LEAD Indonesia: Leadership for Environment and Development Training Program

Community Enterprise

Conservation cannot be separated from social and economic development issues

MAC standards represent good practice and contribute to conservation of reef resources but do not ensure a better income for the fishermen.

Community-based fishing enterprises

In order to improve their conservation efforts and create a financially attractive, green and socially responsible business, MAC certified fishermen established their own local community-based ornamental fish collecting enterprises in

three villages :

'Laut Lestari' in Pejarakan
'Segara Indah' in Sumber Kima
'Sinar Baru' in Penyabangan

'Eco Fish': Adding financial value to MAC certification

The enterprises began exploring business opportunities to add financial value to their MAC certification.

Together with the Darwin Initiative project members, the enterprises identified an opportunity to create a new supply chain for their fish caught using environmentally-friendly methods, called 'eco fish'. In this new arrangement, the fishermen work directly with exporters and thus get a higher price for their eco fish than they normally would through middle-men.

This new supply chain holds the promise of a market run by green and socially-responsible businesses and the fair trade of ornamental fish. It will also allow the fishermen of Buleleng to work and live sustainably.

Business training
The enterprise members benefited from comprehensive business trainings. Over 30 community members participated in a series of training events between Bali_Business_TrainersJune and December 2006 on enterprise development, followed by intensive, one-on-one mentoring lead by Andi Isvandiar (see photo, right). The objectives of the business training workshops were to enable the fishermen to make the best use of financial assistance and assist them in increasing their income and decreasing their dependence on high-interest money lenders. Fishermen learned about micro-finance institutions, and acquired the skills to write loan proposals and manage loans.

Fishermen, exporters and retailers work together
At the end of the training the fishermen were introduced to MAC certified exporters and Jakarta-based retailers as well as micro-finance institutions and representatives of the local government in order to develop their business network.

MAC certified fishermen, buyers, exporters and retailers of ornamental fish began networking to mainstream their successfully piloted shorter, more efficient supply chain.

Multi-stakeholder cooperation is necessary to initiate and maintain sustainable ornamental fisheries at any level. Most critically, collaboration between stakeholders must take place at the local level in in order to harmonise conservation goals with poverty alleviation.

Conservation-based enterprise
The expected results of the MAC certification-linked business training include

an improved supply-chain
a better price for MAC certified ornamental fish which means better livelihood for fishermen
more effective coral reef conservation
higher customer satisfaction for aquarium hobbyists