INDONESIA, A POWERHOUSE IN ONE OF ASEAN’S MOST DYNAMIC FOOD MARKETS

Although the country remains fundamentally local rather than serving as a regional hub, it exerts an outsized influence on the food and beverage landscape of Southeast Asia, which makes the upcoming SIAL InterFood in Jakarta from 12 to 15 November a not-to-be-missed opportunity.

With roughly 267-264 million inhabitants today and expected to climb to about 350 million by 2030, Indonesia is already the world’s fourth most populous country. This sheer demographic heft underpins its potential as a consumption engine. It also accounts for nearly 40 per cent of ASEAN’s GDP, despite being ranked only as the 16th largest economy globally. In 2019 Indonesia’s growth exceeded 5.2 per cent, underlining that even a relatively “low income” base can deliver strong momentum in aggregate. The country remains heavily reliant on agriculture — especially palm oil — even as it slowly diversifies into higher-value food processing and imports.

Historically, Indonesia has had one of the lowest import penetration levels in South Asia, placing it around 25th globally in food imports. The modern retail sector is still nascent: over 90 per cent of food purchases occur through traditional retail channels such as wet markets and small neighbourhood shops. Modern trade (supermarkets, hypermarkets, convenience stores) contributes only about 15 per cent of food & beverage value share today. Yet the transition is underway, propelled by a rising middle class and more adventurous food habits. In 2020, analysts estimated some 400 million people in ASEAN could be considered as part of the expanding “middle class” cluster, and Indonesia already houses tens of millions of new consumers demanding diversification in diet and product types.

The strength of Indonesia’s food sector is not just in scale but in evolution. As the middle class becomes more affluent, demand for premium, imported or branded products is rising. Higher prices for staple commodities such as rice, vegetables and oils have also lifted the total market value, even in traditionally low-margin segments. In 2023, grocery retail sales in Indonesia rose by 3 per cent year-on-year, reaching €95 billion, a sign that even amid macro pressures, the food sector remains resilient.

Because Indonesia is still extremely local in keeping — rather than operating as a hub — entrants need on-the-ground presence, strong local partnerships, regulatory fluency and deep insight into regional consumer preferences. For firms seeking entry or expansion in ASEAN, Jakarta is not just an endpoint but a gateway: the idiosyncrasies of each provincial market echo the wider dust-to-dust diversity of the region.

Why SIAL InterFood matters

This is precisely why SIAL InterFood Jakarta, from 12 to 15 November 2025, is so compelling. As Indonesia’s leading food & beverage trade show, it brings together manufacturers, distributors, retailers, importers, HoReCa operators and other stakeholders across the value chain. The event takes place at Jakarta’s International Expo, Kemayoran, and will host over a thousand exhibitors and tens of thousands of trade visitors from across the region.

Attending SIAL InterFood offers direct access to Indonesia’s growth story and helps global players engage with the most promising markets in ASEAN. It provides exposure to trends in halal food, health foods, processed and frozen products, packaging technologies and retail innovations. With Indonesia undergoing a rapid shift from traditional to modern distribution and early adoption of premium offerings, the trade show becomes a living laboratory of consumer behaviour and brand acceptance.

In short, Indonesia is among ASEAN’s fastest-growing food markets and arguably a key engine behind much of the region’s upward momentum in F&B. For anyone serious about future growth in Southeast Asia’s food sector, SIAL InterFood in Jakarta is the ideal platform for insights, networking and business expansion.