Friday, 18 October 2024 04:28

Footwear Exports Grow by 64.5% During Jokowi's 10-Year Administration

The Indonesian Footwear Association (Aprisindo) reports that footwear exports have surged by 64.5% during President Joko Widodo's two terms in office. "Under President Joko Widodo's leadership for a decade, Indonesia's footwear exports have experienced significant growth, reaching an increase of 64.5%," stated Aprisindo Chairman Eddy Widjanarko in a press release on October 15, 2024. At the start of Jokowi's presidency in 2014, the value of footwear exports stood at USD 4.1 billion, which rose to USD 7.7 billion by 2022. Eddy noted that this growth could have been even greater, potentially doubling, had it not been for the impact of the Russia-Ukraine war. "If the global demand had not decreased in mid-2022 due to the conflict in Europe, Indonesia's exports would have already doubled," he added.

After experiencing a decline from mid-2022 to the end of 2023, footwear exports are beginning to stabilize and are projected to see modest positive growth this year. Aprisindo estimates that in 2024, export values will reach USD 6.7 billion, reflecting a 5% increase compared to 2023. Eddy attributed the rapid growth of footwear exports during Jokowi's administration to several key policies. The issuance of Government Regulation (PP) No. 78 of 2015 regarding wages and the massive development of infrastructure, particularly the Trans-Java Toll Road, have played pivotal roles in retaining labor-intensive industries in Indonesia. "The signing of PP 78 by President Jokowi has provided a measurable guarantee for minimum wage increases through a defined calculation formula," Eddy stated. He further noted that the Trans-Java Toll Road has significantly reduced travel times between regions in Java, opening up new investment opportunities in West, Central, and East Java for labor-intensive industries.


Source: https://money.kompas.com/read/2024/10/16/110000426/ekspor-alas-kaki-tumbuh-64-5-persen-selama-10-tahun-pemerintahan-jokowi#google_vignette

 

 

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