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Logistics, Packaging & Processing

The Processing industry in Malaysia represent about 10% of the manufacturing output in 2022, expected to grow at a 3% CAGR over the next five year due to the rising demand of processed foods. Notable trends include the popularity of ready-to-eat options, a preference for healthier foods, the appeal of diverse cuisine, and a boost in processed food exports. Challenges encompass heightened raw material costs, labor shortages, intensified competition from abroad, and more stringent food safety regulations.

Simultaneously, the packaging market, valued at MYR 18.4 billion in Malaysia, anticipates a 3% CAGR over the next five years. The flexible packaging sector leads the market, with a notable trend towards sustainability, convenient and single-serve packaging, and a demand for tamper-evident solutions.

Likewise, Malaysia’s logistics sector, valued at MYR 170 billion, projects a 5% CAGR growth over five years. With 20% occupied by food and beverage logistics, notable trends are associated with the surge in e-commerce, the need for cold chain logistics, and the increasing demand for third-party logistics (#PL) services.

The Southeast Asian market indicates significant potential in processing, packaging, and logistics due to the inclination towards processed foods. Indonesia leads in food processing, with expected growth in the packaging market. The logistics sector is projected to expand due to the rise of e-commerce and 3PL services. 

To excel in Malaysia’s food industry, embrace innovation in products and logistics. Prioritize sustainability, convenience, and technology to meet evolving demands. Invest in supply chain efficiency for competitive growth.

  • Statista, “Malaysia – Logistics Market Size 2015-2027”, October 2023: 
  • Research and Markets, “Southeast Asia Logistics Market 2022-2027”, March 2023: 
  • Statista, “Malaysia – Packaging Market Size 2015-2027”, October 2023: 
  • Euromonitor International, “Southeast Asia – Packaging Market”, August 2023: 
  • Statista, “Malaysia – Food Processing Market Size 2015-2027”, October 2023: 
  • Research and Markets, “Southeast Asia Food Processing Market 2022-2027”, March 2023: 


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