Indonesia Frozen Food Market Size

Indonesia Frozen Food Market Analysis

The Indonesian frozen food market is expected to grow from USD 1.93 billion in 2023 to USD 2.78 billion by 2028, registering a CAGR of 7.50% during the forecast period (2023-2028).

Indonesia is witnessing a surge in the number of nuclear families. According to Statistics Indonesia, 39.16% of households in Indonesia consisted of 2-3 family members as of 2022. These families are typically more liberal with spending and are driving the premiumization trends in the FMCG sector. Moreover, the increasing workforce participation and the busy lifestyle of individuals are changing the dietary patterns of consumers, which involve consuming quick and healthier meals. This, in turn, drives the retail sales of frozen food products that are convenient and easy to cook. In addition, the proliferation of value-added products in the country is a testament to consumers' need for practical and convenient products. For instance, according to the USDA Foreign Agricultural Service, in 2021, the retail sales value of packaged food in Indonesia amounted to 32,967 USD million. Besides this, international players in the frozen food segment are adopting innovative strategies such as expansion, merger and acquisition, and product launches to gain a prominent market share. For instance, in January 2022, Yili Group, a Chinese producer of dairy products, announced its expansion with the launch of its facility in Indonesia. The company claimed that the facility was established due to the popularity of Joyday Ice Cream in the country. This brand has rapidly expanded to 260 local cities in 26 provinces, covering nearly all of Indonesia, since its entry into the market in 2018.