Indonesia: Instant noodles can go up to 3 times

Published 2022년 8월 10일

Tridge summary

The Russo-Ukrainian war is impacting the price of instant noodles in Indonesia, a major global market for the product. The conflict has disrupted wheat supplies, leading to a surge in international wheat prices and affecting the cost of wheat flour in Indonesia. The war's effects are exacerbated by logistical issues and economic heating up after the pandemic. As a result, the price of instant noodles in the country has risen. The government has warned of further price hikes, with the war and high wheat prices set to drive increases in the cost of noodles.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Jakarta, CNBC Indonesia - The domino effect of the Russo-Ukrainian war continues to this day. Including Indonesia. One of them is the impact on the price of instant noodles, whose upstream raw material is wheat. Where, Indonesia is the largest wheat importer in the world. And, Indonesia is the second largest instant noodle market in the world after China, including Hong Kong. The US Department of Agriculture (USDA) noted that Indonesia's wheat imports came from Australia, Ukraine, Argentina, Canada and the US. That's why the Russo-Ukrainian war had a direct and indirect impact on the price of Indonesian instant noodles. The reason is, Ukraine is a supplier of Indonesian wheat up to 28.7% in the 2021/2022 marketing year period. In addition to the stalled supplies from Ukraine and Russia, the war also caused delays in shipping due to disruptions in the availability of ships and logistics routes. This condition triggered a surge in international wheat prices. In addition, the economy ...

Source: Cnbcindonesia