Duties on China & Vietnam to benefit local textile producers
12 Mar '07
2 min read
Most local textile companies have chosen overseas market to sell their products as they are unable to compete in the domestic market because of import of cheap products from countries like China and Vietnam.
In 2006, about 1.01 million tons of textile products sold in the domestic market out of which almost 50 percent was imported illegally. Only five percent textile product was imported legally.
The country has a low productivity in terms of labour. According to the Workforce and Transportation Ministry, Indonesian workforce productivity ranks the 59th in the world, while China ranks 31st But the average Indonesian factory worker's wage is US 0.76 cents per hour, higher than 0.55 cents in China.
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