Boasting a market value rocketing from USD 15.2 billion to a projected USD 22.8 billion, Indonesia's packaging industry is being powerfully reshaped by the dual engines of e-commerce expansion and relentless consumer demand.
Key Takeaways
- The Indonesia packaging market was valued at USD 15.2 billion in 2022 and is expected to grow to USD 22.8 billion by 2030 at a CAGR of 5.2% driven by e-commerce expansion.
- Indonesia's flexible packaging segment accounted for 42% of the total packaging market revenue in 2023, reaching USD 6.8 billion.
- The rigid packaging market in Indonesia grew by 4.8% YoY in 2023, valued at USD 8.9 billion due to food and beverage demand.
- Packaging production capacity utilization reached 78% in 2023, supporting market value of USD 16.1 billion.
- Indonesia produced 12.5 million tons of plastic packaging in 2023, up 7.1% from 2022.
- Annual paper packaging production hit 8.2 million tons in 2023, with 65% for export-oriented goods.
- Plastic packaging consumption in Indonesia was 14.2 million tons in 2023, 52% of total packaging.
- Food and beverage sector consumed 65% of all packaging materials in 2023, totaling 9.8 million tons.
- Per capita packaging consumption in Indonesia reached 52 kg in 2023, up 8% from 2020.
- Indonesia exported packaging materials worth USD 2.8 billion in 2023, up 9.2% YoY.
- Plastic packaging exports reached 1.5 million tons valued at USD 1.9 billion in 2023.
- Paper packaging exports grew 11% to USD 650 million in 2023 to ASEAN markets.
- 35% recycled content target in packaging by 2025, with 22% achieved in 2023.
- Biodegradable packaging adoption grew 25% to 15% market share in 2023.
- Plastic waste from packaging reduced by 12% through EPR schemes in 2023.
Indonesia's packaging market is steadily growing, fueled by e-commerce and consumer demand.
Consumption Patterns
- Plastic packaging consumption in Indonesia was 14.2 million tons in 2023, 52% of total packaging.
- Food and beverage sector consumed 65% of all packaging materials in 2023, totaling 9.8 million tons.
- Per capita packaging consumption in Indonesia reached 52 kg in 2023, up 8% from 2020.
- Flexible packaging consumption grew 6.4% to 5.6 million tons in 2023.
- E-commerce packaging consumption surged 18% to 1.1 million tons in 2023.
- Paper-based packaging consumption was 7.5 million tons in 2023, 42% market share.
- PET bottle consumption for beverages hit 2.1 million tons in 2023.
- Pharma packaging consumption per 1,000 people was 2.5 kg in 2023.
- Corrugated boxes consumed 4.8 million tons for logistics in 2023.
- Rigid plastic consumption in personal care reached 0.8 million tons in 2023.
- Aluminum can consumption for beer was 1.2 billion units in 2023.
- Glass jar consumption for food preserves 450,000 tons in 2023.
- Pouch packaging consumption doubled to 1.5 million tons since 2018 in 2023.
- Metal packaging consumption declined 2% to 1.0 million tons in 2023 due to plastic shift.
- Shrink film consumption for consumer goods 300,000 tons in 2023.
- Aseptic packaging consumption 500,000 tons primarily for dairy in 2023.
- Label consumption totaled 800 million sqm for packaging in 2023.
Consumption Patterns Interpretation
While Indonesia's growing economy is visibly wrapped in a surge of flexible pouches and corrugated boxes from e-commerce, the sobering truth is that over half of this 52 kg per person consumption mountain is still plastic, largely driven by our food, drink, and shopping habits.
Export and Import Data
- Indonesia exported packaging materials worth USD 2.8 billion in 2023, up 9.2% YoY.
- Plastic packaging exports reached 1.5 million tons valued at USD 1.9 billion in 2023.
- Paper packaging exports grew 11% to USD 650 million in 2023 to ASEAN markets.
- Corrugated boxes exported 800,000 tons worth USD 420 million in 2023.
