Indonesia Dairy Food Market Outlook to 2025: Ken Research

0


The report titled Indonesia Dairy Food Market Outlook to 2025 – Rise in Demand and Use of New Distribution Channels to Drive Market provides a comprehensive analysis of the dairy food industry of Indonesia. The report also covers overview and genesis of the industry, overall market size in terms of revenue and sales volume, market segmentation by product types and by distribution channel; detailing on Drinking Milk Products, Condensed Milk Products, Yogurt and Sour Milk Products, Ice cream and Frozen Desserts, Cheese, Cream, Butter and Spreads, Coffee Whiteners, trends & developments and issues & challenges, regulatory landscape, SWOT analysis and comparative landscape including the competition scenario, pricing analysis, cross comparison, strengths and weaknesses and company profiling of major dairy food manufacturers. The report concludes with future market projections on the basis of revenue and sales volume, by product type and distribution channel and success case studies highlighting opportunities and cautions for both existing as well as new players.

Indonesia Dairy Food Market Overview and Size

Indonesia dairy food market grew at a volatile growth rate over the review period 2013-2019 and was further supported by increase in health awareness among the consumers, introduction of new product / flavor variants in the dairy market, affordable pricing and others. Expansion of large scale integrated dairy farms in Q4’2017 led to increase in fresh milk production from 633 million liters in 2017 to 659 liters in the year 2018. The dairy processing industry used 601 million liters in 2017 for a variety of products including pasteurized / UHT Liquid Milk, Powdered Milk, Yoghurt, Butter, and Cheese. Entry of several foreign players have also contributed towards the same coupled with growing snacking trend in the country. Smaller or single-serve primary packaging products saw increasing demand and remained more popular and common in yoghurt than large or family-sized formats.

Indonesia Dairy Food Market Segmentation

By Product Type (Drinking Milk, Condensed Milk, Yoghurt and Sour Milk Products,

Ice-Cream-Frozen Desserts, Cheese, Cream, Butter & Spreads and Coffee Whiteners): Strong growth was observed in the drinking milk industry majorly due to increasing consumption of milk coupled with rise in milk imports. Generally, all live dairy cattle are imported from Australia, which is the only country with live dairy cattle import protocol with Indonesia. On the other hand, some local dairies augment their breeding programs with genetics imports from the US. Drinking milk segment held a higher share in 2019 owing to the consumption of fresh milk as a raw product for other dairy food segments. Whereas on the other hand, coffee whitener held the lowest share in the market due to its low product awareness in Indonesia.

Indonesia Drinking Milk Products Market

The drinking milk products market was observed to be in its growing stage alongside witnessing massive growth over the years. Retail channels including hypermarket and supermarket chains were the most prominent distribution channel for the milk products segment. It is further classified into flavored milk drinks, powdered milk, liquid milk, and other milk alternatives. Launch of newer products like Homesoy, Blue Diamond Almond Breeze and Hershey’s Soy Fresh in multiple flavors including Cookie’Cream. Fonterra supplied 88.0 thousand metric tons of milk, including 24.0 thousand tons of powdered milk, 23.0 thousand tons of skimmed milk powder, and 13,000 tons of cheese in the year 2019. Competition stage was observed to be moderately fragmented with major players competing on the basis of quality, pricing, product variety, and other factors. Major players include Nestle, Royal Friesland Campina, Greenfields and others with Nestle leading the market in terms of sales revenue by value in 2019. Owing to their higher availability, production, and increase in product listings on E-commerce platforms, the online sale of drinking milk products is expected to grow over long term. Flavored milk drinks are expected to dominate in future along with maximum CAGR both in terms of value and volume during 2019-2025

Indonesia Condensed Milk Products Market

Condensed milk products market was observed in its early growing stage alongside witnessing stagnant growth (value and volume) over the past few years due to stringent regulations imposed by the government. The market is further segmented into plain and flavored condensed milk products. Companies are also appealing to the price-sensitive nature of Indonesians by offering them lower-cost SCM products and creating more brand awareness on the side. Competition within the condensed milk products market was observed to be highly concentrated with major players competing on the basis of pricing, product variety, and other factors. Some of the major players include Royal Frieslandcampina, Indofoods, and others with Royal Friesland Campina leading the market in terms of sales revenue by value in 2019. Increasing focus of manufacturers towards introducing new flavored variants of sweet condensed milk; causing shift from plain SCM in the near future. However, plain SCM will still dominate in the future.

