For a country where instant noodles are practically a household staple, selling more of them should be a relatively straightforward business. But the recipe for growth is getting more complicated for Monde Nissin Corp.
The maker of Lucky Me! commands a leading position in the Philippines’ P60-billion instant noodle market, but its sales volumes remain under pressure as cash-conscious consumers tighten their spending and premium Indonesian brands increasingly take a bigger bite of the business.
“Noodles had a more challenging volume quarter. Actually, for the year, volume is still down for noodles,” chief financial officer Jesse Teo said during a recent earnings call.
There was some relief in the third quarter, when volumes recovered 3 percent from the preceding quarter. Price adjustments introduced midway through the second quarter also helped the company absorb higher packaging costs.
But passing on higher costs is hardly a walk in the park when consumers are watching every peso.
The Department of Trade and Industry’s May 2026 e-Presyo bulletin puts suggested retail prices of instant noodles at P7.50 to P8.75, with some brands increasing by 25 to 50 centavos from the February 2025 bulletin.
The bigger headache, however, is happening further up the price ladder.
Chief executive Henry Soesanto estimates that premium Indonesian noodles have already captured nearly 10 percent of the Philippine market by value, or roughly P6 billion. Unlike conventional instant noodles, premium variants, pancit canton and cup noodles are not covered by the DTI’s SRP list.
Monde Nissin is fighting back with Jjampong variants offering Korean-style spicy seafood flavors, alongside new flavors and other premium products.
The company gained 90 basis points in volume market share year-on-year in the third quarter. Yet premium competitors are expanding faster in value terms.
“However, the premium segment is growing ahead of us, so our value shares continue to trail our volume shares progress,” Soesanto said.
Euromonitor estimates the market reached P60.89 billion in 2025 and will expand to P63.67 billion this year.
For Monde Nissin, the challenge is no longer just getting more noodles into shopping baskets. It is persuading consumers that spending a little more is worth the upgrade.
