Indonesia Agricultural Biotechnology Showcase Piques Interest of Indonesian Government Officials
ID2025-0024 – On May 22, 2025, FAS Jakarta organized the Indonesia Agricultural Biotechnology Showcase highlighting to Government of Indonesia (GOI) officials, university students, and other stakeholders Indonesia’s advances in the field of agricultural biotechnology. Indonesia is one of 32 countries in the world cultivating genetically engineered (GE) crops; however, new innovative products face a costly and interrupted approval processes that, if streamlined and made more efficient, can help Indonesia increase its biotechnology research, development, and production potential. Moreover, U.S. soybean and other GE product exports to Indonesia, valued at $1.75 billion in 2024, risk facing increased regulatory burdens without overall GOI support for biotechnology.
Food Processing Ingredients Annual
ID2025-0018 – Indonesia offers significant opportunities for U.S. food ingredient suppliers to supply raw materials for its 100-billion-dollar food processing industry. The United States is the third largest agricultural supplier to Indonesia, with a 10 percent market share. Soybeans and dairy products made up about 52 percent of all U.S. agricultural products shipped to Indonesia in 2024. Halal certification will become mandatory for many foods, ingredients, and additives and for all processed food products starting on October 17, 2026. Ingredients and food products with good sales potential include dairy products, fresh fruit, pork, tree nuts, powdered cheese, dried egg yolk, baking inputs, sugars and sweeteners, textured soy protein, cornstarch, natural honey, odoriferous substances, wine, almonds, juices/concentrates, cherries, peaches, raspberries, blackberries, blueberries, prepared luncheon meats, frozen meals, and frozen bakery items.
Oilseeds and Products Update
ID2024-0048 – Indonesia’s B40 biodiesel blending mandate program, which is expected to roll out in 2025, is projected to increase palm oil use by 3 percent to 22 million metric tons in 2024/25. Soybean consumption recovered in 2023/24 as soybean retail prices continue to decrease. Weak performance in the feed mill industry reduced 2023/24 soybean meal use lower than previously expected. Due to lower prices, Indonesia’s imports of U.S. soybean meal rose an estimated 43 percent to 167,000 MT in 2023/24.
Oilseeds and Products Update
ID 2024 – 0022 – Indonesia palm oil exports are estimated to decline to 26.5 million metric tons (MMT) in 2023/24 on lower output and weaker demand from key destination markets. Post revised down 2023/24 palm oil production to 45.6 MMT as 2023’s El Nino led to much lower yields than previously anticipated. Indonesia 2023/24 soybean production is also revised down to 360,000 metric tons on reduced government assistance for soybean production. Post revises 2023/24 soybean meal imports down to 5.65 MMT on weak demand from the poultry feed industry.
Food Processing Ingredients Annual
ID2024-0012
Indonesia offers significant opportunities for U.S. ingredient suppliers to meet the demand for raw materials for its food processing industry. The United States is the third largest agricultural supplier to Indonesia, with an 11-percent market share. Soybeans and dairy products made up about half of all U.S. agricultural products shipped to Indonesia in 2023. Other top U.S. agricultural product exports to Indonesia in 2023 included feeds and fodders, cotton, corn, wheat, fresh fruits, and beef and beef products. Halal certification will become mandatory for many foods/ingredients/additives and for all processed food products starting on October 17, 2024.
Exporter Guide
ID2023-0036
The United States is the second largest supplier of agricultural products to Indonesia with a 13 percent market share in 2022. Major exports include soybeans, wheat, cotton, milk powder, feeds and fodders, dairy, fresh fruit, and beef and beef products. These products also have the best growth potential due to insufficient local production to meet the growing demand for these goods. Despite an often challenging and unpredictable regulatory environment, especially for those products that compete with local goods, opportunities exist for exporters to supply Indonesia’s developed tourism market, growing food processing industry, and modern retail channels.
Agricultural Biotechnology Annual
ID2023-0022
President Jokowi stated his support for the utilization of genetically engineered (GE) crops (i.e., soybeans) in his September 2022 speech. To date, ten GE events have been allowed for cultivation in Indonesia (i.e., one GE sugarcane, one GE potato, and eight GE corn varieties).
US Ambassador to Indonesia Inaugurates World’s Largest Tempeh Factory
ID2023-0027
On September 26, 2023, U.S. Ambassador Sung Y. Kim participated in the opening of one of the largest tempeh exporting factories in the world located in Bogor, Indonesia. This new factory, belonging to Tempe Azaki, will increase the company’s current production capacity of tempeh to 50 metric tons a day. Tempe is a traditional Indonesian food staple made mostly of yellow soybeans imported from the United States. This event illustrated the importance of international trade and U.S. capacity building and the success of transforming a microenterprise into an industrial-scale, food exporter. Tempe Azaki, which has been trained by the U.S. Soybean Export Council (USSEC), utilizes almost exclusively U.S. soybeans in its manufacturing process to export its tempeh products to international markets, including the United States.
Food Processing Ingredients
ID2023-0008
Indonesia currently imports 65 percent of the raw materials needed for its growing food processing industry. In 2022, exports of U.S. agricultural products to Indonesia increased by nine percent largely due to higher demand for soybean, dairy and beef. Top U.S. agricultural exports include soybeans, feeds and fodders, cotton, dairy, corn, wheat, fresh fruits, and beef and beef products.
Oilseeds and Products Annual
ID2023-0005
Indonesia palm oil production for 2023/24 is forecast at 46 million metric tons (MMT), an increase of 3 percent from the previous year. Weather agencies are forecasting a developing El Nino weather pattern in the second half of 2023 that might bring on severe dryness. Soybean imports are expected to rise to 2.65 MMT for 2023/24 on continued rising demand from the soy-based food industry.
