POULTRYINDONESIA, Yogyakarta – Universitas Gadjah Mada (UGM), in collaboration with BKT Peternak of the Indonesian Engineers Association, held a discussion forum involving academics, practitioners, industry players, professional organizations, the government, and the public under the theme “Transforming the National Poultry Industry: Optimizing the Rp20 Trillion Fund Toward Food Self-Sufficiency” in Yogyakarta on Saturday (22/11).
Opening the event, Prof. Budi Guntoro, Dean of the Faculty of Animal Science UGM, stated that the government’s planned Rp20 trillion fund relates to investment in developing priority programs, particularly the Free Nutritious Meals (MBG) initiative. According to him, although the policy is well-intentioned, it must still be closely monitored to ensure accuracy and proper allocation.
“There is concern over whether these funds will be allocated correctly. Therefore, we will provide input to the government and respond together to emerging national issues,” Budi said.
Next, Prof. Ali Agus, Expert Staff to the Minister of Agriculture, emphasized the need for a concrete roadmap for the future development of the poultry sector. He noted that the MBG program is closely linked to national agendas such as reducing stunting, expanding employment, and ensuring equitable consumption of animal protein.
“This is a major undertaking. We must not let this momentum pass by. Next year, we hope implementation can begin—swiftly, accurately, and beneficially. Therefore, we must deliberate, and the inputs from this forum will serve as initial recommendations for the program rollout,” he explained.
Following this, Agung Suganda, Director General of Livestock and Animal Health, explained that on November 7, the Minister of Agriculture and the Minister of Investment announced plans for downstream development in the poultry sector supported by Rp20 trillion in funding from Danantara.
“Since the announcement, various mixed and unclear information has circulated among the public. The design is still evolving and not final. Today’s event is expected to help clarify existing misunderstandings,” he added.
Agung noted that Indonesia has achieved self-sufficiency in chicken meat and eggs, although GPS (Grand Parent Stock) is still imported. Nationally, eggs have a surplus of 0.17 million tons, and chicken meat 0.31 million tons. However, price disparity remains a major issue, especially in regions outside the main production centers.
“With the projected needs of the Nutritional Fulfillment Service Units (SPPG), without government intervention Indonesia could face deficits of up to 482,785 tons of eggs and 737,349 tons of chicken meat. He also added that the implementation of this investment is predicted to create 1,462,948 new jobs, particularly in Sumatra, Kalimantan, Sulawesi, Nusa Tenggara, Maluku, and Papua,” he said.
During the same session, Asrokh Nawawi, Vice Chairman IV of GPPU, presented the condition of the national breeding industry. He reminded participants that GPS imports exceeding requirements could result in oversupply in the next three years, warranting strict supervision.
Meanwhile, Azrul Arifin, representing GPMT, stressed that the feed industry plays a strategic role in supporting national poultry integration. Currently, GPMT has members in 10 provinces, consisting of 45 companies and 110 feed mills. He projected feed industry growth of 6.7% in 2025 and 6% in 2026.
“The increase in feed production is driven by higher broiler harvest weights, high corn prices pushing layer farmers to shift to complete feed, a 7% rise in layer population, and increased demand due to the MBG program,” Azrul explained.
He also highlighted that even with the additional production resulting from the Rp20 trillion investment, national feed mills still have substantial idle capacity.
In the same forum, Yudianto Yosgiarso, Chairman of the Presidium of Pinsar Petelur Nasional (PPN), noted that the upstream sector is still dominated by large companies (90%), while smallholder farmers and cooperatives account for only 5–10%.
“Therefore, PPN proposes that the funds focus on strengthening upstream industries, institutional capacity, price and logistics stability, regulation and oversight, market development, and involvement of universities.”
Agung Susanto Mukti, VP of the Food Industry at ID Food, explained that the state-owned food enterprise carries the mandate of ensuring price stability for non-rice food commodities under Presidential Regulation 125/2022. He highlighted disparities in chicken meat prices across provinces, noting that 63% of national production remains concentrated on Java Island.
PT Berdikari, as part of ID Food, is expected to strengthen partnerships with smallholder farmers to ensure business certainty and support government assistance programs.
Closing the event, Herry Dermawan, a Member of Commission IV of the Indonesian House of Representatives (DPR RI), stressed that the MBG program and the Rp20 trillion fund are intended to improve the welfare of all players in the poultry sector.
“We are proud that our production is sufficient and that prices are stable, but the government must consider not only producers but also consumers—are the prices they pay fair?”
“Many farmers come to me complaining when chicken or egg prices fall, yet at the same time, there are people who complain when prices are too high. So the government must consider both how to ensure farmers prosper and consumers receive fair prices.”
He added that this is one of the key reasons behind the establishment of reference prices, as these are not arbitrary figures but are carefully calculated from both producer and consumer perspectives.
“We still have a lot of homework to do, and I’m glad everyone is here today to voice their concerns,” he concluded.
