Implementation Status of the Research Components (March - August 2002)

Component 2 - Analyses of Policies, Institutions and Support Services

Institutions and Support Services of the Fisheries Sector

Indonesia

The fisheries sector is now under a separate Ministry, the Ministry of Marine Affairs and Fisheries. The changes are in line with the shift in national strategic policies toward decentralized government instead of a centralized one. The government is committed to eliminate poverty and food insecurity by promoting sustainable, self-sufficient and participatory fisheries development. Its long-term goal is to secure and safeguard the future supply of fish on an equitable basis. Further, it must promote and facilitate new investment in primary handling and processing of fisheries products, instead of just fish processing (for example seaweed, squalene, etc.)

There are a number of institutions or groups formed by fish farmers such as Fish Farmer Cooperation, Fish-Farmer Groups, Women's Group of Fish-Farmers, Youth Fish-Farmers, Joint Aquaculture Groups (KUB) and business partners. A group of fish farmers has also developed through religious education at Pondok Pesantren (Potren), a Muslim boarding school.

In 1998, the number of fisheries cooperatives was around 308 units, including both capture fisheries and aquaculture cooperatives. Fish farmer cooperatives are less common than fishers' cooperatives, because of the economic conditions of the fish farmer and the small-scale type of business the farmer is involved with. In some locations, there is a business partnership between the private sector and the fish farmer in terms of feed supply, production infrastructure, fertilizer and pesticide, capital or marketing the products. The number of business partnerships in Indonesia is about 248 units and 80 units are aquaculture partnerships.

The empowerment of women in aquaculture activities lies in their skills in processing steam milkfish "bandeng presto" and its marketing. In the industry area, women have been trained to make Nile fillets.In areas like West Nusa Tenggara, women also go out fishing for one to three days and are involved in the marketing activities.

Currently, there is no special credit support available for fisheries but the government is implementing several credit programs that cater to the financial needs of fishers, fishery companies and fishing units. These include procurement and improvement of fishing vessels, purchase of fishing equipment/gear and the necessary working capital. These major credit programs are Small Investment Credit (KIK), Rural General Credit (Kredit Umum Pedesaan or Kupedes) and Credit for Food Security (Kredit Ketahanan Pangan or KKP), etc. In 1995, the Directorate General of Fisheries with instructions from the Ministry provided fishing vessels with outboard engines and fishing gear to a group of fishers under the revolving fund mechanism, which arrangement does not require any collateral, interest and equity.

From 1974 to 2000, the government of Indonesia developed fisheries infrastructure to support the development of marine capture fisheries. The fishing infrastructure includes 2 oceanic fishing ports, 10 national fishing ports, 19 coastal fishing ports and 557 fish landing places. Fishing port facilities consist of at least a wharf, action hall, cool room, freshwater supply, ice supply, oil supply and management office buildings. Facilities of fish landing places consist of at least a wharf, auction hall, fresh water supply and management office. The problems faced by government in the operation of fishing ports and fish landing places are utilization of fishing ports, human resource capability, limited government budget and lack of strategic and management plans.