Indonesia

port news
FEBRUARY, 2006

AROWANA
Remains Potential for Export

Published by:
NATIONAL AGENCY FOR
EXPORT DEVELOPMENT (NAFED)
MINISTRY OF TRADE
Table of Content
Message
from the Editor’s
Desk
A
rowana is the natural resources from the
rainforests all over Indonesia. With an excellent
level of export, the availability of the resources
and the area of Indonesia’s rainforest have been the
Message from the Editor’s Desk 2 prime part to it. The freshwater ornamental fishes mainly
are collected from the Rainforest Rivers in Sumatra,
INDONESIAN EXPORT GALLERY West Kalimantan, Central and East Java, Bali, South
Sulawesi and Papua. Many people believe Arowana
REMAINS POTENTIAL FOR EXPORT 3 can give good fortune, good luck, and long life. On the
Pricy Species 5 other hand, keeping Arowana is also a good thing since
it is a rare fish, which is almost to face extinction.
Breeding 6
For Export 6 On this edition, Formcase as the winner in Primaniyarta
Award 2005 is also highlighted. As the producer of office
equipments, Formcase has been a well-known brand
INDONESIAN EXPORT BRAND in United States, Europe and Australia. Eventhough it
PT FORMCASE INDUSTRY 8 is not a very popular brand locally, but the domestic
market is still potential to be grabbed.

INDONESIAN EXPORT ICON Next to it, the article on Natural Rubber is also
mentioned. As the second biggest exporter of Natural
NATURAL RUBBER 10 Rubber to the world, Indonesia has been able to produce
several rubber products such as tires for different
vehicles. It is showing a great growth in the future.

Happy reading!

Published by : The Ministry of Trade, Republic of Indonesia, National Agency for Export Development (NAFED)
Advisor : Acting Chairman of NAFED : Mr. Hatanto Reksodipoetro Chief Editor : Mr. Rahayubudi
Editor : Djasdi Darwis, Sri Maryani Consultant : CV Kopan Jaya Reporter : TB Machroja, Donawati, Tiara Lumban
Gaol Layout : Xi-ant Design Address : Jl. Kramat Raya 172, Jakarta 10430, Indonesia Phone : (62-21) 3100569 ,
31904774, Facsimile : (62-21) 31901371,31901470 Website : http//www.nafed.go.id e-mail: nafed@nafed.go.id
Arowana
Remains Potential for Export
S
prawling across its vast
sea territories, Indonesia
is home to world’s largest
coral reef with over 50,000
square kilometers or 18
percent of the total world coral reef
populations. It‘s undeniable that
Indonesia’s tropical coral reefs are
among the richest on earth, rivaling
tropical rainforests in the biodiversity.
Of about 4,000 fish species are
believed to live in the world’s coral
reefs. It touches on both Indian
and Pacific oceans and many seas,
including the Andaman, Java, South
China, Sulawesi, Banda and Arafura
seas. Uniquely enough the vast array
of coral reefs are many of which
are poorly described or completely
unknown while the country has
been known for its greatest reef
biodiversity in the world.
There are more than 300 species of
marine and freshwater ornamental
fishes found in Indonesian water
territories out of 1,100 or 34 percent
of the world existing species, while
for comparison, other tropical
countries like Sri Lanka has (165
species), Ethiopia (112 species), the
Philippines (109 species), Kenya (96
species), Hawaii (60 species), Puerto
Rico (49 species), and Singapore (32
species).
The freshwater ornamental fishes
mainly are collected from the
Rainforest Rivers in Sumatra, West
Kalimantan, Central and East Java, Bali,
South Sulawesi and Papua. Initially,
the traded freshwater ornamental
fishes came from natural or wild
catching. There were approximately
Indonesia Export Gallery 3

