Estika Tata Tiara Ready To Develop Dairy Cattle Business Meets National Milk Needs

JAKARTA - PT Esteka Tata Tiara Tbk (BEEF) continues to be committed to developing the national livestock industry to support food self-sufficiency and the Free Nutrition Food (MBG) program.

BEEF president director Imam Subowo said one of the concrete forms of the company's support by bringing in 250 Friedian Holstein cattle from Australia in October 2025.

The imported dairy cows will be maintained in the village of Tumiyan Banyumas. The location is very suitable for the altitude of 700 MDPL so that the temperature is thereal ideal," said Imam in an official statement, Thursday, August 7.

Imam continued that the company has signed a cooperation agreement with the Center for Superior Livestock and Livestock feed Greenry (BBPTU) Manggala, Banyumas in its independent dairy cattle management program.

"We will learn to manage dairy cows from the BBPTU Manggala team so that they can produce 20-30 liters of milk per day with the best quality," he added.

This collaboration, he said, is also related to the management of quality feed through the availability of feed green, feed processing and the use of affordable quality concentrate feed.

"This independent dairy cow management will also take advantage of technology to monitor the health and quality of cow's milk so that the work system is more efficient," explained Imam.

Imam assessed that the company's new business line is considered promising because national fresh milk production is only able to supply about 20 percent of the raw material needs of the dairy industry.

"The reason is, the number of dairy cows in Indonesia is only 592 thousand. Assuming each tail produces 12 liters, 1,277 million tons of milk per year is obtained," explained Imam.

With this data, he sees an opportunity for additional company revenue from the dairy cow milk business line.

"As an initial stage, we invested IDR 20 billion in capital expenditure for this independent dairy cattle management program," he said.

Imam hopes that this dairy cow line will start contributing to the company's revenue in the beginning of the first quarter of 2026.

"So we can diversify income. In the early stages it will contribute 10 percent of the total income," he hoped.

As an illustration, BEEF posted a 153.7 percent increase in revenue on an annual basis to IDR 3.453 trillion at the end of June 2025. The revenue came from sales of beef, meat, processed meat products and other derivative products.

Along with the increase in revenue, BEEF also recorded an increase in net profit of 82.5 percent on an annual basis to IDR 73.7 billion in the first semester of 2025.