With its fast-growing economy and evolving consumer preferences, Indonesia is a vital market for Australian grains.
Indonesia is on track to be one of the world’s ten largest economies by the mid-2030s and the fourth largest economy by mid-century. A rising middle class, expanding population and digitalisation are changing Indonesia’s business scene. This transformation in such a near neighbour offers huge opportunities for Australian businesses. To help business take advantage of the opportunities offered by the Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA), the Australian Government recently launched a Blueprint for Trade and Investment with Indonesia.
The Blueprint highlights particular opportunities in agriculture and food, as well as health and aged care; education, training and skills; and resources and energy services.
As one of the world’s foremost producers of safe, high-quality and nutritious foods, Australia has a well-established reputation in Indonesia. Indonesia is already Australia’s largest wheat customer. The Australian grains industry is maintaining the strong noodle market through ongoing engagement and is also actively stimulating greater demand in the bakery sector.
Australian wheat has long been highly regarded in Indonesia for noodles. Flour millers prefer our wheat for noodles because of its excellent colour and texture attributes.
As incomes rise amid changing population demographics in Indonesia, consumers are also demanding more baked products and healthy whole grain options, creating significant opportunities for Australian grain exporters.
In particular, the bread, cake and biscuit sector in Indonesia is experiencing very strong growth compared with other grain food sectors. With health-conscious consumers increasingly interested in whole grain products, AEGIC has confirmed that white Australian wheat has colour and flavour advantages for whole grain bread, positioning our wheat to take advantage of this trend.
Australia is well placed to continue supplying Indonesia with grain for premium, healthy and safe food products. Now is the time for Australian businesses to start investing in building relationships in Indonesia to reap long-term rewards.
The Department of Foreign Affairs and Trade
Blueprint for Trade and Investment with Indonesia | Australian Government Department of Foreign Affairs and Trade (dfat.gov.au)