Indonesia Yogurt and Sour Milk Products Market

The market observed adequate growth over the years. Consumers was observed to also shift from traditional to modern retail trading thus, generating demand for yoghurt & sour milk products. They are further segmented into drinking, plain and flavored yogurt and sour-milk products. As demand for drinking yoghurt and preference for flavored products remain high, companies introduced numerous new flavored drinking yoghurt products in 2019. For instance, Yummy Food Utama’s Yofit Citrus Probiotic, fat-free orange-flavored drinking yoghurt in an easy-grip 180g container and Diamond Cold Storage’s BioKul, strawberry-flavored drinking yoghurt in a 150ml container. Competition within the Indonesia yogurt and sour milk products market was observed to be relatively concentrated with the presence of major players competing on the basis of quality, pricing, product variety, pack size, and other factors. Some of the major players include Yakult, Cisarua Mountain Dairy, Asahi Group Holdings and others with Yakult leading the market in terms of sales revenue in the year 2019. Owing to the new product innovation and additional nutritive benefit the sales are expected to grow in the near future. Both plain and flavored yoghurt are expected to see growth in the future, as yoghurt in general gains further popularity due to rising emphasis on health and wellness as corresponding awareness of benefits of consuming fermented products also increases.

Indonesia Ice Cream and Frozen Dessert Market

Ice cream and frozen desserts market experienced growth stage alongside witnessing volatile growth rates over the years. Retail stores and outlets prove to be the leading distribution channels for the ice cream and frozen desserts in Indonesia. The ice cream and frozen dessert market are further segmented on the basis of impulse and take-home ice cream. During 2019 a survey was conducted within 5 major cities for around 2,500 respondents and Aice topped as a best-selling ice cream brand for Kids. The competition was observed to be fragmented with major players competing on the basis of quality, pricing, flavors, and others. Some of the major players include Unilever, Campina Ice cream, Alpen and others with Unilever leading the market in terms of sales revenue by value in 2019. New product launches along with the healthy variants will give a boost to the ice-cream segment in the near future. Multi-pack ice cream holds more visibility in the future with high CAGR value when compared to the Impulse ice cream segment.

Indonesia Cheese Market

Cheese market in Indonesia also experience volatile growth over the years due to shift in demand from retail to foodservice channels. Market is further segmented on the basis of processed and unprocessed cheese with spreadable and non-spreadable processed cheese, reconstituted and cream cheese, cheddar and other unprocessed cheese. 44.0% of the total consumption of dairy products include cheese, powdered milk and bakery uses. Cheese is majorly imported from New Zealand, Australia, and the U.S. The diet of Indonesians is being influenced by western cuisines with cheese as a popular ingredient.

The entry of international players such as Kraft Heinz Co., Mulia Boga Raya, Rokko Butter Co. and others have made the market competition highly concentrated in nature with Kraft Heinz Co. leading the market in terms of sales revenue by value in 2019. Owing to the product innovation along with the increase in consumer base, the sale of cheese and cheese related products is expected to grow in the near future. The sales for the year 2020 would record a dip due to the low production and availability of Cheese products in the market. Supermarket/Hypermarket are expected to be the leading distributors in Indonesia for retail sales; Indomart, Giant, Ramayana, and Hero will remain the top distributors of Cheese products.

Indonesia Cream Market

The cream market was observed to be in its growth stage. Demand was majorly driven by foodservice channels such as cafes, bakeries and restaurants. Over 2/3rd of baked goods in Indonesia are produced by small, traditional, family-owned enterprises and SMEs. Retail sector continues to modernize by adopting the “supermarket and convenience store model” alongside promoting products on online portals. The cream segment was found to be one of the lowest contributors of revenue shares in 2019. The cream market is further segmented on the basis of fresh whipped, fresh half/single, and long-life cream.  Competition in the cream market was observed to be highly concentrated with major players competing on the basis of texture, price, and other factors. Some of the major players include Sukanda Djaya, Fonterra Brands, Greenfields, and others. Owing to the availability and long shelf life, the sale of cream is expected to grow in the near future. Growing per capita household consumption alongside surge in food service channels will collectively increase demand from chilled/fresh single cream as well as whipped cream over the long term.

Indonesia Butter and Spreads Market

Butter and spreads market were observed in a late growth stage alongside witnessing massive growth over the past few years. The market is further segmented on the basis of butter and margarine & spreads. Major importers of Butter/Spreads are New Zealand and the Netherlands. The competition in the butter and spreads market was observed to be highly fragmented with major players competing on the basis of product variety, distribution & storage channels, and other factors. Some of the major players include Upfield Holdings / Unilever, Indofood, Fonterra, and others with Upfield Holdings / Unilever leading the market in terms of sales revenue by value in 2019. The sale of butter and spreads is expected to grow in the near future owing to the increase in health awareness along with improvement in the logistics infrastructure. The margarine market is expected to be affected due to the increasing controversies of the Indonesian rainforest. Many major players have started to work on substitutes for the product or its sourcing material.

