Jakarta, April 2026 – As the global textile industry faces mounting pressure to transition toward sustainable practices, Indonesia stands at a critical crossroads. Will we build our own circular ecosystem, or remain reliant on foreign technologies and imported waste?
This pivotal question took center stage at the recent workshop, “Accelerating the Textile Industry Towards a Circular and Sustainable Economy: Potential to Access Global Markets with Circularity,” organized by the Consortium Intex Indonesia (Resilient Development Initiative, BRIN, and James Cook University) on April 8-9, 2026.
Policy Landscape and Accessing Global Markets
Before diving into operational industry solutions, the workshop tackled the critical policy and trade landscape driving this transition. Moderated by Didit Okta Pribadi (Coordinator of the Behavioral and Circular Economy Research Team, BRIN), Session 1 featured a high-level panel outlining the dual nature of upcoming global regulations: both as a hurdle and an immense opportunity.
Ahmad Gunawan Wicaksono from the Ministry of Foreign Affairs (Kemlu) highlighted the upcoming Indonesia-EU Comprehensive Economic Partnership Agreement (EU-CEPA), expected to be implemented by January 2027. This agreement promises to open the massive EU market with a 0% tariff for Indonesian textiles. However, this access is gated by strict incoming environmental regulations, such as the EU Deforestation Regulation (EUDR) and the Eco-design for Sustainable Products Regulation (ESPR). Gunawan stressed the importance of navigating these rules to prevent disguised “green protectionism,” while also using the EU’s environmental commitment as momentum for Indonesia’s own green transition.
On the domestic front, regulatory frameworks are evolving to meet these challenges. Diana from the Ministry of Industry (Kemenperin) shared that short-term strategies involve applying Green Industry Standards (SIH) and mapping supply chain traceability, starting with post-production waste in bonded zones. Concurrently, Susi Nurmayanti from the Ministry of Environment and Forestry (KLHK) announced active revisions to regulations that will incorporate Extended Producer Responsibility (EPR) guidelines specifically for the textile sector, signaling a future where producers will bear responsibility for post-consumption textile waste.
The RTL Vision: Three Pillars to Unlock Textile Circularity
Building on these foundational policy discussions, Rantai Tekstil Lestari (RTL) took a central role in Session 2. RTL Executive Director Basrie Kamba delivered a powerful call to action, outlining three fundamental challenges that Indonesia must overcome to establish a resilient, self-sufficient textile-to-textile recycling industry:
- Building Local Ecosystems & Infrastructure
Basrie emphasized that Indonesia can no longer afford to wait for foreign technologies to solve local problems. He strongly urged national research institutions, specifically BRIN, to utilize state funds to develop domestic recycling technologies. Establishing localized “textile-to-textile” recycling centers is paramount to keeping the value of recovered resources within the Indonesian economy.
- Solving the Feedstock Quality Crisis
Addressing a question on the estimated 2 million tons of textile waste discarded annually in Indonesian landfills, Basrie highlighted the immense difficulty of processing post-consumer waste due to high contamination (zippers, mixed materials, humidity, etc.). He also pointed out that the influx of imported used clothing (thrifting) exacerbates this issue, threatening to turn Indonesia into a dumping ground.
His proposed roadmap is pragmatic: the industry must first master the recycling of uncontaminated post-production waste from bonded zones. As local technology matures, the sector can then scale up to tackle complex post-consumer landfill waste.
- Regulatory Reform: From “Waste” to “Raw Material”
Perhaps the most urgent administrative hurdle facing circularity is how the government classifies manufacturing byproducts. Basrie strongly advocated for the official reclassification of textile offcuts as “industrial raw materials” rather than “waste.” This vital regulatory shift would remove bureaucratic friction, enabling textile manufacturers to seamlessly trade and process offcuts back into the supply chain.
Setting the Foundation: Insights from Day 1
The urgency of April 9th’s strategic discussions was perfectly set up by the deeply technical sessions held the day prior. On April 8, the INTEX Project workshop laid the groundwork by introducing the newly developed ISO 59000 series standards for the Circular Economy.
Day 1 emphasized that standardization moves the industry beyond subjective green claims, providing a common language for resource traceability and value retention. Experts detailed practical factory-level optimizations—such as transitioning away from coal, utilizing heat exchangers on dye baths, and lowering liquor ratios—proving that circular actions can create immediate margin surpluses for manufacturers.
Moving Forward
The two-day workshop made one thing abundantly clear: transitioning to a circular textile economy is not just an environmental imperative; it is an economic and trade necessity.
Rantai Tekstil Lestari remains committed to advocating for sensible regulations, supporting local technological innovation, and uniting the industry. As Basrie concluded:
We must take immediate, collaborative action to ensure Indonesia evolves into a leading producer in the global circular economy, rather than remaining a mere consumer.
Basrie Kamba, Chair of RTL