Shrimp Farmers Innovation in Coping With the Disaster

8/10/2019 Shrimp Farmers Innovation in Coping With the Disaster

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Procedia Economics and Finance 4 (2012) 168 176

2212-5671 2012 The Authors. Published by Elsevier Ltd.

Selection and/or peer-review under responsibility of Parahyangan Catholic University

doi:10.1016/S2212-5671(12)00332-2

International Conference on Small and Medium Enterprises Development with a Theme(ICSMED 2012)

Case Study In Sidoarjo Mud Volcano Disaster Toward Shrimp

Achmad Room Fitrianto a*

aLecturer and researcher at IAIN Sunan Ampel, PhD Student at Curtin University, The Humanities Faculty Building 209 Level 4 room 416,

Bently , Perth 6845, Western Australia

Abstract

Creativity, innovation in knowledge economic era is urgent, especially in order to enhance the productivity and economic

growth. However, for some reason productivity and economic growth cannot be reached because of facing a crisis or

disaster. One of the disasters that occurs and disturbs the economic growth is the mud volcano in Porong Sidoarjo, East

Java. The mud volcano spurted hazardous material and caused most irrigation system within vicinity was polluted. As

result, shrimp sector have been indirect reputational impacted. There are four responses showing that farmers face threats.First, the farmers reacted spontaneously by protesting the BPLS and sought a compensation for their losses. Second, the

farmers sold their ponds and changes their business to another sector. Third, the farmer changes their commodity that

cultivate from shrimp to another stronger fish. Finally, the farmers still cultivated the shrimp but by modifying their

technique and practices in cultivate shrimp. In short, the farmers respond differently in facing the disaster. The creative one

would adopt a new method in shrimp cultivation such create water filtering technique, find new feeding method or discover

new treatment in cultivate shrimp that more environmentally friendly. This creativity could escalating opportunity for

2012 The Authors. Published by Elsevier Ltd.

Selection and/or peer-review under responsibility of Parahyangan Catholic University.

Keywords: Shrimp Farmers, Organic Farming, Innovation

* Corresponding author. Tel.: +61892662249; fax: +61892663818.

E-mail address: [email protected]; [email protected]

.

Available online at www.sciencedirect.com

2012 The Authors. Published by Elsevier Ltd.

Selection and/or peer-review under responsibility of Parahyangan Catholic University


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169Achmad Room Fitrianto / Procedia Economics and Finance 4 (2012) 168 176

1.

Background

The Sidoarjo mudflow resulted in a major environmental and social disaster. Consideration of this case

which demonstrates weaknesses, particularly in terms of enforcement and accountability.

On May 29, 2006, hot hazardous mud and gases began erupting in Porong. The eruption located just 150

meters of hydrocarbon exploration in Porong Sidoarjo in East Java. A major environmental and social disasterhas begun. The mud Volcano disaster in Porong, destroyed infrastructure and buried approximately 600

hectares of land and housing but also the economic sector within vicinity. The Indonesian Supreme Audit

Board (BPK-Badan Pemeriksa Keuangan) audit calculated the losses of local infrastructure and buried areas at

around Rp 32.895.970 million.

One strategy adopted by authorities dump the mud volcano to Porong River and other rivers within vicinity.

Evidence suggests that the mud polluted the Porong River with hazardous material that exceeding the

maximum residue limit (McMichael, 2009). In addition, the mud microbiology analyses conducted by the

ICBB showed that the mud volcano in Porong contains dangerous bacteria such as Coliform, Salmonella and

Staphylococcus aureus (Antara, 2006). As the result, most irrigation system within vicinity was polluted

(Herawati, 2007). Therefore, it would seem likely that also the fish farming sector, especially the Shrimp

farming sector in the vicinity of the mudflow have also been directly impacted.Supporting the background above, this writing tries to observe and analyses the shrimp farming in the

negatives of the disaster. First of all, a background to the disaster describes in early section. This section

details the events of the disaster and explores the related issues regarding the occurring of the mud disaster in

Porong.

Secondly, identification of problems is portrayed in the second section. This section details the problems

that are faced by the farmer that occurs prior and post the disaster, including the indirect effect of the disaster.

Thirdly, the farmer respond toward the disaster describes in last section. This section portrait the farmer

efforts in minimizing the negative of the disaster and the farmer endeavors in enhancing their shrimp

productivity.

