Indonesia Industrial Packaging Market Size and Share
Indonesia Industrial Packaging Market Analysis by Mordor Intelligence
The Indonesia industrial packaging market size reached USD 0.93 billion in 2025 and is projected to advance to USD 1.28 billion by 2030, registering a 6.65% CAGR during the forecast period. This outlook reflects the country’s position as Southeast Asia’s largest economy, where rising petrochemical capacity, government-led nutrition programs, and an e-commerce boom continue to expand end-user demand for bulk and transit packaging solutions. Investments such as Chandra Asri’s 4.2 MTPA integrated petrochemical complex and the Ministry of Finance’s IDR 422.7 trillion (USD 25.8 billion) infrastructure budget in 2024 strengthen domestic supply chains and stimulate packaging consumption across chemicals, food, and construction verticals. At the same time, regulations targeting sachet waste, new food-contact standards, and evolving Extended Producer Responsibility (EPR) rules are reshaping material choices and accelerating paper- and fiber-based alternatives for direct-food applications.
Key Report Takeaways
- By material, plastic captured 47.43% of the Indonesia industrial packaging market share in 2024, while paper and fiber solutions are forecast to expand at a 7.75% CAGR through 2030.
- By product type, drums and barrels held 35.35% of the Indonesia industrial packaging market size in 2024, whereas intermediate bulk containers are set to grow at an 8.11% CAGR between 2025-2030.
- By end-user industry, chemicals and pharmaceuticals commanded 29.84% share of the Indonesia industrial packaging market size in 2024; food and beverage processing is advancing at a 7.89% CAGR to 2030.
- By packaging capacity, 51-500 L containers accounted for 38.14% share in 2024, and 501-1,000 L formats are projected to rise at a 7.44% CAGR during the forecast period.
Indonesia Industrial Packaging Market Trends and Insights
Drivers Impact Analysis
| Driver | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Accelerating food and beverage processing investments | +1.8% | National, concentrated in Java and Sumatra | Medium term (2-4 years) |
| Expansion of chemicals and petrochemicals output | +1.5% | National, clusters in Cilegon, Gresik, Balongan | Long term (≥ 4 years) |
| E-commerce-fuelled surge in logistics parcel volumes | +1.2% | National, urban hubs in Jabodetabek and Surabaya | Short term (≤ 2 years) |
| Infrastructure and construction boom increasing palletised flows | +1.0% | National, priority in IKN Nusantara and Eastern Indonesia | Medium term (2-4 years) |
| Added domestic resin capacity lowering input costs | +0.8% | National, archipelago-wide supply-chain benefit | Long term (≥ 4 years) |
| AI-enabled smart-factory adoption demanding sensor-ready packaging | +0.4% | National, early adoption in industrial estates | Long term (≥ 4 years) |
| Source: Mordor Intelligence | |||
Accelerating Food and Beverage Processing Investments
Indonesia’s Free Nutritious Meals program requires packaging for 190 million meals every day beginning in 2025, creating consistent demand for portion-controlled food-grade containers. PepsiCo’s USD 200 million Cikarang plant, the country’s largest single F&B investment in 2025, is outfitted with high-speed, aseptic lines that rely on barrier drums, retort pouches, and temperature-stable cartons. Domestic majors Indofood and Mayora expanded capacity in 2024, with Mayora investing IDR 2.526 trillion (USD 154 million) in new facilities that require modified-atmosphere and multilayer paper-based solutions. Growing middle-class consumption and a 270 million-strong population underpin continuing output growth across snacks, ready-to-drink beverages, and convenience meals. Together these factors reinforce a steady uptick in the Indonesia industrial packaging market as processors diversify pack formats to meet portability, shelf-life, and sustainability mandates.
