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2010 Indonesia'S Footwear Exports Surged

2010/8/2 12:01:00 43

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Exports of footwear products in the first half of this year,

Shoe material

Soaring 20% exceeded 900 million US dollars, and exports amounted to US $760 million during the same period last year.

This is due to the increase in orders for footwear products worldwide, which has improved export performance this year.

Addie Wei Chen Nalco, President of the Indonesian Footwear Industry Association (Aprisindo), said in Jakarta in June 28th that exports of footwear products were stagnant by the global gold crisis last year, but this year it began to flourish, which is conducive to the improvement of Indonesia's product competition, better than that of China and Vietnam, so that footwear products can still be exported abroad even though it is slightly hindered by the implementation of China ASEAN free trade.

Indonesian Ministry of trade data show that from 1 to April this year, footwear

Exit

It surged from 22% to 7 billion US $300 thousand, up from US $575 million in the same period last year, of which $360 million was added to Indonesia's footwear, including Nike, Adidas, puma, micsu and the new balance.

Addie pointed out that the surge in exports has resulted in an increase in the number of employees in several shoe factories. From the original 2 class system to 3 shifts, the shoe industry increased from 70% to 80% last year in Indonesia.

There are 350 enterprises in the association.

He said that in addition to the increase in exports, manufacturers also increased the capacity of the factory for the coming new semester. Usually the sales volume of shoes will increase during the new semester. He is confident that the export trend will continue to the second half of the year. The association has set export targets exceeding 2 billion US dollars, up from 1 billion 800 million US dollars in the same period last year.

Earlier, trade minister Feng Huilan pointed out that the export of footwear has been recovered from the crisis, which can be seen in the implementation of exports by April.

Footwear exports increased by 27.48% in the first 4 months of this year, from 39 million 400 thousand to 50 million.

footwear

The product was the most crisis hit product last year, but exports improved from 1 to April this year.

As for July, the electricity price has increased by 10%. Addie said that this will cause psychological impact on manufacturers, especially for small industries, usually to meet the increase in electricity tariffs, they will cut production time.

However, he did not receive a formal report on the matter. According to the association, the increase in electricity tariffs will affect production costs by 1%.

Sultan RP. Garr, chairman of the East Java branch of the footwear industry association, pointed out that with the increase in electricity tariffs, manufacturers began to reduce non productive funds.

Historically, electricity charges accounted for only 5% to 10% of the cost of shoe factories.

In order to guard against the initial reaction of the price increase, we will adjust the working hours of the employees.