Lastly is the conclusion, a discussion on the lessons that can be learned from the shrimp farmer creativity in

minimizing the negative effect of the disaster

2.The cause of disaster and Human Factors in Disaster.

There two opinion that analyses the cause of occurring the mud volcano in Porong. The first opinions have

argued that the disaster was caused by misconduct of oil drilling activities, whereas other opinion said the

disaster was triggered by the Yogyakarta earthquake on May 27, 2006. However both opinions has similarity

views that the mud volcano was a result of an underground explosion that was caused by higher pressure of

ven though one blamed the human activities others blamed on

the earthquake (Davies, 2007; Istadi, 2007; Budi, 2008).

Despite of those discourse, general agreement stated that the disaster mostly caused by the natural

phenomenon, but compounded by direct or indirect human interventions. Benjamin F. Timms (2011) point out

that the causes of vulnerability are not only the initial natural event that triggered disaster but also caused bycumulative social and economic processes. In the Porong cases, whether the disaster was triggered by earth

quake in Yogyakarta or drilling oil activities, evidence indicates that the effect was made worse by identifiable

deliberate mismanagement of the government. For example: In the Banjarpanji case, the exploration permit in

Block Brantas that was granted to PT. Lapindo Brantas by the central government was not compatible with the

Sidoarjo site plan (BPK report, 2007). According to the Indonesian Supreme Audit Board, the drilling location

of BJp-1 well is located just 5 metres from residential areas, 37 meters from Porong freeway and less than 100


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170 Achmad Room Fitrianto / Procedia Economics and Finance 4 (2012) 168 176

meters from the gas pipe that cross along Porong High way. Based on the decree of Badan Standar Nasional

Indonesia No.13-6910-2002 and Presidential decree (Inpres) No. 1/1976 , PT Lapindo should not have been

allowed to conduct mining activities near residential areas and near public infrastructure facilities. However,

even though the drilling activities were not compatible with the Sidoarjo site plan, the government still

approved the

past exploration in Porong. Firstly is that the Dutch Colonial archives from 1910 mentioned that the Porong

area was considered prone to gas eruptions. Secondly, in 1950s an American Oil Exploration Companies in

From the facts above, shows that hazardous

events are not only triggered by natural changing, such as an earthquake or heavy rains, but also caused by

social factors.

Due to the volume of the spurted hot mud, there have been two policies applied in managing the mud.

Firstly is that by developing dams surrounding the vicinity and diverting the Mud to Porong River. As result

most irrigation system within vicinity is polluted. Based upon Brahmana, et.al, (2007) and Herawati, (2007)

investigation. Moreover, (McMichael,2009) explains that the sub districts where are located around Madura

strait such as Buduran Waru and Sedati indirectly affected. This is because Madura strait is the estuary of the

Porong river and some other small rivers surrounding the Porong mud volcanos,

Evidence indicate that the mud polluted the Porong River with hazardous material such as Hydrocarbon

Sulphide, Hg (Mercury), Cd (Cadmium), Cr (Chromium), As (arsenic) and phenol (Antara, 2006; Mawardi,2006; Herawati, 2007). In addition, McMichael (2009) measured phenol in mud samples at concentrations

exceeding the maximum residue limit. In addition, the mud microbiology analyses that were also conducted by

the ICBB(the Indonesian Centre for Biodiversity and Biotechnology) show that the Lapindo mud contains

dangerous bacteria such as Coliform, Salmonella and Staphylococcus aureus (Antara, 2006). Furthermore, this

mud volcano emits H2S (hydrogen sulphide) gas radiation from the center of the gushing mud. It was reported

that levels of H2S were at 700 parts per million (ppm) on the first day of the mud flow, then dropped to 3 ppm

on the second day and apparently to zero on the third. In addition, small amounts of H2S continue to spew out

from the site at certain levels that make the air smell foul (Down to Earth, 2006). However, analyses conducted

by PT Energi Mega Persada, classified the mud as non-hazardous and non-toxic (Pohl, 2007).

3.

The Problems faces Sidoarjo Shrimp sector.

There were two special cases that significantly affected toward the shrimp sector production. The first case

was that the huge death of shrimp in 1994. The shrimp mortality cases were spread on the land area of 9000 ha

or almost reach 60% of the shrimp ponds in Sidoarjo (Siregar, 2007). According to provisional calculations,

farmers loses was approximately Rp 13 billion or US$1.4 millon. This production failure actually occurred

frequently since 1992 but the biggest strake was in 1994. Some experts mentioned this failure happen because

of the mismanagement of ponds production and high pollution. For example, the farmer tends to use intensive

production method that exploited and continuously forced the land. As result, the quality of their land declined.

