Market Trends of Indonesia Automation and Control System Industry
This section covers the major market trends shaping the Indonesia Automation & Control System Market according to our research experts:
Food and Beverages to Drive the Indonesia Automation and Control System Market
- The food and beverage industry forms one of the most important contributors to the country's GDP. Abundant natural resources and increasing domestic demand support the strength of Indonesia's food and beverage industry. Also, according to Industry Minister Agus Gumiwang Kartasasmita, in the second quarter of 2022, the food and beverage industry contributed 38.38% to the GDP of the non-oil and gas industry, making it the sub-sector with the most significant GDP contribution in Indonesia.
- The growing demand for digital transformation in the country's food and beverage sector is anticipated to contribute to the growth of automation and control systems. The Indonesian government urges its local food and beverage industry to embrace digital advancement and shift towards using local raw ingredients for manufacturing as part of the national Making Industry 4.0 industrial strategy.
- In recent years, the Making Indonesia 4.0 strategy has been announced with critical technologies such as the Internet of Things (IoT), automation, robotics, artificial intelligence, and Sensor technology as its core to elevate Indonesia's status into a global Top 10 economy by 2030. The food and beverage industry has been identified as one of the top priority sectors in this strategy.
- Food safety is an important factor in the food and beverage industry. COVID-19 has further increased the focus on this factor. Many manufacturers were required to check and improve their food safety. Robots can help to improve food safety by removing the need for human touches. Consequently, the risk of cross-contamination can be significantly reduced in food manufacturing facilities by using robots for particular food handling tasks.
- Moreover, the demand for packaged food is rising in Indonesia as well as globally. Previously, packaging facilities used manual methods to process food items, such as using human workers to pick and place food items from one place to another. However, many food packaging facilities now use complex machines throughout the assembly line of food packaging.
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DCS Holds a Dominant Position in Indonesia Automation and Control System Market
- A Distributed Control System (DCS) is integrated as a control architecture comprising a supervisory level of control that oversees multiple integrated sub-systems responsible for managing the details of a localized process. The significant usage of DCS is to control industrial processes such as oil and gas refineries, oil production, etc.
- The Distributed Control Systems are specially designed with redundancy and diagnostic capabilities for improving control reliability and performance. They provide greater flexibility to control distributed discrete field devices and their operating stations.
- One of the primary advantages of DCS is its scalability. A DCS has the capability to be incorporated in an initial installation as a large, integrated system. It can also be deployed as a standalone system that can be added to as planned or needed.
- Factors like increasing demand in the power and energy sectors and rising industrial infrastructure development in the country are expected to impact market growth positively.
- Also, the rising investments in the Indonesian oil and gas sector are also creating new growth opportunities for the application of DCS. DCS is among the oil and gas industry's most extensively used automation control systems and offers improved control over the production process.
