Footwear Association of Indonesia forecasts that total footwear exports turnover of the country in 2006 is expected to touch US $1.7 billion, a year–on–year surge of 13 percent.
Association explained that the anti–dumping lawsuit imposed on leather shoes from Vietnam and China has opened up bigger opportunities in the EU market.
Moreover, there have been shifting operations of many international footwear manufacturers (four world leading and 11 small others) from China and Vietnam to Indonesia since late 2005 to avoid the anti–dumping duties.
Considering this shift, Indonesia has planned to develop the footwear industry that is expected to generate employment for around 250,000 workers.
Currently, country enjoys comparable advantages, but also faces major administration management obstacles like fees of establishing an enterprise are 50 million Rupiah ($5,500), much higher than that in Vietnam ($2,750), Malaysia ($1,980) and Singapore ($1,210).
Fibre2fashion, News Desk - Vietnam