Indonesia’s sovereign wealth fund, Danantara has unveiled the groundbreaking of its broiler and layer chicken farm in February 2026. This is part of Danantara’s 6 downstream projects, and it involves an investment of Rp 20 trillion (US$1.1 billion) to support Indonesia’s Free Nutritious Meal (MBG) program and strengthen national food security and self-sufficiency.
The investment also involves the construction of a feed factory and the production of day-old chicks (DOC), intended to permanently address fluctuating prices for chicken eggs and DOCs in the market.
Indonesia aims to improve the welfare of farmers, strengthen the supply chain, reduce production costs, and encourage sustainable regional economic growth.
The funding provided by Danantara is part of a larger food downstreaming plan and will involve several state-owned enterprises in the food sector namely PT Perkebunan Nusantara III (Persero) and PT Berdikari.
Integrated downstreaming of poultry industry is expected to become a modern production model where the processes of breeding, feeding, cultivation, processing, and distribution are carried out in a single system.
The involvement of state-owned enterprises ensures stability for farmers and the supply chain while preventing price fluctuations from free market mechanisms.
