183 middle class Indonesian textile and garment producers allocated some 1.78 trillion rupiah (about 183.3 billion U.S. dollars) to procure new machinery this year, the Bisnis Indonesia reported here on Monday.
The allocation figure came up from Indonesia's industrial ministry's first scheme program in providing 10 percent price discount for the producers intended to procure new production machines this year.
Arryanto Sagala, senior official at the ministry who oversees Metal, Textile Machine sector said that besides the first scheme discount program used by those 183 textile producers, the ministry also provides the second scheme for the smaller scale textile producers. He said that as of now 27 textile producers have allocated 46.9 billion rupiah (about 4.8 million dollars) to procure production machines with soft loan program that offers 7 percent interest rate
The scheme to encourage textile producers in the country to procure new textile production machines has been initiated since 2007. Government has allocated 240 billion rupiah (about 24.7 million dollars) this year.
Of that allocation, government set 190 billion (about 19.5 million dollars) for the first scheme and 50 billion rupiah (about5.1 million dollars) for the second scheme.