Industry Ministry encourages exports of alcoholic beverages

Industry Ministry encourages exports of alcoholic beverages


Denpasar, Bali (ANTARA) – Indonesia’s Ministry of Industry is promoting the exports of locally made alcoholic beverages given the excessive domestic production and large market potential.

“We are encouraging export, promotion, and branding (of local alcoholic beverages),” the ministry’s director general of agro industry, Putu Juli Ardika, said in Bali on Saturday.

Based on data from the ministry, the production volume of the national alcoholic beverage industry reached 324.1 million liters in 2023, an increase from 320.8 million liters in 2022.

The production of Class A alcoholic beverages was recorded at 194.4 million liters, followed by Class B at 118.1 million liters and Class C 11.6 million liters.

Ardika noted that the total export value of alcoholic beverages reached USD14.1 million in 2023, an increase of around 46 percent compared with USD9.6 million in 2022.

Class A alcoholic beverages accounted for the largest export value in 2023 at USD8.5 million.

Class A alcoholic beverages, such as beer, have an alcohol content of less than 5 percent. Class B beverages, such as wine, have 5–20 percent alcohol content. Meanwhile, Class C beverages, such as spirits/whiskey, have alcohol content of above 20 percent.

He informed that the countries absorbing Indonesia’s alcoholic beverage products include Malaysia, Thailand, Singapore, Russia, China, Australia, Timor Leste, the Netherlands, Kenya, and Japan.

The industry’s excise revenue reached Rp7.74 trillion (USD1 = around Rp15,865) in 2023 and Rp7.76 trillion in 2022.

In comparison, the total import value of alcoholic beverages in Indonesia in 2023 reached USD27.1 million, with Class B accounting for the largest value at USD17.6 million.

The end of restrictions due to the COVID-19 pandemic has also driven up demand for these beverages abroad.

“This proves that our products can compete and are favored by the global market,” Ardika said.

His party informed that the number of alcoholic beverage companies in Indonesia has reached 107 units. They are located in Bali, North Sulawesi, East Java, Central Java, and Banten, and employ 4,449 workers.

Their investment value is pegged at Rp3.8 trillion and annual production capacity at 673 million liters, with Class A products accounting for more than 60 percent.

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Translator: Dewa Ketut S W, Resinta Sulistiyandari
Editor: Rahmad Nasution
Copyright © ANTARA 2024


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