9南太平洋海域調査研究報告
OCCASIONAL PAPERS

No.58（2017 年 3 月）
No.58（March 2017）

Development of Fresh Fish Marketing in Maluku
APITULEY Yolanda M. T. N. and BAWOLE Dionisius
Faculty of Fisheries and Marine Science, Pattimura University

Abstract
In modern marketing concepts, markets are no longer positioned at the end of the process, but in thebeginning of production. By that means, the ultimate goal of a production is markets or consumers.
Geographical condition of Maluku which has thousands of small islands leads for its abundant fresh fish.
However, characteristics of fresh fish such as seasonal and perishable, added by the distance of production
and consumption center as well as inadequate facilities, resulted in the need of development of island-basedmarketing. The purpose of this study is to develop marketing of fresh fish in Maluku which is known as
one of the archipelago provinces in Indonesia. Based on the results of Strengths, Weaknesses, Opportunities
and Threats (SWOT) analysis, the position of fresh fish marketing system in Maluku is in Growth Oriented
Strategy. It means that the strategy adopted in this condition should support the aggressive growth policy.
These strategies are: 1) improving the infrastructures of production and marketing of fresh fish, 2)
integrating facilities and infrastructures of production, marketing and processing, 3) improving skills offisher folks in fish handling and processing, 4) increasing cooperation with financial institutions in theprovision of venture capital, 5) improving function of marketing institutions and 6) establishing an agency
that has a mandate to stabilize prices of fisheries products.
Keywords: archipelago, fisheries products, Growth Oriented Strategy, policy, SWOT analysis

Introduction
Fresh fish are highly perishable and damaged; the production centrals are scattered andfar from consumption centers. As they are seasonal, while the consumption of them is stablethroughout year, a special treatment is required to maintain their quality and durability(GALLEGATI et al. 2011, HANAFIAH and SAEFUDDIN 2006). The price of fresh fish is fluctuated,leads to complicated of business prediction, both in the calculation of profit and loss, as wellas risk management (BRINSON et al. 2011).
Unimplemented properly cold chain in post-harvest handling lower the fishermenbargaining position (HANAFIAH and SAEFUDDIN 2006), so they tend to get results that are notin accordance with the risk level of their jobs. To make these activities well developed, somerequirements are needed, such as high quality of products and able to take advantage ofmarket opportunities.
Maluku has 1,340 small islands, divided in one city and ten regencies. Those islands
spread with inadequate infrastructures which make transportation to and from those islands

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APITULEY Yolanda M. T. N. and BAWOLE Dionisius

are very dangerous. This condition is also influenced the marketing process of fisheries
products in Maluku that could lead to the lower fishermen revenue. Therefore, this paper isaimed to analyze the strategy of fresh fish (fisheries products) marketing in Maluku.

Research Method
Fresh fish marketing system survey was conducted to all stakeholders (fishermen,collectors, retailers and bureaucrats) who involved in that system by using questionnaire andobservation. Strategy of fresh fish marketing was developed through Strengths, Weaknesses,Opportunities and Threats (SWOT) analysis. Each SWOT factor was scored from 1 (mostimportant) to 0 (unimportant) and rating was scaled 4 to 1. For internal factors (strength andweakness): strength rating will be 4 when the factor is very strong, and vice versa. Weakness
rating will be -1 when the factor is very weak, and on the contrary it will be -4 when it isweak. For external factors (opportunity and threat): the bigger the opportunity, the higher (4)the rating, and vice versa. The rating threat will be -1, when it is high, and will be -4 when itis low (RANGKUTI 2002).

Results and Discussion
Internal and external factors of fresh fish marketing
Based on the SWOT analysis, the condition of fresh fish marketing system in Maluku isin Quadrant I (0.8; 2.2) (Fig. 1, Table 1), which means support aggressive strategy or Growth
Oriented Strategy (RANGKUTI 2002). By that, the strategy produced should support aggressive
development policy.

Fig. 1. Grand Strategy Diagram of fresh fish marketing in Maluku.

