On October 27, 2026, the Coordinating Minister for Food Affairs flagged off the first shipment of 40 tons of shrimp paste from SMEs in Asahan Regency, North Sumatra, to Thailand, worth around IDR 230 million. The shipment matters because the product comes from local sea catch long considered low-value, and it is now being bought by overseas buyers.
Asahan has extraordinary natural capital. The regency stretches about 56 kilometers along the Strait of Malacca, and its capture fisheries reached 50,658 tons as of September 2026. That volume supports an entire ecosystem of seafood processing businesses, including the shrimp paste industry now reaching international buyers.
This article walks through how terasi SMEs in Asahan calculate production costs, meet export standards, and read overseas markets, plus the local wisdom that has underpinned this industry for generations.
Terasi Export for Asahan SMEs: An Opening from 56 Kilometers of Coastline
Official Asahan Regency data shows consistent growth in shrimp paste exports:
| Indicator | 2025 | 2026 (through September) |
|---|---|---|
| Shrimp paste export volume | 1,897.7 tons | 2,758.5 tons |
| Export value | about IDR 21 billion | about IDR 34 billion |
| Capture fisheries production | - | 50,658 tons |
| First export to Thailand | - | 40 tons / IDR 230 million (Oct 27, 2026) |
Source: Asahan Regency Government, cited by KKP and ANTARA. Volumes and values cover different reporting periods and are indicative.
Shrimp paste export volume from Asahan rose roughly 45 percent in the first nine months of 2026. More striking, the wider Nusantara shrimp paste market already reaches four continents and 14 countries. That means the product is not confined to the domestic market; a proven path to global buyers already exists.
Asahan Local Wisdom: Turning Low-Value Catch into a High-Value Product
There is a practical reason small shrimp, or rebon, with a low market price can become a product worth exporting. The secret is not expensive technology but knowledge handed down through Asahan coastal communities.
Principle 1: Use What Is Available Instead of Wasting the Cheap Catch
Rebon shrimp flood the market in certain seasons, and prices collapse because households prefer larger shrimp. Rather than let it spoil, coastal communities process it into shrimp paste. This simple principle underpins the value-added industry in Asahan: turning low-value output into a product with far higher worth, complete with its own market.
Principle 2: A Simple Process That Requires Discipline
Fermentation, drying, grinding, packaging. The stages are simple and the equipment can be simple too. But this is exactly where quality is decided: moisture, aroma, texture, and consistency. Traditional local expertise produces the taste standard that international buyers look for.
Principle 3: Packaging Decides Which Markets You Can Enter
For the domestic market, simple small plastic sachets sell fine. For export, the requirements are far stricter: labels must carry ingredients, net weight, production and expiry dates, permit numbers, and country of origin. Two products with identical taste can reach very different market tiers based on packaging and legal compliance.
Worth emphasizing, export demands a different standard from the local market. A fuller explanation of halal requirements for food businesses is available in our article on halal certification for SMEs.
Other Asahan Flagship Industries: Bunut Shoes, Coconut Coir, and Banana Skin Crackers
Shrimp paste is not the only industry in Asahan Regency. At the North Sumatra Raya Week (PRSU) 2026, the Asahan Regency pavilion displayed more than 50 local flagship products, from regional snacks and traditional textiles to handicrafts. The four industries below share one local principle: never sell the raw material, process it first into something ready to use.
1. Bunut Shoes: A Household Industry Icon Since 1998
The household shoe industry in Bunut and Sidomukti Villages, West Kisaran District, has grown since 1998. Its signature is a model with no laces and no back strip, built by fitting the leather from the sole up to the top of the shoe, which makes the product stronger and more durable. Artisans still produce and sell their own work independently through their own production houses and shops.
2. Coconut Coir: Turning Waste into Valuable Products
Asahan Regency has around 20,000 hectares of coconut plantations spread across Silau Laut, Air Joman, Tanjung Balai, and Sei Kepayang. In February 2026, coconut coir production run by PT Hijau Surya Biotechindo had already reached the export market in China. What started as concern over unused coconut coir is now processed into growing media, car seat covers, mattresses, and floor mats.
3. Banana Skin Crackers: The Best Seller Since 2023
Alongside the two industries above, the Asahan pavilion featured banana skin crackers introduced in 2023, and they became one of the most sought-after products. Behind the simple product is the same principle: use the abundant local raw material, then package it properly so it carries higher value and stronger competitiveness.
One lesson for Asahan business owners: a single regency can host several industries, and the business principle behind each is often similar. If one of your products is still sold raw, processing it one step further can raise its selling value without adding any raw material.
5 Requirements for Asahan Shrimp Paste to Be Exported
1. Guaranteed Quality and Food Safety
Shrimp paste exports fall under the supervision of the Marine and Fishery Product Quality Control agency. Products must meet capture-fishery product quality standards, covering process hygiene, contamination levels, and residues permitted by the destination country. This is what makes local products acceptable abroad.
