Indonesia: Poised to Become the Global Modest Fashion Hub
Indonesia is rapidly emerging as a leader in the global modest fashion market, aiming to become the world’s center for sharia-compliant fashion. This ambition is backed by a strong track record and a concerted effort from government and private entities to capitalize on the nation’s vast potential.
Indonesia’s Strong Sharia Economy Ecosystem
Indonesia’s robust sharia economy, ranked third globally in the 2023 Global Islamic Economic Indicator Ranking, provides a fertile ground for the growth of the modest fashion industry. The country also ranked third in modest fashion, second in halal food, and fifth in halal pharmaceutical and cosmetic products, showcasing a diverse range of expertise in the sharia-compliant sector.
Exporting Modest Fashion Success
The nation’s commitment to modest fashion has translated into tangible results. Indonesia’s exports of modest fashion to Organisation of Islamic Cooperation (OIC) member countries reached USD540 million in 2022, positioning it among the top 10 exporters to these nations.
Government Collaboration to Boost the Industry
Recognising the immense economic opportunities, the Ministry of Micro, Small, and Medium Enterprises (Kemenkop UKM) and Bank Indonesia are collaborating to further strengthen Indonesia’s modest fashion sector. This partnership has led to the establishment of a leather production house in Garut, West Java, aiming to solidify the base materials for fashion production.
Nurturing Young Talent
Furthermore, Kemenkop UKM has initiated the Young Designer Modest Fashion competition, a pioneering event in Indonesia and globally. Backed by Bank Indonesia, the Ministry of Trade, and the Indonesia Fashion Chamber (IFC), this competition fosters innovation and talent development within the modest fashion industry.
National Strategy for Modest Fashion Dominance
To ensure sustainable growth and solidify Indonesia’s position as the global hub for modest fashion, the National Committee for Sharia Economics and Finance, along with relevant stakeholders, is finalizing a national strategy. This comprehensive plan is expected to be completed in 2023, outlining a roadmap for continued success.
With its strong foundation, strategic initiatives, and growing global presence, Indonesia is undeniably on track to become the world’s leading destination for modest fashion.