Fishery Product Export Target of USD 5.86 Billion

Fishery Product Export Target of USD 5.86 Billion

JAKARTA – Maritime and Fishery (KP) Ministry targeted this year’s fishery product export of USD 5.96 billion or a 27% increase from last year’s realization of USD 4.60 billion. 2015 fishery production is targeted for 24.12 million tons comprising 6.29 million tons from captured fishes and 17.90 million tons from cultured fishes.

KP Minister, Susi Pudjiastuti, said currently, Indonesia’s fishery product export is left behind by other countries, especially in ASEAN region. This condition is very ironic since Indonesia has longer coast line than other countries. “With the longest coast in the world, Indonesia should place first in terms of export in ASEAN not fifth. If it occurs, coastal fishermen can enjoy KP resources. Therefore, many KP resources are stolen by foreign fishermen,” Susi said after having a meeting with House’s Budget Agency on Wednesday (1/21).

In 2014, KP Ministry targeted fishery export product of USD 5.10 billion. However, the realization was only 90.20% or USD 4.60 billion. In terms of volume, 2014 fishery product export was only 1.26 million tons or far from the target of 1.54 million tons. The unachieved target is caused by export drop from some commodities. The export of tuna and mackerel in 2014, for example, was targeted for 224 thousand tons but the realization was only 196 thousand tons. It also occurred for crab targeted for 45 thousand tons but the realization was only 28 thousand tons. Even though shrimp and sea weed export exceeds the target, it cannot support overall export performance.

Meanwhile, in UN Trademap data cited from cfa.uap.asia, 2013 Indonesia’s aquaculture product and sea food export reaches USD 3.894 billion. Indonesia’s achievement only excels Philippines of USD 1.426 billion and Malaysia of USD 777 million but it is lower than Thailand of USD 6.865 billion and Vietnam of USD 5.297 billion. In general, the export from each country is far better than in 2003 in which Indonesia was USD 1.562 billion, Malaysia was USD 424 million, Philippines was USD 474 million, Thailand was 3.912 billion, and Vietnam was USD 2.200 billion.

Referring to sea width it has, Indonesia’s exports in 2003 and 2013 were very ironic since Indonesia has the longest coast line. In contrast, Thailand, having the shortest coast line, had the highest export. The coast line of Indonesia is 54,716 kilometers, Malaysia is 4,675 kilometers, Philippines is 36,289 kilometers, Thailand is 3,219 kilometers, and Vietnam is 3,444 kilometers. Consequently, nominal value ratio of export to Indonesia’s coast line length. Indonesia only has USD 71,000, Malaysia has USD 166,200, Philippines has USD 39,200, Thailand has USD 1,197,900, and Vietnam has USD 1,538,000 per kilometer.

Fishery Product Marketing and Processing Association (AP5I) Chairman, Thomas Darmawan, said Indonesia can only surpass Thailand in terms of fishery product export value if the government seriously develops domestic processing industry. Currently, domestic fishery product processing industry has no access in obtaining raw materials, including from import so the industry develops improperly. In 2013, Indonesia’s fishery product export value is only 3.894 billion with coast line length of 54.716 kilometers. In contrast, Thailand having 3,219 kilometers recorded export of USD 6.865 billion.

In the occasion, Susi also targeted fishery gross domestic product (PDB) growth of 7% in 2015. With such contribution, KP sector’s role in contributing economic growth gets higher. According to the data from Central Statistics Agency (BPS), 2014 fishery PDB in QI reached IDR 77.7 trillion, Q2 reached IDR 82.262 trillion, and QIII reached IDR 86.878 trillion.

To achieve the target, Susi said, her office keeps focusing on eradicating illegal, unreported, and unregulated (IUU) fishing and resuming transshipment at sea ban.

“The existing programs will be resumed and be our focus. Transshipment is incredible moral hazard. Ironically, there are government’s regulations allowing transshipment. Currently, 20% of global fish supply is illegal and it comes from Indonesia,” Susi said.

Susi admitted several fishery employers said various KP Ministry’s policies are law flaw and need review. Those policies are vessel permit moratorium, subsidized solar revoke for fishermen, transshipment prohibition, and fishing ban for certain species. “Some people protest it. We implement it without no reasons. Transshipment ban, for example, is implemented to prevent fuel smuggling,” Susi said.

Prioritized Programs

In the occasion, Susi said her office has implemented 2015-2019 working programs. It was made based on the fact that two-third of Indonesian area is covered by sea so it cannot be abandoned. Some working programs are to manage maritime resources sustainably to secure the country’s future. It means maritime management cannot be conducted deliberately so fishing zone and type are restricted.

“Moreover, we will improve competitiveness, develop human resources competency, and build effective and accountable management,” she said.

In concrete, Susi said, her office targeted salt self-sufficiency will occur in 2016. As an archipelagic country, Indonesia still imports salt and this is very pitiful. To achieve 2016 salt self-sufficiency, KP Ministry will cooperate with Industry Ministry and Trade Ministry. Currently, people’s salt production has reached 3.3 million tons with the needs of 3.8 million per year so it means the deficit is low.

“Salt quality issue obviously exists but we will conduct land extensification and purchase technology to achieve self sufficiency,” she said. (Investor Daily)