Waste to Animal Feed

Pt. Anugrah Jaya Wisesa

12. Responsible Consumption and Production

Overview

Handling waste in a way that helps to preserve the environment is relatively new in Indonesia. Turning human food waste into animal feed is innovative. Pledging to the organizations creating the waste that it will be handled without the possibility of misuse and opening the operation to supplier audit demonstrates a unique level of transparency in waste handling by PT. Anugrah Jaya Wisesa founded in 2008.

Author

Amelia Naim Indrajaya

Amelia Naim Indrajaya

School

IPMI International Business School

IPMI International Business School

Professor

Amelia Naim Indrajaya

Amelia Naim Indrajaya

Innovation

It all began when Mrs. Notohartono, owner of PT Anugrah, met a cattle farmer and dairy product distributor. They told her that they often had shortage in livestock feeds. They were in need of a livestock-feed replacement that would have sufficient nutrition content for their cattle. Mrs. Notohartono learned that the nutritional content of certain type of human foods, such as biscuits, candies, and wafers can be beneficial to cattle.

She then met an FMCG distributor who wanted to reduce the cost of waste-handling. The distributor asked PT. Anugrah to take care of the wastes without any possibilities of misuse.

After consulting with an expert from Bandung Institute of Technology regarding the nutrition content in livestock feeds. Mrs. Notohartono developed a composition process for food waste to make livestock feeds that are sold through a distributor. The feed is regularly tested in laboratory of Bandung Institute of Technology to assure that the products have high nutrition content for cattle.

To address the concerns of FMCG concerning integrity, the company now offers each waste supplier a legally binding no-misuse assurance agreement and allows suppliers to conduct surprise inspections to monitor their processes.

Waste to Animal Feed

Inspiration

Waryanti Notohartono is an architect who has been involved in the contractor business since 2001. In 2006 she attended a seminar held at a community church regarding environmental preservation. At the seminar, she and her husband acquired information about the importance of public awareness about the necessity to save the Earth. They also watched a video clip about how much waste is generated by Jakarta inhabitants every year. They were told about a way of saving the planet by using the 4Rs: Reduce, Reuse, Recycle, and Recreate.

Inspired by the seminar Mrs. Notohartono and her husband began to realize they could create business opportunities to help preserve the environment. Based on that awareness, together they began to think about how to handle all the waste differently than the others did.

Overall impact

The company is dramatically reducing the need for waste disposal by re-manufacturing waste into usable products. For example, in addition to food waste, paper waste is sold to PT. Fajar Paper as raw material for cardboard. Plastic, glass and metal waste is also sold to produce new products.

When asked about the waste from their own processing, Mrs. Notohartono explained that they do not use chemicals such as detergents. So their processes do not harm the environment.

Business benefit

PT. Anugrah Jaya Wises, established in 2008, has developed a profitable business turning waste into resellable products. They handle paper, plastic, glass, metal, solid food waste and liquid food waste. Each is re-processed and sold. For example, flavored drinks have a foul smell after their expiration date. Pt Anugrah reprocesses this waste stream to create a “perfume” that suppresses the growth of bacteria in sewer systems preventing odors.

Sustainability is a problem in Indonesia, but the real problem is the number of the companies involved is still small. There is still big opportunity for this business to develop and flourish in the region.

Social and environmental benefit

Mrs. Notohartono has wide networks including institutions such as church communities, environment preservation communities, etc. She also pioneered several activities such as counseling about environmental preservation which involves the 4R principle, and also the ‘biopori’ holes movement. She explained that ‘biopori’ holes can be used to make of organic fertilizer (compost) and to prevent floods.

Interview

Mrs. Waryanti Notohartono, Owner

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Pt. Anugrah Jaya Wisesa

Pt. Anugrah Jaya Wisesa

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