To increase competitiveness, Indonesia’s ministry of industry is pursuing a machine restructuring plan for the textile and textile products (TPT) sector. According to Ignatius Warsito, the ministry’s acting director general of chemical, pharmacy, and textile sector, this year’s programme targets 13 enterprises and has a budget of Rp 4.7 billion.
The programme intends to encourage businesses to utilise more cutting-edge, effective, and environmentally friendly machinery and equipment in line with the “Creating Indonesia 4.0” road plan.
After 2021 and 2022, when 23 enterprises benefited from the scheme, it is now being conducted once more, according to a news source.
The TPT sector’s export revenue reached US $ 13.83 million in 2022. According to him, the TPT industry expanded by 9.34 per cent and added 1.03 per cent to the country’s gross domestic product (GDP).
The money will be used to pay back price breaks that amount to 10 per cent of the entire investment in machinery and equipment that is imported or 25 per cent for domestically made items.
Warsito continued, “Other policies adopted to maintain the performance of the TPT industry include the enhancement of commodity balances and raw material supply chains, application of ‘industry 4.0,’ Specific Natural Gas Price, import control and imposition of trade remedies on the TPT industry, Domestic Product Use Programme (P3DN), and enhancement of skills through the ‘Link and Match’ vocational programme.
