.kU- E4 Research and Development Series No. 23 International Center for Aquaculture Agricultural Experiment Station R. Dennis Rouse, Director Contract AID/Asia-C-l 177 April 1979 Auburn University Auburn, Alabama _ _II_ __~_I_ CO0N TE NT S Page INTRODUCTION ................................................ 3 FRY'RESOURCE EVALUATION...................... i............... 3 POND FERTILIZATION PROCRAM............ ....................- 4 CREDIT ASSISTANCE................................... o......... 5 PROVINCIAL DEMONSTRATION AND TRAINING PROGRAM .............. 6 North Sumatra Province ............... o....................-6 Aceh Province .......... o............................... 7 STAFF TRAINING......................... .................... 8 PRODUCTION INCREASES... ........ ............................. 9 North Sumatra Province................................... 9 Aceh Province................................ o........... 9 MARKETING ................................. o..................9 PRODUCER ASSOCIATIONS...................... ................ 10 EXPANSION PROGRAM................ ........... o.............. 10 PUBLISHED 4/79-1M COVER PHOTO. Milkfish are sampled at 2-week intervals during PFDU culture demonstrations to monitor fish growth and to demonstrate improved farm management techniques. Equipment f or the BFP project was provided through USAID project funding. Information contained herein is available to all without regard to race, color, or national origin. Brackishwater Aquaculture Development in Northern Sumatra, Indonesia MICHAEL C. CREMER and BRYAN L. DUNCAN INTRODUCTION T HE GOVERNMENT OF INDONESIA (GOI) received techni- cal assistance in brackishwater aquaculture development from November 1976 to September 1978 through a contract between the U.S. Agency for International Development and Auburn University's International Center for Aquaculture. Contract AID/Asia-C-1177 provided funds for resident advisors and equipment to the Directorate General of Fisheries (DGF) for fish culture development and extension in northern Sumatra. The authors served in Medan, North Sumatra (Bryan L. Duncan) 2 , and Banda Aceh, Aceh (Michael C. Cremer), from November 1, 1976, to September 1, 1978, as advisors to the Brackishwater Fishery Production Project (BFP). Brackishwater pond culture has been practiced traditionally for centuries in Indonesia, particularly in Java. It was initiated at least 600 years ago as a mangrove swamp fishery using traps. Gradually, the mangrove was removed, dikes were constructed, water control structures were installed, and finally, the custom was established of stocking the ponds with milkfish and shrimp juveniles caught at sea. In 1974, the DGF estimated that there were approximately 180,000 hectares of brackishwater ponds in Indonesia, located mainly along the north coasts of Java, South Sulawesi, and Sumatra. Production in these ponds had reached a plateau with the use of traditional methods, and new and more productive technology was not being adopted. During the Pelita I development program (1969-74), the Government of Indonesia concentrated efforts to improve brackishwater pond fisheries, by using these two steps: 1. Adoption of new brackishwater methodology, using the vehicle of a UNDP/FAO project at Jepara, Central Java, as a base of operations for field trials. 2. Building of a staff base, through the use of local universities and secondary schools, for extending improved technology to existing and potential brackishwater fish farmers. In 1974, as an expansion of the brackishwater development effort for Pelita II (1974-79), the DGF chose Aceh and North Sumatra provinces to be the first in a series of project sites where packages of resources would be brought to bear in a concerted effort to increase small farmer income and brackishwater fisheries production. The DGF requested USAID to appriase the idea, and in November 1974 H. R. Schmittou 3 conducted a survey of this area. He identified a high potential for aquaculture 'Respectively, Research Associate and Assistant Professor, Department of Fisheries and Allied Aquacultures, International Center for Aquaculture. 2 Dr. Duncan will remain in Indonesia for phase two of the project, an extension of the North Sumatra subproject, until October 30,1979, while Mr. Cremer returned to Auburn University in September 1978. 