Investment Review in Marine Fish Distribution, Baleendah Sub-District, Bandung District, Indonesia: A Case Study

Abstract

The stable availability of fish as a crucial source of affordable animal protein with commendable nutritional content, contributing significantly to quality protein intake. To provide and ensure a steady supply of raw materials, a marine fish distributor in Baleendah Sub-district, Bandung Regency, is imperative. This distributor, functioning as a fish container (cold storage), acts as a crucial link between major marine fish producers and local fish processing farmers. During abundant fish seasons, the distributor collects fish, supporting prices during limited stock periods. This strategic intervention ensures the continuity of activities for salt-boiled fish processing farmers in Bandung Regency.The key objectives in establishing a marine fish distributor in Baleendah Sub-district, Bandung Regency, include optimizing the operation of distribution facilities and infrastructure. This optimization ensures a consistent supply of raw materials, reducing price fluctuations and ultimately lowering the production cost of processed fish. For the marine fish distribution company to operate sustainably, controlling fixed and variable expenses is crucial. Distributors of marine fish have total fixed and variable costs of IDR 271,950,000. The net result is calculated by deducting the whole fixed and variable costs from the revenue, which comes to IDR 688,050,000. The calculated Revenue/Cost (R/C) Ratio of 3.542 suggests a positive equilibrium between revenue and expenses. This ratio is a crucial financial indicator that shows profitability potential. Furthermore, the payback period—which is projected to be 0.46 years—indicates the amount of time needed to recoup the initial expenditure in relation to the net benefit that is delivered.