Indonesia Coffee Whiteners Market

Coffee whiteners market of Indonesia was observed to be in its initial growth stage alongside witnessing low growth over the years. Foodservice channel has generated a higher demand. The coffee whitener segment contributed the least share of revenues in 2019. The market is further segmented on the basis of concentrated, powdered & nondairy creamer and liquid & NDCs. Being one of the low-cost dairy products, improved shelf stability and unique product packaging has increased the demand for NDCs. Also, the growing lactose intolerant population in Indonesia is another primary reason behind the robust demand of non-dairy creamers. Competition in the coffee whitener market was observed to be highly concentrated with major players competing on the basis of quantity, product variety, and other factors. Some of the major players include Sari Incofood Corporation, Nestle, and others. Owing to the high product awareness along with high coffee/tea consumption, the sale is expected to grow in the future. Concentrated or thick liquid NDCs with medium fat content are estimated to grow in the near future and will majorly be used towards tea and coffee applications.

Competitive Landscape in Indonesia Dairy Food Market

Competition was again observed to be moderately fragmented, however, within some product segments it has become concentrated with the entry of international brands such as Heinz Kraft, Unilever, Yakult and others. Nevertheless, the local/domestic players have a presence in the market in terms of revenue, Product SKUs, manufacturing capabilities, and others.

Indonesia Dairy Food Market Future Outlook and Projections

Factors such as new product variants, additional nutritive value, online distribution, and shift from regular to healthy products will drive the Indonesian dairy food market in the near future both in terms of revenue and sales volume. Apart from the traditional distribution channel, numerous other sales channels will grow in the future such as Health and Beauty retailers in Indonesia.

Key Segments Covered: –

Product Type

Drinking Milk Product

Flavoured Milk Drinks

Dairy only Flavored Milk Drinks

Flavored Milk Drinks with Fruit Juices

Powdered Milk

UHT/Fresh/Liquid Milk

Shelf Stable Milk

Full Fat Shelf Stable Milk

Semi Skimmed Shelf Stable Milk

Fresh Milk

Full Fat Fresh Milk

Fat Free Fresh Milk

Semi Skimmed Fresh Milk

Milk Alternatives

Soy Drinks

Other Milk Alternatives (Almond Milk, Cashew Milk and Rest)

Condensed Milk Products

Plain Condensed Milk

Flavoured Condensed Milk

Yoghurt and Sour Milk Products

Yoghurt

Drinking Yoghurt

Plain Yoghurt

Flavoured Yoghurt

Sour Milk

Ice Cream and Frozen Desserts

Impulse Ice Cream by Type

Single Portion Dairy Ice-Cream

Single Portion Water Ice-Cream

Impulse Ice Cream by Format

Sticks

Cones

Others (Single Serving Cups, Family Pack Tubs, Ice-Cream Cakes and Rest)

Take Home Ice Cream

Bulk Dairy Ice Cream

Multi-Pack Dairy Ice Cream

Take-Home Water Ice Cream

Cheese

Processed Cheese

Spreadable Processed Cheese

Reconstituted Cheese

Cream Cheese

Other Processed Cheese

Unprocessed / Packaged Hard Cheese

Cheddar Cheese

Others (Mozzarella, Provolone, Parmesan, Emmental, Romano, Ricotta and Rest)

Cream

Fresh Whipped Cream

Fresh Half/ Single Cream

Long Life/ UHT Whipped Cream

Butter and Spreads

Butter

Margarine and Spreads

Coffee Whiteners

Product Form

Concentrated/ Thick liquid nondairy creamer

Powdered nondairy creamer

Liquid non dairy creamer

Fat Type

Medium Fat

Low / No Fat

High Fat

Application

Coffee

Tea

Baking Items

Other Applications (Drinks, Candy and Remaining Concentrated Beverages)

Distribution Channel

Hypermarkets

Supermarkets

Independent Small Grocers

Convenience stores

Other grocery retailers

Non store retailing

Health and beauty specialist retailers

Key Target Audience

Dairy food manufacturers

Milk Processors

Dairy Association

Milk Importers, Distributors and Manufacturers

Condensed Milk Manufacturers and Distributors

Ice-Cream Manufacturers

Frozen Dessert Manufacturers

Yoghurt Manufacturers

Sour Milk Manufacturers

Butter and Spreads Manufacturers

Cheese Manufacturers and Distributors

Dairy Cream Manufacturers

Coffee Whiteners Producers

Time Period Captured in the Report:

Historical Period: 2013-2019P

Forecast Period: 2019P–2025F

Companies Covered:

