New fees kill Gecko export business

Indonesia does not only export agriculture commodities or low- end manufacturing products, but also geckos, those small lizards that creep around on walls and eat insects.

About two months ago, the country's gecko exporters became livid after a Ministry of Agriculture ruling required that the lizard had to be included on the list of animals that must be medically inspected for pests before shipment.

What enraged exporters was that they were required to pay double the amount of the selling price, just for the inspection fees, meaning they would lose money if they continued business.

Each gecko is sold for only around Rp 500 (roughly 5 U.S. cents) overseas, but it costs Rp 1,000 each for the inspection fee.

According to Thomas Dharmawan, chairman of the Indonesian Food and Beverage Association (GAPMI), the policy triggered strong protests from the exporters.

Geckos are currently a promising breed for export as many countries such as China, Japan and Korea use the lizard for medicine and food.

Demand for the lizard has increased enormously during the past two years, but will surely dry up if the prices triple, as the government's new fee will necessitate. --JP