SKB Food (RAFI) Shifts to Value-Added Products for Higher Margins

Business Model Transformation

PT Sari Kreasi Boga Tbk (RAFI), operating as SKB Food, is undergoing a significant business transformation by focusing on integrated agri-food and seafood products with particular emphasis on value-added processed goods. The company is moving away from its previous trading business model to one that concentrates on processed products with higher profit margins.

Strategic Drivers

CEO Eko Pujianto explained that the new strategy is designed to enhance profitability through several key initiatives:

1. Digitalization of operations to improve efficiency
2. Technology implementation to strengthen distribution networks
3. Supply chain optimization to reduce costs and improve delivery times
4. Product development focusing on higher value-added products

Implementation and Expectations

The company is investing significantly in information technology systems to support their expanded distribution network and more efficient supply chain management. This strategic shift is expected to not only increase profit margins but also position SKB Food as a leader in Indonesia's agri-food and seafood processing industry.

The transformation reflects a broader trend in the Indonesian food industry where companies are moving towards more sophisticated processing and distribution operations to capture greater value from their raw materials.