Domestic Milk Production Only Meets 20% of National Demand, Says Minister

3 days ago 7

November 13, 2024 | 05:17 pm

TEMPO.CO, Jakarta - Industry Minister Agus Gumiwang Kartasasmita has revealed the fact that domestic fresh milk production (SSDN) only meets about 20 percent of the total milk processing industry’s (IPS) needs. Of the 750 tons of domestic fresh milk produced, 530 tons come from the Indonesian Dairy Cooperative Association. 

Agus noted that 59 cooperatives and 44,000 farmers are capable of meeting milk quality standards. However, the remaining 80% of raw milk needs are still met through imports.

The current growth of the national milk processing industry averages only 5 percent per year. Meanwhile, the growth of domestic fresh milk production is even slower, with an average growth rate of 0.9 percent per year.

According to him, this disparity has led to a heavy reliance on imported milk. To prevent this gap from widening, he urged the Agriculture Ministry to provide guidance to domestic fresh milk producers. “Starting from milking techniques, storage, and handling to meet industry specifications,” he said in a written statement on Tuesday, November 12, 2024.

Reflecting on this gap, Agus claimed that the Industry Ministry also supports Agriculture Minister Andi Amran Sulaiman's initiative to require milk processing industries to absorb fresh milk from local farmers and collectors. 

Additionally, the ministry encourages small-scale dairy farmers to participate in the Millennial Farmer program initiated by the Agriculture Ministry, aimed at attracting young people to the dairy industry and boosting domestic production.

This is aimed at achieving food self-sufficiency, “Especially for milk needs,” said Agus.

Currently, the Industry Ministry is working to include milk commodities in the category of Basic Needs Goods and Important Goods, and eventually the Commodity Balance. This would allow for better control over supply and demand dynamics in the national milk market.

Recently, hundreds of dairy farmers and milk collectors in Boyolali Regency, Central Java, protested against quota restrictions on milk sales to factories. In response, Agriculture Minister Amran Sulaiman convened a meeting with farmers, collectors, and industry representatives to address the issue.

Amran stated that all parties agreed to work together to absorb domestic milk production. He also committed to amending regulations to mandate milk processing industries to purchase milk from local farmers.

Editor's Choice: Where Does Indonesia's Milk Come From?

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