Cheap imported milk spoils production in Central Java

Suherdjoko, The Jakarta Post, Semarang | Wed, 01/28/2009 5:17 PM

Farmers in Semarang, Salatiga and Boyolali regencies in Central Java have been forced to dump thousands of liters of fresh milk they are unable to sell to industries which prefer cheaper, imported milk.

A farming cooperative in Getasan, Semarang, reported that it had thrown away 22,000 liters of milk, worth Rp 66 million (around US$6,000) since local dairy factories began purchasing less local milk.

“We had to throw the milk in to the river because the industry refuses to buy it and we don't have enough storage room, while fresh milk keeps coming everyday,” Widodo, chairman of the coop, told The Jakarta Post on Wednesday.

Farmers in Central Java sell their milk to five main producers of dairy products, namely Bendera, Indomilk, Ultra, SGM, and Nestle.

“Those factories have only profit on their minds. When imported milk was expensive they bought our milk, even though it was not as good. But now, after we managed to improve the quality, they choose the cheaper import,” Agus Warsito, Chairman of the Central Java chapter of the Indonesian Dairy Cow Farmer Association, said.

Agus said the government has to protect local farmers by raising import taxes on milk. (dre)

Fresh milk producer imports cows

Wahyoe Boediwardhana, The Jakarta Post,  Malang | Mon, 12/15/2008 10:39 AM  

Some officers are discharging of cows from a Malaysia airlines plane in Juanda International Airport in Surabaya, East Java, Tuesday (Dec. 16). Where 198 cows was import by Indonesia from Australia to increase milk production in this region. (ANTARA photo/Eric Ireng)

Due to increasing demand for fresh milk in Asia, fresh milk producer Greenfield has imported 360 pregnant cows from Australia to improve its production capacity. 

Greenfield processing manager Darmanto told The Jakarta Post here over the weekend his company, which had allocated Rp 108 billion (US$9.55 million) for the import program, would soon make a second import of the same number. 

With the pregnancies at up to six months, the number of the company's cows able to produce 26 liters each per day will double in the next three months, he said, adding the new cows would arrive at Juanda International Airport in a chartered cargo aircraft Tuesday. 

The increase in the number of cows is expected to boost the company's capacity to up to 150 tons of fresh milk per day, plus the 70 tons of fresh milk per day supplied by the Sekar Tanjung Milk Cooperatives (PKIS). 

"We are waiting for two to three months for when the new cows have their calves," Darmanto said. 

He said his company supplied fresh milk to Cambodia, Hong Kong, the Philippines, Singapore and Vietnam and had yet to meet the demand for an additional 20 tons per day from Hong Kong and the Philippines. 

"With the new cows, we will be able to meet the additional demand in a few months," he said, adding a part of the company's production was also supplied to milk factory PT Nestle. 

Darmanto said his company decided to import the cows because the quality of local cows' milk did not meet the export standard. 

Separately, head of the East Java Veterinary Agency Sigit Hanggono called on milk powder producers such as PT Nestle, PT Frisian Flag Indonesia and Indomilk to follow PT Greenfield's lead and develop their own ranches to meet the increasing demand both at home and overseas. 

He said the government would support the cow imports to improve the country's milk production and exports.

Traditional dairy farms survive in East Jakarta

The Jakarta Post, Jakarta | Sat, 11/29/2008 11:27 AM  

Growing up among dairy cows, Dedy said he gave up on drinking milk when he was a boy, he became bored with fresh milk, having been directly exposed to it and the animals that produce it for so long. 

"I don't like milk," Dedy Iskandar, 33, the son of a dairy cattle farmer in Pondok Rangon, East Jakarta said. 

Dedy's parents have more than 20 cows, which together can produce more than 70 liters of fresh milk every day. The modest family home looks out over the farm's broad pastures. 

Besides Dedy, 26 other farmers, along with more than 1,100 dairy cows live in the area. The farms, which produce more than 4,500 liters of milk every day, are the only authorized dairies left in Jakarta. 

