The continued lack of biosecurity in the Non-Industrial Commercial Poultry Sector (NICPS) ensures that Highly Pathogenic Avian Influenza (HPAI) cannot be effectively controlled in Indonesia. Lack of biosecurity past the farm gate, limited trace-back, multiple production cycles, low level of understanding of biosecurity, and minimal price differentiation between healthy and sick birds lead to poor implementation of farm biosecurity systems. This project has begun to develop cost effective biosecurity measures with a demonstrated benefit to NICPS farmers. When developed, adoption of these will improve the productivity and reduce the zoonotic threat of HPAI to the poultry industry.
Project partners within the industry (Forum Masyarakat Perunggasan Indonesia - FMPI), universities (Institut Pertanian Bogor - IPB and Udayana University - UNUD) and relevant government departments at national and provincial levels (Bali and West Java) have continued to have a significant role in the development and implementation of the project. The highlights of the first year of the project include the training activities undertaken, the significant development of support institutions and the undertaking of a baseline survey and risk analysis.
A unique feature of this project is its embedding within the Indonesian poultry industry. This has been a major achievement and has led to some of the institutions established being utilised by other donors and government agencies. At the national level the Biosecurity Consultative Group (BCG) has been established by the project to link project activities with national-level industry objectives. It is headed by Pk Don Utoyo who is also head of the FMPI and has members from private multinationals (Charoen Pokphan - CP) and Japfa Comfeed), farmer associations (Gabungan Organisasi Peternak Ayam Nasional - GOPAN and Indonesian Poultry Farmer Association and Information Centre - PINSAR) and government (Directorate General Livestock Services - DGLS). The success of the BCG has led to requests from other donors to use it as a more general forum for donor, government and industry discussion and cooperation. Through the BCG the project is playing an important role in the development of a new industry led 'road-map'; the National Poultry Industry Program (NPIP) that will develop a long term strategy to improve the structure of the industry. The project has begun developing links with the Poultry Cooperative Research Centre (CRC) based at UNE to provide advice as to what this industry structure might look like. The opening workshop for the project was held at the Crowne Plaza in Jakarta (October 20-21) and was not only a project launch but also an opportunity for all stakeholders to begin discussion on a unified approach to biosecurity in the NICPS.
At the provincial level, Project Steering Committees (PSC) have been established. These mirror the BCG and are providing input and support to project activities. The BCG and PSCs meet every quarter to review performance and plan future activities. Provincial Project Coordinators (PPC) in Bali and East Java have been appointed and trained and are managing project activities in these areas. The Pusat Biosekuriti Unggas Indonesia (PBUI) has been established with the intention of it becoming a self-sufficient training and biosecurity policy development institute. The two manager positions created in the project, one for industry liaison and the other for training, have begun to develop industry links and training programs respectively. A 5-day advisor training workshop was run in February 2009 (20 participants) with future farmer (June 2009), auditor and other stakeholder training planned. Industry stakeholders have requested to be involved in future training. FAO have signalled their intention to use the PBUI for training activities in South Sulawesi. The major Indonesian poultry industry magazines; Trobos and Poultry Indonesia featured articles concerning the advisor training in East Java.
Initial surveys of 120 farmers in each of the 2 provinces have been completed. Results from this survey will be used in conjunction with a formal risk assessment that has been undertaken of poultry farming systems in Bali and South Sulawesi. Information from these will form the basis of understanding farmer attitudes to biosecurity and the capacity to implement biosecurity measures on farm and in the marketing chain. They will also identify particular areas where practical economic and technical research will be required.
Research has been commissioned from UNUD and the Indonesian Centre for Agro-socioeconomic and Policy Studies (ICASEPS) to complete an analysis of farmer characteristics that are linked with differing levels of adoption of on-farm biosecurity. A Masters student (at IPB) will also use survey data to develop a model of cost-effective biosecurity in the NICPS.
The major change in project activities revolves around the postponement of activities in South Sulawesi (Sulsel). This was due to exchange rate issues, and a lack of appropriate partner. Solutions to these issues are presently being negotiated with ACIAR and AusAID and it is expected that activities will commence in July 2009.

