High quality ingredients and clean label recipes are becoming prominent differentiators for seasonings, dressings & sauces products in Indonesia. Subsequently, the seasonings, dressings & sauces market is projected to grow from IDR58.3 trillion ($4bn) in 2021 to IDR78 trillion ($5bn) in 2026, at a compound annual growth rate (CAGR) of 6% over the five-year period, forecasts GlobalData, a leading data and analytics company.

GlobalData’s report, ‘Indonesia Seasonings, Dressings & Sauces – Market Assessment and Forecasts to 2026’, reveals that the growth of the Indonesian market will be primarily driven by the bouillons & stocks category, which is forecast to register the fastest value CAGR of 8.9% over 2020–2025. It is followed by the dips category, which is set to record a CAGR of 6.6% over the same period.

Likitha Nalluri, Consumer Analyst at GlobalData, says: “Since the COVID-19 pandemic, consumers have been attempting to recreate restaurant quality dishes at home by making use of condiments, marinades, cooking sauces, and dressings. These additives provide both culinary diversity and convenience.

“Clean-label, high-quality ingredients are becoming increasingly important differentiators for seasonings, dressings & sauces brands, addressing the need of consumers who are increasingly adopting healthier diets and lifestyles in the aftermath of the pandemic.”

‘Convenience stores’ was the leading distribution channel for seasonings, dressings & sauces market in Indonesia in 2021, followed by ‘hypermarkets & supermarkets’, and ‘food & drinks’ specialists.

The per capita expenditure on seasonings, dressings & sauces in Indonesia increased from $5.8 in 2016 to $7.2 in 2021 and is expected to reach $8.8 in 2026. This is lower than both the regional average of $9.1, and the global average of $13.8.

​Daesang, Nestlé, and Unilever were the top three companies in the Indonesia seasonings, dressings & sauces market by value in 2020, and Maggi and Chung Jung Won were the leading brands.

Nalluri concludes: “Consumers have become increasingly cautious about what goes into their food and drinks. This is forcing manufacturers to launch seasonings, dressings & sauces with natural, and sustainable ingredients, and personalized attributes such as gluten-free, halal, and vegan.”