Thu, 31 Jul 1997

RI regulation effects Thai fishery owners

BANGKOK (JP): Thai fishery owners have complained they are disadvantaged by a new policy which limits the operation of old ships in Indonesia.

Sutara Martadisastra, chairman of Indonesia's Association of Fishery Federations, said yesterday that the Thai businesspeople made the complaint here on Tuesday.

Under Indonesia's new requirements used boats must be constructed from iron; be no more than ten years old, and must weigh between 100 to 300 tons.

Representatives of Thai fishery businesses in the Association of Overseas Fisheries complained of the policies in a business seminar here on Tuesday.

"Is the deregulation aimed at us?" Sutara quoted one of 21 representatives as saying. They said their boats, many of which were made from wood and were more than 10 years old, and weighed 60 to 100 gross tons, were similar to those specified in the policy.

"They said many of their boats which are more than 10 years old still sail as far as Africa," Sutara said during a visit to the Bang Pakong industrial park in Chonburi province, 57 kms from Bangkok.

He said he had told Thai businesspeople and ministry officials that the policy was not designed to damage Thai interests. He said his association, and the Indonesian Chamber of Commerce and Industry, would convey their complaints to the Indonesian government.

"The deputy to the director general of fisheries also said he would write to the government about their concerns," Sutara said.

The Indonesian Association of Fishery Federations, he said, had tried for three years to get permission to import used boats to enable more local fishermen to sail in deep waters.

"A tuna canning plant in Manado (North Sulawesi) had to close down because there were hardly any fish," Sutara said.

He said used boats cost about US$2 million compared to new boats which cost at least $5 million.

Late Tuesday, Aburizal Bakrie, chairman of the Indonesian Chamber of Commerce and Industry, said a Thai-Indonesia Business Council would be set up to provide information and other services to people from both countries.

Bakrie said interest had been expressed in forming joint ventures in canned vegetables and fruit. He said Thai business representatives had been told Indonesia could pay a profit share for the sharing of their skills could be paid to those who did not wish to invest.

"Thailand has succeeded in its tissue culture of (kayu jati), with a yield of only seven years," Aburizal said.

He also said Indonesians needed to learn how agroindustry smallholder systems were managed.

An Indonesian owner of a pineapple plantation in West Java said one problem in Indonesia was that "too many parties are taking care of farmers...for the sake of benefits of government projects,". This was especially when compared to Thailand where plantation owners were willing to do business with smallholders as it benefited them, he said. In Indonesia, government-sponsored cooperatives at the village level often do not follow up measures to promote smallholders, he said. (anr)