Sungai Budi earmarks Rp 1.2 trillion for expansion projects, including Rp 205 billion for its subsidiary – Budi Starch & Sweetener
Posted on : 03 Feb, 2014
Sungai Budi Group plans to expand its business footprint. Therefore, the agribusiness conglomerate has planned to allocate Rp 1.2 trillion ($100 million) for the year 2014.
Its subsidiaries Budi Starch & Sweetener (formerly called Budi Acid Jaya) and Tunas Baru Lampung will majorly benefit from these expansion plans. Budi Starch produces tapioca flour, sweetener and citric acid and cassava and is one of Indonesia's largest tapioca starch producers.
The company's deputy president director - Sudarmo Tasmin confirmed that they plan to earmark Rp 205 billion exclusively for Budi Starch's capital expenditure for 2014, as compared to Rp 100 billion in 2013.
On the other hand, it's other subsidiary - Tunas Baru Lampung will receive Rp 1 trillion in capex for 2014, which will be used primarily for its new sugar plant's operations, located in Way Lunik, Lampung province. Adi Karya Gemilang, another subsidiary of Sungai Budi Group will construct the plant. These expansion plans are likely to improve the company's performance in 2014.
Sudarmo Tasmin, Deputy President Director, PT Budi Starch & Sweetener Tbk has confirmed speaking at CMT's 3rd Starch World in Jakarta on 17-19 February, 2014. He will elaborate on: 'Indonesia: Production Outlook of Cassava Starch and Sweeteners and our plans for green transformation'.
Indonesian Ministry opposes importing cassava, Gapmmi keen on using domestically produced starch based materials
Posted on : 20 Dec, 2013
"The annual production of cassava in Indonesia has reached 24.6 million tons, while domestic demand for the food commodity is 24.0 million tons." ~ according to Maman Suherman, Director for Nuts And Tuber Development Affairs, Ministry of Agriculture, Indonesia.
Indonesia has enough domestic production of cassava to meet its own needs and does not need to import the commodity. Yet, the country, reportedly, imported more than three million tons of cassava in 2012 and this seems to be increasing.
There are many challenges that force the country to import despite enough production. Although there is enough cassava production to meet domestic needs, farmers lack technical know-how on the processes of developing cassava as starch-based raw and auxiliary materials for use in various industries. Moreover, they also do not possess adequate knowledge, especially in terms of competitive pricing, land space for cassava cultivation, et al.
There are other challenges too. The Agriculture Ministry official mentioned that at times a district cultivating cassava do not have any processing industry. This leads to high production costs, chiefly transportation expenses.
The ministry has already identified areas that are suitable for development of starch-based raw and auxiliary materials. The development of home-based cassava has the potential to lower Indonesia's cassava imports; thus narrowing the trade deficit.
Adhi Lukman, Chairman of Indonesian Food and Beverage Association (Gapmmi) said that his association is keen on using domestically produced starch-based raw and auxiliary materials. He, however, pointed out that quality of production is of great importance and that farmers should focus on producing cassava that has low water and high starch content. Moreover, it is also important for producers to keep in mind that production should be steady throughout the year.
The association didn't deny the fact that they will be bound to import cassava if domestic producers do not succeed in meeting the current demands. The Chairman also stated that logistical support for cassava or other starch-based commodities needs improvement in the country.
For more updates on the imports/exports & demand/supply of cassava in Indonesia, attend 3rd Starch World in Jakarta on 17-19 February, 2014.
For enquiries, contact Ms. Hafizah at email@example.com or call +65 6346 9218.
New techniques of cassava starch extraction promises food for 100 million people by 2030
Posted on : 11 Nov, 2013
Researchers from Swedish University of Agricultural Sciences (SLU) and China Agricultural University (CAU) have conducted a new study on Cassava or manioc (Manihot esculenta Crantz), and have come up with new ways to extract starch from cassava that can provide food to an additional 30 million people. What’s interesting is that these statistics can be achieved without putting more arable land into cassava cultivation. The research estimates that if this new method is applied, food can be provided for 100 million people by 2030.
The researchers at SLU and CAU have also found in their studies that as much as 30% of dry mass is found in discarded cassava stems. In the current production value chain, these stems are considered waste and are removed from the plantations. The researchers pointed that with the help of basic water-based technologies, up to 15% of such starch stem dry weight can be extracted.
If the starch can be extracted from the stems and put to industrial use, root starch (currently used for industrial purposes) can be used for food production. This change in the value chain can provide food for millions of people in the world.
That’s not all. The study also reveals that if these techniques are used, it will help in the production of biofuels such as solid fuel and biogas from the residues and processes in the extraction of stem starch.
This is a significant study on cassava as it promises to increase food and bioenergy in such a way that it contributes to sustainable development, solves issues of malnutrition and poverty globally without the need to put more land into cultivation.
For more details, please contact Ms. Hafizah at firstname.lastname@example.org or call +65 6346 9218.