Total food packaging in Indonesia is forecasted to grow by 34.2% from 2007 to 2012 resulting in a compound annual growth rate of 6.1%, while in the U.S., the growth rates are projected at 4.7% and 0.9%, respectively. Furthermore, total volume growth in units during this forecast period is 15.3 billion units for Indonesia versus a unit volume growth of 9.5 billion units for the U.S. Dried processed foods (forecasted rate of 30%; growth of 5.2 billion units) and confectionary (forecasted rate of 43.1%; growth of 3.7 billion units) are two of the categories leading the growth in Indonesian food packaging. Meanwhile, frozen and chilled processed foods are increasingly entering into modern retail outlets.
Better storage facilities at modern retail outlets allows for more
diversity in the product mix as well as greater variety in the
packaging types and sizes. While flexible packaging remains the most
predominant packaging type (comprising approximately 80% of total food
packaging), other types such as rigid plastics and paper-based
containers are projected to grow favourably. Various sizes, from
individual to multipacks are now more widely available to Indonesian
consumers. The modernization of retailing in developing countries is
certainly a trend worth paying close attention to for packaging
manufacturers.
