Vietnam and bangladesh are recognized to be the greatest textile contributors of the world. Meanwhile indonesia failed to catch up with both these asia neighbor countries in term of textile supply and production, said chairman of indonesia textile association ade sudrajat usman.
The main factors of indonsia in-competitiveness is due to the efficiency of labors of which indonesian employees are relatively higher compared to both countries. Beside the working hours in bangladesh and vietnam is 48 hours per week much more than indonesia whose working hours is only 40 hours per week.
Another barrier is the high prize of gas for textile industry in indonesia which is $12 per mmbtu higher than bangladesh and vietnam which are at rate of $4 per mmbtu and $7 per mmbtu.
In fact, government through president jokowi has conveyed to reduce the gas industry price including intended for textile factories in order to make the textile product more competitive for european and USA market targets.
The high price of gas industry so far has affected the high production cost for textile production thus implies the incompetitive price of export with another countries.
On the other hand, the problem of various taxes toward the textile products is the becoming the complain of the employers. There must be more serious attention of government to boost the growth of textile industry especially in competing with other countries.
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