January 7, 2008

Indonesia's shrimp sector optimistic on 2008 production

Indonesia's shrimp sector has set optimistic production targets for this year even though it missed the government's target in 2007. 

The Department of Marine Affairs and Fisheries (DKP) targets shrimp production this year to reach 470,000 tonnes, even though the country failed to achieve the government's target of 410,000 tonnes last year.

The optimism stems from the expansion of the area size by 70,000 hectares of intensive farms and 140,000 hectares of traditional farms in the next two years, the organisation said.

Director General of Aquaculture Development at DKP Made L. Nurdjana said the lack of investments in the sector in 2007 held back growth in the sector.

This year, the industry can count on production by big farms, such as Wachyuni Mandira, Bratasena, and soon-to-operate Aruna Wijaya Sakti (formerly known as PT Dipasena Citra) to boost shrimp production, Made said.

The government, he continued, would try to allocate business capital loans to aquaculture development. The loans, worth US$18.3 million, would be disbursed to small-scale farmers.

DKP calculates it would take IDR985.94 billion (US$104 million) to revitalize shrimp farms and to reach the 470,000 tonne-target in 2008.

He hoped PT Aruna Wijaya Sakti (AWS) would start operation soon as the largest shrimp farm in Southeast Asia has a potential to produce 150,000 tonnes of shrimps per year, which would account for more than a third of the country's targeted production.