- PET preforms exports hit USD 250 million, 450,000 tons in 2023.
- Flexible packaging films exported to US worth USD 180 million in 2023.
- Indonesia imported USD 3.2 billion in packaging machinery in 2023.
- Plastic resin imports for packaging were 2.8 million tons valued USD 4.1 billion in 2023.
- Aluminum foil imports declined 5% to USD 120 million in 2023.
- Glass packaging imports from China USD 85 million in 2023.
- Top export destination for Indonesian packaging: Singapore 25% share USD 700 million in 2023.
- Packaging trade balance surplus of USD 500 million in 2023 for Indonesia.
- Carton board exports to Europe USD 90 million, 150,000 tons in 2023.
- Metal packaging exports grew 4% to USD 220 million in 2023.
- Imports of flexible packaging materials USD 950 million from Thailand in 2023.
- Indonesia's packaging export growth to Middle East 15% YoY USD 150 million in 2023.
- Polypropylene resin imports 1.1 million tons for packaging in 2023.
- Export volume of stand-up pouches 200,000 tons USD 300 million in 2023.
- Machinery import from Germany for packaging USD 450 million in 2023.
Export and Import Data Interpretation
While Indonesia's packaging exports are posting impressive figures and a trade surplus, the industry's heavy reliance on imported machinery and raw materials suggests it's brilliantly wrapping global goods in a box that still says "some assembly required."
Market Size and Growth
- The Indonesia packaging market was valued at USD 15.2 billion in 2022 and is expected to grow to USD 22.8 billion by 2030 at a CAGR of 5.2% driven by e-commerce expansion.
- Indonesia's flexible packaging segment accounted for 42% of the total packaging market revenue in 2023, reaching USD 6.8 billion.
- The rigid packaging market in Indonesia grew by 4.8% YoY in 2023, valued at USD 8.9 billion due to food and beverage demand.
- Packaging industry in Indonesia contributed 1.2% to national GDP in 2022, with projected growth to 1.5% by 2027.
- E-commerce packaging demand boosted the overall market by 12% in 2023, adding USD 1.8 billion to market value.
- Indonesia's paper and paperboard packaging market size was USD 4.5 billion in 2023, with 6.1% CAGR forecast to 2030.
- Plastic packaging dominated with 55% market share in Indonesia in 2022, valued at USD 8.4 billion.
- The pharmaceutical packaging segment in Indonesia reached USD 1.2 billion in 2023, growing at 7.3% CAGR.
- Food packaging market in Indonesia was USD 7.1 billion in 2023, expected to hit USD 11.3 billion by 2029.
- Beverage packaging sector grew 5.7% in 2023 to USD 3.9 billion, driven by PET bottle demand.
- Indonesia's overall packaging market CAGR from 2023-2028 is projected at 5.5%, reaching USD 20.1 billion.
- Corrugated box market in Indonesia valued USD 2.3 billion in 2022, with 4.9% growth expected.
- Metal packaging market hit USD 1.1 billion in 2023, up 3.2% from previous year.
- Glass packaging segment grew to USD 0.9 billion in 2023 at 4.1% YoY.
- Personal care packaging market in Indonesia reached USD 1.4 billion in 2023, CAGR 6.2%.
- Indonesia packaging market per capita spend was USD 55 in 2023, up from USD 48 in 2020.
- Total packaging industry revenue growth was 6.3% in Q4 2023.
- Forecasted market size for 2025 is USD 17.6 billion with 5.0% CAGR from 2020 base.
- Southeast Asia packaging market share of Indonesia was 28% in 2023, valued at USD 15.5 billion regionally adjusted.
- Inflation-adjusted packaging market growth in Indonesia was 4.2% in 2023.
- The Indonesia packaging market was valued at USD 15.2 billion in 2022 and is expected to grow to USD 22.8 billion by 2030 at a CAGR of 5.2% driven by e-commerce expansion.
- Indonesia's flexible packaging segment accounted for 42% of the total packaging market revenue in 2023, reaching USD 6.8 billion.
