Red meat investor in Indonesia can benefit from the investment opportunities provided by the partnership between Indonesia and Australia. These countries focus on developing the red meat and cattle sectors through joint cooperation. They invite potential investors that meet with this program’s purposes.
Not just offering investment opportunities, it also opens access to the global supply chain for red meat and cattle products. Hence, you can involve in investment activity and trading. It also supports food security, ensuring consumers only consume high-quality and healthy red meat products.
What Production Models to Know By Red Meat Investor in Indonesia?
Before investing in the cattle sector in Indonesia, potential investors should know the cattle production model applied. It comprises two business models; breeding and fattening. Each still has sub-business models to choose from based on your business needs and objectives as follows:
Breeding refers to a cattle production model that combines breeding and hybridization. You can discover some potential business models that apply to Indonesia. At least, there are four sub-business models that red meat investor in Indonesia can consider.
The most prominent is open grazing which involves grazing the cattle directly on a natural or improved meadow. It can graze them permanently in the field or only during the day and return them to the barn at night. Cattle can consume by-products in the field or the barn.
Another option is cut & carry which requires farmer collaboration who possess and manage cattle and its facilities. Farmers cut the forage on the land and distribute it to the breedlot. It is an alternative when open grazing is impossible. There is also SISKA Breedlot and Extensive that requires plantation for breeding.
The second cattle production model is fattening. It denotes a cattle production system in which feeder cattle got fattened in the feedlots and later sold by the farmer. Only one model of cattle fattening is available for red meat investor in Indonesia.
The feedlot aims to grow and fatten the cattle until they reach a specific weight and are ready for slaughter. The feedlot offers different functions for cattle, including growing and fattening phases.
With only a model available, you can invest in providing high-quality and healthy food stocks for the cattle. Otherwise, you can invest in the feedlot’s facilities to support cattle growing and fattening.
Red meat investor in Indonesia should understand the cattle production model because only two cattle business types are available in Indonesia, breeding and fattening. Each model requires different investments to achieve the business goals.