According to the Minister of Cooperatives and SMEs, the illegal trade of imported apparel and footwear products had reached a 31% average of the domestic market.
Heaptalk, Jakarta — Indonesia’s Minister of Cooperatives and SMEs, Teten Masduki, together with Indonesia’s Minister of Trade, Zulkifli ‘Zulhas’ Hasan, have encountered to arrange several strategic moves in eradicating the illegal second-hand clothing trade. This action is intended to protect Indoensia’s MSMEs in the textile industry.
Furthermore, this agreement embodies a plan to seal access to an upstream used clothing import activity, starting from combating the smugglers (importers or producers) of illegally imported second-hand clothing products. The ministries will also carry out import restrictions on the ground for the illegally imported second-hand clothing peddlers.
“We received instructions from President Joko Widodo to protect producers of SMEs and textile products, one of which is by eradicating the illegal import of used clothing which has commenced from the Ministry of Finance, the Ministry of Trade, and the police due to this matter considered as an illegal trade,” voiced Ministry Teten, during the press conference, Jakarta. (03/28)
Following this issue, Ministries will coordinate with the police to cease the access to import activity of illegal second-hand clothing products in the upstream sector, including a small harbor frequently operated by interlopers and a holding warehouse.
Together with the Minister of Trade, Teten has arranged a restriction move on the entry of imported products. As a result, he claimed the local brands would not be affected by the imported products. Minister Teten revealed that unrecorded imports, including the illegal import of apparel and footwear, had attained a 31% average of the domestic market, which is not significantly different from the import output of legal clothing and footwear of 41%.
From the joint supervision output carried out by the Police, Customs, and Excise of the Ministry of Finance, and the Ministry of Trade, Zulhas delivered his party plan to perform the extermination of about 7000 bales of imported products of second-hand clothing, approximately worth US$5.3 million (Rp80 billion).
On the other hand, Zulhas affirmed that the Ministry of Trade would also work with the Ministry of Communication and Information Technology to monitor and prevent the content and sale of illegally imported used clothing products on digital platforms, such as social media, socio-commerce, and e-commerce.
“We aim to protect domestic industries and MSMEs. This case of smugglers must be followed up. If there are still sales of illegally imported second-hand clothing products on social media, that’s dominant for individuals. In principle, we allow society to peddle used goods. Yet, we are also mandatory to check their legality.” Minister Zulhas said in his statement.
