and caused state losses that reached trillions of rupiah.
"The DPR urges coordination between the Ministry of Industry, Ministry of Trade, Ministry of Finance through the Directorate General of Customs and Excise to be able to be integrated in the audit and verification as a whole so as to prevent illegal imports of textiles," said Azis.
Previously, Azis said, Indonesian textile industry players voiced their anxiety about the rampant illegal imports which had a direct impact on domestic industry.
Azis said, based on the records of the Indonesian Textile Expert Association (Ikatsi), the contribution of the textile industry was only 1 percent - 2 percent to gross domestic product (GDP), in foreign exchange savings because of the role of exports of USD 11 million - USD 12 million in 2020 and 2019 USD 15 million. Employment absorption reached 3.6 million people this year.
Azis asked the authorities to investigate and take firm action against the perpetrators of illegal textile imports, because they have harmed the domestic industry.
"The domestic industry must not be harmed. Immediately take firm action by investigating and imposing sanctions on the parties involved, ”said the head of the DPR in the field of political, legal and security coordination.
Azis emphasized that the government and security forces must be pro-active in overcoming this problem.
The former chairman of Commission III of the DPR has encouraged the government to take appropriate measures and solutions to prevent illegal importation.
He emphasized that the government must also evaluate the disparity in domestic and foreign prices so that supply and demand can be well structured.
"The government needs to streamline the textile industry governance, re-evaluate import regulations with supervision and verification of textile import approvals. The most important thing is to protect the domestic textile industry, "he said.
Azis urged relevant ministries and institutions to tighten the implementation of Regulation of the Minister of Trade Number 77 of 2019 concerning Provisions for the Import of Textiles and Textile Products. This is to respond to complaints from domestic business actors and to control imports of textile products.
"The textile industry is a strategic manufacturing sector that has a major contribution to the national economic structure, so Regulation Number 77 of 2019 must be able to be properly implemented in protecting domestic textile business actors," said Azis.