Getting an insight into dairy production in Indonesia

Reporting from Indonesia

AgriLand visited Milko today; the company produces dairy products for the Indonesian markets. It recently trialled some Irish dairy products in its production facility.

The main aim of the visit on the Bord Bia Trade Mission was to get an understanding of the Indonesian market and where Ireland might be able to fit into that market.

About Milko

The Milko plant is located approximately 70km south of the Indonesian capital, Jakarta, and is located beside Salak Mountain. This location is close to fresh milk sources and has good water quality.

The company specialises in making flavoured milk and cereal drinks. A large emphasis is placed on quality management at Milko.

Main products

The milk products are aimed at infants and children and are flavoured with chocolate for example, while the cereal drinks are used widely in hospitals and other places.

Other products include chocolate drinks flavoured with hazelnut and Tiramisu.

The company described how dairy consumption is increasing in Indonesia and products like cheese and pizza are helping the demand for the products.

While 20-25% of dairy products can be sourced locally, the rest must be imported. Milko imports skimmed milk powder from the USA. The product is competitively priced, but also meets the quality standards.

Skimmed milk powder and whey are among the products with potential to import into Indonesia.