62 species of freshwater ornamental
fishes, which are popular in trading
activities.
One of the most popular
Indonesia ornamental fish species is
Scleropages sp. or Arowana, ancient
species, which has yet to face
extinction. It has a flat and large body
with two pieces of moustache on the
lower lips, which makes it look like a
dragon. Therefore, Arowana is also
named as dragon fish. Like a dragon,
Arowana is deemed as a symbol of
achievement: mighty and glory. Now,
it has even become a sort of symbol
of prestige. It looks very beautiful
when flickering while swimming in
the aquarium. The above reasons
have prompted Department of
Trade to make Arowana as a mascot
of Indonesia Ornamental Fish
Directory.
Other names for Arowana are
Dragon Fish, Baramundi, Saratoga,
Pla Tapad, Kelesa, and Aruana,
depending on which part of the
world you are in. It is one of the most
expensive and unusual aquarium
fishes with a unique character. A long
and sleek fish shows a great beauty
and becomes aquarist’s pride and
joy. Its colors range in nature from
green to silver to red and to other
variants with large scale having a
brightly reflective sheen. The two
barbells attached to the lower lip are
used to sense vibrations of struggling
prey on the water surface, which is
then sucked into a cavernous mouth,
opening like a trap door as it leaps
from the surface.
It is indeed capable of swallowing a
4 Indonesia Export Gallery
very large meal. Arowana is large and
sometimes aggressive. Therefore, it is
not in everyone’s taste, nor can it be
housed in a standard size of aquarium.
The fish has potential for rapid
growth, and in most cases, it grows
very quickly, especially when fed a
high protein diet, reaching 24 inches
and more in the aquarium. In nature,
it ranges from 3 feet up for most
varieties, and up to 9 feet or more
for the giant South American variety.
Housed in a small tank as a juvenile,
it will require a 55-gallon tank in only
a few months, and eventually a 175-
gallon or larger tank. Bigger is always
better for Arowana.
Studies reveal that Arowana is a
primitive fish. Fossil records of this
ancient and widespread family of
fishes date back to 10-60 million
years depending on species and
continent. Arowana has evolved
through tens millions of years. It
means that it is indeed a very hardy
fish that is rumored to live hundreds
of years. Arowana belongs to an
ancient fish family, Osteoglossidae,
which literally means bony-tongue.
Name of “bony tongue” is derived
from a toothed bone on the mouth
floor. The toothed tongue bites
against teeth on the mouth roof. The
head is bony, and large and heavy
scales with a mosaic pattern cover
its elongate body. Its dorsal and anal
fins have soft rays with a long base,
while its pectoral and ventral fins are
small.
The fact that Arowana is a
prehistoric relic of the past along
with their unique and beautiful
appearance has become a topic
of conversation that adds up its
popularity among aquarists, many of
whom come to dote on their pet. Its
charm is that the fish with its unusual
shape is very fascinating. Most
hobbyists who have stood watching
an Arowana for a couple of minutes
cannot help but notice its elongated
body, large formidable mouth, and
serpentine movements, executing a
180 turn and almost bumping into
their tails in its process. Another
attraction of Arowana to aquarium
hobbyists is that it grows quite large
in captivity, at least in comparison
to most tropical fish species kept
at home. A large fish, such as the
Osteoglossum, makes a startling
display of which any aquarist could
be justifiably proud.
 In nature, the fish is a surface dweller, of jumping at great distances. finally breed. When female is ready
gliding just below the water surface, In the wild, Arowana pair by natural she will lay eggs on slow stream
and keeping a sharp eye out for low selection spends weeks courting. riverbeds, which will be up to 1/2”
flying insects to catch by surprise. A pair of Arowana will chase and in diameter and are then fertilized
So feeding Arowana is not usually a bite each other’s tail while courting, by the male. The Arowana male
problem so long as one knows it is eventually together side by side and then scoop up the eggs and hatch
a surface catcher and generally will chasing off other fish before they in his mouth. The fry will begin to
not take food from the bottom. It is
usually not a particular eater, taking
most carnivorous foods with gusto,
but at times it could and would
become finicky either demanding
the same foods over and over,
refusing variation, or just turning
its nose opposite up at the usual
foods until something new is given.
It usually attacks food by coiling
its body like a spring and lunging
forward to engulf the prey. The
acts provide a great entertainment
for owners and startle visitors. It
can be found in still water of lakes
and rivers. It is excellent jumper
and is especially jittery when first
introduced to their new home, so a
sturdy cover is essential to prevent a
prized specimen from leaping out of
its tank. Even juveniles are capable

