Indonesia'S Shoe Industry Is Confident That Shoe Exports Will Increase By 20% This Year.

With 3 Vietnamese companies investing in Indonesia, the Indonesian Footwear Association (Aprisindo) set an export growth target of 20% in 2008, from $1 billion 600 million last year to $1 billion 900 million.

Eddy Widjanarko, chairman of the Indonesian Footwear Association, said that the 3 Vietnamese enterprises to invest in Indonesia, 2 of them will operate this year, producing 500 thousand pairs of shoes and 400 thousand pairs of shoes each month.

At present, the total value of shoes exports nationwide reaches an average of US $150 million per month.

A few days ago, when he held the twenty-seventh international footwear conference in Jakarta, he explained that "Indonesia's shoe making enterprises occupy fourth place after China, Vietnam and India."

We should discuss the situation in Indonesia and prepare for investment in Indonesia by a conference attended by 14 shoemaking companies from all over the world.

The 3 shoe factories that will invest in Indonesia have 7 production lines, averaging 60 thousand pairs per 1 production lines per month.

He said Adidas group will also build 3 shoe factories worth 200 million US dollars in Indonesia, though its partners have suffered losses due to improper management.

Adidas group has promised that it will still order Indonesia, although not long ago, Adidas suspended the cooperation contract with Prima Inreksa Industries.

Aprisindo1 proposed to Adidas group to extend the contract and increase production, but has not yet received the response from Adidas management.

Addie said that the 5 ministerial joint decision (SKB) on industrial electricity saving will not affect the performance of shoe factories, because the shoemaking industry is a labor-intensive industry and electricity consumption is not too large.

He added that the 100 large-scale footwear industry on Java island had not had much impact on the 5 Ministerial Decision.

"Shoemaking enterprises with 10 thousand employees only need 5000 kilowatts (KVA)." at that meeting, Aprisindo, as the representative of Indonesia, proposed that foreign enterprises can invest in Indonesia and get support from the participants.

According to Ansyari Bukhori, the textile, machinery and metals Bureau of the Ministry of industry in Changan, the total value of footwear exports in 2010 was set at a target of US $2 billion, of which 50% of the total output was domestic demand and the remaining 50% were for export purposes.