Expansion of Chemicals and Petrochemicals Output
ExxonMobil’s USD 15 billion integrated petrochemical complex and Lotte Chemical’s ethylene cracker expansion represent the largest inflows of foreign capital into Indonesia’s chemical value chain. Domestic resin supply from Chandra Asri’s new 4.2 MTPA plant stabilizes input prices and drives higher adoption of large-volume drums, IBCs, and corrosion-resistant composite containers. Downstream growth in pharmaceuticals, agrochemicals, and specialty intermediates multiplies secondary demand for UN-approved packs and tamper-evident closures. National downstreaming policies that restrict raw material exports ensure more chemicals are processed locally, extending the addressable Indonesia industrial packaging market size for higher-value containment systems. Over the long term, chemical-cluster build-outs in Cilegon and Gresik support ongoing double-digit volume growth in bulk resin and solvent shipments.
E-Commerce–Fuelled Surge in Logistics Parcel Volumes
Digital commerce is projected to hit USD 82 billion in 2025, pushing parcel counts to new records and triggering a shift toward lightweight corrugated boxes, honeycomb trays, and inflatable dunnage for last-mile routes.[1] Indonesian E-commerce Association, “Digital Commerce Projections 2025,” IDAI.OR.ID Platforms such as Tokopedia, Shopee, and Lazada request size-optimized mailers that cut dimensional weight fees and reduce truck fill gaps. Government fiber-optic extensions under the National Digital Transformation Roadmap 2025 connect rural districts, expanding home-delivery coverage and widening the Indonesia industrial packaging market footprint. Cold-chain parcel traffic for fresh produce and biologics spurs insulated shippers with data-logging sensors that verify temperature integrity. Third-party logistics providers are rolling out automated sortation centers that favor standardized returnable totes and RFID-enabled crates for throughput efficiency.
Infrastructure and Construction Boom Increasing Palletised Flows
The USD 35 billion Nusantara capital city project and IDR 422.7 trillion (USD 25 billion) infrastructure budget accelerate movements of cement, steel, and prefabricated modules that rely on heavy-duty pallets, steel cages, and jumbo bags. Projects such as the Jakarta-Bandung High-Speed Railway and Trans-Sumatra Toll Road elevate demand for export-grade timber pallets and large plywood crates to protect high-value machinery. Mining-sector downstreaming, especially nickel matte processing in Sulawesi, requires chemical-resistant supersacks and overpack drums for mineral concentrates. The construction surge therefore continues to lift the Indonesia industrial packaging market as suppliers scale pallet pooling, reusable crate rentals, and just-in-time wooden case customization.
Restraints Impact Analysis
| Restraint | (~) % Impact on CAGR Forecast | Geographic Relevance | Impact Timeline |
|---|---|---|---|
| Escalating plastic-waste regulation and compliance costs | -1.2% | National, with stricter enforcement in urban areas | Short term (≤ 2 years) |
| Volatile polymer and steel feed-stock prices | -0.8% | National, affecting all manufacturing regions | Short term (≤ 2 years) |
| Under-developed recycling/collection infrastructure | -0.6% | National, more acute in rural and remote areas | Medium term (2-4 years) |
| Trade-remedy tariffs on key inputs and finished packs | -0.4% | National, with export-oriented manufacturers most affected | Short term (≤ 2 years) |
| Source: Mordor Intelligence | |||
Escalating Plastic-Waste Regulation and Compliance Costs
The Ministry of Environment has mandated a national phase-out of multilayer sachets by 2030, compelling converters to redesign packs and invest in mono-material laminates that are recyclable at scale.[2]Ministry of Environment Indonesia, “Extended Producer Responsibility Framework,” MENLHK.GO.ID EPR rules require brand owners and pack producers to finance collection and recycling, adding 15-20% to unit production costs. BPOM’s November 2024 food-contact regulation, notified to the WTO, imposes broad-spectrum migration testing and factory audits prior to commercialization. A new plastic-credit market introduced under Indonesia’s January 2025 carbon trading platform further increases compliance burdens but opens revenue opportunities for high-recovery operators. These overlapping policies tighten margins and lengthen certification cycles within the Indonesia industrial packaging market, particularly for SME converters with limited capital.
