Key insights and market outlook
Indonesia's Trade Minister Budi Santoso has firmly rejected requests to legalize thrifting by granting import quotas for used clothing. The government has been actively cracking down on illegal imports, having confiscated 19,391 bales of used clothing worth Rp 112.35 billion. The minister emphasized that thrifting remains illegal and the government will not open opportunities for such practices.
The Indonesian government has taken a strong position against the legalization of thrifting, rejecting requests from used clothing traders to be granted import quotas. Trade Minister Budi Santoso emphasized that thrifting remains illegal and the government will not consider legalizing it.
The government has been actively cracking down on illegal imports, particularly used clothing. Recent enforcement actions have resulted in the confiscation of 19,391 bales of used clothing valued at Rp 112.35 billion. This operation was conducted in collaboration with the State Intelligence Agency (BIN) and the Strategic Intelligence Agency (BAIS) of the Indonesian National Armed Forces.
The government's firm stance against thrifting legalization has significant implications for the industry. Traders who had hoped for a change in policy will need to explore alternative business models. The continued crackdown on illegal imports also suggests that the government is committed to protecting local businesses and the textile industry.
Rejection of Thrifting Legalization
Confiscation of Illegal Used Clothing Imports