Indonesia Plastic Food Tray Market Size

Indonesia Plastic Food Tray Market Analysis

The Indonesia Plastic Food Tray Market size is estimated at USD 411.41 million in 2024, and is expected to reach USD 504.41 million by 2029, growing at a CAGR of 4.16% during the forecast period (2024-2029).

Growing restaurants, convenience stores, food suppliers, caterers, and other food suppliers, including online meal delivery services, find benefits when they move from conventional paperboard, styrofoam, and aluminum material trays to plastic trays. Ready-made meals are becoming a standard solution for contemporary individuals because of the country's socioeconomic progress and changing lifestyles, one of the primary factors driving the market for plastic meal trays. The plastic meal tray market in the country is also driven by consumer needs for conveniently available fresh food, frozen food, dried fruits, etc. Additional factors anticipated to drive the plastic meal tray market include attractive visual appearance and ease of use.

• The market for food trays is anticipated to have increased potential due to rising packaged food consumption. Due to a shift in customer attention toward processed and specialty foods, plastic food trays are expected to be consumed significantly in the market. The sharp rise in demand for moisture-proof and spill-proof packaging options is responsible for the rapid growth in demand for plastic food trays.
• Many millennials in Indonesia travel, and the search for convenient options have significantly increased the number of individuals dining out. These fast-paced trends offer many opportunities for hospitality and new developments in the region. Plastic packaging also benefits in enhancing business brand identity as well as strengthens visual marketing. Food trays are versatile and attractive to promote the brand and drive more sales. Digitally printed trays can enhance a brand's identity in any which the business wants. According to a survey by Bahtera in October 2022, in Indonesia, the availability of online platforms plays a significant role. Indonesia already has an extensive online grocery delivery market in Southeast Asia, with 31% of the market. This number would continue to grow as more customers use digital means to purchase groceries. By 2023, revenue derived from online sales is expected to reach 99% of its total domestic F&B revenue. Ultimately, the country is witnessing more customers expand sales channels and new products as they migrate to online platforms.
• Consumers in the country visit cafes and quick-service-restaurant as these outlets offer affordable and convenient ready-to-eat food, hence driving the packaging industry. Efforts by business operators to constantly improve and enhance their menus also play an essential role in attracting consumers. This channel is dominated by American and local cuisine in the country. The QSR outlets are popular, offering chicken, burgers, pizza, and more with a local twist.
• The use of sustainable packaging solutions is significantly increasing in the food packaging sector due to growing environmental concerns and the enforcement of strict restrictions regarding the use of plastic nationwide. Some raw materials used to make food trays include bamboo, bagasse, and Kraft paper.
• COVID-19 has had a mixed impact on the plastic food tray market in the country due to the initial closures of manufacturing plants, which led to reduced production of plastic food trays. Further, in the mid-stages of the Pandemic, growth in online food orders increased the demand for plastic food trays in the country.
• Post the COVID-19 Pandemic, in Indonesia, cashless transactions, contactless purchasing, and online delivery services have been accessible for over three years. However, in the three short weeks after the lockdown was implemented, they have emerged as a central feature of the new retail environment, with consumers at large chain stores already choosing to use those services when they are made available.