Indofood Agri

Indofood Agri: CIMB Maintains OutPerform with $1.82 TP. House note that tour of Indofood Agri’s sugar operations left it impressed with its experienced mgt team, strong breeding programme, its estates’ improving cane yields and the better extraction rate achieved by its sugar mills. The group appears on track to achieve its production target and benefit from the strong domestic sugar prices. The only setback is the difficulty it is facing in reaching its 18k ha planting target due to compensation and weather issues.