Identifying and implementing cost-effective biosecurity for NICPS farms in Indonesia continues to be priority for the poultry industry. The project has continued to work at the national level with the poultry industry through our partnership with Pk Don Utoyo (FMPI), and the DGLS and at the provincial level (Bali, West Java and South Sulawesi) with the poultry farmer associations and Provincial and Kabupaten Dinas. Project staff continue to meet quarterly with its project partners at Biosecurity Consultative Group (BCG) meetings and Provincial Steering Committee (PSC) meetings. The major activities and developments for the year were:
1. Extension into South Sulawesi.
AusAID has provided $300,000 to be used to extend project activities into South Sulawesi during the remaining 2.5 years of the project. Project activities began with an opening workshop on November 16th, 2009. Staff were employed in February and have been allocated office space in the SADI office and in the Dinas office. Advisor, 'how to train' and farmer training workshops have already been undertaken and a survey of broiler and layer farmers completed. The project is working very closely with FAO in this province and has established links with Hasanuddin University (UNHAS). The PSC has been formed and has met twice. The Head of the PSC is drh. Wahyu Suhadji, a farmer and head of the poultry farmer association. The clean market chain working group has also been formed.
2. Survey of Broiler and Layer Smallholders.
The survey of NICPS layer and broiler farmers in Bali and West Java has been completed. 228 smallholders have been interviewed 3 times (4 monthly intervals). Data has been cleaned and initial results will be presented at the project-sponsored workshop titled 'Towards the adoption of cost-effective biosecurity in NICPS farms' in June 2010. A farm biosecurity status scoring system has been developed and will be used as a basis for further analysis to identify cost-effective biosecurity for NICPS farms. Nine papers will be presented at this workshop by project partners and two will be further developed and presented at the AARES conference in Melbourne in February 2011.
The survey form has also been used by Indonesian-Dutch Partnership (IDP) program. It may also be used by the USDA for their data collection. Using the same data form will allow a larger dataset to be compiled and better information available to policy makers.
Consumer surveys have also been completed by researchers at UNUD (Bali) and ICASEPS (West Java) to determine the consumers' willingness to pay for product from biosecure farms. The results of this research will be presented at the biosecurity workshop in June.
3. Biosecurity training.
This project has developed 3 workshop formats suited to the needs of advisors and farmers. In the past 12 months the project has run 7 training workshops 4 fully funded by ACIAR, 1 by USDA, 1 by FAO and 1 jointly funded by ACIAR and FAO. This funding of ACIAR training programs by other donors is an important step in ensuring a consistent, sustainable and coordinated approach to biosecurity training in Indonesia. It is acknowledgement of the standard of the programs developed by the ACIAR project. Further workshops for farm auditors and other stakeholders (e.g. bankers, government decision makers) are being developed. In the past year 43 advisors have attended ACIAR 5-day training programs, 49 advisors have attended a 1-day 'How to run a training course' workshop and 37 farmers have attended 2-day farmer training programs. 70 Dinas staff also received training in biosecurity at a Dinas funded training workshop for staff in Kalimantan.
A brochure has been produced to advise provide potential training organisations of the capability of the ACIAR/PBUI to implement biosecurity training programs.
Sarini Pande (PPC, Bali) has completed the requirements to become an ACIAR accredited Biosecurity Master Trainer.
4. Clean Market Chain.
Initial focus groups in Bali and West Java identified an interest in developing a niche market for product from biosecure farms. The Project Steering Committees (PSCs) in the 3 provinces have become 'Clean Market Chain Working Groups' with the aim of developing a clean market chain for meat and eggs from certified biosecure farms to be sold at premium prices in supermarkets. These groups have met in Bali and West Java. Stakeholders include; Dinas, farmers, slaughterhouse, supermarkets, collectors and contracting companies.
The project is working with the Dinas and industry to develop, implement and audit farm certification schemes.
Provincial Project Coordinators (PPCs) in Bali and West Java have completed farm biosecurity plans for 4 farms. Each farm which becomes part of the clean market chain will have implemented an approved farm biosecurity plan.