The declined ponds quality makes the shrimp diseases growth rapidly. Therefore, farmer found their shrimp

death. In addition, other analysis shows that the bulk death of shrimp cases in 1994 mostly caused by heavy

polluted river water by industrial waste. The polluted water that had been used carried many diseases, bacteria,

and germs. This bacteria and germs are mostly live and growing in irrigation channels or rivers that use for

watering the ponds. There are some rivers that suspiciously had high polluted materials, such as the Buntung

River, Gedangan River, Kedungguling River, and Porong River. The rivers are the branches of the Brantas

River, which is well known that the Brantas River cross various regions such as Kediri, Jombang, and

Mojokerto which is known as region that have many industries and domestic waste.

The second case was that the spurting up of the hot hazardous mud in Porong in the late of May 2006. due

to the policy that has been taken by the authority that channeling the mud to the Porong Rivers and Kalitengah


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Rivers, it is caused the aqua culture near to the those river and surround Madura strait suspiciously polluted.

Antara (2009) publish the direct effect of the dumping of Porong Mud Volcano to the rivers. There were 200

shrimp farmers protested toward the massive death of their shrimp in the ponds to the BPLS (Mitigation agency

that manage the Mud Volcano). They claim that they experiencing Million rupiah losses because of the death.

They protested to the BPLS to not channeling the hot hazardous mud to the rivers that they use as main water

resources for their ponds. Based on the data of Sidoarjo Fisheries and marine department (2009) There are three

sub districts; Porong, Tanggulangin and Jabon, that are experiencing the significant declining of fisheries

production. The fisheries production in the three sub district mentioned above was 7,338,500 Kg in 2007

become 5,467,200 Kg in 2008. Which mean declining approximately 1,871,300 Kg or 25.49%.

Dahuri (2009) stated that channeling the mud to the Porong River will affected the fisherman and fishery

farmer surround the Madura Strait. Therefore would be 4.300 people would affected indirectly. And according

to Dahuri, it would also affect to the Indonesian shrimp export that reach 50,030 ton or equivalent to US% 324

Million.

4.Fisheries Sector Impact.

Shrimp remains the leading export of fishery commodities in Indonesia. From 2005 -2009 Indonesia's

shrimp production rise 6.35% per year. The volume of Shrimp production in 2005 had 280,629 tons andincrease 380,972 tons in 2010. In addition the average exports rate per year from 2005 until 2011 reached Rp

18.9 trillion or equivalent to U.S. $ 2.1 billion. There are three main destination countries for Indonesian

shrimp export, firstly is that the United States that is an average of 83,347 tons per year or 12.54 % of the total

national export of fishery products. Secondly is that Japan that absorb approximately 74,973 tons per year or

equivalent to 11.28 % of the total shrimp export, the third export destination is European Union that reach up

to 51,976 tons annually or equivalent to 7.82 %, and approximately 253,256 tons per year are exported to

many countries.

Sidoarjo play significant role in fishery sector in total Indonesian fishery export. According to Dahuri

Indonesian fisheries export.

The fisheries ponds in Sidoarjo occupy 15,530 hectare that spreads on the eight sub district. 402 hectare inWaru, 4,100 hectare in Sedati, 731 hectare in Buduran, 3,128 hectare in Sidoarjo, 497 hectare in Tanggulangin,

1,032 in Candi, 496 in Porong and 4,144 hectares are located in Jabon (The Sidoarjo Fisheries and Marine

department, 2009). Porong, Tanggulangin, Jabon and Sidoarjo are the nearest location to the mud volcano in

Porong. Therefore approximately 5,672 hectares of fisheries pond especially the shrimp production is affected

directly by the Mud. Beside that another sub districts where are located around Madura strait, which is the

Madura strait is the estuary of the Porong river and some other small rivers surrounding the mud volcanoes,

indirectly affected (McMichael,2009).

Based on the Sidoarjo fisheries and Marines department (2008), in detail describe the declined fisheries

production in three sub disticts. Tanggulangin Sub district had 799,100 kg fisheries production in 2007 become

642,200 Kg in 2008; it reduced 19, 63%. Jabon sub district had 5,647,400 Kg fisheries production in 2007

become 4,445,800 in 2008, It declined 21.28% and the biggest declining fisheries production was experienced

by Porong sub district, this sub district experienced negative 25.93% growth of fisheries production from

782,000 Kg in 2007 become 579,200 Kg in 2008. Overall Sidoarjo experienced negative 24.81% of fisheries

production growth.


