KKP Gives Gifts To Fish Entrepreneurs, Tuna-Cakalang Exports To Japan Are Tariff-Free

Illustration (Photo: Doc. Antara)

JAKARTA - The Ministry of Maritime Affairs and Fisheries (KKP) has succeeded in lowering the 0 percent export tariff post for four processed tuna commodities to Japan. Zero export rates apply to canned tuna, canned skipjack from the original and two katsuobusi tariff posts with HS Code 1604,14-091 and other tuna HS Code 1604,14-099.

Initially, the export rates for the four tuna commodities amounted to 9.6 percent. Director General of Strengthening Competitiveness for Marine and Fishery Products (PDSPKP) Budi Sulistiyo said two 0 percent tariff posts, especially Katsuobushi, apply with a certificate requirement stating that the raw material for skipjack is at least 30 centimeters (cm) long.

Budi said this agreement would be effective no later than 2024 after the ratification process between Japan and Indonesia was completed.

"Alhamdulillah, after a series of negotiations, a 0 percent tariff agreement was finally reached for the tuna. This is a gift from the KKP for tuna business actors," Budi said in a written statement, Friday, January 12.

"Of course this is in line with efforts to increase tuna exports. Given, we have planned 2024 as a tuna year," he continued.

Even so, said Budi, Indonesia proposes that the requirements for certification of the raw material for skipjacks at least 30 cm are integrated with the Fish Capture Result Certificate (SHTI) which has been harmonized with the Japan Catch Documentation Scheme (JCDS).

"So, SHTI can be used to facilitate the terms," he said.

After the agreement, the KKP is also strengthening and regulating the Fish Processing Unit (UPI) which will take advantage of the 0 percent preference rate. In particular, related to the requirements for skipjacks of at least 30 cm, such as through registration, strengthening standard operating procedures, integrity pacts and fish tracing.

Furthermore, Budi said, Japan is one of the main export destination countries for Indonesian fishery products and has the potential to continue to increase its exports, especially tuna-cacalang.

Japan became the number 2 tuna-cacalang importer in the world with an import value of 2.2 billion US dollars in 2022 after the United States.

Indonesia itself is one of the main suppliers of tuna-cacalang to Japan.

In the January-November 2023 period, Indonesia's exports of fishery products to Japan were recorded at 632.7 million US dollars.

This value comes from shrimp products of 45 percent, tuna-cacalang by 25 percent, pearls by 8 percent, food stalls 5 percent and squid reaching 3 percent.

The export value for the 4 processed tuna HS codes that had been agreed to be 0 percent in that period reached 47.6 million US dollars or 30 percent of the export value of Indonesia's tuna to Japan.