In the first quarter of 2023, the contribution of the IKFT sector to the national gross domestic product (GDP) reached 3.88%. In 2022, these sector's exports reached USD 53.97 billion. The leading sectors in export are the chemical industry and chemical products amounting to USD 21.41 billion, and the ready-made garment industry amounting to USD 9.69 billion. In the first quarter of 2023, the highest value of shipments from the IKFT sector came from the chemical industry and chemical products, reaching USD 4.28 billion, then ready-made garment industry (USD 2.03 billion), the leather and footwear industry (USD 1.94 billion), the rubber and plastic goods industry (USD 1.68 billion), the textile industry (USD 934.72 million), the non-metallic mineral industry (USD 306 million), and the pharmaceutical and traditional medicine industry (USD 175 million). The total export value of the IKFT sector has surpassed USD 11.35 billion. Meanwhile, it was stated that the investment performance in the IKFT sector shows an increasing trend. As of Q1-2023, investment in the IKFT sector reached IDR 33.78 trillion.
The positive performance of the IKFT sector contributes to the achievement of the Industrial Confidence Index (IKI) in the expansion phase. In May 2023, the IKI remained in the expansion level at 50.90. The IKI is a perspective index calculated based on three variables: orders, production, and inventory. An index value above 50 indicates an expanding or optimistic industrial condition, while a value below 50 indicates a contracting industry. Therefore, the Ministry of Industry is making efforts to obtain accurate, comprehensive, and up-to-date information on the condition of the manufacturing industry sector in Indonesia, including through the implementation of the IKI survey. The Director of Textile, Leather, and Footwear Industry stated that the textile and textile product (TPT) industry is categorized as a strategic and priority non-oil and gas processing industry in accordance with the National Industrial Development Master Plan (RIPIN). The investment value in the TPT industry has more than doubled to IDR 7.8 trillion in Q1-2023.
