Danantara Targets Sugar Co and ID Food Merger Next Month

Chief Operating Officer of BPI Danantara, Dony Oskaria, has targeted the merger of PT Sinergi Gula Nusantara (SGN) or Sugar Co and PT Rajawali Nusantara Indonesia (Persero) or ID Food to take place next month.

“We want to carry out the consolidation process through a merger, combining ID Food into SGN,” Dony said during a working meeting with Commission VI of the DPR at the DPR complex in Senayan, Jakarta, on Wednesday, 8 April 2026.

Dony stated that the merger would subsequently change the company’s business type. Sugar Co would be designated as a manufacturing company for sugar and other crops. Meanwhile, ID Food’s business focus is on food trading.

Dony believes that this consolidation could capture 60% of the national sugar market share.

On the same occasion, Dony emphasised the importance of the government’s role in resolving the issue of refined sugar leakage, which has hindered the development of the national sugar industry. He also revealed that Sugar Co incurred losses of Rp 680 billion due to uncontrolled sugar imports.

Furthermore, he recounted the purchase of sugar from farmers worth Rp 1.5 trillion, which had no significant impact due to the refined sugar leakage.

He urged a restructuring of the national sugar industry. “If we don’t have meetings like this, it will just keep going on, Madam. But the impact will never be resolved,” he said.