1、 THIS REPORT CONTAINS ASSESSMENTS OF COMMODITY AND TRADE ISSUES MADE BY USDA STAFF AND NOT NECESSARILY STATEMENTS OF OFFICIAL U.S.GOVERNMENT POLICY Required Report:Required-Public Distribution Date:November 21,2025 Report Number:ID2025-0044 Report Name:Dairy and Products Annual Country:Indonesia Pos
2、t:Jakarta Report Category:Dairy and Products Prepared By:Carolus Darmawan Approved By:Lisa Ahramjian Report Highlights:Indonesias milk production increased to 722,883 metric tons in 2025,with record production projected for 2026,due to partial recovery from the 2023 Foot and Mouth Disease outbreak c
3、ombined with significant cattle imports and improved management in modern dairy farms.This growth creates opportunities for U.S.live cattle,genetics,and feed ingredients.However,reduced middle class purchasing power and milk being optional in the Free Nutritious Meals Program resulted in consumption
4、 of milk products growing at a lower rate than expected in 2025.Meanwhile,imports of skim milk powder,whey,and lactose reduced significantly,replaced by increased imports of full-fat milk and whole milk powder,and increased availability of local milk.These substitutions significantly reduced U.S.ski
5、m milk powder,whey,and lactose exports,which remain subject to the 5 percent duty and face increased price competition.Meanwhile,U.S.cheese exports to Indonesia increased by 34 percent from January to August 2025.Production Almost 70 percent of Indonesias fresh milk is produced by smallholder dairy
6、farmers,who are members of 63 well-organized dairy cooperatives under the Indonesian Dairy Cooperatives Union(GKSI).Several modern large and mid-sized dairy farms produce the remaining 30 percent.Better management of dairy production at the farm level,including improved nutrition and increased biose