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May 11, 2015


CP Prima, Still Farming Shrimp


George Basoeki (email, Head of Corporate Communication at PT Central Proteina Prima TBK (CP Prima), probably the largest shrimp farm in the world, reports on an inaccurate news item that appeared on the Shrimp News webpage titled, “CP Prima No Longer Farms Shrimp”.


CP Prima is still very actively engaged and involved in shrimp farming in Indonesia.  The management of CP Prima believes that the misleading news was the result of an unfortunate misunderstanding of our unique farming concept.


Therefore in this press release, we wish to clarify and further explain our company’s active involvement in shrimp farming.


CP Prima started with one large-scale shrimp farm in 1994.  We acquired a second large farm in 2007.  From the start, we have been operating our shrimp farms based on a unique “nucleus-plasma” concept.  We have not changed the concept since 1994.  In this nucleus-plasma concept, CP Prima performs as the “nucleus”, working closely with around 7,000 individual farmers (the “plasma”).  


Here are the details of the nucleus-plasma model:


• As the nucleus, CP Prima finances and maintains the large shrimp farm complexes, each with thousands of shrimp ponds.  Each complex is equipped with its own power generation and water treatment facilities, as well as public and social infrastructure for both our employees and the plasma farmers and their families.


• Each plasma farmer goes through a rigorous recruitment process.  The successful candidates take responsibility for one or two shrimp ponds.  Defined by CP Prima, the farmers follow strict guidelines on standard operating procedures pertaining to all aspects of the shrimp farming process.


• CP Prima provides farmers with working capital (for some farmers), postlarvae, feed, electricity from our power plant facility (mainly for the paddle wheels in the ponds), water (from our water treatment facility), as well as training, technical assistance, and other operational support, like harvesting and pond cleaning between crops.


• In return, the farmers sell their shrimp crops to CP Prima, which helps harvest and transport the shrimp to our nearby processing plants.  The difference in value between the shrimp harvest and the inputs provided by CP Prima is the farmers’ profit.


Our unique nucleus-plasma concept, as explained above, shows the significant involvement of CP Prima in shrimp farming activities.  CP Prima wishes to express our strong intention to continue engaging in shrimp farming and maintaining our unique nucleus-plasma farming model.


Source: Press Release from PT Central Proteina Prima TBK.  Subject: CP Prima Still Very Actively Engaged and Involved in Shrimp Farming.  George Basoeki, Head of Corporate Communication, PT Central Proteina Prima TBK (email  May 11, 2015.

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