Indonesia Export Gallery 5

 leave briefly father’s mouth slowly
increasing their exposure to the
outside world. There will be fewer
Arowana than originally consumed.
It is believed Arowana when startled
sometimes accidentally swallows
some of the young. During this time,
the father will signal the fry when
there is a sign of danger and they will
immediately swim back immediately
for safety. The babies will have a yolk
sack that they will use until they are
ready to feed on their own. The fry
will leave the father when they are
capable of surviving on their own.
An exception is for the Arapaimas
who bury their eggs in the sand until
they hatch.
Pricy Species
Arowana species found in
Indonesia are Scleropages formosus
and Scleropages jardini. Scleropages
formosus consists of Super Red
Arowana (found in Kalimantan),
Golden Red Arowana (found in North
Sumatra, Riau, and Jambi), Malayan
Bonytongue (found in Malaysia),
and Green Arowana (found in
Kalimantan), while Scleropages
jardini are found in Papua and in
Queensland, Australia.
The most expensive Arowana from
Indonesia is Super Red Arowana.
6 Indonesia Export Gallery
It could reach a price of more than
US$ 1,000 per fish. Some extensive
breeding of Super Red Arowana in
West Kalimantan and Riau Pekanbaru,
Sumatra have several hectare of lands
for cultivation of the most expensive
ornamental fish.
There are some reasons why
Arowana is pricy. Many people
believe Arowana can give good
fortune, good luck, and long life.
An international magazine, Tropical
Fish Hobbyist Magazine (July 1985),
reported a story on Arowana that
once a coffee maker was suddenly
rich because of keeping Arowana as
a pet. It is not the only story; many
tell keeping Arowana help people
become rich and lucky. On the other
hand, keeping Arowana is also a good
thing since it is a rare fish, which is
almost to face extinction.
Breeding
There were few records that Asian
Arowana was bred successfully in
aquariums. Commercial breeders of
Arowana usually use large earthen
ponds. When breeding in earthen
ponds, ten or more mature Arowana
(half males, half females) are put
into the pond and natural selection
is allowed to take its course. The
Arowana are observed carefully.
When a pair is formed, they will
chase the others away and started
laying eggs. Then a net is put in to
segregating the pair from the other
Arowana. When the fry are free to
swim, they are netted and kept in rear
tanks. However, most aquarist does
not have an earthen pond at home
or live in a climate suitable to leaving
them outside for several months.
At first, it was impossible breeding
Arowana in a tank due their large size
when mature. Many people around
the world have started trying to breed
Arowana in captivity, but it is nearly
impossible. One successful aquaria
breeder, Mr. Hiroshi is the most
respected fish breeder in Japan. To
accomplish his successful breeding
in the aquarium, he first has access
to pairs of adult Asian Arowana that
have been successfully bred in pond.
So the fishes are already paired off,
and have spawned once before
moving into his tank. His basement
is dedicated to fish breeding, which
reduces stress of the Arowana. He
published the first article on captive
breeding of Asian Arowana in 1992
after 20 years of research on the fish.
(See the January, 1992 issue of TFH).
For Export
Having a vast natural beauty of
ornamental fishes like Arowana,
since 1970s, Indonesia has exported
them to Asia’s biggest markets,
Singapore and Hong Kong. Indonesia
Central Bureau of Statistics reported
ornamental fish export was less
than US$ 100 thousand. In 2004,
it recorded to US$ 14.3 million in
export value. Exports have reached
50 countries, including the United
States, Japan, and European Union.
Even data of Quarantine Stations
at Soekarno-Hatta Int’l Airport,
Denpasar (Bali), Pontianak (West
Kalimantan), Riau, Jambi, Palembang
(South Sumatra), West Sumatra, and
Lampung, exceeded that of Central
Bureau of Statistics. In 2004, it
recorded 130 million in ornamental
fishes export; it means total revenue
was US$ 130 million (with price range
of US$ 0.5-US$ 600/fish). Based on
the data from httP://www.trademap.
org, export ratio between freshwater
and marine ornamental fishes is 52%:
44%. It means 52% of ornamental
fish export is from freshwaters.
Ornamental freshwater fish export
quantity in 2004 was only 830,576
kilograms out of 5,571,068 kilograms
in total exports of ornamental fishes
in 2006. It is nearly equal as the
price per kilogram of freshwater
ornamental fish is much higher.
However, since 1990s many
of Indonesian original species
have been cultivated as among
others, Sclerophages formasus,
Melanataenia, and Glassolepis. Even
people have bred the Bala shark
and Botia macracanta, which were
originally imported. Other imported
freshwater ornamental fishes which
is also bred, include, among others,
Discus (Symphysodon discus),
Neon Tetra, Red Noise, Blue Lamp,
Tiger Fish, Hafistobranga, Chalceus
macrole pidatus, and other species,
approaching a total number of 240
species.
The production centers of
f r e s h w a t e r
ornamental fishes in
Indonesia are North Sumatra, Riau,
Jambi, South Sumatra, Jakarta, West
Java, East Java, West Kalimantan,
East Kalimantan, South Sulawesi,
and Papua. According to data from
the Ministry of Marine Affairs and
Fisheries, the annual total production
of Indonesian freshwater ornamental
fish is 60 million and there are about
48,000 farmers throughout Indonesia.
Companies engaging in the business
include those from small, medium, to
large-sized enterprises. Most farmers
have only 100 square meter lands for
raising fishes. Some of them even
carry out the cultivation in the front
house garden. Such farm operation
is named as the people’s economy.
In 1980, Minister of Agriculture
of the Republic of Indonesia made
an announcement through circular
letter on Arowana’s preservation.
With the assistance of the
government, people work together
to set up Arowana’s breeding places
all across Indonesia. Ornamental fish
exporters from City Jakarta, Surabaya,
Semarang, Jogjakarta, Medan and
other big cities, continue to build
Arowana’s breeding places. As one
of the Indonesia’s favorable export
commodities, authorities should
have taken a special consideration
of Arowana breeding. Arowana
remains potential and worth for
export. Everyone has to work hard
to meet continuously soaring world’s
demand on Arowana.
Indonesia Export Gallery 7
 Quality of Indonesia
Made Office Furniture
Equal to the Developed
Country Producers
P
T Formcase Industries was founded in 1962
in Medan, North Sumatera by duo brothers
Edwin Manan and John Manan. They started
a home industry business producing home
and office furniture by applying simple tools
and machineries.
In 1983, Robert Manan, son of Erwin Manan joined
the company and took initiative to transforming home
based industry to mass product industry by deploying
computerized automatic machines. The products are
launched to the market with Grand Furniture Brand
which is positioned as mid class products.
8 Indonesia Export Brand
Most consumers of the developed countries deem
that Asian Office Furniture products especially from
Indonesia are shoddy and have low quality.
Company’s dedication toward quality and design
eventually paid off, winning International recognition
and receiving ISO 9001 Certificate from the UK based
quality certification body, Lloyd. Formcase is the first
Indonesian Office Furniture company receiving ISO 9001
Certificate.
With the international recognition, FORMCASE is
positioned as luxurious brand which is sold in the five
continents. The corporate achievement has changed
the developed country
consumers’ negative images.
Hence, Indonesia made
furniture is equal in its quality
to those products made in the
developed countries as Europe,
the USA, and Australia.
Both Formcase Industry
brands are developed for local
and export market but with
different market positions:
o Formcase brand is positioned
as luxurious products.
o Grand Furniture brand is
positioned as mid level
products.

