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Keeping the Locals in Stitches

Bali's Garment Sector Has Shrunk Dramatically Since 2005 Terrorist Attack.

(6/12/2007) The Indonesian-language BisnisBali reports that around 70% of the companies involved in Bali's off-the-rack garment trade have ceased operations in the aftermath of the second terrorist attack of October 2005.

From an original 175 registered Bali members of the Indonesian Textile Association (API), only 40 companies remain in operation as members of the professional grouping. Yunasril Anga, a Director of API, confirmed that there have been "tens" of garment companies who have gone bankrupt over the past two years resulting in the loss of hundreds of jobs among people living in Bali.

Speaking from personal experience as the operator of Orient Bali Garments, Anga related how prior to the October 2005 bombing his Company had employed 200 workers and another 300 contracted outside piece workers. Current employments levels are down to just 60 workers at his factory with no outside piece workers currently employed. Anga said the end of outside work, normally placed with work circles at villages across Bali, has had a devastating effect on local communities.

Signs of Gradual Improvements in the Garment Sector

There are encouraging signs that the garment industry in Bali is gradually on the mend. Garment exports from Bali during the first four months of 2007 achieved 13.4 million pieces with a value of US$52.4 million a 13% improvement over the same period just one year ago.

Indonesia's Department of Trade and Industry is supporting programs for participation by Bali's garment producers at overseas trade shows in the hope of accelerating the recovery in the textile and garment sector.