Jakarta. A Vietnamese company has expressed interest in investing in dairy farms in Indonesia, aiming to produce around 2 million tons of milk annually, Agriculture Minister Andi Amran Sulaiman said on Sunday.

This estimated output would represent 50 percent of Indonesia's annual milk imports.

Amran, who recently visited Vietnam, did not disclose the name of the company but mentioned that it requires 100,000 hectares of land for dairy farms.

"A major dairy farm specializing in milk production will invest here, and they requested 100,000 hectares of ranches to help us reduce our milk import needs by 50 percent," Amran said. "They promised to supply 50 percent of the 4.38 million tons of our milk imports."

He added that the government plans to invite the Vietnamese investor for a meeting in Indonesia to discuss the details of the planned investment, including its value.

"As for ranches, we are considering locations in eastern Indonesia, Sumatra, or Kalimantan, where the temperature is a bit cooler,” Amran said.

During his visit to Vietnam, Amran met with government officials and local entrepreneurs on July 25. He held discussions with Thai Huong, founder and chairwoman of the dairy farming company True Happiness (TH) Group, but his office did not confirm if she is the prospective investor mentioned in the minister's remarks.

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