The Federation of Motion Pictures Producers of Asia, which organises the event, cited the global economic downturn as the reason for low visitor numbers. The festival was expected to host more than 300 delegates, but around 200 cancelled in the run-up to the event.
Founded in 1953, the festival is hosted by a different Asian city each year in one of the Federation's 21 member countries. It was also cancelled last year when the host city Hong Kong declined to provide funding for the event.
Federation members will meet in Bali next month to decide whether to hold the festival in Jakarta in six to nine months time, or to wait until the 2009 edition which is set for Taipei.