NTB and ID Food to Develop Integrated Poultry Industry in Sumbawa
Mataram, West Nusa Tenggara (ANTARA) — The West Nusa Tenggara provincial government and PT Rajawali Nusantara Indonesia (ID Food) have signed a memorandum of understanding (MoU) for the development of an integrated poultry industry worth Rp1.2 trillion in Sumbawa Regency, West Nusa Tenggara, to strengthen agricultural downstream processing and regional food independence.
Governor of West Nusa Tenggara Lalu Muhamad Iqbal stated in a written statement received in Mataram that the integrated poultry industry project represents not merely an investment in the livestock sector, but rather a major strategy to improve the welfare of smallholder farmers whilst strengthening regional food independence.
“For West Nusa Tenggara, this is not just an ordinary investment project. This is a strategic step to build a more equitable livestock farming ecosystem and empower smallholder farmers,” he said.
The MoU was signed by Governor Lalu Muhamad Iqbal together with ID Food Chief Executive Officer Ghimoyo, witnessed by the Director General of Livestock and Animal Health of Indonesia’s Ministry of Agriculture Agung Suganda at PT Rajawali Nusantara Indonesia’s office in Jakarta on Monday, 9 March 2026.
According to the Governor, two strategic sectors within the poultry industry — namely day-old chick (DOC) production and feed supply — have historically been dominated by large businesses, leaving many smallholder farmers trapped in partnership arrangements that ensure survival but hinder development.
“With the arrival of the integrated poultry industry in West Nusa Tenggara, the government hopes to create a healthier business structure that gives greater scope for local farmers to develop independently,” Iqbal said.
The Governor also highlighted the region’s deficit in livestock products, particularly eggs and chicken meat, which currently relies on supplies from outside the province. He further noted that increased demand from the national school feeding programme (MBG) is expected to significantly boost demand for livestock products in the future.
“Currently, the number of beneficiaries of this programme in West Nusa Tenggara has approached one thousand service units. This means demand for food supplies, including livestock products, will continue to rise,” he explained.
Therefore, according to Iqbal, developing the integrated poultry industry is critically important to ensure supply security whilst opening new economic opportunities for West Nusa Tenggara communities.
He also affirmed his readiness to provide full support for the project, particularly regarding logistics connectivity, infrastructure support, and strengthening the region’s livestock farming business ecosystem.
“God willing, whatever responsibilities we have in the region will be completed as quickly as possible so that this project can commence and deliver real benefits for the community,” he stated.
The MoU also follows up the groundbreaking ceremony of the Rp1.2 trillion integrated poultry downstream processing mega-project that has already commenced in Serading Village, Moyo Hilir District, Sumbawa Regency.
The major project is designed to establish a modern integrated poultry farming system spanning superior chick supply, feed provision, production, processing, and distribution of livestock products.
ID Food Chief Executive Officer Ghimoyo stated that as a state-owned food holding company, the organisation possesses strong capacity to support the development of the national livestock sector through its extensive network of logistics, distribution, and food product processing.
Currently, ID Food operates a wide distribution network comprising 74 distribution branches, 24 cold storage facilities, 1,051 dry storage units, and more than 900 logistics fleet vehicles spread across various regions of Indonesia.
Through this partnership, ID Food will build an integrated livestock farming ecosystem in West Nusa Tenggara through various stages of the production value chain.
At the upstream stage, the company will support provision of basic livestock farming requirements such as superior chicks, feed, medicines, and vaccines.
At the production stage, smallholder farmers will be encouraged to develop their operations through contract farming schemes and off-take agreements, ensuring market certainty for their production.
Furthermore, farmers will receive training, technical assistance, and access to financing through various funding schemes including investment credit, working capital credit, and the People’s Business Credit programme (KUR).
“Meanwhile, at the downstream stage, ID Food will strengthen processing of livestock products through poultry slaughterhouses, carcass processing facilities, and product packaging, which will subsequently be marketed through the national distribution network,” he said.