Asia

Ministry optimistic about growing food industry amid global recession risk

As Indonesia has abundant raw materials for spices and various seasonings, its export value (of the seasonings sub-sector) could potentially increase.

Karawang, West Java (ANTARA) – The Ministry of Industry is optimistic that the food and beverage industry will continue to grow by 5-7% in 2023 despite the risk of global recession.

“We are optimistic that the food and beverage industry will grow by 5% or more as we know that some subsectors[of the industry]have reached double-digit growth,” said the food, seafood and seafood industry. ministry Emile Satria said here on Monday.

One example is the fish canning industry, which has grown by about 10%, he noted.

The ministry’s secretary-general, Dodi Widodo, said the country’s economy, including its industrial sector, is starting to recover as Indonesia is believed to have successfully mitigated the COVID-19 epidemic.

“That is demonstrated by the performance of the non-oil and gas processing industry, which recorded growth of 4.88 percent in the third quarter of 2022 and is gradually recovering,” he added.

Moreover, Indonesia’s Purchasing Managers Index (PMI) will reach 51.8 in October 2022, indicating that the sector is expanding, he said.

In addition, the export value of the food and beverage industry, including palm oil, reached US$35.99 billion in the period January-September 2022.

This figure significantly exceeded the value of food and beverage imports during the same period, pegged at $12.76 billion.

Moreover, the food and beverage industry has attracted total investment of Rp41.37 trillion by the second quarter of 2022 and absorbed some 5.5 million workers.

The seasoning sub-sector, which includes the production of soy sauce, chili sauce, tomato sauce and seasonings, was one of the sub-sectors that recorded a positive trade balance.

From January to September 2022, Indonesia’s export value of seasoning products reached US$175.8 million and product import value reached US$90.5 million.

Indonesia’s main export seasonings were seasonings and soy sauce.

Currently, Indonesia ranks as the 15th largest exporter of seasoning products in the world.

“Indonesia has abundant raw materials for spices and various seasonings, so its (seasonings sub-sector) export value could potentially increase,” said a ministry secretary.

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https://en.antaranews.com/news/262745/ministry-optimistic-food-industry-to-grow-amid-global-recession-risk Ministry optimistic about growing food industry amid global recession risk

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