Indonesia's sugar cane processing industry has been experiencing a consistent decline in volume over the past decade. In 2023, the processing volume stood at 19.17 million metric tons, marking a year-on-year decrease of 1.53%. Over the last five years, the compound annual growth rate (CAGR) averaged a negative 1.42%, indicating a steady downward trend. Forecasts for the next five years suggest this decline will continue, with a forecasted five-year CAGR of -1.34% and an anticipated drop to 17.61 million metric tons by 2028, reflecting a total decrease of 6.53% over the period.
Future trends to watch for include technological advancements in processing efficiency, shifts in global sugar market dynamics, government policies impacting the agriculture sector, and changes in domestic demand and consumption patterns. Monitoring these factors will be crucial for understanding the trajectory of Indonesia's sugar cane processing industry.
