Strategic Market Analysis 2026

Indonesia Cassava & Starch Market

Analyzing a decade of price trends (2016-2026) and the massive import appetite of Southeast Asia's largest FMCG consumer base.

1. Regional Price Impact on Indonesia (2016 - Early 2026)

Regional Benchmark Import Price (CIF)
2016 - 2019: Affordable Inputs

Regional starch prices were highly stable ($350 - $410/Ton). This era of cheap raw materials allowed Indonesian Food & Beverage (F&B) manufacturers to maintain exceptionally high profit margins on snacks and noodles.

2020 - 2024: The Margin Squeeze

As regional supply dwindled, import prices skyrocketed to (~$590/Ton). Indonesian FMCG companies faced severe cost pressures, forcing some to adjust product sizing (shrinkflation) or explore alternative starches.

2025 - 2026: Strategic Sourcing

With prices stabilizing around ($415 - $425/Ton), Indonesian buyers are aggressively diversifying their supply chains, playing Vietnamese and Thai suppliers against each other to secure the best CIF prices.

2. Indonesia's Import-Export Dynamics (2026)

MASSIVE IMPORTS

The Giant's Appetite

Despite producing ~19 million tons of cassava roots, Indonesia is a massive net importer of processed starch to feed its vast industrial needs.

Primary Supply Sources

Thailand ~65%

Traditional dominant supplier of both native and modified starch.

Vietnam ~30%

Rapidly gaining market share in early 2026 due to highly competitive pricing.

The FMCG Deficit Paradox

Most domestic cassava is consumed as traditional food or local tapioca. It severely falls short of the massive demand from the Kerupuk (crackers), Instant Noodles, Paper, and Bioplastics industries, necessitating heavy imports.

MINOR EXPORTS

Niche & Specialized Outflows

Indonesia's starch exports are relatively small and highly specialized compared to its massive import volume.

Export Characteristics

Modified Starch
Value-added products
Cassava Chips
For animal feed/ethanol
  • Focus on High-Value Niches Unable to compete on volume with Thailand or Vietnam, Indonesian exporters focus on specific modified starches for global pharmaceutical and specialized food sectors.
  • Domestic Protection Priority Government policies heavily prioritize securing the domestic food supply chain over encouraging raw starch exports, ensuring local FMCG giants remain operational.