Indonesia’s food and beverage industry is requesting a postponement of new nutrition labeling regulations, expressing concerns over potential economic impacts if the changes are implemented too quickly.
The new regulations announced by the Indonesian government aim to reduce non-communicable diseases by controlling sugar, salt, and fat levels in processed foods. These measures are part of a broader strategic framework concerning health. The National Agency of Drug and Food Control (BPOM) has proposed a Nutri-Level labeling system categorizing food products into four levels—A, B, C, and D—based on their respective sugar, salt, and fat content.
According to BPOM plans, these labels will appear on most packaged food and drink products sold across Indonesia. The rollout will be phased, beginning with ready-to-drink beverages such as liquid concentrates and powdered drinks, expected to launch within 18 months following final regulation approval. Other processed food categories will be incorporated in future phases, while select items like coffee, tea, and spices will be exempted. Additionally, small and micro businesses will be granted more time to comply with the new measures.
Triyono Prijosoesilo, the chairman of the Association of Indonesian Soft Drink Producers (ASRIM), has voiced the industry’s desire for a delay, highlighting that their involvement in this regulatory process has been limited. “We feel that the industry has been minimally involved in this process,” he remarked to Just Food, pointing out BPOM’s insufficient consultations with industry stakeholders.
He underscored the ambiguity concerning the criteria for each nutrient category, questioning what exactly delineates A, B, C, and D, and the rationale behind these thresholds. This lack of clarity has fostered uncertainty among producers.
Furthermore, Triyono raised concerns that label redesigns could significantly inflate production costs. Companies aiming to achieve better ratings would require time to transition to healthier product formulations, emphasizing the necessity for consumer acceptance of any recipe adjustments.
He compared Indonesia’s approach to Singapore’s ten-year consultation process, which preceded the introduction of its Nutri-Grade system in 2021. This extensive engagement helped to build consumer awareness, especially among school-aged children.
Despite the concerns raised, BPOM Chairman Taruna Ikrar has affirmed that the agency is actively gathering feedback from both companies and consumers. He stated, “The draft regulation has been completed, and we are moving forward with the public consultation process.”
BPOM is currently defining the nutritional limits for its Nutri-Level standards, prioritizing the synchronization of criteria for each category and discussing the potential grace period for implementation.
The Indonesian Food and Beverage Producers Association (GAPMMI) has echoed these warnings, cautioning about adverse effects on the industry and the wider economy. “We hope the government will consider postponing this regulation and work on developing a comprehensive roadmap with stakeholders, including food technology and nutrition experts,” remarked GAPMMI Chairman Adhi Lukman.
He added, “The consequences could be severe, from lost business opportunities to lost livelihoods. The cost to the nation would be too high.”
As outlined in the draft rules, Level A—indicated in green—represents the healthiest choices, featuring the lowest levels of sugar, sodium, and fat, while Level D—marked in red—indicates the highest levels of these ingredients. Nutri-Level labels will be prominently displayed on the front of packaging, specifying the amounts of sugar, salt, and fat per serving or per package.
Taruna indicated that BPOM is assessing the implications of the new labeling system for businesses and is exploring potential incentives to assist companies during this transition. “Reformulation efforts and other changes will have a significant impact on businesses, so we are taking that into account,” he concluded.
Overall, amidst discussions about forthcoming changes, stakeholders within the food and drink business continue to navigate these evolving regulations while addressing consumer trends and preferences that influence the food and beverage industry landscape.
