Preserve Export Quality

Kompas/Priyombodo

Ship crew members unload cakalang fish from the KM. Sinar Arindo 66 ship at the Nizam Zachman Ocean Fisheries Port, North Jakarta, Friday (19/1/2019). The government has vowed to help encourage fishermen to switch from using seine nets to using environmentally friendly catching tool as part of an effort to ensure the sustainability of marine resources for fishermen in the future.

Indonesia must pay attention to the quality of its exported goods so that export destination countries do not reject its products and, thus, the market’s sustainability can be preserved.

In its Thursday’s (3/12/2020) edition, Kompas daily reported how fishery exports from Indonesia were at risk of being temporarily suspended by Chinese authorities. The reason behind the suspension is the discovery of traces of the SARS-CoV-2 virus by Chinese customs (GACC) on Indonesia’s fishery products and their packaging delivered on Dec. 2, 2020.

There have been five incidents so far in which traces of SARS-CoV-2 virus were found on fishery goods sent to China. This makes Indonesia among countries that have sent fishery exports to China contaminated by the Covid-19 virus.

Also read: Embargo Threatens Indonesia’s Export to China

Such a discovery translates to the need for comprehensive improvement in the quality control of fresh produce exports from the upstream to the downstream level. The upstream level encompasses raw material production, while the downstream largely concerns logistical matters.

China itself has managed to control the spread of the virus within its borders.

China’s cautiousness in protecting its points of entry for imported goods is due to its status as the origin of the SARS-CoV-2 virus, which then started a global Covid-19 pandemic. China itself has managed to control the spread of the virus within its borders. Its health authorities have worked hard to prevent the deadly virus from spreading again in the country. As a result, China’s economy has powered up in the past two consecutive quarters.

KOMPAS/ALIF ICHWAN

A number of workers are working to prepare and put a white cloth covering on the containers to be used in the event of the Grand Export of fishery products carried out by the Minister of Maritime Affairs and Fisheries Susi Pudjiastuti at Tanjung Priok Port, Jakarta, Friday (19/7/2019) A total of 394 containers of fishery products will be shipped to 21 countries. The countries are the United States, European Union, China, Spain, Singapore, Sri Lanka, Hong Kong, Japan, South Korea, Thailand, Vietnam, Austria, Malaysia, France, Puerto Rico, Italy, the Netherlands, Australia, England, Denmark, and Greece.

We must admit that the quality of Indonesia’s fresh produce exports require an improvement. Currently, due to hygiene considerations, a number of our food exports have faced difficulties in entering several export destination countries, including Japan and Australia.

It is no longer a secret that while high tariffs are no longer permitted in the World Trade Organization’s (WTO) international trade agreement and bilateral cooperation, countries can still impose non-tariff barriers, one of which is in the form of strict hygiene requirements.

Also read: Lobster Seed Exports Laden with Controversy

Indonesia must increase its comparative and competitive advantage by not only offering relatively lower prices but also by improving and protecting the quality of its exported goods. One possible strategy to do this is by devising a digital tracking system (traceability) which would enable the authorities to promptly check the origin of contaminated products. We could also form a partnership with the custom authorities of export destination countries in implementing production management which meets quality standards.

We cannot ignore the threat of Chinese authorities to temporarily stop the imports of fishery products from Indonesia. Apart from losing the market, the embargo would also reduce the prices of our export products and tarnish our reputation on the international stage.

Hence, cooperation between raw material producers, processing industries, exporters, universities and the government must be strengthened to find the right systems and technologies which could improve the quality of export products and their competitiveness.