(News Today) - Two Korean principal shoe producers with their brands Adidas and Geox plan to build a new factory in Indonesia with a total investment of 150 million US dollars.
"The two companies have shut down their plants in Vietnam and China for relocation to this country," Chairman of the Indonesian Shoe Producers Association (Aprisindo) Eddy Widjanarko said following a hearing with Commission VI of the House of Representatives in Jakarta Monday on Monday.
Eddy said Adidas’ investment reached 100 million dollars, while that of Geox 50 million dollars. "Representatives of the two companies had already come and expressed their interest in making an investment in Indonesia," he said.
Adidas had already secured 20 hectares of land for its plant in Serang, Banten, while Geox was still seeking 5.6 hectares of land in Pasuruan, East Java.
"Adidas’ production capacity reached 850,000 pairs of shoes per year, while Geox 1.2 million per year," he said.
Eddy said Aprisindo in 2010 was hoping that at least 10 shoe producers will be coming and operate in Indonesia with a total investment of 600 million US dollars. So far, four companies had already come to Indonesia with a total investment of 200 million dollars.
However, Eddy did not give the details on the names and brands of the shoes produced by the four companies, except that Indonesia’s potential to become an international quality shoe production basis has increased. The problem now remains, whether the government, in this case the capital investment coordinating agency (BKPM) would accept the investment proposals.
Source : kompas
Tuesday, July 20, 2010
Korean Investors Relocate Shoe Factories to Indonesia
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