Indonesia's Ministry of Industry is rolling out a machine restructuring program worth approximately $318,000 this year to help boost the competitiveness of the textile and textile products (TPT) industry amid global uncertainty.
The program, which focuses on the fabric industry, is expected to involve 13 companies and encourage the use of modern, efficient, and eco-friendly machines and equipment in line with the "Making Indonesia 4.0" roadmap. The budget will be used to provide reimbursement of price discounts of 10% for imported machinery and equipment or 25% for domestic ones.
The program has proven to improve the productivity, efficiency, and quality of TPT products, with 23 companies benefiting from it in 2021 and 2022. The TPT industry has performed well despite global pressures, with its export value reaching $13.83 million in 2022 and contributing 1.03% to the national GDP.
The machine restructuring program is expected to help improve the quality of the companies and the textile industry in general.