In 1999 despite economic

crisis hit Indonesia, with its
capacity to reach international
market, the company has been
able to develop products for
export by opening branch in
Perth, Australia.
In 2001, PT Formcase
Industries opened its branch
in Atlanta, the USA, world’s
biggest furniture market. The
office in Atlanta is equipped with is equal to the world’s biggest and outstanding Office
Distribution Warehouse facility reaching all states in the Furniture producers as: Steelcase, HON, Herman Miller
United States, Canada, Latin America and Europe. Besides and Haworth.
opening overseas branches, business development In 2005, PT Formcase Indusrty won Primaniyarta
is carried out by selling its products through: Dealer / Award from the Government of the Republic of Indonesia,
Distributor and Sales Representatives spread in the five held by the Department of Trade, as the company which
continents. had achievement in increasing non-oil and gas export
In the year 2004, Formcase was selected to occupy with the category of “Global Brand Builder”.
permanent showroom in Merchandise Mart, Chicago, PT. Formcase Industries has vision to become a world
world’s biggest Design Center Office Furnishing class office furniture company whose products made by
frequented by millions of visitors every year. Only those Indonesian will bestow prestige to the consumers with
world class companies are allowed to occupy Design competitive prices, quality, and world class quality and
Center. PT Formcase Industry is the only Indonesia and design as well as winning recognition of consumers in
Asia’s Office Furniture Indonesia producer occupying the five continents as global brand from Indonesia.
the space in showroom there. PT Formcase Industry

