Local Factory in Bitung, Sulut Calls On Government to Restrict Direct Export to Gensan

BITUNG, GISTARA GEYA – Fish processing factory, PT Ulam Laut Nusantara in Bitung, province of North Sulawesi (Sulut) said assessment of direct export on capture fisheries to General Santos (Gensan) City Fish Port Complex, Philippines where some local traders and fishing industries optimize opportunities more value to its fishery products. If the government of Indonesia made no effort to halt the direct export to Gensan, local fishery industries would suffer supply shortage of fished raw materials. “there are more buyers in Gensan looking for fish, and heading towards Bitung. They will certainly get some,” said PT Ulam’s sourcing manager, Riyan Adiputra Prayitno

The Indonesian government should renew commitment to the policy on developing the upstream fishing industry, boosting domestic value addition in the sector. Therefore, the industry needs to halt raw material export of fish. People derive more benefits of value addition in the industry. “Tuna is very much needed in Gensan’s industry,” said Riyan Adiputra Prayitno.

He reiterated that the Indonesian government should formulate an assessment policy to restrict direct export of captured fisheries to Gensan.  If there is no restriction, some factories in the country, especially in Bitung will likely suffer supply storage from catches in Bitung’s fisheries management area. “Not only tuna, but also skipjack which is demanded, (the value) will likely increase. But, the quantity of stock available, the catches (of fishery products) to Bitung may decrease,” said Riyan Adiputra Prayitno.

Some import companies in Gensan also expect available stock of fish caught in Bitung’s watery area so far. It should be anticipated since the Indonesian government encourages companies to expand business by creating added value for the national economy. If import companies in Gensan expect more, local factories in Bitung would certainly fail in fish processing production and value addition. Besides, the direct export from Bitung to Gensan, the export companies use KM (fishing vessel) Inka Mina which is actually part of Indonesian Ministry of Marine and Fisheries Affairs (KKP) procurement program of 1.000 fishing vessels of 30 GT size or known as Inka (vessel) Mina (fish). The program was launched to increase the income and welfare of fishermen (2010 – 2014). “There is no correlation between the program and an export to Gensan. But I stress the yield of the catches (of fishery products) they enjoyed,” he said.

Direct export of the catches (of fishery products) to Gensan would lead to unhealthy competition in business, (fishery products, especially tuna, skipjack) price fluctuations. The price of fisheries in Bitung may be much lower than the ones in Gensan. This is not good for Indonesian factories. If the demand in Gensan hikes up, the market price will automatically increase. “The market is normal currently. But tuna reached its highest price of Rp 90.000 (about 5.5 US Dollars) per kilogram. The average price in the local market is Rp 50.000 (about 3.2 US Dollars) per kilogram,” he said. (LIU)