lautnusantara.com Fisheries downstreaming, a strategy that encourages the processing of fishery products from raw materials into finished or semi-finished goods, has been a major focus of the Indonesian government in recent years. The goal is clear: to increase added value, create jobs, and encourage more equitable economic growth, both at the regional and national levels. The positive impacts of this effort have begun to be seen, although challenges remain.

A. Encouraging Local Economic Growth

At the regional level, fisheries downstreaming has brought a breath of fresh air to coastal communities and fisheries business actors. Previously, fishermen often only sold their catch in fresh form at relatively low prices. With the existence of fish processing facilities, both small and large scale, the selling value of fishery products has increased significantly. For example, tuna which was previously only exported raw, can now be processed into fillets, sardines, or even other processed products such as shredded fish or crackers. This increase in value directly increases the income of fishermen and fish farmers, as well as workers in the processing sector.

Furthermore, downstreaming has triggered the emergence of supporting industries. Ice factories, packaging providers, logistics services, and fish-based culinary business actors are thriving. This means that more jobs are created outside the fishing sector itself, from processing, packaging, marketing, to transportation. Regions such as North Sulawesi, Batang, and Bontang, which are encouraged to become downstream centers, directly feel this economic surge, with a significant increase in investment and economic mobility.

B. Significant Contribution to the National Economy

On a national scale, fisheries downstreaming has a crucial role in boosting GDP (Gross Domestic Product). With the export of processed fishery products that have higher added value, the country's foreign exchange also increases. Indonesia, as one of the largest maritime countries in the world, has unlimited potential to become a key player in the global fishery product market, not just as a supplier of raw materials.

Increasing the competitiveness of Indonesia's processed fishery products in the international market also strengthens the country's bargaining position in global trade. For example, the success of the Ministry of Marine Affairs and Fisheries in obtaining additional tuna catch quotas shows that Indonesia is increasingly recognized as the "king of the world's tuna", supported by its growing processing capacity. The government's efforts to expand the tuna export market to Japan, China, Europe, and the Middle East are strategic steps to reduce dependence on one market and maintain national export stability.

In addition, fisheries downstreaming also contributes to national food security. With product processing and diversification, the availability of animal protein food for the community is more guaranteed, even during the lean season. This is in line with the target of President-elect Prabowo Subianto who wants to see Indonesian fishery products not only dominate the international market, but also meet domestic needs.

C. Challenges and Prospects

Although the positive impacts are clear, fisheries downstreaming is not without challenges. Issues such as product standardization, access to capital for processing MSMEs, infrastructure development, and the application of modern technology are still homework. The threat of import tariffs from other countries, such as those faced by the United States, also requires a fast and effective adaptation strategy.

However, with the government's commitment, the support of state-owned fisheries companies such as PT Perikanan Indonesia which is ready to collaborate with foreign and local companies, and the spirit of innovation from business actors, the prospects for Indonesian fisheries downstreaming look bright. Downstreaming is not only about increasing profits, but also about building economic independence, empowering coastal communities, and strengthening Indonesia's position as a respected maritime power on the world stage.

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