Textile/clothing Export/Import Data in 2008-2010 - US Imports per Quota Categories and per Quarter

Indonesia's Apparel Exports Are Still Surging Country Report

Indonesia's clothing exports continued strongly rising in the past months, in value terms. Apparel prices began sharply increasing, in line with a surge in fiber and textile material costs. A relatively high inflation rate may also result in new wage adjustments this year, with a potential threat in sight for the domestic industry.

Indonesia's textile and apparel exports continued sharply rising in the past months, according to latest official data.

In December 2010 and January 2011, clothing exports were respectively up 19% and 24% in US$ terms, from the same months a year earlier.

Export value also broke the symbolic level of US$600 million per month in December and January.

This is partly reflecting higher prices, not surprisingly. In volume terms, apparel exports only rose 11.9% in December and 10.5% in January.

Strongly Rising Prices

Clothing export prices began strongly increasing in the past six months.

A double-digit growth from a year earlier was reported from September with prices only up 6.38% in December, however (see our tables below).

Such a rise in export prices is partly due to the surge in fiber prices.

Average price of Indonesian textile fiber exports jumped by more than 80% in December and January, from the same months a year earlier.

Textile export prices rose 28% in December and 31% in January, as a consequence.

New Wage Increases in Sight

Domestic clothing exporters are now confronted with a potential new rise in wages, in line with the continued increase in food prices.

Consumer prices however slightly declined to 6.8% in February.

Energy and financial costs are also on the rise in the country.

With a strong currency, especially against the US dollar and the Chinese renminbi, Indonesian exporters could face serious difficulties in the future.

Excellent Results

They however got excellent results in the past twelve months, being able to sell products at higher prices than other Asian nations.

On the EU's clothing import market, unit price of Indonesian clothing was 29% above average import price in the last year.

European imports of Indonesian clothing began seriously rebounding in the fourth quarter last year.

Indonesian shipments also strongly recovered on the US market, where the largest part of domestic apparel exports are being shipped.

US clothing imports from Indonesia surged 20% in US$ terms in second and third quarters last year, before rising 17% in fourth quarter.



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