Indonesian Ready to Eat Food Market Set to Grow at 7% CAGR Till 2019 Says TechSci Research
Burnaby, Canada, July 31, 2014 --(PR.com
)-- With rising employment opportunities, changing lifestyle of consumers and continuing economic growth, the demand for Ready-to-eat food products in Indonesia is projected to increase over the next five years. The country has a large base of young consumers who form majority of the country’s workforce and hardly find time for traditional cooking. Such a scenario creates significant space for convenience food products, which can be easily cooked without consuming much of the time. Moreover, rising per capita disposable income, especially in the middle income group, is driving significant growth in the Indonesian Ready-to-eat food market. In addition, the country has an edge in meat-based food products as Indonesia has the largest Muslim population across the globe. However, this mandates for food suppliers to secure Halal certification from the concerned authorities to ensure proper food quality standards in accordance to Islamic regulations.
According to a recently published report by TechSci Research, “Indonesia Ready-to-eat Food Market Forecast & Opportunities, 2019,” the country’s Ready-to-eat food market is projected to grow at a CAGR of more than 7% during 2013-14. However, Indonesian consumers are largely price conscious, which poses a challenge before food manufacturers and suppliers to offer low-cost Ready-to-eat products. With small changes in product prices, preference of brands or products changes very quickly among the Indonesian consumers. Further, the mandatory Halal compliance exacerbates the situation further for exporters from other countries as the process for obtaining Halal certification is very stringent. Major players currently operating in Indonesia’s Ready-to-eat food market include PT Charoen Pokphand Indonesia Tbk, Tee Yih Jia Group and PT Sekar Bumi Tbk Indonesia.
“Retail chains are the key contributors in increasing the awareness level among consumers about Ready-to-eat products. Significant presence of large retail formats in regions like Java is contributing to the demand for Ready-to-eat food products in Indonesia. However, such chains are predominantly restricted to urban centers within the country. To overcome this issue, many retail giants have voiced plans to expand their distribution network to other regions over the coming years, especially in the eastern region. These efforts are expected to add to the awareness level of consumers in other regions as well, thereby driving growth in the country’s Ready-to-eat food market over the next five years,” said Mr. Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm.
“Indonesia Ready-to-eat Food Market Forecast & Opportunities, 2019” has evaluated the future growth potential of Indonesia’s Ready-to-eat food market and provides statistics and information on market structure and consumer behavior trends. The report includes projections and demand forecasting. The report is intended to provide cutting-edge market intelligence and help decision makers to take sound investment evaluation. Besides, the report also identifies and analyzes the emerging trends along with essential drivers, challenges and opportunities available in Ready-to-eat food market in Indonesia.