Indonesia no more exporting polyester

Indonesian Government will stop exporting polyester due to insufficient supply for local demand. Several small and medium industries (SMI), mainly textile industry, complain the shortage of supply of staple in Indonesia.

"We must stop exporting polyester because we cannot fulfill local demand," Director General of SMI at the Ministry of Industry, Euis Saedah, said on Wednesday.

The price of raw materials of cotton is also surging and such condition potentially hampers the production of clothes and batik. SMI also faces difficulty on accessing capital and target market.

Saedah said government would build a terminal of raw materials for SMI. "It is to support SMI so that they can compete with imported products," she said. Government will also seek the investors for the terminal.-Republika Online (October 04, 2012 19:45WIB)