Indonesia: Dairy and Products Annual 2013

Strong beef prices have led to dairy culling, with the Indonesian Agricultural Census forecasting a 33% percent drop in Indonesia’s dairy herd. Despite a significant drop in milking cattle population (mostly amongst small-scale farmers), the growth of more efficient large-scale dairies in Indonesia is expected to prevent declines in overall dairy production. Whole milk powder imports are expected to remain stable or rise slightly, due to high prices and tight international supplies. These factors are encouraging Indonesian importers to maintain lower whole milk powder stocks and import on an as-needed basis. Indonesian per capita milk consumption is amongst the lowest in the ASEAN region, but growing.

Indonesia: Dairy and Products Annual 2013