Indonesia Industry Articles & Analysis

Chapter | Industry from The Report: Indonesia 2017

Historically, Indonesia’s industrial sector has long been content to target the low-hanging fruit of its sizeable captive domestic market for much of its output, while exporting primarily raw materials or low-value-added products abroad. But in line with the evolution of the country’s economy, a strategic shift has been accelerating over the past decade, which is aimed at diversifying the...

The Indonesian government is in the midst of pursuing an ambitious new growth strategy, emphasizing investment over domestic consumption as a primary growth driver in the wake of depressed commodity prices, lagging household consumption and lower-than-anticipated government revenues.

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The food and beverage (F&B) industry is set to benefit from Unilever Indonesia’s decision to invest $500m in product expansion locally over the next five years.

Increased government support and ongoing trade negotiations with the EU are expected to underpin growth in Indonesia’s textiles industry.

 

What challenges do you see in positioning products in South-east Asia’s largest market?

 

What is your view on the steel industry’s prospects for the next 12 months?

 

Indonesia has a rich tradition of textile production and a technical mastery of the industry. As business professionals in other countries across the region abandon traditional clothing in favour of Western-style business wear, many Indonesians today still primarily prefer to wear the unique, colourful patterned clothing style known as batik...

 

What is needed to support local industry growth?