Association fears production cost increase in In - sportstextiles: Lea SportsTextiles

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Association fears production cost increase in Indonesia

01/03/2012
An increase in energy prices has led the Indonesian Textile Association (API) to warn that the production costs of manufacturers of garments and textiles across the country are likely to rise.

Chairman of the association's East Java branch, Sherlina Kawilarang, has said that electricity costs are going up by between 10% and 15% and warned that a weakening of export demand was a possible consequence.

API calculations suggest that energy costs account for nearly 20% of the production costs of garment manufacturers in Indonesia.


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