Indonesian Political, Business & Finance News

Ministry of Marine Affairs Strengthens Investment Synergy with BKPM, Achieving Rp2.38 Trillion in Q1 2025

| Source: GALERT
NERACA Jakarta – The Ministry of Marine Affairs and Fisheries (KKP), through the Directorate General for Strengthening Marine and Fisheries Product Competitiveness (PDS), continues to strengthen its synergy with the Ministry of Investment and Downstreaming/Investment Coordinating Board (BKPM) and regional Marine and Fisheries Agencies to promote investment in the marine and fisheries sector.

Director General of PDS at KKP, Tornanda Syaifullah, stated that "synergy between Ministries/Agencies and Regional Governments is one of the keys to increasing investment in the marine and fisheries sector." The central-regional synergy focuses on mapping business and investment opportunities, preparing promotional materials, facilitating licensing, assisting with obstacle resolution, and facilitating partnerships with prospective investors to create a conducive and sustainable investment ecosystem.

The results are reflected in the marine and fisheries sector's investment achievements in the first quarter of 2025, totalling Rp2.38 trillion, comprising Rp1.46 trillion (61 per cent) in domestic investment (PMDN) and Rp0.92 trillion (39 per cent) in foreign investment (PMA).

By business sector, fisheries product processing was the largest investment contributor at Rp1.01 trillion (42.3 per cent), followed by aquaculture at Rp0.55 trillion (23.0 per cent), capture fisheries at Rp0.40 trillion (17.0 per cent), trade at Rp0.36 trillion (15.1 per cent), and fisheries services at Rp0.06 trillion (2.5 per cent).

The provinces with the highest investment realisation during this period were East Java at Rp548 billion (23.1 per cent), followed by Central Java at Rp546 billion (22.9 per cent), and DKI Jakarta at Rp230 billion (9.6 per cent). By country of origin, South Korea topped the list with Rp370 billion (40.7 per cent), followed by China at Rp170 billion (18.6 per cent), and Malaysia at Rp130 billion (14.1 per cent).

The investment realisation trend from 2021 to 2025 shows positive growth of 66.04 per cent per year.

Strengthening Investment Literacy

As part of efforts to strengthen investment literacy and promotion, the Directorate General of PDS together with BKPM held an online socialisation on Investment Procedures for the Marine and Fisheries Processing and Marketing Sub-Sector on 3 July 2025. The event was attended by 777 participants comprising business operators (domestic and foreign investors), representatives from regional Marine and Fisheries Agencies, Regional Investment and One-Stop Integrated Service Agencies, as well as technical units of KKP and BKPM.

The socialisation aimed to improve stakeholders' understanding of investment procedures, particularly within the framework of Technical Cooperation Guidelines (TCG) between Indonesia and China in the fisheries sector.

BKPM data indicates that the marine and fisheries sector's contribution to total national investment still needs to be increased given its enormous potential. Foreign investment in the fisheries sector ranks 23rd (0.15 per cent), whilst domestic investment ranks 22nd (0.26 per cent). Meanwhile, investment from China ranks 21st (0.1 per cent), highlighting the need for improvement given that the two countries already have a marine and fisheries cooperation framework.

Minister of Marine Affairs and Fisheries Sakti Wahyu Trenggono previously initiated a blue economy programme to enhance the competitiveness of Indonesian fisheries products by prioritising sustainable production systems. In its implementation, KKP strengthens synergy with multiple stakeholders across various fields from upstream to downstream in the fisheries sector.

Trenggono also emphasised that quality assurance of fisheries products must be conducted from upstream to downstream, from production through to the product reaching consumers. This is necessary to protect aquatic biological resources to ensure they remain healthy, of high quality, and free from microplastics.

Furthermore, Trenggono stressed that KKP is currently focusing on developing several superior fisheries commodities that will become champions in the global market as part of product and export destination diversification. Beyond production, KKP is also paying attention to quality assurance and food safety throughout the supply chain to strengthen the competitiveness of fisheries products in international markets.

Trenggono previously stated that one of KKP's key performance targets in the Government Work Plan for 2026 is fisheries export value of US$6.7 billion. The high level of fisheries exports even during the Eid al-Fitr holiday period is attributed to KKP ensuring continued Hazard Analysis and Critical Control Points (HACCP) certification services and Fisheries Product Quality and Safety Certificates (SMHKP). All KKP technical implementation units handling certification remain operational even during extended holiday periods. KKP ensures that quality inspectors verify HACCP implementation at Fish Processing Units (UPI). HACCP implementation is a necessity for business operators as a prerequisite for meeting quality and food safety standards in export destination countries.
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