POULTRYINDONESIA, Jakarta – The revision of Law No. 5 of 1999 is considered an important momentum to align government policies with fair competition principles in the poultry sector.

Chairman of the Indonesian Poultry Breeding Companies Association (GPPU), Achmad Dawami, has called for policy synchronization among government agencies in revising Law No. 5 of 1999 on the Prohibition of Monopolistic Practices and Unfair Business Competition, in order to maintain balance within the national poultry industry.

During a public hearing (RDPU) with Commission VI of the Indonesian House of Representatives regarding the drafting of the competition bill, he cited poultry production control policies which, in practice, still have the potential to create differing interpretations under competition law.

“Parent stock hens that are supposed to lay eggs until 65 weeks of age can, under government policy, be culled earlier at 50–55 weeks to control chick production,” Dawami said in Jakarta on Monday (March 30).

He explained that managing the supply of day-old chicks (DOC) is one of the government’s instruments to maintain balance between production and market demand. According to him, such production control policies are mainly implemented during periods of oversupply that could suppress farm-gate prices.

However, on the other hand, such policies may also be viewed as production regulation that potentially violates competition principles. He added that supply control, price stabilization, and distribution management policies must be aligned to avoid uncertainty for business players.

“When prices rise sharply ahead of Eid, we are asked not to sell too high so people can still afford to buy. But when prices fall too low, we are also reminded to ensure the industry is not disrupted,” he said.

Dawami noted that the poultry industry has unique characteristics, as its products are highly perishable and sensitive to supply changes and market issues. In addition, production costs are influenced by fluctuating feed raw material prices such as corn and soybean meal, which in turn affect farm-level selling prices. He believes the revision of Law No. 5 of 1999 can serve as a momentum to clarify policy implementation in line with competition principles.

“Going forward, stronger understanding is needed so that policy implementation aligns with competition principles and does not create differing interpretations,” he said.

According to him, cross-sector coordination is essential to ensure that policies in production, distribution, and competition can run in balance. In the meeting, GPPU also expressed support for government policies aimed at increasing animal protein consumption through the provision of affordable poultry products.

Dawami added that the poultry sector plays a significant role in job creation across various regions, making industry stability crucial.

“We share the same goal: to provide affordable protein for the public while maintaining business sustainability,” he concluded.

He hopes the deliberation of the bill will result in more harmonious regulations and provide legal certainty for business actors in the poultry sector.

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