Indonesia aims to increase its national milk production to 41 percent of national industrial demand by 2021 from 23 percent at present.
In 2016, the dairy industry needed 3.7 million tons of milk powder to process various products, but only 23 percent, or 852,000 tons, of it came from local producers, while the remaining 2.7 million tons were imported from various countries such as Australia, New Zealand, the United States and members of the European Union, according to data from the Industry Ministry.
“This dependence on imports needs to be tackled by increasing local milk production both in quantity and quality,” Industry Minister Airlangga Hartarto said in a press statement on the sidelines of the launch of a new PT Greenfields Indonesia factory on Thursday.
The government is urging more dairy producers to partner with local farmers to take care of cows and increase the cow population.
Currently, there are 58 milk processing firms, but only eight out of them have partnered with local farmers.
“The majority of farmers only have two to three cows,” the minister said, adding that rampant early culling of cows had caused a drop in the cow population and milk production.
Source: The Jakarta Post