11Development of Fresh Fish Marketing in Maluku

Table 1. Analysis of internal and external factors.
Internal and External Factors

WeightRating

Score

Strengths
1High potency of fish resources

0.1030.302Many islands make fish available anytime

0.07

20.14

3

Transportation available

0.05

20.10

4

Maluku was declared as National Fish Granary

0.10

30.30

5Ambon was determined as minneapolitan area

0.10

30.30

6

Maluku was determined as one of economic development
accelerating corridor in East Indonesia

0.10

30.30

Availability of cold storage

0.05

20.10

7

Weaknesses1

Low of fishermen awareness in maintaining fish quality

0.05-1-0.052

Limited capital

0.04-1-0.04

3

Low of fishermen bargaining position

0.04-1-0.04

4Production areas spread and far from consumption areas

0.03-2-0.06

5

Fish Auction Place is only in Ambon and not functioned

0.03-3-0.09

6

Limited marketing infrastructures

0.04-2-0.087

High marketing cost

0.02

-3-0.068Fluctuation of fish price0.04-2-0.089

Market structure tend to oligopoly

0.05-1-0.05

10

Low of market integration

0.05-1-0.05

11

Low market information

0.02-4-0.08

12

Limited alternative of processed product diversification

0.02-3-0.06

Total score strengths-weaknesses

1.00

0.80

Opportunities
1Increasing of population in Maluku

0.10

30.30

2

Increasing of community’s awareness in eating fish

0.10

30.30

3

Potential market outside Maluku

0.20

40.80

4

Increasing of income per capita and purchasing power

0.10

30.30

5Government attention to fishermen

0.20

40.80

Threats
1Illegal, Unreported and Unregulated fishing in Maluku

0.10-1-0.10

2

Unregularly sea patrols

0.10-2-0.20

Total score opportunities-threats

1.00

2.20

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APITULEY Yolanda M. T. N. and BAWOLE Dionisius

Development strategy of fresh fish marketing system in Maluku
Aggressive marketing development policy means a policy of marketing system fromupstream to downstream. That policy covers product availability, production infrastructure
provision, product handling and processing, fishermen capacity building and marketing
infrastructure support development. Table 2 shows strategies produced based on external andinternal factors identification.
Table 2. Qualitative SWOT analysis of fresh fish marketing in Maluku.
Internal Environment

Strengths (S)1 Highpotency

Weaknesses (W)offish1 Low of fishermen awareness inmaintaining fish quality

resources
2 Many islands make fish

2 Limited capital
3 Lowavailable anytime
4 Maluku was declared as

fishermen

bargaining

4 Production areas spread and far fromconsumption areas

National Fish Granary
5 Ambon was determined as

5 Fish Auction Place is only in Ambon
and not functioned

minneapolitan area
6 Maluku was determined as
oneofposition

3 Smooth transportation

ofeconomic

development

accelerating

corridor in East Indonesia
7 Availability of cold storage

6 Limited marketing infrastructures
7 High marketing cost
8 Fluctuation of fish price9 Market structure tend to oligopoly
10 Low of market integration
11 Low market information

External Environment

12 Limited alternative of processed
product diversification

Opportunities (O)SO strategies

WO strategies

1 Increasing of population in 1 Develop environment insight 1ofMaluku
2 Increasing of community’sawareness in eating fish
3 Potentialmarket

outside4 Increasing of income percapita and purchasing power
5 Government

attention

tofishery business (W2,8;O1,2,3,4,5)(S1,2,4,5,6; O1,2,3,4)
2 Integration development of 2

Increasing skills of fish handling andprocessing and marketing

processing (W1,3,11,12; O1,2,3,4,5)
3

3 Increasing
handlingskills
andofThreats (T)Unrepported

Unregulated

fishing

Maluku2 Unregularly sea patrols

Improving marketing institutions
function (W4,5,6,7,9,10; O1,2,3,4,5)(S1,2,3,4,5,6,7; O1,2,3,4,5)
fish 4Forming institution that has mandate
to stabilize fresh fish price (W7;processing

O1,2,3,4,5)(S1,2, 3,4,5,6; O1,2,3,4,5)

fishermen

Improving cooperation with financeinstitutions in providing capital for

fishery

infrastructures

Maluku1 Illegal,capture

ST strategies
andin

1 Integrated

WT strategies

controlby 12(S1,2,3,4; T1,2)
2 Tighten

mechanism

controlling3
material

distribution (S1,2,3,4,5,6,7;T2)

andmarketing(W1,2,3,4,5,6,7,8,9,10,11,12; T1,2)

functionraw

Improving infrastructure of fish
production

and(S1,2,3,4,5,6; T1,2)
3 Improving

Improving sea security capacity(W3;T1)

involving local community

Tighten mechanism and controlling
functionO1,2)(W1,2,3,5,6,7,8,9,10,11;

