Transhipment deals threaten Indonesian footwear industry
Concerns have been raised by the Indonesian Footwear Association over transhipment deals being offered to ailing local producers by Chinese footwear manufacturers.
According to Edi Wijanarko, head of its East Java Branch, some Indonesian shoe producers had been offered lucrative fees to re-export products to
Mr. Wijanarko claims that the large fees offered by the Chinese producers could be extremely tempting to local footwear producers who have endured severe financial difficulties as a result of Chinese and Vietnamese competition.
He has urged the government to act against the people involved in transhipping and to ensure that Indonesian certificates of origin are not issued for Chinese products.