Key Insights
Essential data points from our research
Indonesia's textile and apparel exports reached USD 10.6 billion in 2021
The Indonesian textile industry employs about 3.7 million workers
Indonesia is among the top 10 largest textile-producing countries globally
Java Island is home to more than 68% of Indonesia’s textile industry
Indonesia exported about USD 5.2 billion worth of garments in 2020
In 2019, the Indonesian textile industry contributed around 6.8% to the country's GDP
Approximately 50% of Indonesian textile exports go to the United States and European Union
Textile and textile products are among Indonesia's top 5 non-oil and gas export commodities
Indonesia's textile exports reached USD 12 billion in 2019
Investment in the Indonesian textile sector reached IDR 8.1 trillion in 2020
Indonesia imports over 40% of its raw materials for the textile industry
The textile sector's labor productivity in Indonesia grew by 3.6% in 2021
Indonesia's knitted apparel exports increased by 18.4% in 2021 compared to the previous year
Domestic Market and Consumption
- Indonesia's per capita textile consumption was estimated at 9 kg in 2021
- Around 17% of Indonesia's textile production is destined for domestic consumption
- The pandemic caused a 50% drop in domestic textile demand in 2020
- Indonesia’s fashion industry represents about 28% of the country’s creative economy
- The CAGR of Indonesia’s fashion retail market is projected to be 4.5% through 2025
- Indonesia's digital textile printing market is projected to grow at 8.1% CAGR by 2026
- About 30% of Indonesian textiles are sold through e-commerce platforms
- Domestic batik consumption in Indonesia reached 80 million meters in 2020
Interpretation
While Indonesians may only don 9 kilograms of textiles each year, the country's fashion industry stitches together nearly a third of its creative economy, proving that style—not just substance—fuels its fabric of growth, both online and off.
Environmental Impact and Sustainability
- Indonesian textile factories use around 10.5 billion liters of water annually
- About 20% of Indonesia's textile mills use sustainable or recycled materials
- The textile sector is responsible for 9% of Indonesia's total industrial CO₂ emissions
- Indonesia’s textile waste is estimated at 2.3 million tons annually
Interpretation
Indonesia’s textile industry, while stitching economic gains, is also weaving a heavy environmental footprint with billions of liters of water drained, millions of tons of waste piled, and only a small fraction of its fabric spun from sustainability.
Export Data
- Indonesia's textile and apparel exports reached USD 10.6 billion in 2021
- Indonesia exported about USD 5.2 billion worth of garments in 2020
- Approximately 50% of Indonesian textile exports go to the United States and European Union
- Textile and textile products are among Indonesia's top 5 non-oil and gas export commodities
- Indonesia's textile exports reached USD 12 billion in 2019
- Indonesia's knitted apparel exports increased by 18.4% in 2021 compared to the previous year
- The value of woven apparel exports from Indonesia was USD 1.74 billion in 2021
- Indonesia is the 12th largest textile and garment exporter in the world
- In 2020, Indonesia's share of global textile exports was approximately 1.8%
- Exports of knitted fabrics from Indonesia amounted to USD 543 million in 2021
- Indonesia exported USD 2.77 billion worth of textile fibers and yarns in 2021
- Indonesia targets USD 15 billion in garment and textile exports by 2025
- Indonesia's garment export to the US reached USD 3.99 billion in 2021
- In 2022, Indonesia exported USD 737 million worth of woven fabrics
- About 75% of Indonesia’s garment products are destined for export
- Indonesia’s textile industry exports to over 50 countries
- The country exports over 50% of its yarn and fabric production
- Indonesia’s main textile export destinations after US and EU are Japan and Turkey
- Around 45% of global batik exports come from Indonesia
- Indonesia's polyester fiber export reached USD 312 million in 2020
Interpretation
Indonesia’s textile industry may be stitched into the global economy with just a 1.8% market share, but with threads reaching over 50 countries, soaring exports to the US and EU, and a $15 billion target by 2025, it's clearly weaving ambition into every seam.
Import Data
- Indonesia imports over 40% of its raw materials for the textile industry
- Indonesia imported USD 4.5 billion worth of textiles and textile products in 2019
- Imports of cotton in Indonesia were valued at USD 1.5 billion in 2021
- Indonesia plans to reduce textile import dependency by 40% by 2025
- Customs duties on imported textile machinery were cut to 0% in 2020 to boost competitiveness
- Indonesia imported USD 560 million in dyed fabric in 2021
Interpretation
Indonesia’s textile industry may weave local pride, but with billions spent on imported cotton and fabric, it's clear the threads of self-reliance are still being stitched together—hopefully tighter by 2025.
Production and Industry Structure
- The Indonesian textile industry employs about 3.7 million workers
- Indonesia is among the top 10 largest textile-producing countries globally
- Java Island is home to more than 68% of Indonesia’s textile industry
- In 2019, the Indonesian textile industry contributed around 6.8% to the country's GDP
- Investment in the Indonesian textile sector reached IDR 8.1 trillion in 2020
- The textile sector's labor productivity in Indonesia grew by 3.6% in 2021
- Indonesia produced 1.78 million metric tons of synthetic fiber in 2020
- Indonesia has approximately 3,000 textile and textile product companies
- The textile industry in Indonesia is expected to grow by 5.6% CAGR from 2022 to 2026
- The Central Java region contributes about 35% of Indonesia’s textile production
- Polyester is the most widely used synthetic fiber in Indonesian textile manufacturing
- Indonesia has 27 textile industrial estates
- Indonesia ranks 4th among ASEAN countries in apparel production volume
- Majority of textile production in Indonesia is clustered in West Java
- Approximately 11% of Indonesia’s manufacturing output is from textile and apparel industry
- Indonesia’s textile growth rate was -8.8% in 2020 due to the pandemic
- Textile production made up 5.8% of Indonesia’s total manufacturing value in 2021
- Biodegradable fabrics are produced by less than 2% of manufacturers in Indonesia
- Central Java and West Java are responsible for nearly 80% of national textile production
- The number of textile SMEs (small-medium enterprises) in Indonesia is estimated at over 200,000
- West Java has over 1 million workers in the textile industry
- Indonesia’s textile industry accounts for about 6% of total global clothing production
- Indonesia’s total textile and apparel production output was 28 million bales in 2021
- Production of batik textile in Indonesia reached 23,000 tons in 2020
- Indonesia's denim fabric production reached 80 million yards in 2019
- Indonesia’s Ministry of Industry targets 25% automation in textile factories by 2025
- About 90% of Indonesia’s textile factories are privately owned
- Labor costs in Indonesia’s textile industry are ~USD 250/month on average
- Enterprise resource planning (ERP) solutions are used by less than 10% of textile firms in Indonesia
- Garment worker wages in Indonesia increased by 8.5% in 2022 on average
- Indonesia's textile sector suffered an estimated USD 1.2 billion in losses due to the pandemic in 2020
- Roughly 15% of Indonesia’s textile production is in knitwear
- Energy costs account for nearly 30% of textile manufacturing expenses in Indonesia
- Eco-labeled textile production in Indonesia grew by 12% in 2021
- 60% of Indonesia’s textile product exports are made under OEM contracts
- Technology adoption in Indonesia’s textile sector is below 40% for digital tools
Interpretation
Indonesia’s textile industry—powered by millions of workers, thousands of companies, and a bustling Java-based production hub—is a global heavyweight woven from tradition and potential, but its threads will only tighten into competitiveness once it stitches in innovation, sustainability, and tech adoption.