13Development of Fresh Fish Marketing in Maluku

SO strategiesWhen strengths (S) are combined with opportunities (O) that happened due to current
global economic improvement, it will result some SO strategies as below.
1) Improvement the environment insight of capture fishermen2) Integration of processing and marketing infrastructures
3) Increasing skills of fish handling and processing
Increasing of population and awareness of fish consumption as well as community’s
income and purchasing power are challenges for fishermen to catch fish at most. Imbalance offish resources exploitation and reproduction capacity resulted in catching pressure in someplaces in Maluku. Fishery resources condition in Fishery Management Area (FMA) Maluku
in 2010 showed that almost all kinds of fish were in maximum exploitation/fully exploitedand over fishing (PURBAYANTO 2011). The essence of environmental fisheries development isto manage fisheries resources in sustain. Limitation input control on catching efforts is one ofmanagement strategies, in addition to regulation of catching gears selectivity and catchingtime limitation (PURBAYANTO 2011). Furthermore, WIDODO and SUADI (2006) stated that, theprinciple of fisheries regulation can be approached by two methods: 1) input arrangements
such as catching restrictions through licensing, size of vessels and fishing gears, as well ascatching time and 2) output arrangement such as determination of catching allowed anddividing quota according to fleets, companies and fishermen.
Abundantly of fish resources in Maluku is not followed by the ability of fishermen as
producers and fish traders to maintain the quality. Therefore, the price of it can be muchfluctuated, even in a day sales. Improving of handling and processing skills in harvest andpost-harvest time as well as integrating the facilities of processing and marketing is a must, sothe system gives balanced share to effort. Fishermen processing skills should also beenhanced for the alternative diversity processed fish in Maluku. By that, the value of fish
increase and there will be no more wasted fish into the sea.
WO strategies
WO strategies obtained by minimize the weaknesses in fresh fish marketing in Maluku
to utilize currently opportunities. The strategies are as below.
1) Increasing collaboration with financial institutions in providing business capital2) Increasing programs of fish handling and processing skills3) Increasing function of marketing institutions4) Establish institution that has mandate to stabilize fish price
Capital limitation is faced by most fishermen from time to time and will continue tohappen if there will be no assistance from the Government. Therefore, strategy emerge from

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APITULEY Yolanda M. T. N. and BAWOLE Dionisius

this condition is to increase cooperation with financial institutions in assisting fishermen
access credits to broaden their business. In connection to fish price fluctuation, an institutionwhich has mandate to stabilize fish price should be formalized by the Government. Thisinstitution will have similar role and function with National Logistic Agency, to market and tosecure national food as well as to manage the state-owned food commodities.
Fishermen’s skills of fish handling and fish processing should be increased, for thequality of fish can be maintained and able to distribute to consumers who live far from theproducers’ area.
ST strategies
This strategy obtained by maximized strengths in anticipating threats in marketing of
fresh fish in Maluku. Strategies resulted based on analysis as below.
1) Integrated control by involving local community
2) Restriction of imported fish that contained chemical agents
3) Tightening mechanism and function of controlling4) Improving raw material distribution
Illegal, Unreported and Unregulated (IUU) fishing in Maluku causes limited fish
resources for the local fishermen. According to NIKIJULUW (2008), practice of IUU fishingnear the coastal area can disturb local fishery management system. An organized IUU fishingwith modern technology urges fishermen run out from the resources and makes them obtainsmall income.
The rampant practice of IUU fishing is one of the causes which makes Indonesia wasformerly known as the fish export country is now becoming one of the fish import country,including China, India and Pakistan. Fish are basically imported due to the scarcity of them inthe processing industry. But, the abuse of import permits and lack of coordination ofGovernment surveillance resulted in uncontrolled circulation of imported fish, so they areeasily to distribute in remote areas. Yet the flood of imported fish have been highly
detrimental to fishermen and hit the competitiveness of the national fisheries.
Evaluation of import regulation, data of fish necessity for processing industry and theability of national production to fulfill the need of fishery processing industry as well as
open-close system are strategies performed by the Government to solve the problem (KOMPAS
2011). However, those strategies are still raises pros and cons. To some parties, fish importpolicy is just considered a shortcut way in solving the scarcity of raw material in fishprocessing industry. In fact, the main problem of fish scarcity in processing industry is chaotic
distribution of fish from production centers to the processing places. Therefore, improving
fish distribution by providing production and marketing infrastructures, improving marketing
agencies function, tightening the mechanism and supervision functions should be conducted,
so the life of fishermen will increase.