3 Resident advisor for the International Center for Aquaculture to the USAID sponsored Inland Fisheries Project in the Philippines. as a means to increase income, increase food production, and expand employment. In May, June, and July 1975, a project development team from the International Center for Aquaculture, USAID, and the Government of Indonesia visited the area and drafted a detailed project paper. 4 The next year (1976) Auburn University's International Center for Aquaculture received a 2-year contract from USAID to assist the Government of Indonesia to increase brackishwater (tambak) fisheries production in seven kabupatens (districts) in the provinces of Aceh and North Sumatra and to create an infrastructure base upon which tambak expansion could take place. Nine objectives were specified for the project: 1. Fry resources evaluated and improved capture and distribution programs instituted. 2. Fertilizer utilization by fish farmers increased. 3. Lending by GOI Bank Rakyat for fish pond production and development increased. 4. Provincial programs (demonstrations, training, and extension) made operational with technical assistance. 5. Trained staff functioning with technology and methodology for intensification outreach program. 6. Annual production from 4,800 hectares of existing tambaks doubled, from approximately 500 kilograms to 1,000 kilograms per hectare per year. 7. New employment created for agricultural and fishery families. 8. Increased number and greater development roles achieved for local producer associations. 9. GOI infrastructure in place and functional to handle remaining intensification and projected expansion. This report outlines progress toward achieving these objectives during the initial 2-year project. FRY RESOURCE EVALUATION Fry supplies to support the brackishwater pond industry in Indonesia come from naturally occurring stocks in coastal and estuarine waters. Expansion and improvement of the local fry capture and distribution sectors were identified as requirements for intensifying production and expanding pond area in northern Sumatra. As part of the BFP project, milkfish and shrimp fry resources were evaluated for abundance and seasonal availability in the coastal waters of North Sumatra and Aceh. The goals were to increase the volume of fry catch sufficient to double production and-to improve handling and distribution methods so that 20 percent more of the captured fry reached the terminal market. In North Sumatra Province, surveys in 1974-76 by fishery 4 D. D. Moss, E. W. McCoy, J. H. Grover, and J. R. Snow, of the International Center for Aquaculture, Auburn University, served as technical consultants on the project development team. uec p a v] I b a s ir I xa ad ,lIh onaIF en to t ransport,1 P pat; reduced 'riiiAn~ rnwitaW le between captuze and pond shoosing. biologists from the Bogor 'nstitute o' A quaculture, the Inlandl Fisheries Research Institute, and the North Sumatra Fisheries Senvice shoxwed milkfish fry xvere niot present in significant numbers. Surxeys by BFP project pcrsonne ia 1976-78 confirmed a lack of milkfish fry in the Nirth Sumnatra area. Exvalmation of shrimp postlarx ar resoumrces, huowcee, indicated abundant juvenile shrimp alorg the coast. Shrimp surveys were conducted periodically throughout the project, combined w ith training programs for fishermen to teach gear construction, capture techniques, and handling and selection of postlarx ac. Approximately 1,115 man-days of effort xwere utilized in the surxvey. Results thus far inidicate that the wh ite shrimps, Penacos i ndicos and P. merguieonsis, are the most abundant species of economic importance, xxhile the highly valued tiger praxxn, P. inonodon, occurs in considerably loxxer numbers. \Iilkfish fry surxveys conducted in .Aceh Proxvince during 1977 and 1978 identified frx capture grounds, sea sonal ax ailabilitv of fry,. number of fry captured, total fry needis of Aceb. and numhber of people employerd in the frx capture industry. Fry collection grounds coxvering 296 kilomieters of coastline wxere identified in kahupatens Ach Besar, Pidie, Aceb I ara and Ach Tim or. Additiooai fry grounds we re identified surrounding sexveral islands off the north coast of Aceb. These