Volatile Polymer and Steel Feed-Stock Prices
Polyethylene and polypropylene spot rates swung 17% between Q2 2024 and Q3 2025 on the back of global oversupply and currency shifts, directly impacting film and bottle manufacturers’ raw-material expenditure. Steel coil prices for drum-making rose 12% after a new Chinese infrastructure stimulus, squeezing fabricators reliant on imported sheet metal. The USD/IDR exchange rate moved from 15,866 in 2024 to 16,409 in 2025, inflating invoice values for resin and steel sourced on dollar contracts. US tariffs of 19% on Indonesian packaging exports, effective August 2025, introduce further uncertainty and prompt rerouting of production to ASEAN destinations. Hedging strategies and local resin expansion offer partial buffers; however, price instability will remain a drag on the Indonesia industrial packaging market until supply-demand mismatches normalize.
Segment Analysis
By Material: Plastic Dominance Faces Regulatory Headwinds
The plastic segment captured 47.43% of the Indonesia industrial packaging market share in 2024, supported by abundant domestic resin and well-established extrusion and blow-molding infrastructure. The Indonesia industrial packaging market size for plastic solutions is expected to remain sizeable through 2030 despite tightening single-use rules, as petrochemical expansion in West Java and Banten ensures stable feedstock. High-density polyethylene drums, polypropylene woven sacks, and multilayer films underpin bulk transport across chemicals, agrocommodities, and e-commerce sectors.
Paper and fiber-based materials post the highest 7.75% CAGR, propelled by BPOM’s new SNI 8218:2024 food-contact standard that favors paperboard over polystyrene for direct-food packs. Corrugated grades for high-speed e-commerce lines, molded-fiber inserts, and laminated kraft sacks gain traction as brand owners adopt easy-recycling strategies. Metal, composite, and bio-based polymers fill niche requirements in corrosive chemical containment, high-temperature filling, and compostable foodservice items. Coke bottler PT Amandina Bumi Nusantara’s 3,000 tons/month rPET line highlights the shift toward recycled content in beverage secondary packaging. Continuous material substitution and improved resin circularity will shape future demand patterns in the Indonesia industrial packaging industry.
Note: Segment shares of all individual segments available upon report purchase
By Product Type: IBCs Lead Innovation Wave
Drums and barrels retained 35.35% of the Indonesia industrial packaging market size in 2024, serving as the default format for chemicals, lubricants, and construction additives. Their ubiquity stems from standardized pallets, forklift compatibility, and UN certification familiarity among Indonesian logistics providers.
Intermediate bulk containers are growing at an 8.11% CAGR, as smart factories adopt 1,000 L units with integrated level sensors and RFID tags that streamline inventory tracking. Mauser Packaging’s 2024 partnership with RIKUTEC demonstrates a shift to double-walled, recycled-content IBC bottles that meet circularity targets. Pallets and crates benefit from e-commerce parcel handling and construction equipment logistics, while insulated containers expand in vaccine and biologics distribution across remote islands. Specialized packs for hazardous materials, battery electrolytes, and temperature-sensitive food ingredients round out the diversified product landscape in the Indonesia industrial packaging market.
By End-User Industry: Chemicals Lead, F&B Accelerates
Chemicals and pharmaceuticals accounted for 29.84% share of the Indonesia industrial packaging market size in 2024, reflecting large-scale resin, solvent, and bulk API movements generated by ExxonMobil and Lotte complexes. Compliance with UN hazardous goods codes and BPOM licensing drives uptake of UN-X rated drums, rigid IBCs, and electro-polished stainless totes.
Food and beverage processing is advancing at a 7.89% CAGR as Free Nutritious Meals logistics and rapid urban snacking trends intensify demand for aseptic carton liners, retort pouches, and modified-atmosphere bins. Automotive assembly growth, spurred by VinFast’s USD 237 million EV plant, supports returnable packaging for battery modules and high-value components. Mining, construction, electronics, and textile clusters round out a diversified end-user mix, each imposing unique specifications and compliance requirements on the Indonesia industrial packaging industry.
