The food and beverage industry, the dairy processing sub-sector, has been one of the brightest performers this year. The Ministry of Industry noted the growth of dairy processing industry players in the last three years, namely, 76 in 2019, 80 in 2020, and increased to 84 in 2021. The Director-General of Agro-Industry at the Ministry of Industry Putu Juli Ardika said the increase in the number of industries was in line with an investment of Rp 9.6 trillion throughout 2021, one of the largest in the food and beverage industry. "Those who invest a lot in the milk processing industry, Rp 9.6 trillion in 2021 with the addition of the number of industries," said Putu at a press conference, Wednesday (12/29/2021).
The Indonesian Food and Beverage Entrepreneurs Association (Gapmmi) recorded an increase in foreign investment of 75.93 percent in the January-September 2021 period, dominated by the dairy processing industry. According to data from the Ministry of Investment/Investment Coordinating Agency (BKPM), foreign investment into the food industry in January-September 2021 was recorded at US$2,018 million, an increase from the same period last year of US$1,147 million.
Putu said his party was trying to support the adequacy of raw materials for the milk processing industry through a partnership program with cooperatives and breeders. As is known, milk raw materials are still very dependent on imports, amounting to 78 percent. Chairman of Gapmmi Adhi S Lukman previously admitted that the supply of imported milk raw materials of 78 percent was a heavy burden for the industry. Two things that are highlighted to increase national milk productivity are the availability of land and animal feed. "It is quite difficult because development, especially land and feed, is a challenge. That's why every year we plan to increase milk production but it seems that it still can't be done," said Adhi some time ago.
Meanwhile, the agro-industry as a whole recorded growth of 2.39 percent in the third quarter of 2021 with the largest contributor being the food and beverage industry. Of the national gross domestic product (GDP), the food and beverage industry contributed 8.86 percent and 51.16 percent to the growth of the manufacturing industry.
