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View all search resultsIndonesia turns to paper, glass packaging as plastic prices climb
Beyond conventional materials, the government is encouraging the development of bioplastics derived from natural resources such as cassava and seaweed.
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Glass bottles, paper straws and other items made of sustainable materials are displayed in the 'plastic free zone' of Pejo 3000, the first ski resort in Italy to ban single-use plastic, in Peio, Trentino, Italy, on Jan. 30, 2020. (REUTERS/Yara Nardi)
T
he Industry Ministry is pushing for packaging diversification and the development of alternative materials to strengthen the competitiveness of domestic manufacturers, particularly in the food and beverage sector, as global dynamics continue to drive up plastic prices.
“Industries in the food and beverages sector rely heavily on plastic for various packaging needs. We see the geopolitical situation in the Middle East as a catalyst to improve efficiency and accelerate innovation in more sustainable packaging alternatives,” said the acting director general of agro industry at the ministry, Putu Juli Ardika, on Tuesday.
In response, industry players have begun diversifying packaging materials, turning to paper, glass, metal and recycled plastics such as recycled polyethylene terephthalate (rPET), according to the ministry. Putu noted that the shift reflects both cost considerations and a broader push toward sustainability.
Furthermore, the ministry sees strong potential in paper-based packaging, supported by Indonesia’s well-established pulp and paper industry. Paper packaging is increasingly being adopted across the retail, food and beverage, e-commerce and logistics sectors.
“We are also focusing on developing aseptic packaging, which is widely used in the food and beverage industry to reduce reliance on cold chain systems,” Putu said.
He added that future innovations such as barrier paper, paper bottles, nano-cellulose coatings and active paper packaging would need to be strengthened through research and investment.
As of 2025, Indonesia’s pulp and paper industry comprised 113 companies, with a production capacity of 14.48 million tonnes of pulp and 25.37 million tonnes of paper annually.
