F&B's turnover may go below 2010 target

JAKARTA: Food and beverage industry's turnover in 2011 is impossible to top this years target following limitation of subsidized fuel for black-platted vehicles and a possibility for electricity hike.Secretary General of Indonesian Food and Beverage
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News Editor - Bisnis.com 10 Desember 2010  |  06:58 WIB

JAKARTA: Food and beverage industry's turnover in 2011 is impossible to top this years target following limitation of subsidized fuel for black-platted vehicles and a possibility for electricity hike.Secretary General of Indonesian Food and Beverage Entrepreneurs Association (Gapmmi) Franky Sibarani just predicted the income to climb 9%-10% in 2011. The calculation is based on regulations to be implemented next year, which are believed to take effect on consumers' demand.According to him, the income growth will be contributed by the soaring sales in the modern retail sector than sales in traditional market. Two governments policies that will sustain the sales growth include, firstly, the limitation of using subsidized fuel in 2011 to be applied for whole black-platted vehicles.Secondly, that is a possibility for higher electricity-basic tariff (TDL) which may affect consumers spending pattern. If the electricity tariff is high, consumers will adapt to it by reducing spending for non-primary needs. (T01/NOM)

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