From 2014 to 2023, the beer market in Indonesia experienced a steady decline. In 2014, the market size stood at 273.0 thousand metric tons and decreased to 184.0 thousand metric tons by 2023, showing a year-on-year decline of 2.65% and a compound annual growth rate (CAGR) of -2.7% over the last five years.
Significant year-on-year variations occurred during this period, including a sharp drop in 2015 (-12.45%), another decrease in 2016 (-12.13%), and a major decline in 2020 (-19.04%). The market briefly rebounded in 2018 (+2.93%) and 2021 (+18.05%) but continued its downward trend subsequently. By the end of 2023, it was evident the market was facing long-term challenges.
From 2024 onwards, the market forecasts indicate a continued decline, with an expected CAGR of -2.25% over the next five years, bringing the market size to around 159.77 thousand metric tons by 2028. This represents an overall reduction of approximately 10.74% from 2024 to 2028.
Future Trends to Watch For:
- Increasing consumer health awareness leading to reduced alcohol consumption.
- Potential regulatory changes by the Indonesian government impacting alcohol sales.
- Possible emergence and growth of alternative alcoholic beverages capturing market share.
