ECONOMIC FEASIBILITY ANALYSIS, VALUE ADDED AND MARKETING

OF SEMI REFINED CARRAGEENAN (SRC) SEAWEED PROCESSING

INDUSTRY

Seaweed market opportunities are very promising (García-Poza et al., 2020), this

condition is in line with the national plan which positions Indonesia as the largest seaweed

producer in the world in 2010 replacing the Philippines with the advantages of the tropics

(Bixler & Porse, 2011). The prediction of seaweed demand in 2010 will reach 390,100 tons

(Eucheuma sp of 247,100 tons and 116,000 tons of other species including Gracillaria sp) is

a rational calculation (Ferdouse, Holdt, Smith, Murúa, & Yang, 2018). The wide-open

national market opportunity above shows that in 2008 Morowali Regency contributed 18.02%

for Eucheuma cottoni species and Gracillaria sp species filled 2.60% market opportunities

(Aryaningtyas & Risyanti, 2021).

(Henley, 2021). The length of this coastline has the potential for seaweed development

(Potting, Thomas, & Gröndahl, 2021). Seaweed is one of the flagship programs in Central

Sulawesi. The Ministry of Maritime Affairs and Fisheries has even made Central Sulawesi

one of the areas that will become the center of seaweed in Indonesia (Yona, 2021).

This study aims to formulate a strategic plan for the management of seaweed

agribusiness through SRC agroindustry and to be community-based in Central Sulawesi

Province, to estimate the land potential and seaweed production in Bangkep, Morowali, and

Kab. Parimo, analyzed the land suitability of locations that became centers of seaweed

cultivation in Bangkep, Morowali and Kab. Parimo, analyzed the economic feasibility of SRC

agro-industry and medium scale agar, developed a strategy for managing seaweed

and Fisheries in Indonesia, namely "Realizing Indonesia as a Fishery Product Producer. and

the World's Largest Marine in 2015” and the Fisheries and Marine Service of Central Sulawesi

Province”.

"Towards Central Sulawesi Seaweed Province 2011" and the grand strategy of

launching "Echo Blue" (advanced movement of seaweed cultivation) and the grand strategy

of Kab. Morowali until 2012 "Realizing Seaweed Agribusiness Based Regional Arrangement

with Reliable Infrastructure". The benefits of research on institutional development are related

to the existence of teaching staff in universities in developing a research culture. This has an

impact on increasing knowledge and developing knowledge, theories and concepts for

teaching staff which are then transferred to students both in the form of lecture materials and

The location of the research was carried out in the 3 largest seaweed producing areas,

namely Bangkep Regency, Morowali Regency and Parimo Regency. Each district takes 2 sub-

districts that produce the largest seaweed, both land and production potential. The need for

primary data on water quality, potential and seaweed production was carried out using a

survey method with direct sampling in the field by purposive sampling. Secondary data

collection is obtained through research searches sourced from related

agencies/agencies/institutions.

RESULTS AND DISCUSSION

ingredient of more than hundreds of types of commercial products that are widely used in

various industries.

Large Industry Producing SRC

large-scale industry and an Agar of 2,288 kg/day is a medium-scale industry.

Medium Industry of Agar-Producing

In principle, the production process of agar can be divided into 2 methods, namely the

freezing-thawing method and the pressing method. Based on the processing and production

equipment, the production process of gelatin can be divided into 3 production methods,

namely traditional, simple and modern methods.

Marketing Aspect

In 2013 the total export volume of seaweed reached 182 thousand tons. The export

value increased by 17.8% compared to 2012. In 2014 the total export volume is estimated to

increase by 20% compared to 2013. Of course, in 2015 the growth projection will not be much

quota for seaweed; simple cultivation technology, so easy to master; the cultivation cycle is

Generally, business actors do not have their location or land for seaweed cultivation to

businesses. Based on the analysis of SRC yield and agar content, the prediction of raw material

capacity. In this case, it is assumed that the production capacity of each type of business

reaches 70% in the first year, 80% in the second year, and 90% in the third year, then 100%

in the fourth and fifth years. These assumptions can be used as the basis for describing the

need for raw materials as presented in Table 1.

Table 1 shows the amount of raw material needed for dried seaweed varies for the two

types of products produced according to the planned production capacity, as well as the yield

of each raw material used. This study or analysis chose to use 20% yield to produce SRC, so

to produce 1 kg of SRC required 5 kg of dry seaweed (Eucheuma cottonii), therefore, the

production of SRC in the first year was assumed to be 70% of the production capacity

the purpose of investing in this type of business, it begins with the calculation of land

acquisition for business locations, construction of factory buildings, warehouses and various

types of factory equipment. The total initial investment of IDR 18,278,750,000 is assumed

to be obtained from local government sources and bank loans with an interest rate of 16%

per annum. The equipment for the SRC production process that cannot be held in Palu City

will be imported from outside the region.

Calculation of the initial investment or the need for capital goods for processing

seaweed into gelatin with a medium industrial scale that requires a certain amount of capital

is calculated from loans to banks. Various types of capital goods are needed for this medium-

100% with a total product of 686,400 kg of agar or 57,200 kg/month.

The parties or business people will first assess before investing in a business, whether the

funds that will be invested to run one of these types of businesses will generate greater cash

in the next few years. Therefore, future cash flows are assessed at present (present value), thus

the calculation of the feasibility of a business is based on several criteria, namely Payback

Periods (PP), Gross Benefit Cost Ratio (Gross B/C), Net Present Value (NPV), Internal Rate

of Return (IRR) and Profitability Index (PI).

The formulation of a seaweed agribusiness management strategy through SRC and

Agardi agroindustry in Central Sulawesi Province is carried out through an analysis of

regional resilience and modeling analysis that supports the sustainability of the agroindustry.

considering that the area is still lacking in increasing knowledge of seaweed management,

cultivation and processing.

Table 4.

Results of Analysis of Investment Criteria in Each Type of Seaweed Processing

Industry with SRC and Agar Products

seaweed processing businesses (SRC and Jelly) show numbers that meet the eligibility

requirements of the calculation formulation. For the period of return on investment, the SRC

and jelly industries occupy almost the same time, this condition is closely related to the

production and selling price of each product. The NPV shows a positive number, while the

IRR is above the prevailing bank interest rate, even the IRR for SRC businesses reaches

98.90% and the highest PI achievement is also obtained by the SRC industry, which is 27.94.

Analyzing Seaweed Marketing with Marketing Margin Analysis and Value Added

difference between the price paid to the first seller and the price paid by the last buyer (margin)

after deducting marketing costs (Soekartawi, 2002:71). The analysis of marketing and share

received by farmers with the following formula:

Meanwhile, to find the farmer's share is:

Information :

M : Marketing Margin

Sp: Farmer's Share

Pr : Prices at the consumer level

Pf : Price at Producer level

Table 5. Marketing Channels of E. cottoni Seaweed

So the price received by seaweed farmers E. Cottoni 60% paid by the final consumer,

the seaweed business can be said to be efficient with the acquisition of seaweed farmers' share

of 78.95%. Meanwhile, the calculation of the marketing margin for the SRC processing

industry is as follows:

So the marketing margin obtained by SRC producers is Rp. 23,950/kg

M = 7,000 - 5,500

= 1,500

Sp = Pf/Pr x 100%

NTn = NTb – NP

NP = initial value - residual value

Information:

NTb = Gross added value (Rp)

∑bb = Amount of raw materials used (kg)

The analysis of the added value of the SRC processing industry consists of gross added

value, net added value, and added value per raw material. More details can be seen in the

following table: