Economic Value Estimation of Mangrove Ecosystems in Indonesia

Indonesia has a huge potential of mangrove resources. In 2010, the mangrove area was 5,209,543.16 hectares and the area was decline rapidly to 2,496,185 hectares in 2016. This figure shows depletion and degradation of mangrove ecosystem and therefore, the capacities to supply human needs are decline because of the intense pressure from many activities in the development of coastal zone. The data above noted that development activities have threatened the sustainable capacity of the mangrove ecosystem in supporting future development in Indonesia. Mangroves provide a wide range of ecosystem services, including nutrient cycling, soil formation, wood production, fish spawning grounds, ecotourism and carbon (C) storage. Indonesia has a huge potential of mangrove resources. The biological resources of the mangrove ecosystem which are believed to be highly productive are not only able to provide various valuable forest products, but also maintain estuarine water quality as a habitat for many commercially important species of fish and prawns. For tropical countries, the mangrove is one of the important natural resources for the development sector in order to enhance human welfare through resource exploitation and environmental stability. Therefore, an adequate balance must be sought between the environmental benefits of the marginal mangroves and the productive role of these ecosystems on a sustained management basis [1].