Central Java Governor Inaugurates Rp1.2 Trillion Dairy Farm Development
Central Java Governor Ahmad Luthfi, together with Agriculture Minister Andi Amran Sulaiman, has officially launched the construction of a large-scale integrated dairy farm in Karangbale Village, Larangan Subdistrict, Brebes Regency, on Monday (20/7).
The integrated farm, built on 710 hectares of land, will house around 30,000 dairy cows, complete with milk processing facilities, manure waste processing into biogas and fertiliser, and a feed centre. The investment value of the integrated dairy farm is estimated at Rp1.2 trillion.
Developed by PT Global Dairi Bersama, the construction was marked with a groundbreaking ceremony attended by Chair of the House of Representatives’ Commission IV Siti Hediati Soeharto, Brebes Regent Paramitha Widya Kusuma, and CEO of Saviora Group, Ihsan Mulia Putri.
“This is the largest dairy farm and milk factory in Indonesia and Southeast Asia. Central Java will therefore become more self-sufficient in food, particularly in milk production, especially with the support of the Agriculture Minister,” said Governor Ahmad Luthfi after the ceremony.
The investment is predicted to position Central Java as the centre of the national dairy industry. Currently, the dairy cow population in Central Java stands at around 77,566 head, producing approximately 78,465 tonnes of milk per year, while milk demand in the province reaches around 94,730 tonnes annually.
Ahmad Luthfi expressed optimism that milk production from the farm will cover the needs of Central Java and the nation.
“Central Java’s needs will clearly be well met with this investment. Until now, we still needed nearly 22,000 tonnes of milk per year, which we sourced from other provinces. Once this is up and running, we will have a surplus for our milk needs,” he said.
The presence of PT Global Dairi Bersama is also expected to boost investment in Central Java, a region already attracting many investors due to its conducive conditions, straightforward licensing, and competitive workforce.
“Central Java is now becoming a hub of investment, both in labour-intensive and capital-intensive industries. This project is capital-intensive; on one hand it drives enormous investment, and on the other it empowers the surrounding communities,” Ahmad Luthfi added.
Ihsan Mulia Putri, CEO of Saviora Group, said the groundbreaking and establishment of PT Global Dairi Bersama reflect a commitment to supporting the government’s efforts towards national milk self-sufficiency.
She also expressed optimism that the integrated dairy farm will give rise to a self-reliant and competitive dairy industry ecosystem, as well as creating inclusive new economic growth in Central Java’s rural areas.
“We chose Brebes in Central Java because of its extraordinary agricultural potential, the strong work ethic of its people, and the positive support from the Governor and Regent,” she said.
According to Ihsan Mulia Putri, the 30,000 dairy cows at the farm will produce around 180,000 tonnes of fresh milk per year. This figure will raise Central Java’s ranking to become the country’s second-largest milk-producing region.
“The 30,000 cows mean a 32 per cent increase in Central Java’s dairy cow population, and a rise in fresh milk production of around 18-20 per cent,” she said.
In practice, PT Global Dairi Bersama stated it will establish partnerships with local farmers. Three forms of partnership have been prepared: a partnership for male cattle to be raised as beef cattle; a partnership for dairy cows producing below 15 litres per day to be managed by local communities, with the milk sold to the farm; and a partnership for feed production.
Meanwhile, Agriculture Minister Andi Amran Sulaiman said national milk demand continues to soar in line with the growing need to meet public nutrition requirements. For this reason, Amran urged Central Java to become self-sufficient in milk to meet national needs.
Amran agreed that the scheme being implemented by PT Global Dairi Bersama can support Central Java in achieving its milk self-sufficiency target.