Textile Firms May Be Forced to Relocate by The Energy Crisis: API

Textile and apparel manufacturing firms may be forced to relocate to other countries if the state electricity company PLN cannot guarantee the availability of supply of electrical energy for 24 hours a day, Indonesian Textile Association (API) chairman Ade Sudrajat Usman has said.

Addressing a press conference in Semarang city, Mr. Sudrajat said electrical energy is needed for smooth functioning of the textile industry.

Textile industry is a polymer-based industry, and there should not be any electricity supply gap in a polymer textile production process, he said.

The programme to accelerate electricity production has not been of much help to the textile industry, and only 70 percent of the target has been realized so far, although the programme was scheduled to be completed in 2009, he added.

Mr. Sudrajat said the nearest country which would be conduce for relocation of Indonesian textile and apparel industry would be Vietnam, where electricity supply is adequate and cheaper than in Indonesia.

Moreover, Vietnam is investing in developing its energy resources and is building a nuclear power plant, he informed.