President Jokowi Tells OJK to Support Marine Wealth Downstreaming
President Joko “Jokowi” Widodo has ordered the Financial Services Authority (OJK) to provide support to minerals and coal downstreaming, especially those sourced from marine wealth.
The President gave the instruction in his remarks during the Annual Meeting of Financial Services Industry (PTIJK) of 2023, on Monday (02/06), at Shangri-La Hotel, Jakarta.
“Do not forget. Our marine resources can give high added values if we implement the downstreaming. Bear in mind that two-thirds of Indonesian territory is water, sea, ocean. The width of our ocean is 3,25 million km. It is so huge and we have not made the most of the potentials yet,” he said.
The Head of State also remarked that Indonesia is the top exporter of seaweed, yet it has not been able to process the commodity into intermediate materials, such as carrageenan powder.
The President also compared Indonesia with People’s Republic of China, which only relies on imported seaweed, but managed to become the top exporter of carrageenan powder.
“China is the top seaweed importer and, at the same time, it is also the top carrageenan powder exporter. We should use it as an example. We should be the top exporter of raw materials and also top exporter of carrageenan powder. It should be like that. Then, the added value will increase,” he said.
The President also pointed out that Indonesia is the top exporter in fisheries sector for fishes such as tuna and skipjack tuna; yet, unfortunately, the country is also the top importer of fish flour.
Therefore, The President has ordered for production of fish flour domestically.
“It’s absurd. We have exported the fish, then we import it again in the form of fish flour. Can’t we do the downstreaming to industrialize our fish into fish flour? Is it that hard? No, if we cannot do it, make a partnership. I have always said about making partnership. Do not hesitate to carry it out,” he said.
The President once again gave an example of China as the number two importer of fresh tuna and skipjack tuna that is able to become a producer of fish flour and become the number four exporter of fish flour.
“Seaweed, tuna, skipjack tuna, and shrimp can give multiple added value. They can be processed into chitosan powder and the added value will be multiplied to 27 times. Soft shell crab processed into crab meat can give 3.2 times of added value. If the products are processed domestically, our country will experience a big leap. Our Gross Domestic Product will increase,” he added.
To that end, the President ordered the OJK to support and to step in in making the downstream program from various commodities a success since this program brings high added values for Indonesia’s economy.
“Once again, I ask the OJK to support this, to disseminate the importance of downstreaming because minerals and coal, oil and gas, and marine wealth downstreaming is projected to generate US$715 billion and 9.6 million job opportunities,” he remarked. (TGH/AIT/SND) (FKH/AW/EP)