Indonesian Political, Business & Finance News

Kadin Urges Local Entrepreneurs to Boost Egg Production to Meet MBG Programme Needs

| Source: VIVA Translated from Indonesian | Agriculture
Kadin Urges Local Entrepreneurs to Boost Egg Production to Meet MBG Programme Needs
Image: VIVA

The Indonesian Chamber of Commerce and Industry (Kadin) is urging local entrepreneurs to increase egg production to meet the rising needs of the Free Nutritious Meals (MBG) programme. With the current number of beneficiaries at around 60 million people and an assumed consumption of two eggs per week, the weekly demand stands at approximately 120 million eggs, or more than 480 million eggs per month.

Vice Chairman of Kadin Indonesia’s Livestock Sector, Cecep Muhammad Wahyudin, emphasised that involvement from Chinese partners is not intended to displace local entrepreneurs but to bolster production capacity through livestock technology transfers. Egg demand is projected to continue rising in line with the MBG programme’s target of 92.78 million beneficiaries by 2029, as well as increases in Indonesia’s per capita egg consumption.

If the number of MBG beneficiaries reaches 92.78 million in 2029 and Indonesia’s per capita consumption rises above one egg per day, or more than 365 eggs per capita per year, demand will far exceed production. Therefore, production must be increased, and distribution needs to be improved.

“This is very important to plan and strategise from now, considering the long chicken business chain, starting from Great Grand Parent (GGP), grand parent stock (GPS), parent stock (PS), and only then final stock (FS) that produces consumption eggs. To complete this long process, at least more than three years is needed,” said Cecep in Jakarta on Wednesday, 29 April 2026.

As part of these efforts, Kadin Indonesia, together with the Aceh Provincial Kadin, received a visit from The China Egg Industry Chain Business Delegation on 21 April 2026. The meeting discussed cooperation titled Strategic Orchestration of China’s Agrotechnology Ecosystem for Strengthening the Supply Chain of MBG Sumatra Corridor, focusing on investments and technology transfers in the laying hen sector, particularly in the Aceh region.

Cecep affirmed and assured that the Chinese companies engaging in discussions with Kadin Indonesia will not become vertical integrators in Indonesia’s laying hen poultry industry. There are regulations governing this, namely rules on restrictions on vertical integration as stipulated in Law No. 5/1999 on the Prohibition of Monopolistic Practices and Unhealthy Business Competition.

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