Food and Beverage in Indonesia

Only available on StudyMode
  • Topic: Indonesia, Alcoholic beverage, Food
  • Pages : 14 (3895 words )
  • Download(s) : 180
  • Published : November 26, 2012
Open Document
Text Preview
Exporter Guide

FOOD AND BEVERAGE IN INDONESIA
Market Profile February 2012

This document is one of a series of free information tools for exporters produced by New Zealand Trade and Enterprise. New Zealand Trade and Enterprise provides a wide range of standard services and sophisticated solutions that assist businesses through every stage of the export process. For information or advice, phone New Zealand Trade and Enterprise on 0800 555 888, visit www.nzte.govt.nz, or contact your New Zealand Trade and Enterprise client manager.

CONTENTS
1 MARKET STRUCTURE 1.1 Market Overview 1.2 1.3 1.4 1.5 1.6 2 2 Market Drivers Market Potential Import Trends Key Players in the Market Regulatory Sustainability 3 3 6 7 7 8 9 11 12 12 12 12 13 13 14

MARKET ENTRY AND DEVELOPMENT 2.1 Market Entry Strategies 2.2 2.3 2.4 2.5 Points of Differentiation Long Term Strategic Issues for Exporters to Consider Distribution Channels Pricing

3

MARKET RESOURCES AND CONTACTS

2/

Exporter Guide | Indonesia | Food and Beverage | February 2012

1 MARKET STRUCTURE
Indonesia is the world’s fourth most populous country with a population of 232.5 million in 2010, and the largest economy in Southeast Asia. In 2011, New Zealand’s food and beverage exports totalled US$468.3 million, making Indonesia New Zealand’s 11th largest export destination.i In November 2011, Indonesia provided formal notification of the completion of its internal ratification procedures to enable the ASEAN – Australia – New Zealand Free Trade Agreement (AANZFTA). From 10 January 2012, AANZFTA will open up considerable opportunities for New Zealand businesses. The agreement will allow duty / tariff free access to over 90 percent of New Zealand goods and services by 2015.ii

1.1 Market Overview
In 2010 and 2011, dairy and meat products comprised over 76 percent of New Zealand’s food and beverage exports to Indonesia (2010: US$363 million; 2011: US$381 million). In 2010, Indonesia’s dairy and meat market was worth an estimated US$2 billion. The majority of the population in Indonesia, approximately 85 percent, are Muslim and all slaughtered food and meat (excluding pork) must have halal certification.iii

3/

Exporter Guide | Indonesia | Food and Beverage | February 2012

1.1.1 Market by product category Packaged food In 2010, Indonesia’s packaged food market was valued at US$19.1 billion. The sale of impulse and indulgence products (i.e. chocolates) grew due to increasing affluence. Nutrition and staples (i.e. rice) grew by 31 percent in 2010. Canned / preserved food had a high growth rate of 20 percent in 2010. Indonesia: Sales of Packaged Food by Category: Value 2005-2010 in million USD 2007 Packaged Food - Total Nutrition/staples (i.e. rice) Dried Processed Food (i.e. dessert mixes, instant soup) Impulse and Indulgence Products (i.e. chocolate coated biscuits) Bakery Dairy Noodles Baby Food Confectionery Meal Solutions (i.e. tomato pastes) Sweet and Savoury Snacks Oils and Fats Sauces, Dressings and Condiments Frozen Processed Food Ice Cream Canned/Preserved Food Chilled Processed Food Spreads Meal Replacement (i.e. breakfast bars) Pasta Ready Meals (i.e. instant pasta) Snack Bars Soup 13,110 7,876 4,089 4,148 2,111 1,484 1,340 1,257 1,287 1,086 779 759 477 263 245 200 63 62 13 11 4 0.9 3 2008 14,307 8,798 4,642 4,318 2,201 1,540 1,487 1,398 1,329 1,190 812 909 499 306 269 230 68 65 15 12 4 3 3 2009 14,817 9,167 4,909 4,404 2,238 1,596 1,526 1,496 1,360 1,244 832 845 510 327 278 251 68 66 16 13 4 3 3 2010 19,100 11,959 6,515 5,506 2,781 2,026 1,999 1,967 1,704 1,634 1,054 1,039 653 439 356 346 86 82 21 17 5 4 4

Source: Euromonitor International (NB: IDR/USD currency; [2007] 9141, [2008] 9699, [2009] 10389.9, [2010] 9090.4)

4/

Exporter Guide | Indonesia | Food and Beverage | February 2012

Fresh food In 2010, the fresh food market in Indonesia had a total volume of 48.1 million tonnes, making Indonesia the fifth largest fresh food market in...
tracking img