Nagan Raya Cooking Oil Processing Industry

Agro-Industry

Nagan Raya Cooking Oil Processing Industry

Property Description

Aceh has 240,365 hectares of palm oil plantation which are managed by the community with a production of 410,415 tons in 2019. Palm oil is the largest plantation crop in Aceh by volume, area, and economic value. The palm oil industry has significant growth potential as a major source of supply for food products and biofuels. With the increase in production, Aceh is encouraging the construction of CPO factories and their derivative products. Investment Opportunity/Activity : Cooking Oil Processing Plants: 21,3 Tons/Hour (Cooking Oil), 5,7 Tons/Hour (margarine) 30 Tons/Hour (CPO Production).

Market Opportunity

The cooking oil industry has diverse market segments depending on the quality of the oil and its composition, such as amount and level of vitamins. There are five market segments which can be identified by the marketing strategy of business people in the cooking oil industry, namely the traditional market segment (class C), class B, class B +, class A, and A +. The Ministry of Agriculture (2017) noted that the development of palm cooking oil consumption at the household level in Indonesia in 2002-2016 has generally increased with an average increase of 5.81% per year. The predicted consumption of palm cooking oil at the household level for 2017 was 11.58 liters/capita/year. This consumption has decreased compared to 2016, while 2018 and 2019 show that consumption of palm cooking oil has slightly increased. Consumption of palm cooking oil in 2018 and 2019 is predicted to be 12.17 liters/capita/year and 12.79 liters/capita/year.

Financial Estimation

Total Estimate:
IDR 115 billion IRR/NPV/BEP:
IDR 115 billion