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Government suspends export of lobster larvae
The government, through the Maritime and Fisheries Ministry, also issued on Thursday a circular that suspends the issuance of documents for lobster larvae exports, automatically halting such exports indefinitely.
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he government has ordered an evaluation into a controversial policy that allows exports of lobster larvae, but critics are doubtful of the seriousness of policymakers in addressing the issue, particularly as Coordinating Minister for Maritime and Investment Luhut Pandjaitan has signaled that he might continue the policy.
The move followed the arrest of Maritime Affairs and Fisheries Minister Edhy Prabowo for allegedly accepting kickbacks amounting to Rp 3.4 billion (US$241,577) and $100,000 from a lobster larvae exporting company, reportedly to secure export permits for the company. Edhy and six other individuals have been named suspects by the Corruption Eradication Commission (KPK).
Acting as the ad-interim fisheries minister following Edhy's arrest, Luhut ordered the evaluation into the lobster larvae export policy, his spokesperson revealed on Saturday.
The government, through the Maritime and Fisheries Ministry, which is under Luhut’s authority, also issued on Thursday a circular that suspends the issuance of documents for lobster larvae exports, automatically suspending such exports indefinitely.
“The policy regarding lobster larvae is still being evaluated. Yesterday [Friday], the coordinating minister said that if it’s good enough, we should keep [the policy and] shouldn’t worry about whether it’s the right thing to do,” the minister’s spokesperson, Jodi Mahardi, said on Saturday.
He added that Luhut had said the government should distinguish between bad policies and poor or corrupt practices when executing a policy.
However, activist M. Abdi Suhufan from Destructive Fishing Watch (DFW) said the government’s review was likely just “lip-service” because it was expended to respond to the controversy following the high-profile arrest.
He said the government needed to address the problematic Ministerial Regulation No. 12/2020, which formalizes the export of lobster larvae despite conservation concerns and why there were inconsistencies in policy-making regarding lobster larvae.
Under the regulation that was signed by Edhy in May in a major departure from his predecessor’s policy against exporting lobster larvae, businesses can export 2 percent of the lobster larvae they breed. Not long after, he gave permits to 26 companies, according to various media reports.
With Edhy reversing the export policy, the value of lobster larvae exports rose sharply by more than twofold to $15.1 million in September from August, according to data from Statistics Indonesia (BPS). In June, the value stood at $112,990.23.
Indonesia mostly sold the lobster larvae to Vietnam, but it also shipped $7,000 worth of lobster larvae exports to Taiwan in August and $60,355 to Hong Kong in September.
“It seems that the government is now past the point of no return and too embarrassed to [formally] cancel the regulation, which was issued in less than a year, particularly because some companies had reportedly been licensed and might have already made investments,” Abdi told The Jakarta Post on Sunday.
Association of Indonesian Young Entrepreneurs (HIPMI) deputy chairman Anggawira said he was hoping the government would allow the export of lobster larvae again in the future, saying the suspension would harm businesses who have made investments in the industry and force them to cancel orders.
“There is a huge potential for state revenue; it will go to waste if we do not use it. We can give back the potential for the government to develop agro-industry centers in rural regions,” Anggawira, who is also a Gerindra Party member, told the Post on Friday.
Businesses had opposed the previous ban on lobster larvae exports because lobster breeding is costly, risky and time-consuming, which makes it less profitable than selling the larvae. Many smallholder farmers, like those in East and West Nusa Tenggara, relying on selling lobster larvae to businesses for their livelihood.
Abdi said the government had only been listening to the concerns of the bigger companies while overlooking the long-term losses due to the lobster larvae export policy. The fishery ministry has also failed to provide a thorough scientific justification of Indonesia’s lobster larvae stocks and how much could actually be caught, he added.
Edhy previously claimed that exports of lobster larvae would not affect the mature lobster population, citing a study that highlighted that less than 1 percent of lobster larvae grow into maturity naturally. The Gerindra politician also claimed that rolling back his predecessor’s policy to ban lobster larvae exports would boost state revenue, saying there was high demand from Vietnam.
Political analysts have said Edhy’s arrest could potentially drive a wedge between President Joko “Jokowi” Widodo and his former rival in the 2019 presidential election, Prabowo Subianto, Gerindra chairman who currently serves as defense minister. Following a bitterly contested presidential election last year, Jokowi brought Gerindra into his administration after years of opposition.
KPK chairman Firli Bahuri said the antigraft body’s investigation into Edhy was not politically motivated, tempo.co reported.
