Milk consumption at the farm gate in Indonesia stood at 1.64 million metric tons in 2023. Reviewing the historical data from 2013 to 2023, the milk consumption exhibited varying trends. From 2013 to 2014, there was a notable decline of 8.03%. However, from 2015 onwards, the annual growth rate generally stayed between 1.68% to 10.34%, with significant growth observed in 2016 and 2018. The recent annual growth rates from 2021 to 2023 were 2.49%, 2.42%, and 2.35%, reflecting a steady yet moderate growth. The five-year Compound Annual Growth Rate (CAGR) leading up to 2023 is 3.6%, indicating consistent increases over this period.
Forecasts from 2024 to 2028 predict continued growth, albeit at a slower pace, with a five-year forecast CAGR of 1.7% and an overall growth rate of 8.82% over this period, reaching 1.82 million metric tons by 2028.
Future trends to watch for include:
- Shifts in consumer preferences towards plant-based milks.
- The impact of government policies and subsidies on dairy farming.
- Technological advancements in dairy production and supply chain efficiency.
- Potential impact of climate change on dairy farming productivity.
