Table of Contents

Introduction

Executive Summary

Definitions

Background

Births

The Consumer

Socio-demographic Trends

Working Women

Regulations

Breastfeeding Trends

Overview

Sector Overview

Manufacturer Shares

Category Analysis

Baby Milks

Baby Cereals & Dry Meals

Meals

Others

Production & Trade

Production

Imports

Exports

Company Profiles

Other Manufacturers

PT Nestlé Indonesia

Danone

PT Kalbe Farma/PT Sanghiang Perkasa

PT Frisian Flag Indonesia

PT Indofood Sukses Makmur

Distribution

Baby Food Retailing

Economic Background

Key Macroeconomic Forecasts

Prospects & Forecasts

Birth & Population Projections

Forecast Overview

Consumer Attitude

Appendix

Additional Data Tables

Summary Methodology

About GlobalData

Indonesia Baby Food

Summary

“Indonesia Baby Food, 2019” is an analytical report by GlobalData which provides extensive and highly detailed current and future market trends in the Indonesian market.

Although the birth rate has declined, it remains high, putting a strain on housing, water, and employment. Despite some progress, the economy is less developed than most in the region, and high poverty levels persist. However, a growing middle class is emerging, and commercially prepared baby food is attractive to this group. Baby milks continue to dominate, led by growing-up milks, which account for 63% of all baby food sales. Demand for cereals & dry meals is limited and growing only slowly, while wet meals, drinks, and finger foods remain highly marginal. All five top suppliers have local production capacity, producing significant volumes of milks and cereals for domestic consumption and export. The top two players hold a combined share of 65% of baby food sales. Nestlé has a substantial lead, followed by Danone with its Sari Husada and Nutricia businesses. Local company, Kalbe Farma, ranks third, via Sanghiang Perkasa (the licensee for Morinaga's milks, as well as Milna cereals and rusks). It is followed by international milk companies, notably FrieslandCampina, Mead Johnson, and Abbott. Three-quarters of baby food is distributed through food outlets. There is a growing number of specialist baby stores. The sector will face competing trends, with declining live birth numbers and falling breastfeeding rates counterbalanced by a strong economy, a growing middle class, and a desire to feed children with healthy nutrition.

What else does this report offer?

- Consumption data based upon a unique combination of industry research, fieldwork, market sizing work and our in-house expertise to offer extensive data about the trends and dynamics affecting the industry.
- Detailed profile of the companies operating and new companies considering entry in the industry along with their key focus product sectors.
- Market profile of the various product sectors with the key features & developments, segmentation, per capita trends and the various manufacturers & brands.
- Overview of baby food retailing with a mention of the major retailers in the country along with the distribution channel.
- Future projections considering various trends which are likely to affect the industry.

Scope

- By 2018 growing-up milks accounted for over three-quarters of volume sales and over two-thirds of value
- Baby milks are sold largely in powdered format, but the allied market for RTD UHT toddler milk is growing rapidly.
- The retail value of cereals & dry meals increased by 69% at current prices over the 2012-2018 period.
- Nearly all cereals continue to be sold in boxes, nearly all products (94%) identified in GlobalData storechecks in early 2019 were sold in boxes. The remaining 6% were in sachets.
- The category comprises wet meals in jars and pouches. Wet meals are very low sellers on the Indonesian market.
- Cereals claim XX% of retail sales, while other baby food (largely rusks and biscuits, although a few wet meals are also available) represent only 0.4% of value sales.
- The majority of baby food is distributed through food outlets, with supermarkets and hypermarkets taking 72% of baby milk volumes in 2018, and 81% of other baby food sales

Reasons to buy

- Evaluate important changes in consumer behavior and identify profitable markets and areas for product innovation.
- Analyse current and forecast behavior trends in each category to identify the best opportunities to exploit.
- Detailed understanding of consumption by individual product categories in order to align your sales and marketing efforts with the latest trends in the market.
- Investigates which categories are performing the best and how this is changing market dynamics.