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Development of Fresh Fish Marketing in Maluku

WT strategies
This strategy obtained by minimize own weaknesses and anticipate threats, or to facepossible threats from external environment of fresh fish marketing in Maluku. Some strategies
appeared from weaknesses and threats fusions are as below.
1) Improving sea security capacity
2) Prohibiting imported fish contained chemical agents
3) Increasing production and marketing infrastructure4) Tightening sea supervision capacity
Those strategies are presented to overcome some weaknesses such as limited awarenessof fishermen in maintaining fish quality and limited capital of fishermen that lower theirbargaining position in marketing fresh fish. Scattered production area and far from consumers,
malfunction of Fish Auction Place and limited marketing infrastructure can also lead to higher
marketing cost and higher of price fluctuation range in the market.
Another challenge in fresh fish marketing in Maluku is IUU fishing, and unsustainablesea patrol operation which causes irresponsible exploitation of fish resources. If this condition
could not be overcome, the resources perhaps will be endangered and never be known by
future generation.

Conclusion
Strategies to develop fresh fish marketing in Ambon Island are: 1) improving theinfrastructures of production and marketing of fresh fish, 2) integrating the facilities ofproduction, marketing and processing, 3) improving skills of fisher folks in fish handling andprocessing, 4) increasing cooperation with financial institutions in the provision of venture
capital, 5) improving function of marketing institutions and 6) establishing an agency that has
a mandate to stabilize prices of fisheries products.

References
BRINSON, A., LEE, M. Y. and ROUNTREE, B. 2011. Direct Marketing Strategies: The Rise ofCommunity Supported Fishery Programs. Marine Policy, 35 (4): 542–548.
GALLEGATI, M., GIULIONI, G., KIRMAN, A. and PALESTRINI, A. 2011. What’s That Got to Do
with the Price of Fish? Buyers Behavior on the Ancona Fish Market. Journal ofEconomic and Organization, 80 (1): 20–33.
HANAFIAH, A. M. and SAEFUDDIN, A. M. 2006. Tataniaga Hasil Perikanan (Marketing ofFisheries), 208 pp., Penerbit Universitas Indonesia, Jakarta, Indonesia (in Indonesian).

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APITULEY Yolanda M. T. N. and BAWOLE Dionisius

KOMPAS (newspaper) 5 December 2011 (Nelayan Terpaksa Membuang Ikan [Fishermen areForced to Throw Fish]) (in Indonesian).
NIKIJULUW, V. P. H. 2008. Dimensi Solsial Ekonomi Perikanan Ilegal: Blue Water Crime(Socio Economy Dimension of Illegal Fisheries: Blue Water Crime), 196 pp., PT Pustaka
Cidesindom, Jakarta, Indonesia (in Indonesian).
PURBAYANTO, A. 2011. Perencanaan dan Pengembangan Industri Perikanan Tangkap(Materi Kuliah Tidak Dipublikasikan) (Planning and Developing Capture Fisheries
Industry), 50 pp., Sekolah Pascasarjana, IPB, Bogor, Indonesia (in Indonesian).
RANGKUTI, F. 2002. Analisis SWOT Teknik Membedah Kasus Bisnis (SWOT Analysis
Technique to Scrutinize Business Case), 177 pp., Penerbit PT Gramedia Pustaka Utama,Jakarta, Indonesia (in Indonesian).
WIDODO, J. and SUADI 2006. Pengelolaan Sumberdaya Perikanan Laut (Fisheries ResourcesManagement), 252 pp., Gadjah Mada University, Yogyakarta, Indonesia (in Indonesian).