Indonesia is expecting its textile exports to grow at a faster pace this year, driven by increasing overseas orders particularly from the United States and the European Union. The country’s textile exports were up 1.76 per cent in 2013 from a year earlier, as demand dipped significantly due to the continued global economic slump. Domestic textile manufacturers expect textile exports to be up five per cent this year compared to 2013.
Indonesia and 28 European Union members have planned to resume negotiations on a comprehensive economic partnership agreement after several delays. The deal is estimated to triple Indonesia’s textile exports within five years. The US was Indonesia’s top destination for textile exports, purchasing $4.1 billion worth of textile products. Indonesia controlled a 4.9 per cent share in the US market throughout last year. Japan and Turkey became the second and third main export markets. Japan would continue playing a key role to boost exports this year thanks to the trade deal that Indonesia implemented with the East Asian country since 2008.
Other traditional markets, such as Middle East and African countries, would also help drive exports. Aside from textile exports, Indonesia also sees a brighter outlook in the domestic market this year, anticipating sales to expand by approximately 7 per cent.
