BANDUNG – David Hidayat, President Director of PT Industri Jamu dan Farmasi Sido Muncul Tbk (SIDO), has been awarded The Best CEO by Tempo-IDNFinancials.

Hidayat received a special mention for Optimised Utilisation of Locally-Supplied Raw Materials, acknowledging Sido Muncul’s ability to efficiently incorporate local ingredients into its range of herbal products.

One key initiative by Sido Muncul has been securing the supply of local raw materials by promoting the cultivation of vital plants. The company has also encouraged the use of modern agricultural technologies in partnership with local farmers.

This optimization of local raw materials extends beyond meeting production needs; Sido Muncul has also added value to production by-products, selling them to international markets.

In 2019, the company established a subsidiary, PT Semarang Herbal Indoplant (SHI), specializing in the extraction of raw materials. By 2021, SHI successfully exported 16 tons of patchouli essential oil to France.

Essential oils are derived from the distillation of residual materials such as cloves, turmeric, ginger, nutmeg, citronella, and patchouli. “By processing extraction waste into essential oils, the company has implemented an environmentally friendly (zero waste) production process,” stated Sido Muncul’s management in its 2023 sustainability report.

According to idnfinancials.com, Sido Muncul posted a net profit of IDR 950.65 billion for the fiscal year 2023. The company’s Compound Annual Growth Rate (CAGR) for net profit over the past four years stands at 3.31%. (KR)