October 30, 2005

USDA: Indonesia dairy and products annual 2005

Productivity in Indonesia's fluid milk production sector remains very low, and Indonesia will remain an importer for the majority of its dairy product needs. 

Due to expectations for an overall rise in consumer prices, consumption in 2006 is forecast to remain stable, unlike in previous years when demand achieved double-digit growth. 

Nonetheless, diversification and specialization in the sector is expected to continue, as consumers continue to look for new products. With little increase in demand expected in 2006, growth in imports will be constrained. 

However, US dairy solids are increasingly competitive in this market, and prospects for continued growth in U.S. sales remain bright.

For the full USDA report, click here.