Biru Fund’s First Investment Strengthens Access to Quality Shrimp Seeds and Promotes Sustainable Aquaculture in Berau Regency

The inaugural investment of the Biru Fund program, initiated by the Yayasan Konservasi Alam Nusantara (YKAN), has begun implementation through the revitalisation of a tiger prawn hatchery at SMKN 3 Tanjung Batu, Berau Regency, East Kalimantan. This initiative aims to strengthen local farmers’ access to high-quality shrimp seeds while promoting more sustainable aquaculture practices.

This initiative addresses a key challenge in Berau’s aquaculture sector: the limited supply of shrimp seeds, which previously depended on shipments from other regions, such as Surabaya and Tarakan. Such reliance often led to uncertainty about both the quantity and quality of goods due to transportation risks. With the establishment of a local hatchery, farmers can now secure seeds with better quality control and accurate counts to match production needs.

Beyond boosting production, this program introduces a more inclusive financing scheme. Through the Biru Fund, farmers can access loans with 0% interest and a grace period of up to 10 months. Repayments are based on a percentage of profits, aligning with harvest outcomes and reducing early financial pressures in the cultivation cycle.

Abdul Majid, Head of the Berau Fisheries Department, stated that increasing tiger prawn seed production at SMKN 3 is an excellent example of collaboration between the government, private sector, and NGOs. He noted that this partnership is a breakthrough in providing high-quality shrimp seeds and in advancing brackish-water aquaculture technology. “This is an innovative and creative effort by the government and partners to address the fundamental needs of shrimp farmers who have long struggled to access quality tiger prawn seeds in Berau,” he said.

According to Majid, the program aligns with the Berau Regent’s vision to improve community welfare, particularly in the fisheries sector. “We are also grateful to the Provincial Government for continuously supporting us in optimising services for the people of Berau,” he added.

He expressed hope that initiatives from development partners like YKAN will inspire others to create sustainable business innovations for the future of coastal livelihoods in Berau, complementing existing programs such as KAWAN BAIK, SANG RATU, and SIPURI. “This is a replicable model—sustainable fisheries businesses that contribute to both conservation and local livelihoods,” he emphasised.

Catur Sketsa Suroso, Aquaculture and Marine Agribusiness Teacher at SMKN 3 Tanjung Batu, highlighted that integrating education with industry is a core value of the program. “This hatchery serves not only as a production unit but also as a hands-on training facility for students, equipping them with skills relevant to industry needs. We also collaborate with private partners to ensure operational standards and curriculum development run optimally,” Catur explained.

He added that the hatchery has been developed as a practice-based learning hub through a teaching factory model at SMKN 3. This facility enables students to engage directly in the shrimp seed production process, from technical operations to business management.

The hatchery operates in partnership with a private technical partner, PT Tri Karta Pratama (PT TKP). PT TKP is responsible for both production management and the development of practical curricula for students.

For local farmers, the hatchery not only improves access to seeds but also provides more business certainty. Jumardi, a farmer from Suaran Village, Berau, said that unreliable seed supply had long been a major risk. “Seeds often arrived in the wrong quantity or in poor condition after the long journey. Now, we can get seeds in the right amount and much more easily, with lower mortality risks due to the shorter distance,” he said.

Supporting the Blue Economy

The Biru Fund program, a component of the Koralestari initiative, is supported by the Global Fund for Coral Reefs (GFCR). It promotes a blue economy approach by integrating community welfare improvement with coastal ecosystem protection. Through this approach, aquaculture practices aim not only for production but also for long-term environmental sustainability.

YKAN supports the Biru Fund as an innovative financing instrument to encourage environmentally friendly fisheries enterprises. This support includes capacity building, technical assistance, and the development of business models that align with conservation principles.

Through Biru Fund, we aim to foster business models that are economically profitable and contribute to the protection of mangrove and coral reef ecosystems. This is a key step to ensure the long-term sustainability of Berau’s fishery sector,” said Muhammad Ilman, YKAN’s Ocean Program Director.

Going forward, this partnership-based and innovative financing model is expected to be replicated in other coastal regions facing similar challenges. By incorporating financing support, capacity building, and conservation-based incentives, the initiative aims to bolster community economic resilience while ensuring the long-term preservation of coastal ecosystems.