The Business Prospect of Climbing Perch Fish Farming with Biofloc Technology at De’ Papuyu Farm Banjarbaru

This research aimed at investigating the business prospect of climbing perch (Anabas testudineus) fish farming with biofloc system at De' Papuyu Farm, Banjarbaru of Indonesia, as well as providing the business development strategy by mean of SWOT analysis. Total cost required for this business was IDR 165,218,200 per year and the income gained was IDR 7,880,700 per month with the Payback Period (PBP) value was 2.67. On the basis of 7 % and 9 % of interest rates, the Net Present Value (NPV) value was greater than 0, and the Net Benefit Cost Ratio (Net BCR) was greater than 1. While the Internal Rate of Return (IRR) value obtained was 57.04 %. The business provides the profit more than three times higher than the province minimum wage; thus it is considered feasible and profitable for the future strategic choices. The business has the favorable prospect and the biofloc system for the culture of climbing perch is applicable for other fish farmers.

. It plays a significant role in fisheries and aquaculture practices due to its high nutrition value as well as for great taste and flavor. It is rich in iron and copper that support hemoglobin synthesis (Sarma et al., 2010) and has high quality poly-unsaturated fats and many essential amino acids (Kohinoor et al., 1991). It also provides 4.4% of lipid and 19.50% of protein contents (Wimalasena and Jayasuriya, 1996;Ahmed et al., 2012). The demand of this species is very high not only for local consumption but also for restaurants and small enterprises of fish processing. It is a native air-breathing fish, typically found in swamps, rivers, streams, lakes, canals, reservoirs, and estuaries ( . All these studies outlined above more or less describing on ecological and biological aspects of this species. To date, biofloc technology application in aquaculture system is also introduced and had been successfully used for some commercial fish species such as African catfish  (Perez-Fuentes et al., 2013). Meanwhile the use of biofloc technology for air-breathing species cultured like climbing perch is still rarely done. Moreover in term of economic importance, very little literature is available describing how the business prospect being executed in these culture systems. The current research will elucidate the secret behind successful of climbing perch culture business of 'H ¶ 3DSX\X )DUP on the basis of biofloc technology application. To get clear picture, we analyzed the total cost, profit, and the feasibility of business, as well as provided the business development strategies for this species.

II.
MATERIALS AND METHODS Study site 'H ¶ Papuyu Farm Banjarbaru was selected purposely for the study area due to the following reasons i.e. climbing perch cultured with biofloc system was commercially introduced first in this city; secondly, many farmers around interested to learn and have adopted such biofloc technology in thHLU ILVK IDUPLQJ DQG 'H ¶ 3DSX\X )DUP FDQ be a good model for small-scale culture business development in advance. The total land area for fish farming was about 624 m 2 (24u26 m) including for pond area, recycle pond, security house/warehouse, audience hall, park area and space area. The lay-RXW RI 'H ¶ 3DSX\X Farm can be seen in Figs. 1, 2. A total of 24 pond units used for the growth-out of climbing perch culture business. The circle-shaped pond made of tarpaulin with the diameter of 3 m, 120 cm height and 90-100 cm depth of water. The fish growth-out period in the ponds appropriated eight months starting from seeding to harvesting. The sorting process was undertaken after rearing for three months, and the only female fish were selected to be grown (50-60 %) due to rapid growth and having the greater size when harvested. The seeds sourced from fish hatchery of Gunung Manau Balangan, about 120 km from Banjarbaru. The research activity was carried out in October 2017 until May 2018.

Data collection and analysis
The data collected comprising primary and secondary data. Primary data obtained from farm owner by interview and questionnaires as well as direct observation related to the culture system, fish production, operational cost, profit, distribution and marketing. While secondary data in the forms of annual report, literature, and other document related. The followings are formulas used to estimate the total cost, total revenue, and total profit.
Where TC is total cost, FC is fixed cost, and VC is variable cost Where TR is total revenue, Q is quantity (kg), and P is price (IDR) Where is profit, TR is total revenue, and TC is total cost.  Where NPV is net present value, Bt is benefit of year-t, Ct is cost of year-t, i is interest rate, and t is investment time. Where NPV + is positive net present value, and NPVis negative net present value Where IRR is internal rate of return, NPV + is positive net present value, NPV ± is negative net present value, i1 is interest rate when NPV positive and i2 is interest rate when NPV negative.
indicating the business is unreasonable. Otherwise, if NPV > 0; Net BCR > 1; IRR > 9%, it is therefore the business is reasonable to be developed. The SWOT analysis is used to formulate the strategy for business development RI 'H ¶ 3DSX\X Farm starting from the collection of valuable data-information related and internal problems being faced, as well as the external factors that may inhibit the development progress. SWOT Analysis is a tool used effectively to build organizational strategy and competitive strategy. SWOT Analysis has two dimensions: Internal and external. Internal dimension includes organizational factors, also strengths and weaknesses; external dimension includes environmental factors, also opportunities and threats (Gurel and Tat, 2017). SWOT Analysis is a simple but powerful tool for VL]LQJ XS DQ RUJDQL]DWLRQ ¶V UHVRXUFH FDSDELOLWLHV DQG deficiencies, its market opportunities, and the external threats to its future (Thompson et al., 2007).

