Key insights and market outlook
The Indonesian government, led by President Prabowo Subianto, has initiated efforts to increase poultry production to support the 'Makan Bergizi Gratis' (Free Nutritious Meal) program. The Ministry of Agriculture has agreed on a target to increase chicken meat production by 1.1 million tons and egg production by 700,000 tons. Egg prices have been agreed to be set at Rp 27,500/kg for purchases directly from farmers cooperatives. This move aims to stabilize prices for both farmers and consumers while supporting the government's nutrition program.
The Indonesian government has launched a comprehensive initiative to increase poultry production in support of the 'Makan Bergizi Gratis' (MBG) program, a flagship initiative under President Prabowo Subianto's administration. The Ministry of Agriculture, led by Minister Andi Amran Sulaiman, has been at the forefront of this effort 3
Key production targets have been established: 1.1 million tons increase in chicken meat production and 700,000 tons increase in egg production. These targets were set following a directive from President Prabowo to enhance domestic poultry production capacity 3
To ensure stability in the egg market, an agreement has been reached to set the egg price at Rp 27,500/kg for purchases made directly from farmers who are members of cooperatives. This pricing mechanism is designed to benefit both farmers and the government program by ensuring a stable supply at a reasonable cost 1
Minister Sulaiman expressed confidence that these measures will lead to a stabilization of poultry prices in the market. The reduction in day-old chick (DOC) prices from Rp 14,000 to Rp 11,500 is expected to contribute to this stability by lowering production costs for farmers 2
The government's approach aims to create a win-win situation for both poultry farmers and consumers. By increasing production and setting reasonable prices, the initiative addresses both the supply side through increased production capacity and the demand side through the MBG program.
The Ministry of Agriculture is coordinating closely with poultry farmers associations and cooperatives to implement these measures effectively. The agreement includes a direct purchasing mechanism from farmers' cooperatives to the program, ensuring transparency and efficiency in the supply chain 1
Poultry Production Increase Target
Egg Price Stabilization
Agricultural Policy Implementation