Indonesia to potentially become a top 3 market for Nestlé

Nestlé Indonesia's president director Dharnesh Gordhon said Indonesia has the potential to become one of the top three Asian markets, and the company intends to bolster its manufacturing and HR functions locally in order to achieve the goal, The Jakarta Post reported. According to Gordhon, the Indonesian market is "very dynamic" and a variety of products have been created due to the various choices that consumers have been making.

Currently, the Indonesian market forms 1% of Nestlé's overall business globally, due to the mergers and acquisitions it has carried out, he said. Most of Nestlé's factories in Asia are located in Greater China (32 factories), followed by Thailand (8) and Malaysia (7) and India (7). Quoting Gordhon, The Jakarta Post added that Nestlé's sales in Asia "contributed significantly" to its overall performance.

According to Nestlé's 2018 annual report, its ASEAN markets accounted for 30.8% of sales, the second highest after the category of "Other Asian Markets" which amassed 43.6% in sales. Meanwhile, Oceania and Japan accounted for 14.2% of sales. Overall, its powedered and liquid beverages performed the best, accounting for 28.5% of sales in 2018. Second in the list was milk products and ice cream (24.1%), followed by nutrition and health science (22.9%) and prepared dishes and cooking aids (12.2%).