Note: Segment shares of all individual segments available upon report purchase
By Packaging Capacity: Mid-Range Containers Dominate
The 51-500 L bracket held 38.14% of market demand in 2024, balancing ergonomic handling with sufficient volume for batch chemical and ingredient transfers. Widespread adoption of 200 L steel drums, 120 L HDPE barrels, and 60 L stackable pails positions this range as the backbone of the Indonesia industrial packaging market.
Containers in the 501-1,000 L class, led by composite IBCs, are growing at a 7.44% CAGR as processors streamline bulk formulations and reduce changeover times. Compliance with SNI capacity standards ensures international interchangeability and optimizes truckload volumes. Smaller formats under 50 L serve high-value pharmaceutical actives and specialty additives, while super-sized options above 2,000 L cater to offshore energy projects and large-scale water treatment schemes. As industrial automation advances, demand for reusable, sensor-embedded bulk containers will further diversify capacity requirements across Indonesia.
Geography Analysis
Java remains the engine of demand, generating around 40% of Indonesia industrial packaging market consumption through dense chemical, F&B, and automotive clusters in Jabodetabek, Karawang, and Cilegon. ExxonMobil’s petrochemical hub and PepsiCo’s high-throughput snack lines anchor bulk and secondary packaging volumes in West Java. Streamlined highway and port networks allow just-in-time deliveries of drums, IBCs, and corrugated cartons to manufacturers and distributors around Jakarta.
Sumatra contributes a rising share as palm-oil refineries, pulp mills, and emerging petrochemical complexes in South Sumatra and Riau boost purchases of fiber drums, FIBC sacks, and multi-wall kraft bags. Lotte Chemical’s ethylene cracker investment accelerates localized demand for heavy-gauge composite containers and palletized resin shipments. Proximity to Malaysia supports cross-border trade flows requiring ASEAN-harmonized labelling and pallet dimensions.
Eastern Indonesia registers the fastest growth, propelled by IDR 422.7 trillion (USD 25 billion) infrastructure allocations and the USD 35 billion Nusantara capital project that attracts construction material flows in bulk crates, wire mesh cages, and strapped pallet units.[3]IKN Authority, “Nusantara Capital City Development,” IKN.GO.ID Nickel downstreaming in Sulawesi necessitates corrosive-resistant drums and lined IBCs, while copper smelting in Papua demands jumbo bags and container liners for concentrate exports. Enhanced port upgrades improve backhaul efficiency for returnable packaging pools, broadening the reach of the Indonesia industrial packaging market to remote provinces.
Competitive Landscape
Global leaders such as Greif, Mauser Packaging Solutions, and SCHÜTZ maintain multi-facility footprints in Indonesia, leveraging automated line technology and UN-certified product catalogs to serve multinational chemical and beverage clients. Greif’s divestiture of its containerboard unit for USD 1.8 billion in July 2025 redirects capital into high-growth Asian industrial packaging assets. Mauser’s Haiyan IBC expansion and RIKUTEC alliance bring double-walled, sensor-ready containers to Indonesian petrochemical producers.
Domestic competitors Time Technoplast, PT Kadujaya Perkasa, and PT Rheem Indonesia leverage proximity advantages, lower overheads, and agile customization to capture SME orders and regional projects. PT Amandina Bumi Nusantara’s rPET line positions local players at the forefront of circular-economy supply, appealing to beverage and personal-care brands seeking post-consumer content solutions. Compliance expertise in BPOM food-contact testing and Ministry environment licensing distinguishes suppliers able to navigate Indonesia’s multilayer regulatory landscape.
Technology adoption, sustainability commitments, and localized service centers have become primary levers of differentiation. AI-enabled quality inspection, QR-coded traceability, and closed-loop drum reconditioning services expand revenue streams while aligning with EPR mandates. Price competition remains moderate as volatile feedstock costs and capital-intensive certifications create natural barriers for new entrants, sustaining balanced rivalry within the Indonesia industrial packaging market.
Indonesia Industrial Packaging Industry Leaders
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Greif Inc.
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Mauser Packaging Solutions Holding Company
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SCHÜTZ GmbH & Co. KGaA
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Time Technoplast Ltd.