III. RESULTS AND DISCUSSION Cost Structure and Profit
Investment cost is the initial-capital of 'H ¶ 3DSX\X )DUP to purchase long-term goods and assets for the climbing perch culture business (more than one year). To run this business, the total investment cost required was IDR 167,634,000 with depreciation cost of IDR 24,337,800 per year. The highest investment cost was for procurement of 24 ponds reached IDR 72,000,000 (Table 1). Total cost for the business was IDR 165,218,200 comprised the IDR 24,337,800 for fixed costs and IDR 140,880,400 for variable costs. Fixed cost is the regular outcome regardless of the production volume (e.g. depreciation cost, salary expense, capital rate). While variable cost is the cost variance depends on the production volume (e.g. wages, seeds, feed, and labor). It was clear from Table 2, the pay for 120,000 fish seeds (50-80 mm total length) was the top rank of variable costs reaching IDR 36,000,000 (46.10 %), followed by the feed expenses of IDR 29,700,000 (40.41 %). About 13.49 % pay for other variable costs regardless HPSOR\HH ¶V ZDJH. The total revenue obtained from the selling of the fish was IDR 228,000,000 per cycle of production (Table 3). There are two types of revenue: (1) the main revenue from the fish being cultured for 8 months and (2) the additional revenue from the selling of male fish after rearing for three months. The main fish were sold to outside of South Kalimantan, especially Central Kalimantan, while the remaining fish were marketed around Banjarbaru City and Banjar Regency. The profit VKDULQJ V\VWHP ZDV IRU 'H ¶ 3DSX\X )DUP ¶V RZQHU and 50% for the employees, which is equal to IDR 62,781,800 per cycle of production or IDR 7,880,700 per month. Since total revenue was greater than total cost, it meant that this business was considered effective and profitable. This income is more three times higher than the province minimum wage of IDR 2,454,671 per month.

Feasibility Analysis
The payback period is a measure of profitability and liquidity (Hajdasinski, 1993). In the present study, the payback period (PBP) value obtained for climbing perch culture business was 2.67, showing that the investment capital can return after having three times of productions within two years. It is generally accepted that investments with shorter payback periods are considered to have lower risk (Lohmann and Baksh, 1993; Lin, 2010). It is also considered reasonable that the shorter the PBP, the more liquid and the more viable the business (Kim et al.,  2013). The values of NPV investigated at 7 % and 9 % of interest rates were IDR 568,915,905 and IDR 502,791,869 respectively (Table 4), indicating that the business was very feasible. The feasibility of business can also be seen from the Net BCR values of 4.39 at 7 % and 4.00 at 9 % of interest rates. Final evaluation revealed that the IRR value obtained for 10 years of investment period was 57.04 %. It means that this culture business provides financial growth by 57.04 % per year. This IRR value was higher than MARR (minimum attractive rate of return) 9 %. In other word, a business will be acceptable if IRR is greater than opportunity cost of capital. It was clear from our study that the climbing perch culture business with biofloc technology was feasible and profitable.

Business Development Strategy
The internal factor (strength and weakness) and external IDFWRU RSSRUWXQLW\ DQG WKUHDWV RI 'H ¶ Papuyu Farm have been identified using a SWOT matrix as presented in Table 5. By Quantified SWOT analysis and revealing of the coordinates (1.15:0.4), we found that the position of 'H ¶ 3DSX\X )DUP ZDV LQ WKH ILUVW TXDGUDQW (Fig. 3), indicating that the farm has external opportunities for business development (e.g. market expansion, job creation, network building) and internal competing strength (e.g. capacity building, entrepreneur, corporate culture), thus are in the best position for facing future business competition. In line with this, Chang and Huang (2006) suggested that enterprises in the first quadrant can use their strengths to adopt strategies, such as market penetration, market development, and product development to form competitive strength. In this position, enterprise has extra resources, forward, backward and horizontal integration may be efficient strategies. We used the SWOT matrix to systematically prepare for the future strategic choices, such as: (1) the local government should establish the certified community hatchery units to support the high demand of climbing perch fish production, as well as to reduce transportation cost; (2) improvement of business management by training and internship program; (3) network building with other businessmen related to the hatchery, fish processing and marketing business; (4) product advertising of climbing perch culture business with biofloc system through social media should be encouraged.

IV.
CONCLUSION 1. The climbing perch fish culture business with biofloc system provides the profit more than three times higher than the province minimum wage. 2. The business feasibility can be seen from the following criteria: NPV > 0, Net BCR > 1, PBP and IRR value were 2.67 % and 57.04 % respectively. ://dx.doi.org/10.22161/ijeab/3.3.55  ISSN: 2456-1878 www.ijeab.com Page | 1148

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3. The fish farming with biofloc system has the favorable prospect due to high demand and the biofloc technology package can be adopted by small-medium scale enterprises and other fish farmers.

ACKNOWLEDGMENTS
This research was under our own means of funding. Our gratitude goes to the RZQHU RI 'H ¶ 3DSX\X )DUP Banjarbaru for allowing us the opportunity to perform this study. The authors also thank the reviewers for significantly improving the contents of manuscript.