Alcoholic Beverages in Indonesia
Since ancient times, local alcoholic beverages were developed by natives in the archipelago. Some panels in 9th century Borobudur bas-reliefs depicted drink vendors, warung (small restaurant), and there is a panel depicting a building with people drinking (possibly alcoholic beverages), dancing and having fun, seeming to depict a tavern or lodging house. According to a Chinese source, Yingya Shenglan (c. 15th century) the people of Java in Majapahit kingdom drank wine made from palm sap called tuak (palm wine). However, by the 16th century Islam began to supplant Hinduism and Buddhism as the major religion in Indonesia. Since then, as a Muslim-majority country, Indonesian Muslims share Islamic dietary laws that prohibit alcoholic beverages. Nevertheless, the local alcohol-drinking culture still survives, at least among less-religious members of society and among the non-Muslim community. Certain ethno-cultural regions which are predominantly Christian are known for their affinity to alcohol-drinking traditions; such as the Batak, Torajan, Minahasan, Ambonese and Papuan.
Indonesia has its own traditional alcoholic beverages prepared by fermenting rice grain, gluten, sugar palm sap, and coconuts. According to culinary expert William Wongso, the culture of drinking distilled alcohol was never strong in Indonesia, with only a few regions having developed it.
In the Batak community in North Sumatra, tuak (palm liquor) is a compulsory drink in the celebrations and became a tradition in the community. Batak tribes are predominantly of Christian Protestant faith, yet some of its clans are Muslim. A traditional Batak bar serving tuak is called a lapo tuak.
In the Toraja lands of South Sulawesi, their version of tuak (made from fermented sugar palm sap), is called ballo. In Torajan traditional ceremonies, rituals and celebrations, ballo is always served, either as a prerequisite for the ritual; as an offering for ancestral spirits, as well as for drinks for guests. Ballo is also commonly consumed by the neighboring Bugis ethnic group.
In the Minahasa region of North Sulawesi, an almost identical palm liquor, also made from sugar palm sap, is called saguer. In Nusa Tenggara and Maluku Islands the people also drink palm wine, locally known as sopi.
Also in the Minahasa region, the people drink a highly alcoholic drink called cap tikus (lit. “rodent brand”). Cap tikus is made from distilled saguer or sopi (palm wine), which increases its alcohol content. The origin of cap tikus brand is unclear. It is suggested that circa 1820s, prior to the 1830 Java War, the KNIL Minahasan legion found and bought distilled saguer or sopi sold in blue bottles embossed with the image of mouse sold by a Chinese merchant in Fort Amsterdam in Manado. Today however, because of poor regulation on alcohol production in this region, this traditional home-made cap tikus industry is considered as an illegal beverage, due to the high prevalence of mortal alcohol poisoning.
Bottled brem bali (Balinese rice wine) and arrack are popular beverages in the Hindu-majority island of Bali. Brem is a brownish colored liquor with 5% alcohol. It is also exported to Japan and China. For Balinese people it has a religious significance too. Brem, arak and tuak are required for tabuhan (offerings) to the gods.
In Solo, Central Java, ciu, a local adaptation of Chinese wine, made from cider molasses of sugarcane is well known. It is linked to Solo’s history as a sugar plantation and production center in colonial times.
The Dutch Colonial state was established in Indonesia in the 1800s. The colonial Dutch brought their European drinking culture to the East Indies, most prominently with beer. The Heineken beer company established its brewery factory in Surabaya in 1929 during the Dutch colonial rule of Indonesia. By the 1960s, Indonesians developed their own local brands of beer, which included Bintang Beer (nationalized from Heineken) and Anker Beer.
In April 2019, the East Nusa Tenggara provincial government supported the legal aspect of production and distribution of sopi, a local traditional alcoholic beverage. This policy is very likely to make sopi the first fully supported alcoholic product by the local government in Indonesia.
Country Facts
- Revenue, at home (e.g., revenue generated in supermarkets and convenience stores) in the Alcoholic Drinks market amounts to US$1,964.0m in 2024.
- Revenue, out-of-home (e.g., revenue generated in restaurants and bars) amounts to US$890.4m in 2024.
- Revenue, combined amounts to US$2,855.0m in 2024.
- The revenue, at home is expected to grow annually by 2.34% (CAGR 2024-2029).
- In global comparison, most revenue, at home is generated in China (US$208bn in 2024).
- In relation to total population figures, the average revenue per capita, at home of US$7.02 are generated in 2024.
- In the Alcoholic Drinks market, volume, at home is expected to amount to 350.0m L by 2024.
- Volume, out-of-home is expected to amount to 98.8m L in 2024.
- Volume, combined is expected to amount to 448.8m L in 2024.
- The Alcoholic Drinks market is expected to show a volume growth, at home of -0.1% in 2025.
- The average volume per person, at home in the Alcoholic Drinks market is expected to amount to 1.25L in 2024.