Study Of Milk Industry in Indonesia – Indonesia with total population of more than 250 million people is an extremely potential market for developing milk industry. Unfortunately, the great potential is not accompanied with the capability to provide its raw material. Consequently, milk processing industry strongly depends on imported raw material. In normal condition, it will raise no problem but the rising price of imported raw material followed by weakening rupiah exchange rate will be an issue which shall immediately be overcome.

Low milk consumption in Indonesia gives broad spaces for producers to develop the markets. Various innovation have been carried out by producers to raise the interest of people to consume milk, either production innovation or marketing innovation. Incessant promotion and obvious segmentation have obliged all people to consume milk.

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