Tempting Shrimp Exports, LPEI Inaugurates Foreign Exchange Village In Situbondo

Illustration (Photo: Doc. LPEI)

JAKARTA - The Indonesian Export Financing Agency (LPEI) is said to have recently inaugurated the Shrimp Cluster Foreign Exchange Village in Situbondo, East Java as part of strengthening the regional economy and also supporting sources of state revenue.

LPEI Executive Director Riyani Tirtoso said that as a special mission vehicle, the Ministry of Finance is committed to assisting export-oriented micro, small and medium enterprises (MSMEs) through various programs.

“LPEI synergizes with the central and regional governments as well as other stakeholders in developing the potential of a region. This Foreign Exchange Village Program is in favor of business actors to be able to increase capacity, both in terms of production and knowledge," he said in a press statement on Monday, July 18.

According to Riyani, the Foreign Exchange Village Program is expected to be able to produce highly competitive products with good selling prices so that it can raise the level of community welfare.

“The Shrimp Cluster Foreign Exchange Village in Situbondo is a partnership between LPEI and one of the debtors, namely Panca Mitra Multiperdana (PMMP). Later, the harvested shrimp will be sold to PMMP with good quality standards,” he explained.

For information, Indonesian shrimp products have great potential to meet the needs of the global market. Exports of shrimp and their processed products during January-May 2022 were reported at 1.2 billion US dollars. This figure grew 17 percent from the same period the previous year with 1 billion US dollars.

Meanwhile, the total value of Indonesian fishery exports for January-May 2022 was recorded at US$2.26 billion or higher on an annual basis from the same period in 2021 of US$1.96 billion.

"We hope that in the future there will be more foreign exchange villages by adopting business schemes like this," concluded LPEI Executive Director Riyani Tirtoso.