March - 2009

 

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Textile makers ponder new markets as crisis hits

Several textile and garment makers in Bandung have been forced to cut prices and lay off workers as international orders dry up amid a world sweeping financial crisis. Some are looking for new markets outside of Europe and the United States, which have posted reduced orders, said Ade R Sudrajat, Secretary of the Bonded Zone Entrepreneurs Association. He said some 25% of its members had slashed production due to reduced orders. The association groups 100 exporting firms in Bandung, Bekasi, Cikarang, Merak and East Java.

Liem Jo Ping of CV Ceika Pauli Industry said he would wait to see what course the financial crisis would take before he resorted to radical measures, adding that the present crisis differed from the 1998 Asian financial crisis. Currently, buyers in Europe and the US are experiencing a shortage of orders while in 1998, exporting firms reaped huge profits because American and European buyers were not affected by the Asian crisis.

 
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