The plan of Indonesia's government to set an excise tax of between IDR 2,000 and IDR 3,000 (approx. USD $0.18) per liter on carbonated (soda) drinks met fierce resistance from several institutions. Based on Indonesian law, consumption of goods that have a negative impact on consumers' health or the environment need to be controlled and monitored. The Soft Drinks Industry Association (Asrim), Indonesian Food and Beverage Association (Gapmmi),  and Indonesian Employers Association (Apindo) all consider this move to be negative for the country's soft drinks industry.

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Turnover in Indonesia's processed food and beverage industry is expected to rise 10 percent (m/m) to IDR 440 trillion (approx. USD $32.4 billion) in the second quarter of 2016 from IDR 400 trillion in the preceding quarter. This growth is expected to come on the back of Islamic celebrations (Ramadan and Idul Fitri) that always trigger rising consumption. Although the Ramadan is the holy fasting month for Muslims - implying a focus on self-control - dinner and early breakfast 'parties' boost turnover in the nation's food and beverage industry.

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The Coca Cola Company (TCCC) and its Australia-based subsidiary Coca Cola Amatil (CCA) launched two new production lines at the Coca Cola Amatil Indonesia plant located in Bekasi (West Java) at the start of the week, part of a USD $500 million investment package that will materialize over the next 4 years. TCCC, the US-based multinational beverage manufacturer, is eager to expand its business activities in Indonesia as it considers Indonesia a dynamic and promising market as well as one of the growth engines to achieve its long-term targets.

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