Abstract
Currently, the fishery sector in Indonesia has become one of the potential and growing sectors. This study aims to compare the current condition of aquaculture fish supply chain and sea catchment fish supply chain and to analyze the logistics cost structure for both supply chains using Activity Based Costing. Convenience and snowball sampling were employed as the methodology, while data collection through in-depth interview on 133 respondents was undertaken in the Klaten region, Sleman region and coastal area of Java island, Indonesia. The difference on the dominant logistics cost of both supply chain indicates that different characteristics of fish may possibly result different logistics cost structure. The procurement cost dominates more than 70% of total logistics cost in the aquaculture supply chain, meanwhile transportation cost (43.57%) is accounted for the highest portion in the sea catchment fish. Thus, the efficient supply chain should be encouraged to control the logistics cost and enhance the profit margin. The economics of scale, practice of cold chain system and appropriate transportation selection should be managed to optimize both supply chains.
Highlights
Since the last few years, Indonesia’s fishery sector shows a significant increase in productivity
This study aims to compare the current condition of aquaculture fish supply chain and sea catchment fish supply chain and to analyze the logistics cost structure for both supply chains using Activity Based Costing
In-depth interview was undertaken on 69 respondents of aquaculture fish stakeholder and 64 respondents of sea catchment fish stakeholder to identify the current supply chain condition and to analyze the logistics cost incurred in both supply chain
Summary
Since the last few years, Indonesia’s fishery sector shows a significant increase in productivity. This is followed by increasing demand for domestic fish-based products and exports. The fishery production in Indonesia is divided into fish from aquaculture and fish from sea catchment. R. Tanuputri 354 characteristics can be seen from the distribution system where aquaculture fish is mostly distributed alive, while the sea catchment fish is distributed in dead condition and requires proper quality management. The quantity of aquaculture fish production depends on the cultivation activity in the pond. The quantity of sea catchment fish production is determined by external factors such as weather conditions and rampant practice of illegal fishing that harm Indonesian fishermen. The production of fish in Indonesia tends to increase (Figure 1) where during 2004-2009 the production of sea catchment fish was more dominant than aquaculture fish in that year and the dominance changed into aquaculture fish in the last five years
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