Traditional Fisheries Supply Chain Management in the Border Area: The Natuna Islands, Indonesia

Abstract

Fisheries have an important role in the economic and security aspects of the border region. Fishing in Natuna is carried out by local fishermen using small vessels with simple fishing gear. The distribution system with ships was hampered due to the Natuna sea area factors and the limited number and frequency. The research aimed to find out the supply chain management of fish in the Natuna Island border area to meet local, regional and export needs. The research used a qualitative approach and snowball information. The result showed that market formation was based on the type and quality of fish caught. Production of local fishermen was sold to the Natuna market, regional markets (Pontianak and Tanjung Pinang), and export market to Singapore, Mainland China, Hongkong, and Malaysia. Type of fish with premium quality (grouper, red snapper) was exported and sold to restaurants, with oligopolistic market characteristics. The premium quality fish market share was controlled by a large trader (Tauke) who has links to islands far Natuna (Pulau Laut, Pulau Tiga, Midai and Serasan). Non-premium quality fish marketing was carried out by fishing boat owners or collectors for local consumption and regional markets.