2. Labels and Packaging Matching Destination Rules
Every country has its own labeling rules. Typically required are product name, ingredients, net weight, production and expiry dates, and permit numbers. For European and US standards, the ingredient list and storage claims also come into negotiations with importers.
3. Registered Business Legality
NIB, the applicable PIRT or food-industry permit, NPWP, and halal certification for certain destinations. Clean legality gets suppliers onto importer shortlists.
4. Packaging That Survives Long Journeys
Shrimp paste travels by container across the sea. Packaging must prevent leaking and damage, because shipping can take weeks. Large buyers are usually uncompromising about packaging condition on arrival.
5. International Logistics and Payment
Working with an exporter or freight forwarder, customs duty handling, agreed Incoterms, and international payment terms all need to be arranged before the batch is produced.
How to Price Your Shrimp Paste Export
Many first-time exporters price backwards: they set a target margin first, then hunt for production costs. The safer order is the reverse, compute cost per kilogram of finished shrimp paste first, then add every other component one by one.
Cost per kg = (total production cost of one batch) : (kg of finished shrimp paste)
Then add the following components in order:
| Component | What To Prepare |
|---|---|
| Raw material (rebon shrimp) | Local market price, fluctuating by season |
| Labor | Wages for collection, sorting, drying, grinding |
| Energy and equipment | Fuel, electricity, grinding machine cost |
| Packaging | Plastic, labels, cartons, and label printing |
| Overhead | Stationery, raw material transport, depreciation |
| Customs duty | Import duty value per HS code in the destination country |
| Margin | Market discount minus the exporter margin |
The table lists cost components, not market prices. Compute with your own actual figures. For calculating net profit from sales data, see our article on calculating business profit.
Business and Finance Tips for Shrimp Paste SMEs in Asahan
Export changes the rhythm of payment, not just the place of sale. A few things to prepare before the first batch ships:
1. Separate Production Cash from Export Cash
Rebon shrimp is paid for at purchase, but money from overseas buyers usually arrives after the goods ship and are accepted. That cash gap must be covered by your own capital or a loan. Keeping production cash and export cash in separate records tells you exactly how much is tied up in the process.
2. Calculate Cost per Batch, Not per Kilogram
Every rebon batch differs in moisture and size, so the yield differs too. Compute cost per batch, then average it to project the next one. This prevents mispricing when rebon is cheap but yield drops.
3. Keep a Buyer Record per Country
Record who buys, the destination country, the buyer type such as exporter or distributor, and payment terms. Repeat export orders usually come from buyers who are already comfortable, and they only return to suppliers with tidy records.
4. Keep a Reserve for Quality and Packaging
One common reason a shipment is rejected is leaking packaging or moisture outside tolerance. Set aside money for packaging fixes and quality testing before shipping, not after the container has left.
FAQ: Shrimp Paste Export from Asahan
Are exports of Asahan shrimp paste to Thailand now routine?
The 40-ton shipment in October 2026 was the first export, and local government hopes follow-up shipments can be made regularly. The wider Nusantara shrimp paste market already reaches 14 countries, so the route exists.
What is the value of Asahan shrimp paste exports?
According to Asahan Regency Government data, shrimp paste exports in 2025 reached 1,897.7 tons worth around IDR 21 billion. By September 2026, volume rose to 2,758.5 tons worth around IDR 34 billion.
Is halal certification required for export?
It is strongly recommended and is a requirement in several destination countries and for modern retail channels. Specific rules follow the receiving country regulations.
Can small businesses export on their own?
Yes. Many MSMEs export through exporters who buy and sell abroad, letting the business focus on production, quality, and packaging. Export mentoring is available through programs such as ECP Nasional 2026 and InaExport.
How long does exporting from Indonesia take?
It depends on shipping mode and processes in the destination country. Sea freight takes weeks, while document and customs procedures can take weeks as well. Plan well ahead instead of waiting close to the shipping date.
Conclusion
The export of 40 tons of shrimp paste from Asahan SMEs to Thailand in October 2026 shows that processed local products from this regency have a market well beyond domestic demand. Export volume rising to 2,758.5 tons worth IDR 34 billion in 2026 gives businesses real room to grow revenue.
What you need to prepare is mostly non-technical: cost carefully, meet quality and labeling standards, keep business legality clean, and manage production cash versus export cash. Clean sales records also make you easier to approve for buyers. A broader picture of Indonesian MSME conditions is available in our case study on the state of Indonesian MSMEs in 2026.
Manage Business Finances More Easily with Qasir Features
A shrimp paste business needs a clear chain of records: rebon purchases, output per batch, buyer payment notes, and operational spending. Qasir keeps all of it tidy:
- Digital cashier - record daily sales and purchases automatically, with no manual recap
- Real-time sales and profit reports - track revenue, margin per batch, and the most profitable products
- Inventory management - control rebon stock, finished shrimp paste, and packaging supplies together
- Cash In/Cash Out and Cash Recap - separate production cash, operating cash, and cash tied up in export cycles
- Per-buyer transaction history - review each buyer record to manage repeat orders and price negotiations
Download Qasir for free on the Play Store or App Store and get your Asahan business ready to reach global markets.