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Cosmetics industries looking for new export opportunities : September 2015

The cosmetics industry are looking for new market opportunities in order to anticipate the weakening of the rupiah against the US dollar and the economic slowdown in some countries of the world.

"It also represents an opportunity for the national industry to be more competitive, both locally and in the international market. Especially for export," said DPP Chairman of Association of the Company and Cosmetics Association of Indonesia (PPAKI) Putri Kusuma Wardani on Tuesday.

Daughter said, the industry is looking for potential export markets are not affected too greatly to the slowing economy slows. Some countries that may be targeted for export purposes in domestic cosmetics industry, among others, American, Middle East, Africa. According to Princess, cosmetic products from Indonesia are also interested in the community in some countries, so the potential is enormous.
Cosmetic Industry and Market Prospects of the ASEAN Free:, 24 June 2014

Prospects cosmetics industry in the future is quite good. If we look at the industry grew at an average 7-9% per year. It was as the development of consumer lifestyles Indonesia and the world. Its products are also increasingly diverse, ranging from hair care, skin care to herbal.

Users are no longer only women. Men are now more intense use of cosmetic products. Suppose care products for skin, hair, and body. But if make-up is still very rare, even in Indonesia, I have never seen. For another, most people have a negative impression of the metrosexual. Why so? It takes time. Metrosexual men put more attention on its appearance. Tend to have sensitivity mode and choose the quality or branded clothing and has a habit of taking care of themselves or grooming.

One of the world leaders are often identified with the metrosexual is David Beckham. So when someone says this industry is dying, it is not true. This is precisely the industry that have future prospects. Competition between local players, imports and foreign investment will be very tight. It shows the cosmetic industry is in great demand. In the face of the ASEAN free market, cosmetic companies are well-prepared. Start by modernizing the engine to improve the quality of human resource talent and business strategy.

Moreover, ASEAN Economic Community is a necessity. In ubiquitous if you want to progress can not live alone, but have to live with the surroundings. Foreign auto can go to Indonesia, but Indonesia could also abroad. So that's what happened. My observations, large-scale cosmetic companies are already prepared for the ASEAN Economic Community as they are not a new player. But the scale of SMEs is cosmetic companies still have to do some homework, including developing a network, marketing, and internal problems.

Cosmetics Manufacturing in Indonesia
Indonesia Industry Report and Market Research
April 15, 2018
Industry Code : C35232
Forecast to : 2022

Cosmetics Manufacturing in Indonesia This class consists of the manufacturing of all kinds of cosmetics, such as face makeup, perfume preparations, hair preparations, skin care preparations, body cleansing preparations, shaving preparations and traditional cosmetics.
The primary activities of firms in this industry are :
- Beauty or make-up preparations manufacturing.
- Perfume preparations manufacturing.
- Bath preparations manufacturing.
- Preparations for use on the hair, nail and skin care manufacturing.
- Baby preparations manufacturing.
- Sunscreen or suntan preparations manufacturing.
- Shaving preparations manufacturing.
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Chapter Headings US $ Select All
Industry Outlook 60.50
Key Statistics 60.50
Market Characteristics 36.30
Segmentation 36.30
Industry Conditions 60.50
Industry Performance 60.50
Key Competitors 60.50
Key Factors 27.50
Ministry of Industry Push the Cosmetic Industry Integrated Upstream-Downstream 0.39
The Cosmetic Business is More Beautiful 0.39
Price Increase lift Cosmetic Industry Growth 0.39
More than 90 Percent of Cosmetics Industry Has Yet to Implement Proper Manufacturing Process 0.39
After Change of CEO, Mandom Shares Dividend of Rp.280 per Share 0.39
Mandom Expands Production Capacity to Meet Sales Target 0.39
Mandom Certain to Reap Rp.100 Billion Profit 0.39
PT Mandom Indonesia's Net Profit Up 17.1 Percent; Kompas, 25 July 2006, page 18 0.39
Mustika Ratu's Net Profit Rp.15 Billion 0.39
Mandom Aims at Rp.1 Trillion Sales 0.39
Mandom Expands Factory 0.39
Avon Factory in Indonesia Closes Down 0.39
Cosmetics Factory to Establish Toll Manufacturing 0.39
Mandomís Profit Exceeds Target 0.39
Mustika Ratu Forms Subsidiary 0.39
Junior Doctor Program Implemented in Primary Schools Helps Raise Early Awareness 0.39
P&G Buys Indonesian Oleo-chemical Products US$ 2 Billion 0.39
PT Martina Berto Welcomes Gading Model Search Finalists 0.39
Mandom Sales Increased 17 Percent 0.39
Cuts and Plasters 0.39

Report Content

The Cosmetics Manufacturing industry in Indonesia research report contain trend analysis, statistics, market size information, industry growth rates as well as major competitors.

Major market segments are identified and also those forces affecting demand and supply within this industry. Performance analysis includes emerging industry trends as well as recent results and performance of each key company. Drawing on the depth of information DIS also provides 5 year forecasts for this industry.

The comprehensive study also examines details such as the barriers to entry, operating cost structure, technology & systems and domestic & international markets. Tables and statistics include: Industry revenue, exports, imports, wages and number of companies in the industry, Industry growth and geographic regional data.

