indonesia shrimp company production

indonesia shrimp company production ; In Indonesia traditional shrimp farming in fresh water ponds (‘tambak’) originated more than 2000 years ago on the North shore of East Java (Raja Siregar, 2009). Nowadays, shrimp is Indonesia’s largest fishery export. In 2004, shrimp represented 15 percent of all Indonesian fishery exports by volume and 50 percent by value (DPK, 2005). By contrast, tuna (the second most important fishery export) represented 14 percent by volume and 13 percent by value. The fisheries sector is responsible for about 2.9 percent of Indonesia’s GDP (DKP, 2005a).

The total shrimp production in 2008 was 630,000 tons of which 410,000 tons aquaculture (Indonesian Fisheries Federation, 2009). The value of the latter equals more than US$ 1.5 billion (est.). For comparison: the aquaculture shrimp production in 2003 was only 179,000 tons (DKP, 2005).

The recent increase in aquaculture shrimp production is to a large extent because of restarting in 2006 of the operations at two huge shrimp farms of PT Dipasena Citra Darmaja in Lampung, Sumatra. Currently these farms are part of the CP Group (see below). With a land concession reported at 180,000 hectares, Dipasena has the potential for becoming the largest shrimp farm in the world. Dipasena has been virtually idle following the financial crisis in Southeast Asia in 1998, which led to its takeover by the Indonesian Bank Restructuring Agency (IBRA). In 2005, the company was restructured and a new investor, Renaissance Capital Asia, injected $281 million into the farm (AquaCulture Asia Pacific, 2006).

Within Indonesia, shrimp production is concentrated in Lampung (Sumatra), Surabaya (East Java) and Banten (West Java). The majority of shrimp farms in North Sumatra have been faded away in 2004 due to the tsunami.