The Development Potential Study of Fish Processing Industry In Palopo City South Sulawesi Province

Abstract

In Pontap Fish Landing Base, huge amount of unsold catches production has only been traditionally dry processed by the fishermen or traders. This processing remain not adding significant value to its product. Therefore abundant of fishery resource that influenced by the season did not indicate the fishermen welfare. It was assumed that no study has been found about the potention of fish processing industry in Palopo that affected investors hesitate to invest. This evidence proofed why fish processing industry cannot develop well. Therefore, a study about development potential of fish processing industry in Palopo South Sulawesi province needs to be conducted. This study has three objectives, i.e. : (1) to describe the conditions of capture fisheries production in Palopo, (2) to identify the potential areas in Palopo for fish processing industry development, and (3) to determine the development strategy of the fish processing industry that is appropriate in Palopo City. This study used a case study that examined the potential for the development of fish processing industry in Palopo. The analysis described descriptively based on the volume, dominant fish species and source of catches production that was landed on Pontap Fish Landing Base that describe the conditions of fish production in Palopo. Descriptive analysis was also conducted based on the government policy direction; location, facilities and accessibility; the market absorption; and Palopo human resource which related to the development potential of fish processing industry. Furthermore, the strategy of fish processing industry development will be described based on SWOT analysis. Production of fish catches in Palopo was usually centered on the fish landing base in Pontap Fish Landing Base. In 2009 until 2012, the fish production volume landed increased with growth rate 17.28 percent per year. These volume production increasement also directly increased the fish production value. Fish also come from the outside of Palopo, such as Bulukumba, Makassar, Pare-pare, Bone, Sinjai, Palu, Ponrang, and Kendari. The dominant fish species which were landed in Pontap fish landing base are short mackerel, indian scad, Anchovy, pony fish, Skipjack, mackerel tuna and sardine. The development to industrial city in Palopo has been supported by the government by issuing a policy that was established in a regional law No. 9 of 2012 on Regional Spatial Plan of Palopo Year 2012-2032; marketing field work program of the Palopo Marine and Fisheries Department which supported the processing and marketing of the fish. Palopo has set a region where Palopo Industrial Estate has been intended for medium to large industries as for supporting industries of agriculture, plantation, fisheries, forests, and farms. However, the distance of Palopo Industrial Estate location to the source of raw materials (fish) is far enough to reach the Pontap Fish Landing Base. The location of fish processing industry development that could potentially be the suitable location of the fish processing industry development is in Pontap Fish Landing Base itself. Therefore, an setting up the fishing port status from fish landing bases into coastal fishing port needs to be done in order to support the fish processing industry development in Palopo. The catches treatment facility centralized in Pontap fish landing base, including: Fish Auction, chilling room, ice factories, warehouses and fish processing building. Palopo has the potential of the inletoutlet on Eastern Indonesia market location as geographically have direct access to the Bone Bay sea lanes to the Banda Sea, Flores Sea and the Makassar Strait, that has been supported by the presence of Tanjung Ringgit Port. Land transport network system includes road and rail network system. Palopo city plan for development of passenger terminal, cargo terminal, and public transit lines, and the railway network development were the parts of the Trans-Sulawesi railway track. Air access was supported by the existence of the Lagaligo Airport in Luwu bordering the southern city of Palopo. Palopo have proper access to land, sea and air that has great opportunity to be developed. High levels of fish consumption and the development of the rapid increasement in Palopo indicates a high market absorption. Great number of human resource will suffice the need of labor for the scale of home, small and mid industry. The strategies of fish processing industry development that can be offered were (1) strengthening and developing an integrated fish processing group from local coastal community; (2) utilizing and maintaining the cold storage, ice factory, and fish processing building; (3) expanding the market especially processed fish products; (4) easy administration access for local fish industry; and (5) improving the competitiveness of the fish catch production volume of local fishermen in Pontap Fish Landing Base. The results illustrated the enormous potential of the fish processing industry development in Palopo. Counseling and skills training of fish handling and processing needs to be given to the coastal communities in order to anticipate the peak fishing season.