islands, Pulau Webcl, Pulaui Ach, and Ihilto N asi, represent largely untapp1ed sources for inilkfish I rx. A surxvcx along the wxext coast of .Xceh Iceh Barat) also idcotificd potential col- lection arecas. it is doubtful, hoxxever, tliit lr resources in Ach Bai at can be utilizedi in the near future because of difficulties in transporting frx to tish farming ar eas. Surxvey data indicate milkfisb frx r C present along the Ach coast from March to December. Peak abundance occurs during April to June and October to Noxvember. An estimated 121 mnillion iikfish fry xx crc captured in Aceb coastal xxvaters during 1977. Approximiately 72 million frx are rerquirerl annually by fish farmers in Ach for stocking coastal tamoaks. The remaininga 49 million fry are oxvailable for sale to fish farmters outside that province. \hilkfish fry collecting, prov ided employ ment for an estimated 3,424 people during 1978. Fry collectors included housexxixves, artisanal fishermecn, tamobak laborers, students, rice farmers, and unemployed persons. A surxvcx of juxvenile shrimp was conducted in Aceh by BFP project staff in 1977. Shrimp juxveniles were found in coastal waters of four kabupatens. Species, identified wxere Panoeus indicuox P. inerginsis, P. monodon, P. nmooeros, P. semisul- cot, awl Metapeiueos sp. Species available in greatest number wxere P. indicous and P. merguiensis, both of wxhich are cultured for local and export markets by tceh fish farmers. P. monodon is also commercially cultured, but represents less than 10 percent of shrimp production From tambaks. A program to improv e miLkfish fry capture and distribution methods xxas conducted in Aceb during the second vear. Modified capture gear wxas given to selected milkfish fry collectors for testing. Fexx collectors responded faxvorably to the modified gear because of high purchase cost and difficulties in transporting the larger gear to and from the collection grounds. A xsorkshop on fry handling and transporting was held in Banda tceh in June 1978. Thirty-three representatixes of the fisheries scrxvice and the fry capture industry participated. improxed counting and handling techniques and the use of plastic bags inflated xvith oxy gen for transporting fry we re demonstiated as means of decreasing fry nmortalities. Fry mortalities of 1-2 percent we re reported by distributors already using plastic bags and oxy gen. Distributors using Jerry cans xvithout oxy gen, the traditional method, reported average fry mortalities of 20-30 percent. The use of plastic bags wxith oxy gen enables transport of 10,000-11,000 fry in 6 liters of xxater, compared wxith 3,000 fry in 15 liters of water wxhen using Jerry cans. Distribution of nxilkfish fry to regions outside of Aceb began in June 1978 with the establishment of fry marketing between Banda Aceh and Jakarta. Approximately 1.5 million mnilkfish fry were sold to fish farmers in Java in June-August [978. Expansion of the Jaxva market is expected in 1979, with anticipated sales of 5-10 mxillion fry. The 1WF and the Aceb Fisheries Service have proposed establishing a central fry market in Banda Aceb. It xxouid serve as a collection and auction center for milkfish fry , and xx ould be equipped with aerated holding basins, oxygen, and shipping containers for transporting fry. Such a center xx ould simplify marketing and distribution and reduce mortalitx of milkfish frx fronm collectors to farmers. POND FERTILIZATION PROGRAM Organic and inorganic fertilizers are used in brackishxxater fishpnds to increase soil and wxater fertility and to stimulate the production of benthic algal communities as food for milkfish and shrimp. Prior to August 1975, fish fariners could not purchase inorganic fertilizer on the free market in Indonesia for fishpond use. Pre-project discussions obtained a guarantee that inorganic fertilizers wxould be made axvailable to fish farmers in the free miarket at Hp. 120 per kilogramn (lip 415 - US S1.00). At project implementation in October 1976, nexx COI policy had mad~e inorganic fertilizers axvailable to fish farmers at the goxverment regulated prices applicable to other agricultural sectors. Prices for urea and triple superphosphate (Hp. 70 per kilogram each) and diammonium phosphate (Hp. 90 per kilogram) we re substantially beloxv the project goal of Hp. 120 per kilogram. In Aceh Proxvince, urea, TSP, and DAP fertilizers are now readily axvailable to fish farmers. 