Jakarta, INTI - General Chair of the Indonesian Garment and Textile Association (AGTI), Anne Patricia Sutanto, said President Prabowo Subianto’s focus on strengthening the national textile and garment industry sends a strong political and economic signal to ensure the sustainability of this labor-intensive sector.
She stressed that the President’s commitment to positioning the textile and garment industry as a strategic sector must be followed up by ministries, state institutions, and regional governments through clear policies, regulations, and concrete implementation measures.
“This industry plays a vital role in creating employment and national social-economic stability," he said, quoted on Thursday, January 15, 2026.
In response to the President’s call to revitalize the textile supply chain, AGTI emphasized that supply chain strengthening must be implemented in an integrated manner, covering both upstream and downstream segments. Given the length and complexity of Indonesia’s textile supply chain, supportive policies are needed to sustainably enhance the competitiveness and value added of the domestic industry.
Anne noted that reinforcing the domestic upstream sector is essential to reduce reliance on imported strategic raw materials. However, she added that imports will remain necessary as long as national production capacity has yet to fully meet industry demand, in order to prevent disruptions to the manufacturing process.
"Imports of raw materials for manufacturers who comply with the rules need to run quickly and efficiently so that the competitiveness of the industry remains maintained," said Anne.
AGTI also considers the downstream initiatives highlighted by the President to be crucial in boosting the added value of the textile and garment industry. With an extended supply chain, downstream development is seen as a way to strengthen industrial self-reliance while preserving the sector’s role as a major source of employment and a key driver of the national economy.
Technology and Machinery as Pillars of Industry 4.0
Furthermore, advances in technology and semiconductors are viewed as having strategic significance for the adoption of Industry 4.0 within the textile sector. Anne noted that reliance on imported machinery remains high, making the development of a strong domestic machinery industry a vital component of Indonesia’s broader industrialization agenda.
Following the limited meeting in Hambalang, AGTI expressed hope that President Prabowo’s directives would be promptly translated into concrete policy actions, including regulatory reform, streamlined licensing procedures, the provision of competitively priced energy, as well as fiscal incentives and financing support.
"With integrated policies, the garment and textile industry can again increase competitiveness and strengthen its position as the backbone of national labor-intensive manufacturing," said Anne.
Conclusion
AGTI believes that a comprehensive approach, combining downstream development, technological advancement, and strong policy support, is key to enhancing the competitiveness and sustainability of Indonesia’s textile and garment industry. Clear and swift implementation of these measures is expected to strengthen industrial independence, safeguard employment, and reinforce the sector’s contribution to national economic growth.
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