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PTT Global Chemical Public Company Limited
- *Disclaimer: Major Players sorted in no particular order
Recent Industry Developments
- July 2025: Greif completed the sale of its containerboard business for USD 1.8 billion, freeing resources for expansion in Indonesia industrial packaging operations.
- March 2025: PepsiCo confirmed a USD 200 million Cikarang plant expansion equipped with advanced packaging lines for snacks and beverages.
- January 2025: Mauser Packaging expanded its Haiyan facility to boost IBC output aimed at Asian chemical producers.
- January 2025: Indonesia launched a carbon-trading platform with plastic-credit mechanisms, incentivizing circular packaging initiatives nationwide.
Indonesia Industrial Packaging Market Report Scope
Industrial packaging is designed for industrial applications, primarily in production or distribution processes. Items packaged in this manner are often in high demand at factories or warehouses, where they may be stored or utilized in subsequent production phases.
The Indonesia industrial packaging market is segmented by packaging type (jerry cans, rigid IBCs, drums and barrels, crates and pallets, insulated shipping containers, FIBC, other packaging types (corrugated boxes, pails, heavy duty bags and sacks, films and wraps)) and end-user industries (automotive, food and beverage, chemicals and petrochemicals, pharmaceuticals, paints and coatings, building and construction, other end-use industries (agriculture, logistics)). The market size and forecasts are provided in terms of value (USD) for all the above segments.
| Plastics |
| Metal |
| Paper and Fiber-based |
| Other Materials |
| Jerry Cans |
| Intermediate Bulk Containers (IBCs) |
| Drums and Barrels |
| Crates and Pallets |
| Insulated Shipping Containers |
| Other Packaging Types |
| Chemicals and Pharmaceuticals |
| Food and Beverage |
| Automotive |
| Oil, Gas and Petrochemicals |
| Building and Construction |
| Other End-user Industries |
| ≤ 50 L |
| 51 – 500 L |
| 501 – 1,000 L |
| 1,001 – 2,000 L |
| > 2,000 L |
| By Material | Plastics |
| Metal | |
| Paper and Fiber-based | |
| Other Materials | |
| By Product Type | Jerry Cans |
| Intermediate Bulk Containers (IBCs) | |
| Drums and Barrels | |
| Crates and Pallets | |
| Insulated Shipping Containers | |
| Other Packaging Types | |
| By End-user Industry | Chemicals and Pharmaceuticals |
| Food and Beverage | |
| Automotive | |
| Oil, Gas and Petrochemicals | |
| Building and Construction | |
| Other End-user Industries | |
| By Packaging Capacity | ≤ 50 L |
| 51 – 500 L | |
| 501 – 1,000 L | |
| 1,001 – 2,000 L | |
| > 2,000 L |
Key Questions Answered in the Report
What is the forecasted value of Indonesia’s industrial packaging demand by 2030?
The Indonesia industrial packaging market is forecast to reach USD 1.28 billion in 2030, reflecting a 6.65% CAGR from 2025 levels.
Which packaging material is growing fastest in Indonesia?
Paper and fiber-based materials are expanding at a 7.75% CAGR, driven by new food-contact regulations and sustainability mandates.
Why are intermediate bulk containers gaining popularity?
IBCs enable efficient bulk handling, integrate easily with smart-factory sensors, and are projected to grow at an 8.11% CAGR through 2030.
How do plastic-waste regulations affect manufacturers?
EPR fees, sachet phase-outs, and stricter food-contact rules raise compliance costs by up to 20%, prompting investment in recyclable or biodegradable alternatives.
Which region of Indonesia shows the quickest industrial packaging demand growth?
Eastern Indonesia, fueled by the Nusantara capital project and mining downstreaming in Sulawesi and Papua, is the fastest-expanding geography for bulk and construction packaging.
What strategic moves are leading firms making?
Major players are deploying recycled-content lines, sensor-enabled IBCs, and divesting non-core assets to focus capital on high-growth Indonesian industrial packaging operations.
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