According to Wahyuna Rahmani, Dedy's mother, before moving to Pondok Rangon, all the farmers lived in Kuningan, South Jakarta, which was a famed dairy center until the 1990's. 

"Dedy's great grandfather owned more than 50 dairy cows in the Kuningan area. They were a good breeders compared to us, we only have a few cattle. 

"The government forced us to move because the area was part of a strategic development site, which is now the site of many important buildings," she added. 

At the time however, Wahyuna refused to move. She was overwhelmed by the idea of moving to an unknown area and worried about raising cattle in a new place. 

The government reserved 11 hectares of land in Pondok Rangon for dairy farmers to live and work on. Deddy's family moved there in 1993. The family packed up their belongings, took five of their dairy cows, and started to build a new life. 

"At that time, the area was so silent and empty. It was a miserable place with no trees," Wahyuna said. 

The area also has changed a great deal since then. Not only has it become a well-known dairy center, but the cows now compete for space with an every growing number of people, buildings and paved roads. 

After 15 years Wahyuna has 22 cattle, including some calves. 

Wahyuna said that her cows often give birth to male offspring. 

"Usually I rear those bulls to sell. The meat of dairy cattle is so good and more expensive than the other kinds of cattle. It always fetches a good price, especially around the Islamic sacrifice day of Idul Adha," she said. 

According to Dedy, the farmers milk their cows twice a day, in the early morning and around midday. "We use margarine as a lubricant to squeeze the cows' teats," Dedy said. Before milking the cows, the farmers first clean their stable, and, after the milking is finished, the farmers feed the cows. The routine is very important. 

"The cows have their own routine activities. If we changed anything, it would confuse them and they would produce less milk," he said. 

"This is a traditional dairy cattle farm. We hope someday we will be able to afford milking machines," Dedy said. 

Deddy is most worried that traditional farmers like him will lose customers because it is so easy to get powdered milk at supermarkets. 

"I don't know how much longer these traditional farms can survive," Dedy said. (naf)

RI climate turns Fonterra off investing in dairy facilities

Novia D. Rulistia, The Jakarta Post, Jakarta | Thu, 04/24/2008 12:25 AM

New Zealand-based milk producer Fonterra Group says it is unlikely to invest in processing facilities in Indonesia as the climate and environmental conditions are less than ideal for breeding cows and milk of its desired standards.

"We choose to expand our investment in countries which have cooler climates, such as China, Australia and North America," managing director for Asia, Middle East and Africa, Mark Wilson said Tuesday.

He said in those countries there was no need to spend extra money feeding the cows as grass was always abundant. In Indonesia, most cow farmers have to buy grass to feed their cattle.

"It doesn't mean that we are closing the door on investment here, but efficiency is still our main consideration," he said.

The multinational company was established by groups of farmer cooperatives comprising 11,600 cow farmers. It produces milk for the Anlene, Anmum and Boneeto brands.

It also supplies butter and other milk-based products to international food companies, such as Pizza Hut and Bread Talk.

Fonterra Brands Indonesia president director Maspiyono Handoyo said the company's investment in the country was in the form of marketing, not in processing.

"We cooperate with local industry in processing the raw materials, most of which are still imported," he said.

According to Maspiyono, Indonesia is one of the biggest Fonterra markets in Asia and the Middle East despite a milk consumption rate that is lower than other countries.

He declined to provide the company's exact market share here.

Last year, Indonesia's milk consumption reached nine liters per capita, up from 7.7 liters a year earlier. That is still lower than in the Philippines, China, Malaysia and Thailand.

However, Maspiyono is optimistic the national market for milk had a bright future, as it is projected to grow by 13 percent annually.

Sumbawa horse milk source of income

Panca Nugraha, The Jakarta Post, Dompu

The milk of wild horses has been prescribed as an effective remedy to various illnesses since the 1990s. Many people believe it cures severe illnesses such as cancer, leukemia, pneumonia, bronchitis and typhoid fever. Some maintain it enhances stamina and virility in men.

