Kadin Indonesia and Ministry of Maritime Affairs Join Forces to Boost Economic Growth Through Fisheries

JAKARTA, Investortrust.id – The Indonesian Chamber of Commerce and Industry, or Kadin Indonesia, has committed to strengthening the role of the fisheries and maritime sector to help achieve the 8% economic growth target set by President Prabowo Subianto. This initiative is part of the government's Asta Cita program, which aims to accelerate national development.

The commitment was established during a meeting between Kadin Indonesia, led by Chairman Anindya Bakrie, and Minister of Maritime Affairs and Fisheries Sakti Wahyu Trenggono at the ministry’s office in Jakarta on Tuesday, Feb. 18, 2025.

“We are here to explore potential collaborations with the Ministry of Maritime Affairs and Fisheries to enhance the role of the fisheries sector in supporting the 8% economic growth target,” said Anindya after the meeting.

Kadin Indonesia plans to launch a pilot project in the fisheries sector before Aug. 17, 2025, allowing its members across the country to seize business opportunities in fisheries and collaborate more closely with the ministry. According to Anindya, these opportunities extend beyond traditional capture fisheries to include aquaculture, such as shrimp, tilapia, lobster, seaweed, and crab farming. The collaboration will also focus on marine conservation initiatives for carbon credit programs.

Minister Trenggono emphasized the vast potential in the fisheries and maritime sector, which remains largely untapped. “We outlined the extensive opportunities in this sector that have yet to be fully developed,” he said after the meeting.

The ministry also aims to integrate the fisheries sector into the government’s Free Nutritious Meal (MBG) program, which seeks to enhance public nutrition, particularly for children and vulnerable groups. As a maritime nation, Indonesia has the capacity to meet its population’s protein needs through both capture fisheries and aquaculture.

Fisheries Sector’s Role in the Free Nutritious Meal Program

To support this initiative, the Ministry of Maritime Affairs and Fisheries plans to establish aquaculture zones along the northern coast of Java, known as Pantura. Kadin Indonesia is expected to play a key role in supporting these government programs.

“We have discussed the Free Nutritious Meal program and highlighted that fish, as a high-protein source, plays a crucial role. Given Indonesia's status as a maritime nation, we will develop aquaculture zones in Pantura,” Trenggono said. He also emphasized the need for regular meetings between Kadin Indonesia members and the ministry to strengthen fisheries business development.

Yugi Prayanto, Vice Chairman for Fisheries and Maritime Affairs at Kadin Indonesia, reiterated that the Free Nutritious Meal program, championed by President Prabowo, aims to improve national nutrition levels, particularly for children and at-risk populations, by providing free nutritious meals.

“This program is a strategic effort to create a healthier and more productive generation while also strengthening the fisheries and food sectors. The fisheries sector will support this initiative by ensuring a stable supply of fish for the program, which is set to be implemented in 5,000 community kitchens in 2025,” Yugi said.

The program is expected to help reduce Indonesia’s stunting rate, increase fish consumption as a primary protein source, and empower local fishermen and fishing communities. However, Yugi acknowledged logistical and funding challenges in managing large-scale food distribution, which requires a reliable supply chain system.

To address these issues, digital technology will be employed to monitor supply chains and logistics. Yugi also expressed confidence that optimal state budget allocation and private sector participation, including collaboration with international organizations, will help resolve funding challenges.

Kadin Indonesia will mobilize fishermen, fish farmers, suppliers, and traders to provide raw materials for the cooperative-run kitchens. Each kitchen is expected to serve 3,000 to 5,000 people per day, offering fish-based nutritious meals.

As part of its contribution, Kadin Indonesia will launch pilot projects in the fisheries sector to support the Free Nutritious Meal program. One such initiative involves developing seaweed-based liquid fertilizer in Lampung using Japanese technology.

This innovation is projected to increase the economic value of seaweed by up to 15 times compared to its raw material price. The fertilizer will be exported to Japan, demonstrating Indonesia’s ability to meet international standards for agricultural products.

Fisheries Sector Performance and Industrialization

During the meeting, Minister Trenggono outlined the ministry’s policies and performance, highlighting its commitment to the Blue Economy vision as part of Indonesia’s 2045 economic goals. This strategy includes expanding marine conservation areas, reducing unsustainable fishing practices through a quota-based fishing system, and promoting sustainable aquaculture in marine, coastal, and inland areas.

The ministry also aims to protect and sustain marine ecosystems by monitoring coastal areas, controlling small island activities, and removing plastic waste from the ocean through a fisher-led initiative.

By implementing these policies, the government seeks to improve ocean health, enhance carbon sequestration and storage, increase the economic value of carbon through carbon trading, and ensure sustainable fish stocks.

For industrial purposes, the government has designated four fishing zones across Indonesia’s fishery management areas. These include the Natuna and North Natuna Sea, the Sulawesi Sea and Pacific Ocean, the Aru Sea, Arafura Sea, and Timor Sea, as well as the Indian Ocean.

Through these fishing zones, the government offers a total industrial fishing quota of 5.13 million tons per year, valued at approximately Rp 180 trillion, with potential non-tax state revenue of Rp 18 trillion annually.

Currently, the ministry is focusing on developing five key aquaculture commodities: shrimp, tilapia, lobster, seaweed, and crab.

Indonesia holds a significant market share in global fisheries. In 2023, the country accounted for 6.1% of the global shrimp market, valued at $64.8 billion, and 10.9% of the global tilapia market, valued at $14.4 billion. The seaweed sector has a stronger foothold, with Indonesia controlling 13.8% of the $9 billion global market. However, the country's share in the global lobster market remains low at 0.5% of the $8.7 billion industry, while its crab sector holds a 7.3% share of the $12.47 billion market.

Minister Trenggono emphasized the superior protein content of fish and shrimp compared to other animal protein sources. He highlighted that one gram of fish contains 0.22 grams of protein, while shrimp contains 0.25 grams. In contrast, chicken provides only 0.14 grams of protein per gram, while beef and eggs contain just 0.12 grams and 0.13 grams, respectively.

Fisheries Export Growth and Economic Contribution

Between 2019 and 2024, the fisheries sector contributed 2–3% to Indonesia’s total exports, with an annual export volume growth of 4% and an export value growth of 4.05%. In 2024, total fisheries exports reached $5.95 billion, with the United States as the largest market, accounting for $1.9 billion, dominated by shrimp exports worth $1.68 billion.

China ranked second, with fisheries exports valued at $1.24 billion, mainly consisting of tuna, skipjack, and bonito products worth $1.03 billion. ASEAN countries followed with $874.12 million, led by squid, cuttlefish, and octopus exports worth $854.22 million. Japan imported $598.74 million in fisheries products, with crab and blue swimming crab leading at $511.66 million. The European Union imported $414.36 million, with seaweed as the primary export at $341.16 million.

The fisheries sector contributed 2.25% to Indonesia’s GDP growth in 2024 by the third quarter, marking the highest growth in the past five years. The sector’s GDP contribution in previous years fluctuated between 1.50% and -3.25%. Currently, the fisheries subsector accounts for 2.54% of Indonesia’s national GDP.

According to Statistics Indonesia, per capita fish consumption in Indonesia increased from 49.89 kilocalories in 2020 to 55.77 kilocalories in 2023, though it slightly declined to 51.90 kilocalories in 2024.

Kadin Indonesia and the Ministry of Maritime Affairs remain committed to strengthening the fisheries sector as a key driver of economic growth while supporting national food security and sustainable marine conservation efforts.