1'hrough project demnonstrations and promotion, use of these fertilizers was adopted by fish farmers as a management piractice to increase fish production. Approximately 1,500-2,000 tons of inorganic fertilizer are noxx used annually by Aceb fish farmers, surpassing the piroject goal of 900 tons per year for the txwo provinces. In addition, some 11,800 tons of organic fertilizer (primarily coxv manure) are used annually to increase the fertility of ponds. Fertilizer demand is expected to increase proportionally with future production increases. Suppliers of inorganic fertilizers do not anticipate difficulties in meeting the demand; however, organic fertilizers are in short supply and are expected to continue so. CREDIT ASSISTANCE Intensified fish production, as opposed to production using traditional methods, requires the use of purchased inputs such as fish ry, fertilizer, pesticides, and labor for pond renovation. Funds for obtaining needed inputs are normally obtained through credit. As a component of the BFP Project, the GOI established a project life (2-year) credit line for fish pond loans totaling Rp.891,779,000 (US 82,151,458) for short-term production and Rp.329,533,000 (US$795,014) for capital Simprovements. These funds were provided by Bank Indonesia and administered through the provincial and local offices of Bank Rakyat Indonesia. Technical assistance to the loan program was provided by the long-term advisors, and by a short-term consultant, E. W. McCoy.' Cumulative credit granted for tambak development in North Sumatra as of July 31, 1978, was Rp.50,375,000 granted to 138 individuals for expansion (construction of new ponds) and Rp.4000,000 to tsxo individuals for intensification (increasing S production in existing ponds). It is expected that during the third Year of the North Sumatra sub-project, during which expansion W activities are scheduled to begin, there will be an increase in bank credit utilization. In Aceh, from April 1976 to July 1978, intensification loans totaling Rp. 50 3 ,861,000 were granted to 576 farmers for approximately 2,005 hectares of tambak. A substantially greater amount of credit could have been utilized had it been made available. Credit requirements should be reassessed to bring allocations more closely in line with farmer needs. Credit supervision programs would help to decrease high default rates roject-ralned eiena a experienced in some areas of Aceh. managemeni lechniquez, sh as ase c;'n nan ]a rs, increase pond procdtLn. Associa e Profess or, )epartmnent o Fisheries and Allied Aquacultures, Internatiional Center for Aquaculture, Auburn University. A A .2; .,,. 7 .A< >' A' Improved gates, dikes, and pond design in a previously heavily forested pond complex were made possible through a loan program with Bank Rakyat Indonesia. Fish farmers in Aceh and North Sumatra provinces received approximately Rp. 558,236,000 ($1,346,770) in production and capital improvement loans during the SFP project. PFDU Sialang iSuh in North Sumsirz ]a one oz7 eignt g:oIrrnen. 'ish fEarns I-s:uce2m demcnsftratng YNsh cuu~re 2echni ques 2o fish larmers in S~ceh and Nort.h Sumatra prolnmces. 7hese P7:n.z Tsng' :7K2 from0I 7. heclares 11,,aler surtace arza, also se'ce as bases or7 ealiens~on agents 'vo'Cking wihindividual ear-ners and 1 oZ'c dujca- as~ ' PROVINC]AL DEMONSbTRATDC JfyND TRAINING LPROGRIi Technical asstanee to sinai' holder fish farmer's v, as prosvided through1 a -ro-viocia 1 p)rogram atiig aLe saeg goeoetfish 2isas Lis dernonstratio and extension 'en Lrm. These centers, caY Ad Pros Mncall i4shery Demoanstration t' 4S (PFD~is), pros ioed "bnildings and mnpourn cc ponds 'or demnonstrating fiaten sified fish produetn cenniqjues. AL lei st three fcarmer tin4ning sessions were rarrien out ncr sear. r exterkonr agerts, recruited and trained'a inc !I,, BF7j' utiluzed t'he PFD is as t aeir extenasin 'base. This renort surnmari/es thi -Fl)" conistruct 'an and denn'ai s'ra prograrn aid tihe extennsion cducatLiun ' rugr a durig Ltm'ex 2 years of the pro4ect. Constiffiltin ofF the Sialang aPEDIU began in Nsvember 197-1 ndwq corn leted in\ Ma-, 2-7. Facilies incle a house, a r'nr' cls