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Home Industry

Expert leaks key points to lead Indonesia fishing industry can survive a recession

Sinta by Sinta
April 18, 2023
in Industry, News
0
Fisheries

Illustration of fishing vessel. Photo by KKP Public Relations

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Heaptalk, Jakarta — The global recession issue, which is predicted to occur in 2023, has driven multiple business sectors in Indonesia to prepare strategies in anticipation of the worst possible condition, including the fishing industry. The abundance of marine potential and human resources can be a force for the fisheries sector to survive. In addition to these two points, the role of Government also becomes a key factor in achieving national food security.

According to the Secretary General of the Indonesian Integrated Capture Fisheries Association (Aspertadu), Marzuki Yazid, enhancing the capacity of fishermen as human resources becomes critical.

Based on the Ministry of Marine Affairs and Fisheries data, the number of ships reached 1.2 million units in 2020, an increase of 0.23 million from the previous year of 0.94 million. The data also revealed that the number of fishermen decreased by 0.2 million in 2019 from 2.29 million in 2018 to only 2.09 million. In 2020, the number of fishermen rose to 2.36 million.

Although the number of human resources demonstrated enhancement, Marzuki perceived the amount remains diminutive compared to the tremendous potential of the national fishing industry. Therefore, Marzuki urged the Government to open more educational institutions for this industry. The measures will assist the industry to have more excellent human capital and enhance people’s awareness of the national fishery potency, cultivating the notion that working in this industry is as attractive as being a government apparatus.

Regarding regulation, Marzuki viewed that the Authority can simplify licensing and strengthen the local market absorption to reduce the dominance of exports.

Marzuki said, “If this crisis occurs, the purchasing power of the market will weaken, affecting the selling price of fishermen’s catch. As demand decreases, prices will fall. The Regulator can anticipate this by simplifying licensing, assisting access to capital, and ensuring the market.”

On the upstream side, Marzuki said the synergy of business schemes between ship owners, captains, and crew members is also necessary for supporting the sustainability of the fishery business. The captains can be involved to become the owner or have a share in the assets of the fishing vessels as their savings.

Meanwhile, on the downstream side, companies that accommodate catches should also assist in post-catch handling. “Fish handling must be done in a short time, for example, backed by the availability of cold storage and other infrastructure, resulting in guaranteed caught products. The increase in the selling value of the catch can affect profit sharing for fishermen and fishery business actors,” explained Marzuki.

Currently, fishermen are still facing rising fuel prices, which suppress their profits. “The majority of our fishermen’s income system is profit sharing. With high fuel prices, 75% of the fishing cost runs out to purchase fuel,” said Marzuki.

According to him, at present, fishing vessel fleets are starting to decrease due to soaring fishing costs. In addition to fuel prices, non-tax state revenues (PNBP) also contribute to the increasing operational costs.

“With a crisis due to the low purchasing power of the market and falling fish prices, more and more fishing vessels will be unable to operate their vessels to catch fish,” said Marzuki.

In response to the increase in fuel prices, the Government, through the Ministry of Marine Affairs and Fisheries, has taken several moves to fulfill the supply of subsidized fuel for fishermen in Indonesia, one of which is coordinating with Pertamina and Indonesia’s Oil and Gas Downstream Regulatory Agency (BPH Migas). As cited from the official release, Minister Sakti Wahyu Trenggono said, “We have submitted the list to BPH Migas and Pertamina. Hopefully, the issue will be resolved shortly.”

In addition, the Minister also asked the police to ensure that the distribution of subsidized fuel is received by the fishermen who are entitled to it. Strict supervision has to be carried out to anticipate the occurrence of fraudulent distribution.

Tags: Aspertaducapture fisheriesfishermenfuel priceMarzuki Yazidrecession

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