Indonesia's Sugar Mill Processing Capacity Trend: A Decade Overview

According to data from the United States Department of Agriculture (USDA), there were 11 sugar refineries in Indonesia by 2025 processing imported raw sugar into refined sugar. The total installed capacity of these refineries reached 5.01 million metric tons.

"The operating capacity of these refineries varies, depending on the permits for raw sugar imports issued by the Indonesian government," the USDA wrote in its Sugar Annual report on April 18, 2025.

From 2016 to 2025, the highest processing capacity percentage occurred in 2016/17. Capacity reached 3.6 million metric tons, while the volume of raw sugar processed reached 3.34 million tons, or 92.8% of total capacity.

After that year, processing capacity increased to 4.22 million tons by 2025. However, processing capacity and its percentage varied.

Data from USDA shows that in 2024/25, installed capacity utilization increased to 84.1%, compared to 78.8% in 2023/24. "This is due to an increase in permitted raw sugar imports," the USDA wrote.

As of January 2025, capacity utilization was only 215,500 metric tons, or 5.1%. The USDA explained that, in line with projected growth in the food and beverage industry, the demand for refined sugar in 2025 is projected to increase by 6%.

"Therefore, the operating capacity of sugar factories in 2025/26 is expected to reach approximately 89%," the USDA wrote.

(Read: Indonesia's Sugar Consumption in 2024/2025 Among the Highest Globally)