Indonesian Political, Business & Finance News

Sumba Shrimp Pond Projected to Absorb 8,820 Workers, Targeting Rp 4.5 Trillion in Foreign Exchange Annually

| | Source: KOMPAS Translated from Indonesian | Agriculture
Sumba Shrimp Pond Projected to Absorb 8,820 Workers, Targeting Rp 4.5 Trillion in Foreign Exchange Annually
Image: KOMPAS

JAKARTA — The development of an integrated shrimp pond in Waingapu, East Sumba Regency, East Nusa Tenggara, is projected to have a significant economic impact. The project is linked to job creation and export foreign exchange contributions. Head of the Extension and Human Resources Development Agency of the Ministry of Marine Affairs and Fisheries, I Nyoman Radiarta, stated that an initial study has been conducted. “From a total investment of Rp 7.2 trillion, it is estimated to drive a 34.7% increase in regional GDP and absorb around 8,820 workers,” Nyoman said in Jakarta on Wednesday (1/4/2026). Nyoman explained that the economic impacts are divided into three main pillars. One of them emerges during the construction phase. The construction phase lasts about three years. This activity is projected to trigger a temporary economic surge. “During the construction phase, there will be an economic surge of between 39.4% and 40.7% per year temporarily, as well as absorbing around 1,889 local construction workers,” he clarified. This development also accelerates infrastructure. Road access and utilities in Pandawai Subdistrict will be improved. The operational phase is projected to have a greater long-term impact. East Sumba’s GDP value is estimated to rise from Rp 7.8 trillion to Rp 10.5 trillion. “The economic value from shrimp production is estimated to reach Rp 3.38 trillion per year, with a national foreign exchange contribution of around US$285 million from exports,” Nyoman said. Social impacts are also highlighted. The project is associated with reducing poverty in the local area. “This development has the potential to lift up to 55% of the poor population out of structural poverty,” he stated. The local economic circulation is expected to increase through wage distribution. Its value reaches hundreds of billions of rupiah per year. “Local wage circulation is predicted to reach Rp 260 billion per year and can improve the welfare of around 35,280 people, including workers’ families,” he emphasised.

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