October 7, 2008

Cargill acquires feed mill in Indonesia

Cargill announces that it has finalised a purchase agreement with PT Berlian Unggas Sakti to acquire all physical assets of the animal feed mill in Medan, Indonesia.

Cargill and PT Berlian have also entered into a separate arrangement for a breeder feed/day-old chick supply to enable the continuity of the products and services PT Berlian provided to existing customers.

The acquisition will complement Cargill's existing animal feed business by extending Cargill's current supply network and coverage in Indonesia. The mill has a capacity of 160,000 tonnes per year. Cargill has already committed to invest in a new extruder at the facility to cater to the floating fish feed market in Sumatera Island.

PT Berlian has been engaged in the manufacture of animal feed and breeding of day-old chick parent stock in Medan since 1988. The company will continue to be engaged in the breeding operations with approximately 150 employees.