ESG-compliant shrimp farming advantageous for export growth

LUNDU: Environmental, Social and Governance (ESG) compliance in shrimp farming holds out a significant advantage when it comes to exporting to the wider market.

In stating this Food Industry, Commodity and Regional Development Minister Datuk Seri Dr Stephen Rundi Utom said ESG ensures sustainable methods on shrimp farming practices, such as responsible waste management.

“Here, we are conducting a smart shrimp farming , known as Rambungan Aqua Life , designed to comply with ESG standards, particularly for the environment,” he said while officiating at the Rambungan Aqua Life Sdn Bhd Shrimp Harvesting programme at Loba Stoh Rambungan, here Wednesday (Jan 8).

“It is a collaboration between the Sarawak State Farmers’ Organisation (PPNS) and Sea Horse Corporation Sdn Bhd.

“The government will fully support this venture because this is the way we can get a niche market for our shrimp export in the future.”

Dr Rundi said while traditional farmers are still using conventional methods that don’t comply with ESG standards, the market price remains about the same for locals.

“But in terms of their advantage now is that they can export to the global market. And I think there is no limit to whatever venture they are going to. One thing that we need to look into is the investment in terms of dollars and cents.

“Achieving the projected export of over 1,300 tonnes valued at approximately RM27 million is possible, provided the ESG certification system is fully completed.

“We can gradually promote and raise awareness about ESG compliance. However, entering the market with confirmed ESG compliance makes it much easier for them, and that’s the advantage now,” he said.

During his visit, he also received a briefing from Rambungan Aqua Life chief executive officer (CEO) Sim Ing and commended the venture’s resilience despite initial setbacks, such as high salinity and acidity in trial plots.

“I am sure they have learned through trial and error, but I have advised them to now look into advanced countries for expertise to avoid unnecessary losses. Because the initial part of the 12-hectare plot was just a trial,” he said.

He said that Rambungan Aqua Life is now allowed to use 297 hectares, which can produce about 50 ponds.

“Additionally, I was given to understand they are trying to plant acacia, bakau, and other species, which are beneficial as they can absorb ammonia. The area here is also well-suited for carbon storage.

“I believe there are many positive aspects to this venture, although the initial costs can be quite high. I’m confident they know what they’re doing and I encourage them to continue improving.

“Over time, we can replicate this model elsewhere and inspire others to follow suit. Shrimp farming will become another key industry we can look forward to in the future,” he said.