Indonesian shrimp production costs higher than Ecuador, with feed accounting for 62 per cent

Jakarta (ANTARA) - Hasanuddin Atjo, a member of the Expert Council of the Sustainable Shrimp Farming Development Working Group, stated that Indonesia’s shrimp production cost (HPP) is still higher than Ecuador’s, presenting a challenge to competitiveness in the global market.

Ecuador is the world’s largest producer and exporter of shrimp by volume.

During a discussion in Jakarta, Hasanuddin noted that Indonesia’s shrimp production cost ranges between 3.1 and 4.1 US dollars per kilogram, whereas Ecuador’s production cost is approximately 2.6 to 3.1 US dollars per kilogram.

According to him, feed is the largest component in the structure of Indonesia’s shrimp farming production costs, contributing around 62 per cent.

He assessed that efforts to reduce feed costs are key to increasing production efficiency and strengthening the competitiveness of Indonesian shrimp.

Hasanuddin cited Ecuador as an example of a nation capable of lowering production costs through the development of farming technology, genetic improvements, enhanced biosecurity, nursery development, water quality management, and the utilisation of sensor technology and the Internet of Things (IoT).

“This is our challenge. We must remember that they (Ecuadorian farmers) are traditional farmers. This should serve as a note for us on how we can build a better production cost structure to compete in the global market,” he said.

Hasanuddin mentioned that Indonesia possesses approximately 303,000 hectares of shrimp ponds, with about 80 per cent being traditional ponds, 15 per cent semi-intensive, 3 per cent intensive, and the remainder super-intensive.

He stated that technological development should not be directed solely towards intensive and super-intensive farming systems.

Indonesia, he added, also needs to increase the productivity of traditional and semi-intensive ponds, as approximately 80 per cent of national ponds still utilise traditional technology.

Meanwhile, global shrimp trade continues to grow, with export volumes expected to reach 3.97 million tonnes by 2025. Ecuador remains the largest exporter with a volume of 1.41 million tonnes, followed by India at 804,200 tonnes and Vietnam at 335,280 tonnes.

In comparison, Indonesia’s shrimp export volume for 2025 is projected to reach 218,870 tonnes with a value of 1.86 billion US dollars, according to data from the Ministry of Marine Affairs and Fisheries.