Raw Material Overshadows Fodder Companies Profit
Selasa, 20 Agustus 2013 | 09:31
The high raw material price is compounded by the impact of a weak exchange rate resulted in lower profits of some animal feed producers in first half 2013.A PT Recapital Securities’ analyst Agustini Hamid sees raw material prices, particularly soy cauliflower, rose sharply after a prolonged drought in several production centers in the United States.
Until now, animal feed manufacturers in Indonesia are still very dependent on imported supplies.
In addition, labor costs increased variety in some areas also weighed on the company.
Not to mention, manufacturing costs also put pressure on the production cost as a whole. (msw)
by Surya Mahendra Saputra, Hadijah Alaydru