During Industry Minister Airlangga Hartarto meeting with Japan based Mitsubishi Corporation’s executives in Tokyo on Wednesday, invited the company to pour in more money in the garment sector and seek more partnerships with local industries as the giant company has the potential to boost competitiveness and productivity among Indonesia’s manufacturers as the country was revitalizing its textile industry by boosting the production capacity of rayon fiber.
Rayon has become the new basic material for textiles and Indonesia will produce rayon fiber from forest pulp in large quantities.
Airlangga said he also expected Mitsubishi to invest more in the petrochemical sector as its subsidiary, Asahi Glass, which operates in Indonesia under the name Asahimas Flat Glass, started to expand its caustic soda and glass factory.
Mitsubishi Corporation senior executive vice president Eiichi Tanabe said that the company was looking to expand its business in infrastructure and the automotive sector as well as consumer goods, such as food products, as it partners with Japanese convenience store Lawson and retailer
The investments in textiles and textile products have reached Rp 7.54 trillion (US$557.8 million) last year, contributing 1.16 percent to the country’s gross domestic product.
Of the total Indonesian shipment, textiles and textile products exports have reached US$11.78 billion , 8.2 percent in 2016.
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