Supporting Local Feed Self-Sufficiency for Inland Aquaculture in Indonesia - TCP/INS/3606
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In 2014, Indonesia produced 3.64 million tonnes of aquaculture products, making it the second largest aquaculture producer in the world. Of this production, 2.86 million tonnes, equivalent to 67 percent of total aquaculture production and 94 percent of total fish production, was accounted for by freshwater culture. The general trend towards global production intensification indicates that the demand for aquafeed will continue to rise in the coming years. Indeed, between 2008 and 2015, aquafeed demand increased by 70 percent in Indonesia. However, commercially manufactured aquafeed is estimated at 1.1 million tonnes per year and relies heavily on imported feed ingredients according to the Indonesian Feed Mill Association (GPMT). More specifically, 89 percent and 65 percent of feed ingredients for shrimp and fish aquafeed production, respectively, are being imported. Although the aquaculture production sector in Indonesia is dominated by small-scale farmers, aquaculture practices are generally driven by basic economic criteria, such as income generation, productivity and production. However, production is still largely governed by the balance between the availability and affordability of production inputs. This is certainly the case for aquafeed, which typically accounts for 50–70 percent of the costs for aquaculture production.