KEY STATISTICS 2014 2015 2016 2017 2018
Industry Revenue 107,942 104,367 131,689 158,085 169,151 Rp.Billion
Industry Gross Product 7,016 6,784 8,560 10,276 10,995 Rp.Billion
Number of Establishments 110 120 130 130 130 Units
Employment 109,600 101,200 85 81,000 85,400 Units
Exports 2,856 3,457 6,481 6,521 7,820 Rp.Billion
Imports 10,926 10,899 25,482 30,419 35,880 Rp.Billion
Total Wages 1,425 1,316 1,114 1,010 1,109 Rp.Billion
Domestic Demand 116,012 111,809 150,690 181,983 197,211 Rp.Billion
The data above is sample data only

Cost of Goods Sold 67.13 Gross Profit 32.87
Operating Expense 21.5 Profit (Loss) Before Tax 11.36
Administration 1.58 Depreciation 0.56
Electricity 0.66 Freight 1.99
Fuel, Parking, Toll & Retribution 1.62 Interest 3.09
Land and Building Rental 2.74 Marketing 2.69
Repairs and Maintenance 0.54 Service Fee 0.7
Staff Welfare Allowance 1.38 Other Expenses 0.92
Stationery & Inventory 0.48 Telephone 0.8
Utensils and Equipment 1.24 Wages and Salaries 0.5
The data above is sample data only

Central Java 13.4 DKI Jakarta 6.5
East Java 22.4 North Sumatra 17.9
Papua 2.0 Bali 3.0
South Sulawesi 6.0 West Java 28.8
The data above is sample data only

Chapter Headings

Industry Outlook

A key analysis section, the Industry Outlook outlines expectations for the key industry indicators over the next five-year period.

Key Statistics

The key indicators for the industry for last five years are provided here, and include:
•   Industry Revenue
•   Industry Value Added
•   Employment
•   Establishments
•   Exports
•   Imports
•   Domestic Demand
•   Total Wages

Market Characteristics

Market Size
This section gives the size of the domestic market and the size of the export market for each industry.

This section lists the industry"s major supplier and its major customer industries, with SIC"s (KLUI) for easy reference.

Demand Determinants
Lists the key factors which are likely to cause demand to rise or fall.

Domestic and International Markets
The trend for the size of exports (are they increasing, decreasing, not changing) and the trend for the size of exports as a proportion of turnover. The size of the domestic market (domestic demand) and the proportion of this accounted for by exports
Outlines the trend for the size of domestic demand and the trend for imports as a proportion of domestic demand States the size of the domestic market (domestic demand) and the proportion of this accounted for by imports
Domestic and international markets defines the market for the products and services of this industry, both locally and in other countries. This outlines: the size of the domestic market (domestic demand) and the proportion of this accounted for by imports, the key countries from which imports are sourced (with percentage and relative size if available), the trend for the size of domestic demand and the trend for imports as a proportion of domestic demand, the size of turnover and the size of exports as a proportion of turnover, the key export destinations (percentages and relative importance of these, if available, the trend for the size of exports (are they increasing, decreasing, not changing) and the trend for the size of exports as a proportion of turnover.

Basis of Competition
Gives the key types of competition between firms within the industry. It also highlights competition from substitute products in alternative industries.


Products and Service Segmentation
This details the key products and/or services provided by this industry. Wherever possible, we include an indication as to which of these are the most important to demonstrate which have a more significant influence over industry results as a whole.

Major Market Segments
The key client industries and/or groups are detailed here. Wherever possible, an indication as to which of these are the most important is included. This will highlight the client groups that are most important to the industry. Trends in these client groups may have an important impact on the demand for products and services provided by the SIC, hence they may be important to monitor suggested links

Industry Concentration
This is an indicator of how much industry turnover is accounted for by the top players.

Geographic Spread
This is a guide to the regional share of industry turnover/gross product. DIS calculates this on the basis of turnover or production, however, the number of establishments may be used as a proxy where these are not available.

Industry Conditions

Barriers to Entry
This section outlines factors that can prevent a new company from entering the industry and will also give an indication of the extent to which this occurs.

Taxation refers to all kinds of taxation that are specific or are particularly important to an industry. This includes taxation concessions.

Industry Assitance
Assistance refers to government and/or other measures in place designed to improve the performance of the industry or sections of the industry. (eg grants, subsidies)

Regulation and Deregulation
Where licenses are required to operate in an industry, these will be noted here. Where possible, details regarding the degree of difficulty in obtaining a licence are included. Important issues relating to regulation and deregulation are included here.

Cost Structure
The average costs for a company operating in this industry as a percentage of total revenue.

Capital and Labour Intensity
Provides a guide to the amount of capital used in production/providing a service compared to the amount of labor in the total mix of inputs.

Technology and System
Acknowledges the latest technology and/or systems available to this industry within the country. Technology refers to machinery and equipment (such as computerisation) which enables better and more efficient production. Systems refer to methods of production that also enables better and more efficient production.

Industry Volatility
Industry volatility refers to the year on year fluctuations, which occur in industry output.

This gives an indication of the extent to which the industry is global. As a guide, we base its definition of the level of globalization on a number of factors, some of which include: the level of foreign ownership, the proportion of demand accounted for by foreign operators, and in the case of industries dominated by domestic participants, the volume of production conducted in other countries.

Industry Performance

Historical Performance
This section details previously important events in the development of the industry

Current Performance
This is the key analysis section for the industry over the past five years. The key performance indicators for the industry in question are discussed, providing trends and explanations for occurrences in the industry.

Key Competitors

Lists the Major Players in the industry with key details relating to those players

Key Factors

Key Sensitivities
The sensitivities are factors that are outside of the control of an operator of the industry, but are likely to have significant impact on a business.

Key Success Factors
These are the factors within the control of the operator and which should be followed in order to be successful. Often these may include behavior that will help to minimise the effects of the key sensitivities.

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Table of Contents
About this Report
Key Statistics
Market Characteristics
Industry Conditions
Key Factors
Key Competitors
Industry Performance