Improving biosecurity of smallholder poultry farms remains a priority when controlling poultry diseases in Indonesia. In 2010/2011 there has been a focus on facilitating market access and obtaining a premium price for products sold from approved biosecure farms. It is expected that this will be suitable for wider adoption throughout Indonesia.
Major achievements of the past year include:
Training.
Technical courses were held for farmers, advisors and auditors, and awareness workshops for stakeholders such as poultry input suppliers, lending institutions and poultry associations. The objective has been to train and make aware sufficient numbers of people and organisations to pilot the development of a 'clean market chain' in the three project locations.
PPCs Bugie Kurnianto and Midha Karim have met the assessment requirements to become Indonesian Master Trainers bringing the total to four. The Indonesian members of the training team developed a high quality training package for auditors and used it to deliver a series of courses for auditors. The independence, initiative and Indonesian ownership is an important achievement of the project.
Bugie Kurnianto (PPC, West Java) and Hasmida Karim (PPC, South Sulawesi) are presently undertaking Masters Programs at IPB and Hasanuddin University respectively. Putri Komaladara (UNUD) has obtained an AusAID scholarship and will begin a Masters of economics program at UNE in June 2011. Her thesis topic will be the economics of poultry biosecurity.
Market chain development.
A framework for a market chain has been developed to market meat and eggs from the project's biosecure farms in readiness for a product launch in supermarkets which was completed at the three project locations in June 2011. A total of 63 farms (21 in Bali, 31 in West Java and 11 in South Sulawesi) have implemented agreed farm biosecurity plans and had their farms audited. They are now approved to supply their products to 6 supermarkets in the Project area. These farms have biosecurity plans developed with assistance of trained advisors, and been audited by trained personnel.
Surveys in West Java, South Sulawesi and Bali have identified consumers' willingness to pay for products from biosecure farms. In South Sulawesi it was estimated that the respondents were willing to pay an extra Rp.2,140/kg for chicken meat and Rp.1,160kg for eggs from biosecure farms. In West Java it was an additional Rp.2,987/kg and Rp.2,235/kg for chicken meat and eggs respectively. In Bali it was found that chicken meat consumers would be prepared to pay up to Rp.5,000 more per chicken and Rp.10,000/kg extra for eggs.
The project has also funded a study to estimate the market chain costs. This was headed by Ir Suryawan who is also the head of the CMC Working Group in Bali.
PPCs have worked with participating abattoirs to develop protocols for segregation, hygiene and traceability of product.
An Indonesian advertising company (Concepthings) assisted with production of labels for egg cartons and broiler packaging, signage for farm gates, offices and sheds, and promotional t-shirts. Logos were chosen from a competition run by the project. Products have been launched in West Java, Bali and South Sulawesi supermarkets in May and June. It is anticipated that these events will be featured the at the forthcoming Crawford Fund Conference "The Supermarket Revolution in Food".
Research dissemination.
A two-day conference Adoption of Cost-Effective Biosecurity for Non-Industrial Commercial Poultry Sector Farms in Indonesia in Bogor in June was organised by the project. Fifty seven delegates represented donors, industry, academia and central and provincial governments. The 17 presentations included research papers from the abovementioned surveys. Three project team members presented papers at the AARES Conference in Melbourne in February.
Stakeholder relationships.
The Clean Market Chain Working Groups in West Java, South Sulawesi and Bali, and the national-level Biosecurity Consultative Group (BCG) continue to meet regularly. They comprise representatives of government, poultry industry and university with responsibilities for guiding the project.
Regular meetings of project team members with senior officials of the Directorate General of Livestock and Animal Health Services (DGLAHS) occurred to report on project progress. Systems of accreditation and minimum biosecurity standards have been high on the agenda.
The Indonesian Poultry Biosecurity Centre (Pusat Biosekuriti Unggas Indonesia (PBUI)) established by the project is now recognised as an established training institution. Preliminary talks have occurred with DGLS and Indonesian Poultry Industry Forum (FMPI) concerning its integration into the National Poultry Strategic Plan (Komite Unggas Nasional).