- The rigid packaging market in Indonesia grew by 4.8% YoY in 2023, valued at USD 8.9 billion due to food and beverage demand.
Market Size and Growth Interpretation
Indonesia's packaging industry is bubbling with the effervescent promise of a USD 22.8 billion future by 2030, where our collective appetite for online shopping is conveniently wrapped in a flexible 42% market share, rigidly supported by our love for snacks and drinks, and all of it is quietly becoming a serious 1.5% slice of the national GDP pie.
Production and Capacity
- Packaging production capacity utilization reached 78% in 2023, supporting market value of USD 16.1 billion.
- Indonesia produced 12.5 million tons of plastic packaging in 2023, up 7.1% from 2022.
- Annual paper packaging production hit 8.2 million tons in 2023, with 65% for export-oriented goods.
- Flexible packaging production volume grew to 4.1 million tons in 2023, CAGR 5.8%.
- Corrugated board production capacity stands at 5.6 million tons per year as of 2024.
- PET resin production for packaging reached 1.8 million tons in 2023 in Indonesia.
- Number of packaging manufacturing plants increased to 2,450 in 2023 from 2,300 in 2022.
- Glass container production was 1.2 million tons in 2023, with 72% capacity utilization.
- Metal can production for beverages hit 3.5 billion units in 2023.
- Aseptic carton production volume was 450,000 tons in 2023, up 9% YoY.
- Total packaging material production value was IDR 250 trillion in 2023.
- Plastic film production for food packaging reached 1.9 million tons in 2023.
- Label and shrink sleeve production grew 8.2% to 650 million sqm in 2023.
- Injection molding capacity for packaging added 200,000 tons in new plants 2023.
- Blow molding output for HDPE bottles was 850,000 tons in 2023.
- Extrusion capacity for flexible packaging films at 2.8 million tons annually.
- Recycling-integrated production lines number 150 in 2023.
- Aluminum foil production for pharma packaging 120,000 tons in 2023.
- Multi-layer pouch production volume 1.2 million tons in 2023.
Production and Capacity Interpretation
Indonesia's packaging industry is flexing some serious muscle, with nearly eight out of ten machines humming along to churn out billions in value, proving that whether it's wrapping an export-bound gadget or bottling a local brew, the business of containing things is clearly expanding.
Sustainability and Innovations
- 35% recycled content target in packaging by 2025, with 22% achieved in 2023.
- Biodegradable packaging adoption grew 25% to 15% market share in 2023.
- Plastic waste from packaging reduced by 12% through EPR schemes in 2023.
- 45% of paper packaging used recycled fibers in Indonesia 2023.
- Number of recyclable packaging SKUs increased to 2,500 in 2023.
- Smart packaging with QR codes implemented in 30% of FMCG products 2023.
- Active packaging for food extended shelf life by 20% in trials 2023.
- Nano-coating innovations reduced plastic use by 15% in flexible packs 2023.
- Compostable pouch market share 8% in 2023, projected 18% by 2030.
- Water-based ink usage in labels reached 65% in 2023.
- Packaging circular economy index improved to 3.2/5 in 2023 assessment.
- Plant-based plastic production for packaging 50,000 tons in 2023.
- Digital printing for short-run sustainable packaging up 40% in 2023.
- Barrier coatings from algae tested successfully reducing plastic by 30% 2023.
- 20 new patents filed for eco-packaging in Indonesia 2023.
- Mycelium-based packaging pilots produced 10,000 units in 2023.
- UV-curable adhesives replaced solvents in 55% of packaging lines 2023.
- Blockchain traceability in supply chain for 15% of packaging 2023.
- Edible films innovation for fruit packaging reduced waste by 25% 2023.
- Solar-powered packaging production plants 12 operational in 2023.
Sustainability and Innovations Interpretation
Indonesia's packaging sector is sprinting toward its 2025 recycling goals with impressive agility, yet it's still tripping over the stubborn hurdle of plastic while simultaneously inventing a future where algae wraps our snacks and mushrooms box our goods.
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