Funded by
ICCO Cooperation
Document
Project number 76-02-04-020 (1): AIP PRISMA Fishery Project 2014-2016, dated December 3, 2014.
Budget
EUR 150,150 or equivalent to Rp 2.252.250.000,00.
Period
Program period from December 1, 2014 until December 31, 2015.
Description
The Australia Indonesia Partnership for Decentralization-Rural aims to increase rural incomes in 5 provinces of Eastern lndonesia. The goal of Australia Indonesia Partnership for Promoting Rural Income through Support for Markets in Agriculture AIP – PRISMA is to contribute to a 30%, or more, increase in net incomes for 1,000,000 poor rural female and male farmers, 300,000 of which will be reached by June 2017.
The fisheries sector intervention program in Situbondo will be developing cage farming on grouper. The objectives are to provide a year-round source of food and income for fisher folks particularly during the four to six months closed season for marine catch fishing. This program will likewise address the perennial lack of supply of exporters of live reef fish like grouper. This program will only happen if the required financing for the investment and operations of the fish cages will be made available to the fisherfolk. Therefore this intervention addresses the financial services that are appropriate to the needs of fish cage farming.
This intervention will focus on product development and delivery mechanisms that will fit the circumstances of the fisher-folk. This intervention will likewise mobilize funds for the new financial products that will be developed. lt is estimated that with this intervention and working with Bank Jatim, 300 fisher-folk organized in 30 production units and will benefit through increased incomes of 140% by mid-2015 with an expected outreach until 2017 of 1200.
The business model involves three value chain actors (fisher folks organized in production units, their association, and the bank). Bank Jatim will provide loan to fisher folks/coastal community groups for investment and operational costs.
ICCO will provide support to Penabulu so that Penabulu could deposit the fund for Bank Jatim to provide loan to the fisher folks. Bank loans to fisher group from Bank Jatim will be treated as a common loan mechanism and could be based on the collateral loan mechanism.
Funding
This program supported through grant awarded by ICCO Cooperation based on agreement with project number 76-02-04-020 (1): AIP PRISMA Fishery Project 2014-2016 dated December 3, 2014 with total budget amount of EUR 150,150 or equivalent to Rp 2.252.250.000,00, program period from December 1, 2014 until December 31, 2015.
