The performance of the textile and textile product industry (ITPT) is projected to improve from time to time. Especially after the pandemic and after the limitation period for the Implementation of Community Activity Restrictions (PPKM) ends. This is indicated by the increase in utilization, export value and investment in the ITPT sector. Director of the Textile, Leather and Footwear Industry (ITKAK), Ministry of Industry, Elis Masitoh said that despite the many challenges after the pandemic, such as domestic household consumption for clothing products, it still tends to be low compared to 2020 and 2019 at the end of the third quarter of 2021, the ITPT sector shows a positive trend. This is indicated by the increase in several important indicators such as utilization, export value as well as investment in the textile and garment sector.
The Ministry of Industry estimates that ITPT will begin to rebound to a positive growth rate at the end of 2021. Furthermore, Elis said textile utilization has started to improve since August 2021, which is around 65% to approximately 75% in October 2021. The performance of the garment industry is experiencing a limitation on the number of employees during the PPKM period also showed improvement in utilization, which was 79% -80% in August-September 2021, an increase from 50% in July 2021. "The driving factor for the garment industry's performance is the transfer of orders to Indonesia from regional countries that are under lockdown due to control over the increase "This can be proven by the high value of garment exports in the third quarter of 2021, which is worth US$ 2.37 billion," she said in his statement, Sunday (5/12). Referring to data from the Ministry of Industry, currently the export-oriented garment industry operates at full capacity (2 shifts) and plans to increase the number of production lines and workers. Based on this, Dit ITKAK is optimistic that ITPT's performance will improve with a utilization performance of 75-80 percent and is expected to print positive GDP growth. The transfer of orders from some supplying countries to Indonesia is also used by industry players to boost their company's performance. Like the textile company PT Pan Brothers Tbk (PBRX), which until the third quarter of 2021 managed to record a net profit of US$ 19.03 million at the end of the third quarter of 2021. The company also recorded an increase in the share of net income from associates.
Pan Brothers Corporate Secretary Iswar Deni said that currently the market for the PT Pan Brothers industry is very open with the opportunity to receive shifting orders from many countries, which see Indonesia as the country most ready to accept it. During the pandemic as well, being a labor-intensive industry, Pan Brothers has added 3,000 new employees. “Various incentives to provide support to ITPT have also been implemented by the government. The imposition of peak electricity loads for industry from PLN has been removed. The decline in gas prices for the upstream textile raw material industry and the upstream textile industry," said Elis. "In addition, there is the Provision of Government Borne Import Duties (BMDTP) for industrial imported raw materials. Abolition of cotton VAT In addition to the above policies, Dit. ITKAK also provides facilitation and incentives for the assisted industries," he said. "As well as the ease of developing eucalyptus plantations related to HTI regulations regarding the Imposition of Anti-Dumping Duties (BMAD) for PSF and SDY to overcome unfair trade from China, Taiwan and India," concluded Elis. .
