Industry Minister targets footwear exports to reach US$6.5 billion

Industry Minister targets footwear exports to reach US$6.5 billion

Jakarta (ANTARA) - Minister of Industry Airlangga Hartarto is optimistic that the exports of national footwear products would increase US$6.5 billion in 2019 and reach $10 billion in the next four years.

"Moreover, Indonesia has signed the CEPA with Australia and the European Free Trade Association (EFTA). This has the potential to expand the export market for our manufactured products," Hartarto noted in his statement in Jakarta on Friday.

The footwear industry is one of the mainstay manufacturing sectors that is able to contribute significantly to the national economy.

This is reflected in the growth of the leather industry group, with leather goods and footwear recording a significant increase of 9.42 percent in 2018, as compared to some 2.22 percent in 2017.

Last year's achievement exceeded the national economic growth at 5.17 percent.

"National footwear exports also increased by 4.13 percent, from US$4.91 billion in 2017 to $5.11 billion in 2018," Hartarto pointed out.

The industry minister explained that the footwear industry was being prioritized owing to its development as an export-oriented, labor-intensive sector.

"Along with the textile and clothing industry, the footwear industry is also prepared to enter the industrial era 4.0, so that it is more globally competitive and the exports rise. PT KMK is one model that applies the future of production," he added.