Seaweed SRG Warehouse Makes Export For Farmers Easier

JAKARTA - The Seaweed Warehouse Receipt System (SRG) in the Parangloe Indah Warehouse Area owned by PT Asia Sejahtera Mina in Makassar, South Sulawesi has succeeded in helping farmers export this commodity.

"The seaweed SRG warehouse in Makassar has succeeded in providing benefits to farmers by adding value to the seaweed commodity. When the seaweed commodity stored in the SRG warehouse meets adequate supply, quality standards and competitive prices, the commodity can be sold to importers. abroad, "said Head of the Commodity Futures Trading Supervisory Agency, Tjahya Widayati, in a statement received by VOI, Thursday, December 26.

The SRG warehouse is managed by PT Wahana Pronatural Tbk starting in the second half of 2019. Until November 2019, two warehouse receipts for 300 tons of seaweed valued at IDR7,050 billion have been issued with financing of more than IDR4.93 billion through BJB Bank.

Previously, this SRG warehouse was managed by the Indonesian Independent Workers Union Cooperative (Kospermindo). In the period March 2018 March 2019, this SRG Warehouse has issued eight warehouse receipts for 950 tons of seaweed valued at IDR 8.55 billion with financing reaching IDR 5.35 billion through BJB Bank and PKBL PT Kliring Berjangka Indonesia.

Tjahya emphasized that to encourage an increase in seaweed exports, the Ministry of Trade continues to simplify procedures and reduce the cost of testing the quality of seaweed in the SRG.

"The government will coordinate with the Fish Quarantine Agency of the Ministry of Marine Affairs and Fisheries as one of the Fish Quality Test Conformity Assessment Bodies in the SRG," said Tjahya.

Based on trade statistical data from Trade Statistics For International Business Development, the total export of jelly products from seaweed with HS code 1302.31 in 2018 was recorded at 14,619 million US dollars. There were five countries that were the main export destinations for jelly products from seaweed in 2018, namely Japan amounting to 3.298 million US dollars; Italy 2.077 million US dollars; China 1.555 million US dollars; Russia 1.443 million US dollars; and Germany 1.387 million US dollars.

Another product processed from seaweed is carrageenan with Harmonized System (HS) 1302.39. These products were successfully exported by Indonesia to various countries. Total exports of carrageenan at the end of 2018 reached US $ 71.20 million, an increase of 87.03 percent from the previous year.

The five countries that became Indonesia's export destinations were China amounting to 28.359 million US dollars, the United States amounting to 9.042 million US dollars, Japan 5.09 million US dollars, the Netherlands 4.618 million US dollars, and the UK 4.264 million US dollars.

The Ministry of Trade continues to increase non-oil and gas exports by optimizing the use of the Warehouse Receipt System (SRG) as an instrument for securing supplies.

"The government continues to encourage the use of SRG as an instrument for securing supplies to increase non-oil and gas exports. Exporters can take advantage of SRG in ensuring the availability of commodities both in volume and quality standards and minimizing storage risks," added Tjahya.

The existence of SRG, continued Tjahya, plays a vital role in maintaining the availability of supply (secure of supply). In addition, the SRG also maintains price stability in helping to increase the bargaining position of farmers and producers if commodity prices decline during the harvest season.

"SRG helps finance farmers with an interest subsidy of 6 percent per year and helps market access for commodities both domestically and for export purposes," added Tjahya.

Tjahya said that the SRG is a deferred selling instrument that benefits farmers. This is because the commodities stored by farmers in the SRG can be resold when prices have risen in the market.

Meanwhile, apart from being a deferred sale instrument, the SRG service together with a guarantor institution also provides access to commodity financing. "SRG can also provide added value because when the commodities stored in SRG meet adequate supply, quality standards and competitive prices, these commodities can be sold to importers abroad," concluded Tjahya.