YOY value growth rate of the food segment in Indonesia Q3 2021 - Q3 2023

In the third quarter of 2023, Indonesia recorded a value growth of one percent in the food sector. This accounted for a significant decrease compared to the same quarter of the previous year. The food industry was among a few industries in the country that have been positively affected by the COVID-19 pandemic.

The impact of COVID-19 pandemic on the food retail sector

The COVID-19 pandemic that has hit the country since the beginning of 2020 has caused higher at-home food consumption among Indonesians. During this time, the food retail sector recorded a positive change in grocery spend per trip post large-scale social restriction, or PSBB, amounting to more than 250 thousand Indonesian rupiah. Food items such as rice, noodles, and other processed foods were the leading goods purchased for stockpiling during the COVID-19 pandemic in Indonesia.

A growing interest in online sales channels

Shopping for food products online has also increased in popularity during the pandemic. Consumers made online purchases at least several times a month last year. A recent finding revealed that practicing social distancing was the main reason for increasing online purchases during the COVID-19 pandemic. On that account, online retailers may see increases in future demands.