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Vietnamese group to invest in 10,000 hectare Sulawesi dairy farm – Companies
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Vietnamese group to invest in 10,000 hectare Sulawesi dairy farm – Companies

ietnam’s TH Group has announced plans to invest in a 10,000-hectare dairy project in the Poso Napu Valley in Central Sulawesi, with the foreign conglomerate aiming to produce up to 1.8 million tonnes of milk annually, according to the ministry of agriculture.

“This target reflects an increase in local production capacity through this investment, not through milk imports,” Arief Cahyono, the ministry’s public relations officer, said in a statement on Sunday. tempo.co.

He added that the project will include a processing facility that will support the ambitious target of reaching full capacity production within three to five years.

Also read: No free milk in schools without local supply, minister says

Arief said the investment is in line with the government’s efforts to increase domestic milk production and reduce dependence on imports, which currently stands at 3.7 million tonnes per year.

On the other hand, according to the ministry’s 2022 data, domestic dairy companies supply only around 900,000 liters of milk annually.

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This massive shortage poses a challenge to the implementation of President Prabowo Subianto’s free nutritious meal program, which requires large quantities of milk as well as other foodstuffs, most of which will be locally sourced.