Sumbawa Island, West Nusa Tenggara, is known as a producer of wild horse milk, with production centers in the regencies of Sumbawa, Dompu and Bima.

Saneo village, around 10 km from the regency capital in Woja district, is one such production center in Dompu regency.

"Many people come to Saneo just to obtain pure wild horse milk and at the same time to watch the process firsthand," Saneo village chief Junaiddin told The Jakarta Post.

However, not a single horse was present in the village nor in the stables at residents' homes when the Post visited the area, because villagers allow their horses to forage freely, fetching them home only in the evening to milk them.

"The local administration has assisted us in packaging the milk since 2004. Milk is packaged and sealed as soon as it's milked to maintain its freshness," said Junaiddin.

Producing a bottle of milk is a time and energy-consuming process.

The afternoon the Post visited, local farmer Arifin went with dozens of other farmers to retrieve their horses. It took an hour to reach the forest on foot before the horses were spotted.

Around 30 of them roamed on a flat and sparsely vegetated plain. A number of mares were seen with their foals, next to a few steeds. None of them were tied, and only a few wore bamboo straps around their necks to mark ownership.

"Huiiik... Jara," Arifin called toward a group of horses. Jara means horse in the local language. Other farmers followed, each using a distinct call, some clapping their hands as a sign to round up.

The horses galloped toward their owners. Arifin stroked his mare, tied a rope around its neck, then guided it home while its foal followed close behind.

Back home Arifin tied and separated the foal from the mare to prevent it from suckling at its mother's breast.

After cleaning the mare's nipples with a wet cloth, Arifin milked the mare, gathering the milk in a plastic container. He then sieved it, poured it into bottles, and sealed the bottles without adding other ingredients or preservatives.

"It can last up to four months like this. It tastes better after two months compared to when it's freshly milked," he said.

In Saneo, wild horse milk sells for Rp 15,000 (US$1.60) per 600-ml bottle, and 20,000 for a 800-ml bottle. Outside the area, however, the price is higher. In Mataram the price of the larger bottle can reach Rp 100,000.

"Wild horse milk is not derived from wild horses that are caught. They are tame to their owners, but are raised in the wild. They live and forage in the forest," said Junaiddin, who takes his horses to the forest before daybreak each morning.

There are more than 200 horses in Saneo, with around 30 of them used for milk production. Together they produce an average of 60 to 80 bottles daily.

At times this falls short of demand.

"We are sometimes overwhelmed by higher demand," said Junaiddin.

Dompu regency administration spokesman Wahyuddin told the Post that the Bogor Dairy Product Analysis Center tested the milk in 2004. "It proved that wild horse milk from Saneo could cure intestinal infection and stomach cancer."

Tests also showed it is capable of fighting bacterial growth.

FARMER TO FARMERS

The Jakarta Post

Australian Ambassador to Indonesia Bill Farmer speaks with farmers Thursday in Pattalikang village in Gowa, South Sulawesi, about cultivating different varieties of grass for cattle.

The project is part of an assistance program funded by the Australian government in an effort to develop disadvantaged areas and improve the welfare of poor families in eastern Indonesia. JP/Andi Hajramurni

Govt to impose duties on imported milk

Sukabumi, West Java (ANTARA News) - The government is considering imposing duties on imported milk to enable local dairy farms to compete with foreign rivals, a minister said.

"We have requested the WTO (World Trade Organisation) to press advanced countries to lift subsidy for their dairy farms soon," Agriculture Minister Anton Apriantono said here Sunday.

He said the national milk output which averaged 342 thousand tons per year was well below demand due to the low productivity of local dairy cows.

In 2005 alone, the national milk output represented 26 percent of demand which reached 1,306 thousand tons, he said.

The lower milk output meant that the prospects for the country`s dairy farms were promising, he said.

"The main problem facing the local dairy farms is the gap between the quality set by the government and the quality of local dairy products. Consequently, the dairy products of low quality are rejected by dairy industries," he said.