Jakarta. Industry Minister Saleh Husin on Wednesday inaugurated a $34 million garment factory owned by Eco Smart Garment Indonesia, one of listed garment manufacturer Pan Brothers' arms, in Boyolali, Central Java.

"I appreciate what Pan Brothers is doing in Central Java and we hope it will boost the growth of industry and the economy," Saled said on Wednesday. "I also asked Pan Brothers Group to build the clothing industry outside Java."

Saleh noted the new plant would need around 12,000 workers.

Pan Brothers, which supplies clothes to international brands such as Calvin Klein, The North Face, Hugo Boss, Nike, Adidas and H&M, said in June that it was planning to build seven textile factories by 2016.

Anne Patricia Sutanto, Pan Brothers' deputy CEO, said the company planned to build three more plants this year worth a total of $60 million.

"We want to expand in the upstream textile industry and produce polyester and nylon, if we find the right partner," said Anne.

Pan Brothers has 10 subsidiaries: four companies in the garment industry, three in product development and a buying agent, a company in the textile industry, a company in the sewing and embroidery industry and a retail holding company with over 35,000 employees.

As of the end of June, domestic direct investment in the textile industry reached Rp 2.14 trillion ($151 million), four times the Rp 553.2 billion in investment realized in the same period a year earlier.

Meanwhile, foreign direct investment in the sector reached $139 million in June, down 23.51 percent from the $181.73 million invested in the textile industry in the same period a year earlier.