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5.Farmer Responds.

There are four responds that farmers show in facing the threats. The first respond is that the farmers react

spontaneously by protesting the BPLS and sought a compensation for their losses. The second respond is that

the farmers sold their ponds and changes their business to another sector. The third respond is that the farmer

changes their commodity that cultivate from shrimp to another stronger fish. The last responds that identified is

that the still cultivate the shrimp but by modifying their technique and practices in cultivate shrimp.This writing focusing to the farmer that responds the disaster by modifying their technique and practices in

cultivate shrimp. One of those efforts is that by applying organic shrimp farming method.

5.1.Organic Shrimp farmer in Sidoarjo

There are two kinds of shrimp that are cultivated by the farmers in Sidoarjo,Penaues MonodonandPenaues

Vannamei. Sidoarjo site plan 2008-2028 mentioned that the wide of fish ponds including shrimp are 15,766.2

hectare that located in eight sub district in the east coast of Sidoarjo, Sedati, Waru, Buduran, Sidaorjo, Candi,

Tanggulangin, Porong and Jabon sub district. The number of fishery farmer in Sidoarjo around 3,250 people.

However, the farmers that are implement organic aquaculture not more than 100 farmers (Rouf, 2011). Organic

farming is a farming system that practice ecological principles in farming activities such as using biologicalpest compare to use chemical one, avoid using antibiotic and hormonal growth in farm production process. In

more detail, Organic Shrimp is a shrimp that is cultivated based on the ecological principles in farming. There

are four things that usually practiced by the shrimp organic farmers. Firstly, besides growing shrimps, the

farmers also pay attention in the protection of the mangrove ecosystem, secondly, selective in choosing the

origin of the shrimp fry and the density of the shrimp in the ponds. The farmers use the shrimp fry from the

organic hatchery farm. Thirdly is the design of the pond. The management should measures only materials and

substances that shall be used have no injurious effects on the organisms or the environment. Another aspect that

have to considered is that the water quality that has been used. The water quality (e.g. temperature, pH, salinity,

oxygen, and ammonium and nitrate concentrations) must conform to the natural requirements of the species

cultivated. If artificial modification toward the water needed such the use of waterwheel or air pump is

inevitable, then the day length simulated shall not exceed 16 hours. Fourthly is that, the hygiene of the shrimppond including the feeding method, fertilizing methods and the harvesting methods. An urgent aspect that has

to be considerate is that, the use of natural curative methods in case of a disease. Use of conventional medicine

is only permitted in vertebrates and after detailed diagnosis and remedial prescription by a veterinarian

(Naturland, 2002; Sahidhir, I. 2010).

In short organic farming is a farming system that promotes three issues. Firstly is that the food safety.

Organic system guaranty the food safety issue by using an organic or biological pesticide and organic or

biological fertilizer. The second issue is that the environmental sustainability issue. In shrimp organic system

securing their premises ponds for other habitants and restraint the salitation processes by doing re-planting of

mangrove trees (mangrove reforestation) and practicing polyculture. The third issue is that the social justice,

the shrimp farming has profit sharing system between owner and workers. They apply 85%-15% profit sharing,

85% for the owners and 15% for the workers (Sahidhir, I. 2010).

Some opinion mentioned that practicing organic aquaculture is more productive than traditional methodsthat use artificial food from factories. Secondly, by using organic method of shrimp cultivation could reduce

the crop failures that are caused by white spot, a kind of viruses that growth resulted from intensive method in

aquaculture (Harian Surya, 2011).


