New ruling in Indonesia will have minimal impact on processing industry


Despite the new ruling in Indonesia urging big poultry producers to build slaughterhouses and not new closed houses, Indonesia’s poultry industry is upbeat that its food processing line will not be affected by the policy.

“The industry has been facing oversupply in recent years, so the moratorium on expansion will not have a big impact [to food processing],” said Sudirman FX, Chairman of the Indonesian Feed Producers Association. “But in the long run, it might cause several problems, because if the economy grows further, nationwide demand for chicken meat will also increase and we will have to build commercial farms again from the beginning.”


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