Drinking Milk Products –

Nestlé SA

Royal FrieslandCampina NV

Ultrajaya Milk Industry & Trading Co Tbk PT

Indofood Sukses Makmur Tbk PT

Greenfields Indonesia PT

Diamond Cold Storage PT

Cisarua Mountain Dairy PT

Fonterra Cooperative Group Ltd

Condensed Milk Products –

Royal FrieslandCampina NV – Frisian Flag Indonesia PT

Indofood Sukses Makmur Tbk PT

Indofood Sukses Makmur Tbk PT

Yoghurt and Sour Milk Products –

Yakult Honsha Co Ltd

Cisarua Mountain Dairy PT

Asahi Group Holdings Ltd

Royal FrieslandCampina NV

Salim Group

Yummy Food Utama PT

Diamond Cold Storage PT

Heavenly Nutrition Indonesia PT

Ice-Cream and Frozen Desserts –

Unilever Group

Campina Ice Cream Industry PT

Alpen Food Industry PT

Diamond Cold Storage PT

Indofood Sukses Makmur Tbk PT

Cheese –

Kraft Heinz Co

Mulia Boga Raya PT

Rokko Butter Co Ltd

Megsnow Milk Brand Co Ltd

Mondelez International Inc

Bel, Groupe

Cream –

Sukanda Djaya – Roselle Whipped Cream

Fonterra Brands Indonesia PT – UHT Anchor

Greenfields Indonesia PT – Whipping Cream

Haan Indonesia – Wippy Cream

Savencia Fromage & Dairy – Elle and Vire – Crème Liquid – Whipping Cream

Pondan Food Creations – Whip Cream

BrookFarm – Whipping Cream

ConAgra Brands – Reddi Wip

Kraft Foods – Cool Whip

Organic Valley – Heavy Whipping Cream

Butter and Spreads –

Upfield Holdings BV / Unilever Group

Indofood Sukses Makmur Tbk PT

Fonterra Cooperative Group Ltd

Golden Agri-Resources Ltd

Wysman & Zonen BV, HJ

Coffee Whiteners –

Sari Incofood Corp PT – Max Creamer

Nestle Indonesia – Coffee Mate

Santos Premium Krimer / Kapal Api – Fire Boat Kream Café

PT Lautan Natural Krimerindo – Fiber Crème

Key Topics Covered in the Report

Executive Summary – Indonesia Dairy Food Market

Need, Opportunity and Industry Size of Dairy Food Market

Demand & Supply Side Ecosystem, Preferences & Trends across End Users Market

Dairy Food Market Segment by Product Type, 2013-2019P

Ecosystem for Dairy Food Industry in Indonesia

Value Chain Analysis

Indonesia Drinking Milk Products Market

Indonesia Condensed Milk Market

Indonesia Yoghurt and Sour Milk Products Market

Indonesia Ice-Cream and Frozen Desserts Market

Indonesia Cream Market

Indonesia Butter and Spreads Market

Indonesia Coffee Whiteners Market

Trade Scenario in Indonesia Dairy Food Market, 2014-2018

Comparative Landscape in Indonesia Dairy Food Market

Regulatory Landscape in Indonesia Dairy Food Market

SWOT Analysis

Indonesia Dairy Food Market Future Outlook and Projections, 2019P-2025F

Appendix / Research Methodology

For More Information on the research report, refer to below link: –

Indonesia Dairy Food Industry Growth

Related Reports by Ken Research: –

Vietnam Nutraceutical Market Outlook to 2025 – By Dietary Supplements (Herbal Supplements, Vitamin and Minerals, Probiotics, Protein and Amino Acid Supplements, Omega 3 Fatty Acids, Others), By Functional Beverages (Energy Drinks, Plant based and Malt based Hot Drinks Hot Drinks, and Sports Drinks), By Functional Foods (Dairy, Baby Food, Breakfast Cereals, Confectionery, Hi-Fiber Biscuits, Snack Bars and Fruit Snacks)

UAE Nutritional Supplements Market Outlook to 2023 – by Vitamins & Dietary Supplements (Protein Supplements, Non-Herbal Dietary Supplements Composites, Fish Oils/Omega Fatty Acids, Glucosamine, Co-Enzyme Q 10, Herbal Dietary Supplements Composites, Yeast, Garlic, Ginko Biloba), Functional Foods (Dairy, Baby Food, Breakfast Cereals, Cooking Oil Confectionary, Sweet Biscuits, Snack Bars and Fruit Snacks) and Functional Beverages (Energy Drink, FF Concentrates, Sports Drink, and Bottled Water)

Saudi Arabia Nutraceuticals Market Outlook to 2023 – By Vitamins and Dietary Supplements, Functional Foods (Dairy, Baby Food, Breakfast Cereals, Edible Oil, and Confectionary) and Functional Beverages (Energy Drinks, Concentrates, Fruit/Vegetable Juices, and Sports Drinks)

Contact Us: –
Ken Research
Ankur Gupta, Head Marketing & Communications
Ankur@kenresearch.com
+91-9015378249

Share.

Comments are closed.