June 29, 2006

Indonesia's Malindo Feedmill expects US$111 million in sales this year

Animal feed producer PT Malindo Feedmill said it expects sales of Rp1 trillion (US$111 million) this year, up 20 percent from last year's Rp805.59 billion (US$86 million) due to favourable market conditions.

The target would be attainable if feed price remains at its present level of Rp2,600/kg (US$0.28/kg), Malindo Commissioner Tan Lai Kai said.

Feed sales contribute 70 percent to the company's total income, with day-old chicks making up for the rest.

The target is in line with forecasted growth of the country's economy and consumption of chicken meat this year.

Indonesia's per capita consumption of chicken is still relatively low compared with that of other countries, leaving much room for development of the industry.