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5.2.Actors That Plays in Supporting Shrimp Farmer

There are four actors that play significantly in supporting shrimp farmer. Firstly is that the farmer

association, secondly is that the government agencies, thirdly is that academicians and the last actor are the

buyers. One of the potential buyers that operated in Sidoarjo is Alter Trade Japan. This company founded PT

ATINA. Alter Trade Japan (ATJ) headquarter is located in Shinjuku Tokyo Japan. PT ATINA plays

significant role in Sidoarjo Shrimp fisheries sectors. ATJ start import of eco-shrimps from Indonesia since

April 1992. Eco- Shrimp is defined as shrimp that produced by traditional extensive farming. At these stages,

ATJ started a project called organic shrimp project in Indonesia and the location is in Sidoarjo. In order to

supporting the project, PT ATJ established local office in Surabaya in July 2000. Two years later, PT ATJ

obtained an organic certificate from Naturland, an IFOAM accredited certifying body. In order maximizing the

organic shrimp project, in June 2003 PT ATJ founded PT Alter Trade Indonesia (ATINA) and determined their

contract with the ARG. In June 2005 PT ATINA run another project in Southern Sulawesi in order to have

addition supply of eco-shrimp products.

The work of PT ATINA could describe as follows; PT ATINA has selected some farmer base on the criteria

that are stated in Naturland certificate. The selected farmer signed a contract with PT ATINA. Having contract

with PT ATINA the farmer have some beneficiaries such as they have been educated how to cultivate a goodorganic shrimp, or being supplied by PT ATINA with certified shrimp fry or shrimp feeds. Having supplied

the shrimps fry and the shrimp feeds, farmer will pay it in their harvest time. By deducting from the overall

harvest result that sold to the PT ATINA, the farmers pay the total cost of supplying shrimp fry and shrimp

feeds.

Tanggulangin, Candi, Sidoarjo and Buduran. The first group is under the Kelompok Petani Tambak Organik

Sidoarjo- the Sidoarjo Organic Shrimp Farmers Association (KPTOS) that has 104 units of organic ponds in

2006. The second is the Warehouses or shrimp depot. There are three warehouses that have contract with PT

ATINA, warehouse number 6, warehouse number 7 and warehouse number 12. The warehouse members are

the farmers that are cannot change their habits by selling to the Pengepul. Which is the pengepul is a shrimp

collector that buys the shrimp on behalf of the Warehouse. The warehouse plays double agent, as a supplier of

members are the farmers that involved in the early stages of ATJ project in Sidoarjo. There are 111 unit of

shrimp ponds member of the warehouses. The prices that offered to the farmer could be depicted from the

table 1.

From the table it could be seen that the shrimp organic process are better compare to the non-organic one

except for the 20-24 size. This is because it very rare for organic farming to reach size 20-24 and mostly it

produced by non-organic one. The factors that make the non-organic one could produce big size easily is that

because the use of hormonal growth for the shrimps.

Beside the buyer that provide technical assistance and support for the shrimp farmer, the academician also

play significantly in helping farmer in minimizing the negative impact of the occurring Mud volcano. There

are at least four researches that conducted by academician that related to the mud volcano in Porong and its

effects to the fish farmer in Sidoarjo. The research mostly analyses how to use biological filter in filtering the

polluted water for irrigate the shrimp or fish ponds. Beside that some of the research also investigates the use of

land after the prior of the disaster, including the effects of transportation, the sedimentation of the Madura strait

and the availability of the land for developing infrastructure in supporting the mobility of the farmers and other

business.


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Table 1. The table of shrimps size that accepted by PT ATINA

Categorizes Size Price in Rupiah

Organik Non Organik

LL 20-24 90,000 110,000

L 25-33 80,000 70,000

M 33-44 70,000 60,000

S 46-65 50,000 40,000

SS 66-100 30,000 20,000

Source: PT ATINA cited in Noor, M.N. 2006.

6.The Lessons

The farmers respond differently in facing the disaster. The creative one would adopt a new method in

shrimp cultivation such create water filtering technique, find new feeding method or discover new treatment in

cultivate shrimp that more environmentally friendly. This creativity could escalating opportunity for gaining

There are for actors that play significance role in supporting shrimp farmers creativity. The fourth actor is

the Farmer Association, by channeling to other farmer, the affected farmer could learn from the best practicesthat have been done by the others farmers. Secondly is that the Buyers. In order to guaranty the product quality,

that the buyers purchases, the buyer provides technical assistance such as providing consultant or promoting

organic farming method. PT ATINA does promoting organic farming and provides everything what farmer

need. The third actors is that the academician. By conducting certain research that helps the famer, it increases

the farmer risk in cultivating shrimp or other aquaculture commodity.

Acknowledgements

I dedicate this writing for better Indonesia and Also I would like to thanks to Directorate General of

Higher Education, Ministry of National Education that provided the postgraduate scholarship at CurtinUniversity.

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Shrimp Farmers Innovation in Coping With the Disaster

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