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INDONESIAN  COMMERCIAL NEWSLETTER
       
MAY 2008

List of Contents

FOCUS:   INCREASES IN FUEL PRICES, INFLATION RATES AND INTEREST RATES        1

INDUSTRY PROFILE:    INDONESIA'S ANIMAL FEED INDUSTRY        5

COMPANY PROFILE:  PT. JAPFA COMFEED, TBK CONTINUES TO EXPAND        31
  • Business map of PT. Japfa Comfeed, Tbk        31
  • Poultry division on        32
  • Aquaculture division on        33
  • Consumer business division on        33
  • International division on        34
  • Strategic business division on        34
  • Trade division        34
  • Financial aspect        36

INDUSTRY: FISHMEAL INDUSTRY TO FACE SCARCITY IN BASIC MATERIAL SUPPLY        38
  • Production capacity        38
  • Production increasing        40
  • Source of basic materials        41
  • Imports growing        41
  • Peru the largest supplier        61
  • Exports        43
  • China the largest country of destination in 2007        43
  • Consumption dominated by imports        44
  • MBM        45
  • Conclusion and prospects        45

AGRICULTURE:
  • CHICKEN FARMS MORE ORIENTED TO DOMESTIC MARKET        46
  • PARTNERSHIP SYSTEM BOOSTS GROWTH OF CHICKEN FARMS        52
  • PRICE OF CORN UP;  GOVERNMENT ENCOURAGES PRODUCTION        56
  • INDONESIA STILL NEEDS TO IMPORT BEEF        63

CORPORATE NEWS IN BRIEF:
  • Aditya Birla wants to invest in cement and pulp industries in Indonesia        69
  • Mitra Rajasa wants to acquire Apexindo        69
  • Indosat building submarine cable linking areas in Indonesia with Singapore        69
  • Holcim to take over BPP        70
  • Mittal favored to buy stake in Krakatau Steel        70
  • PLN reports bigger losses of US$ 616 million        70
  • Rio Tinto granted tax facility        71

ECONOMIC NEWS IN BRIEF:
  • European investors agree to build US$ 1 billion project in Padang        72
  • World Bank to finance hydropower project        72
  • EU lifts restriction on fish imports from Indonesia        72
  • Textile exports to the United State feared to fall 30%        72
  • Official price reference set for geothermal power        73
  • Five foreign investor awarded oil and gas blocks        73
  • Import duty cut on cars in CKD        74

APPENDICES:
  • Directory of Animal Feed companies in Indonesia        75

ECONOMIC INDICATOR:
  • Economic Indicators        78
  • Export and import        79
  • Gross Domestic Product        80
  • Oil Price and Foreign Exchange        81
  • The Indonesian Economic Trends        82

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