Feed efficiency is one of the key factors in improving the competitiveness of the national livestock industry. This was the focus of discussion at the Alltech x ILDEX Indonesia: National Feed Conference, part of the Road to ILDEX Indonesia 2026 series, held at Hotel Santika Premiere Bintaro, South Tangerang, on Thursday (July 23).

With the theme “Nutrition Beyond Ingredients: Building Feed Efficiency, Industry Resilience, and Sustainable Growth in Indonesia Livestock Sector,” the conference brought together government representatives, academics, feed industry stakeholders, and livestock business players to discuss strategies for improving efficiency and strengthening industry resilience amid challenges including raw material prices, climate change, and growing sustainability demands.

In his opening remarks, President Director of PT Permata Kreasi Media, Ir. Ruri Sarasono, MBA, said the conference served as an important platform for bringing together various industry stakeholders, including government, academics, associations, business players, and professionals, to discuss the development and future of Indonesia’s livestock and feed industries.

Ruri also expressed his appreciation to Alltech as a collaborative partner in organizing the event. He hoped the partnership would not end with the conference, but could develop into broader collaboration to support the growth of Indonesia’s livestock industry.

Regional Director of Alltech Malaysia & Indonesia, Heng Aik Jin, said the livestock industry is not only expected to increase production, but also to produce more using the same resources. According to him, the Nutrition Beyond Ingredients concept views nutrition as more than just raw materials, incorporating science, innovation, precision nutrition, and technology to improve feed efficiency, animal health, and industry sustainability.

In his keynote speech, Dr. drh. Nuryani Zainuddin, M.Si., Secretary of the Directorate General of Livestock and Animal Health, said Indonesia is undergoing a transformation toward a food system that is resilient, inclusive, sustainable, and highly value-added. According to her, the livestock industry faces various challenges, ranging from climate change and disruptions to global supply chains to the growing demands for ESG implementation and Net Zero Emissions.

She added that feed costs continue to dominate livestock production expenses, while the national industry still faces dependence on imported raw materials, suboptimal utilization of local resources, and uneven feed distribution and quality. Therefore, the government continues to promote increased production of local raw materials, diversification of feed sources, stronger quality standards, supply chain digitalization, and collaboration among the government, industry, academia, and farmers.

“Our challenge today is not only to increase production, but to build a food system that is resilient, inclusive, sustainable, and highly value-added,” Nuryani said.

The presentation was reinforced by Budi Tangendjaja, Ph.D., Nutritionist and Feed Technology, who emphasized that feed costs remain the largest component of poultry farming expenses, accounting for more than 70% of production costs. Therefore, efficiency must begin from raw material procurement through to the production of poultry products that meet consumer needs.

According to Budi, the modern poultry industry needs to implement vertical integration, in which every stage of production is viewed as a cost center that must be optimized. Efficiency is determined not only by raw material prices, but also by logistics, storage, shrinkage, energy consumption, production capacity, and the accuracy of nutritional formulation. With technological support, precision formulation, and sound management, production costs can be reduced without compromising animal performance.

At the farm level, indicators such as Feed Conversion Ratio (FCR), mortality, productivity, and feed cost per kilogram of product should serve as the primary benchmarks. “The focus is not on achieving the highest possible production, but on producing meat or eggs at the lowest possible cost according to market needs,” Budi said. He added that implementing performance standards (KPIs) across every operational line is key to creating an efficient, competitive, and sustainable poultry industry.

Feed Industry Projected to Grow Positively

President of the Indonesian Feed Manufacturers Association (GPMT), Ir. Tevi Melviana, IPU, ASEAN Eng, projects that the national feed industry will continue to grow positively in 2026, driven by increasing demand for chicken meat and eggs, broiler population growth, and the Free Nutritious Meals (MBG) Program.

“The feed industry is a strategic sector supporting national animal protein production, and therefore requires policy support to continue growing and strengthening food security,” Tevi said.

Nevertheless, the industry continues to face challenges, including dependence on imported raw materials, exchange-rate fluctuations, import regulations, and high logistics costs. To improve competitiveness, GPMT is encouraging raw material diversification, supply chain digitalization, feed formulation innovation, and stronger collaboration among the government, industry, suppliers, and farmers.

Gut Health Key to Reducing AMR

Meanwhile, Dr. Ronan Power, Chief Scientific Officer at Alltech, emphasized that gut health is an important strategy for improving production efficiency while reducing antimicrobial resistance (AMR).

According to Ronan, simply restricting antibiotic use is not enough. Proper nutrition can improve gut health, enhance feed conversion efficiency, and reduce the spread of resistant bacteria. Research has also shown that Mannan-Rich Fraction (MRF) can reduce the prevalence of antibiotic resistance genes. “Restricting antibiotic use alone will not solve the resistance problem. The key is to build gut health so that livestock remain healthier and antibiotic use can be reduced,” Ronan said.

In addition to improving animal health, this approach also supports sustainability by increasing feed efficiency, reducing mortality, lowering greenhouse gas emissions, and improving poultry productivity.