This Is Why Danantara Is Investing in the Protein Industry
Jakarta, CNBC Indonesia – The Daya Anagata Nusantara Investment Management Agency (BPI Danantara) has spoken out about the strategic reasons behind its partnership with one of the world’s largest protein producers, JBS Group. The investment is intended to develop the protein business in Indonesia, in line with the population’s growing demand for food and protein.
Pahala Nugraha Mansury, Managing Director of Global Relations & Communications at BPI Danantara, explained that several factors are driving Danantara to develop the food industry, particularly protein.
“Firstly, the food sector is a certainty as the economy grows, especially with Indonesia’s population of roughly 280 million and Southeast Asia’s population of nearly 800 million, with protein consumption levels where Indonesia currently sits about 40% below the average protein consumption of developed countries,” he told CNBC Indonesia on Monday (7/9/2026).
Pahala believes that with an economic growth target of 8%, population growth and rising per-capita protein consumption, demand for foodstuffs — including protein-based foods — will increase.
“So this is one of the trends we are looking at going forward, particularly when we consider that the current geopolitical conditions will greatly affect the supply chain for food, which makes this something truly strategic,” he said.
“This is one of the reasons why we made this investment, while also considering who is currently one of the largest protein producers in the world,” he added.
On that basis, Danantara forged a partnership with JBS Group, which is regarded as having considerable scale, technology and capability in the protein industry. Danantara is targeting various sources of animal protein, such as beef, chicken and others.
“It turns out that JBS, a company originally from Brazil but now listed in the United States, operates assets with a fairly dominant market share in Australia, at around 45% to 50%, making it a highly promising partner,” he explained.
Furthermore, Danantara considers JBS Group’s capabilities able to support the development and strengthening of regional food supply chains, including protein, in Indonesia.
“So this is truly the basis for us recognising them as a major player, and they are also very interested in how they can optimise and grow not only in Australia but also in Indonesia, one of the largest markets located right next to Australia — and one of the food supply chains least vulnerable to geopolitical conditions,” he said.
In terms of funding, Danantara and JBS Group will each contribute US$2.5 billion, bringing the total to US$5 billion, which will be focused on developing the protein business in Indonesia over the first two years.