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USSEC hosts virtual seminar for Indonesian poultry industry

USSEC hosts virtual seminar for Indonesian poultry industry

Follow-up actions to include introducing Indonesian farmers interested in purchasing soybean meal to U.S. exporters.

In an effort to stay engaged with Indonesia's poultry industry stakeholders during the COVID-19 outbreak, the U.S. Soybean Export Counci (USSEC) recently held a virtual technical seminar for the Indonesian poultry industry.

The virtual event, specifically targeted at self-mixing layer farmers located in Blitar and Kediri in Indonesia’s East Java province, was conducted over Zoom and had 24 participants, including self-mixing layer farmers, feed ingredient importers and staff of the U.S. Department of Agriculture's Foreign Agricultural Service (FAS) in Jakarta, Indonesia.

USSEC technical consultant Dr. Budi Tangenjaja conducted the seminar and delivered these key points:

  • Vertical integration is an important aspect in the layer business, as it allows the layer farms to better manage their feed costs and improve profitability.
  • It is important to consider nutrition value, and not focus solely on price, in selecting feed ingredients for the layers.
  • Use shadow price simulation – a feed formulation software in layer rations – to compare feeding costs when soybean meals of different origins are incorporated.
  • Simulation demonstrated that inclusion of U.S. soybean meal in feed formulation can help optimize feeding costs despite its higher price relative to other origins.

Chandra Arifin, Indonesia sales representative from Perdue Agribusiness, was in attendance and commented on the impact the COVID-19 pandemic has had on the commercial sector but assured participants that the flow of U.S. soybeans from farms to ports has not been disrupted and that the U.S. soy supply chain remains in good shape. Two Indonesian importers were reported to have bought containerized U.S. soybean meal for Surabaya and Medan recently.

Sugiarti Meylinah, an agricultural specialist for FAS in Jakarta, shared results of her recent field survey and expressed optimism for increased use of full-fat soybean meal this year as a result of higher domestic corn prices driven by lower domestic corn production.

Since the webinar, several farmers have followed up with a technical consultation on the use of ingredients during this difficult time as low egg prices affect their profitability and ability to replace their older layer stock.

USSEC country director in Indonesia Ibnu Wiyono is encouraged by the response to the webinar and remarked that follow-up actions will include introducing farmers who are interested in purchasing U.S. soybean meal to U.S. exporters.

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