PT. FORMCASE INDUSTRIES

Jl. Kalisabi I Km. 4 Cibodas
Tangerang 15138, Banten

Phone : (62-21) 5524348

Facsimile : (62-21) 5525044
E-mail/Website :
info@formcase.com / , www.formcase.com
President Director : Halizah Abdul Manan
Director : Sony Manan,
Commissioner : Ilhamsjah Abdul Manan
Products : Furniture/ office furniture
Brand : Formcase, Grand Furniture

Indonesia Export Brand 9

 NATURAL
RUBBER
The
natural rubber
is an export commodity that is able to give boost to the
Indonesia’s foreign exchange contributions. Its planta-
tion fits to certain lands of which most locations are in
the areas of Sumatera and Java. The Indonesia’s rubber
plantation in 2004 was 2,769,800 ha with the production
capacity of 4,095,000 ton nationwide.
Of the number, 84.5% were rubber plantations belong-
ing to the people, 7.1% were the state-owned plantations
10 Indonesia Export Icon
and the remaining of 8.4% were private companies. The
above number could swell by making use of the farmers’
lands, which fit to the rubber plantation and have yet in-
tensively been used to boost their incomes.
The rubber plants were originated from the Latin Amer-
ica, especially Brazil. The province of North Sumatera is
the Indonesia’s biggest rubber producer with those giant
rubber companies as the state-owned PT Perkebunan
Nusantara (PTPN) II and III, publicly-listed PT Bakrie &
Brothers as well as publicly-listed PT PP London Sumae-
tra.
The other big rubber producer regions are Riau prov-
ince (PTPN V), South Sumatera, Jambi and Lampung
(PTPN VII), West Kalimantan and Central Kalimantan
(PTPN XIII), West Java (PTPN VIII), Central Java (PTPN IX),
East Java (PTPN XII), South Sulawesi (PTPN XIV) and Nang-
groe Aceh Darussalam (NAD) (PTPN I).
The rubber plants need certain climate and soil to sup-
port their growth. The areas that fit to the rubber plants
have 150C South Latitude and 150 North Latitude with
the optimum of annual rainfall from 2,500 mm – 4,000
mm and the rainy days are annually around 100 to 150
HH. The rubber plant will grow optimally in the lowland
with the height of 200 meter from the sea surface and the
optimum temperature from 250C - 350C.
The rubber plant needs six years before tapping the la-
tex for crops. The products with natural rubber material
are as SIR, RSS and thick latex. Its downstream products
have well prospective in world market. Indonesia gives
contribution to 70% world’s rubber production and tire
factories absorb nearly 90% Indonesia rubber products.
The market segment needs natural rubber with the me-
dium quality as SIR or TSNR (Technically Specified Natural
Rubber). Indonesia also gives its rubber supplies to the
world’s outstanding brands as Goodyear and Cooper (the
USA), Continental (Germany), Michelin (Franch), Bridge- increase from 6,462,035 ton in 2002 to 6,917,111 ton in
stone, Yokohama and Sumitomo (Japan), Hankook dan 2003. The data indicates that there is an increase in de-
Kumho (Korea). For Indonesia, the rubber supplies go to mand on the natural rubber and it remains potential for
Gajah Tunggal, Bridgestone, Goodyear and so forth. Indonesia rubber product marketing.

Numerous other industries using rubber products of

thick latex are among others wire insulation industry, sole
of the shoe, gloves, condom, baby’s suckle, rubber yarn
and so on. While industries with raw material of crumb
rubber (SIR), but small in number, they are conveyor belt,
dock fender, rubber dam and so on.
Indonesia is the second biggest rubber producer after
Thailand. Over the last five years, Indonesia rubber ex-
port has shown an increase. In 2005, Indonesia perched
on fifth rank of its rubber export with the total shares of
4.18 %. It noted a 7.39% increase in rubber exports to
2.02 million ton or US$2.58 billion compared to that of
in 2004.

Based on its quality, Indonesia rubber export com-

prises 4,000 ton latex or 0.20% of the total exports, RSS
334,13,000 ton (16,51%), SIR 16,747,200 ton (82,75%) and
other types 1,092,000 ton (0,54%). The rubber export
destinations are the USA, Japan, China, Singapore, South
Korea, Canada, Germany, Brazil, France and South Africa.
Indonesia has superiority to increase its rubber product
in the future that is the vast tropical land availability fits
with rubber plants.

The world’s rubber consumption continues to note an

Indonesia Export Icon 11