SALMON AQUACULTURE: LARGER COMPANIES AND INCREASED PRODUCTION

Salmon farming is among the most successful aquaculture industries with a production growth that is substantially higher than aggregate aquaculture production in recent decades. It is well known that innovations and productivity growth are the main sources for this development. In this article we look closer at two potentially important factors in production growth, development of farm size and company size directly through economies of scale and indirectly through capacity in R&D, innovation, sales and marketing. In Norway, production per license has increased from 26 tons in 1980 to 1,130 tons in 2010, suggesting a substantial intensification in the industry. In all five leading salmon producing countries, the degree of concentration has increased and the large firms have become bigger over time.     

The potential impact of summer flounder (Paralichthys dentatus) aquaculture on regional flounder price

Abstract

Increasing consumer demand for flounder and dramatic reductions in ocean flounder harvests have raised interest in summer flounder (Paralichthys dentatus) aquaculture. Flounder farmers have several potential markets, including regional seafood dealers and high‐end niche (e.g., sashimi and ike‐jime) buyers. Prices paid by buyers are exogenous to typical aquacultural budgeting models, yet they are a key determinant of potential profitability. We develop a simple economic model to assess the impacts of aquaculture industry supply on prices paid by regional seafood dealers. The model is parameterized for a region with established flounder dealers and active field research in flounder production methods. We derive the price elasticity of regional seafood dealer demand for farmed flounder, and we examine the impacts of changes in production cost and ocean harvest on regional price and the level of aquacultural production that maximizes returns to the aquaculture industry.     

Sustainable Aquaculture Products: Implications of Consumer Awareness and of Consumer Preferences for Promising Market Communication in Germany

Sustainability issues are becoming increasingly important in Western food consumption. This research aims at identifying ways to increase the market share of sustainable fish from aquaculture by analyzing consumer awareness and preferences for sustainable aquaculture products and by drawing conclusions on improving communication in the German market. An integrative research approach was used: it began with an inventory of sustainable seafood products on the German market, followed by qualitative and quantitative consumer research, and ending with a stakeholder workshop, which reflected on the research outcome with practitioners. Sustainability and country of origin proved to be of minor relevance to the vast majority of the consumers interviewed. Indeed, attributes such as freshness, taste, and price frequently ranked higher. Like most of the other consumers, the small consumer segment that is generally interested in sustainability issues of food also often lacks knowledge of fish farming and its products. Consequently, communication of sustainability in aquaculture is challenging, and the development of this market requires concerted actions along the whole value chain, with the retail sector as the main actor.     

Innovation in small-scale aquaculture in Chile

In light of the current depletion of extractive marine resources and the sustainability issues that have arisen in the aquaculture industry, the small-scale aquaculture sector has emerged as a viable and sustainable alternative for generating income. To integrate the small-scale aquaculture sector into the food value chain, understanding the decision-making process to innovate becomes essential. This paper explores the factors underlying both innovation choices and intensity among small-scale aquaculture producers by utilizing exclusive census data from the small-scale aquaculture sector in Chile. The results indicate that education, secure property rights, internet access, participation in organizations, commercialization methods, government instruments, understanding of credit, and social learning promote innovation decisions. We also find that largest producers innovate in more areas, suggesting a role of size for both technological and non-technological innovations.     

Fish to 2030: The Role and Opportunity for Aquaculture

Seafood sector can contribute to the global food supply in an important way, and provide an important source of animal protein. Based on observed regional trends in seafood production and consumption and using a global, partial-equilibrium, multi-market model, this study investigates what the global seafood market may look like in 2030. The model projects that the total fish supply will increase from 154 million tons in 2011 to 186 million tons in 2030, with aquaculture entirely responsible for the increase. The fastest aquaculture growth is expected for tilapia and shrimp, while the largest expansion is expected in India, Latin America and Caribbean and Southeast Asia. Fast-growing seafood demand in China and elsewhere represents a critical opportunity for global fisheries and aquaculture to improve their management and achieve sustainable seafood economy.     

Early effects of COVID‐19 on US fisheries and seafood consumption

The US seafood sector is susceptible to shocks, both because of the seasonal nature of many of its domestic fisheries and its global position as a top importer and exporter of seafood. However, many data sets that could inform science and policy during an emerging event do not exist or are only released months or years later. Here, we synthesize multiple data sources from across the seafood supply chain, including unconventional real‐time data sets, to show the relative initial responses and indicators of recovery during the COVID‐19 pandemic. We synthesized news articles from January to September 2020 that reported effects of COVID‐19 on the US seafood sector, including processor closures, shortened fishing seasons and loss of revenue. Concerning production and distribution, we assessed past and present landings and trade data and found substantial declines in fresh seafood catches (?40%), imports (?37%) and exports (?43%) relative to the previous year, while frozen seafood products were generally less affected. Google search trends and seafood market foot traffic data suggest consumer demand for seafood from restaurants dropped by upwards of 70% during lockdowns, with recovery varying by state. However, these declines were partially offset by an increase (270%) in delivery and takeout service searches. Our synthesis of open‐access data sets and media reports shows widespread, but heterogeneous, ramifications of COVID‐19 across the seafood sector, implying that policymakers should focus support on states and sub‐sectors most affected by the pandemic: fishery‐dependent communities, processors, and fisheries and aquaculture that focus on fresh products.     

An Analysis of Nearly One Billion Dollars of Aquaculture Grants Made by the US Federal Government from 1990 to 2015

The aquaculture industry relies on federal investments to stimulate aquaculture research and development (R&D). We conducted this study to track federal spending for aquaculture using a large database of 2957 US federal research grants awarded from 1990 to 2015. During that period, 1.04 billion US dollars (USD) were spent on aquaculture research, with 919 million USD from federal agencies and 123 million USD in matching funds. By comparison, over the same time frame, the US Department of Agriculture's R&D spending was 41 billion USD. Federal grant funding for aquaculture had a 37‐fold return on investment since 2000. Microalgae, oysters, salmon and trout, catfish, and shrimp received the most grant support, and the most common topics/disciplines were aquaculture production sciences, aquatic animal health and disease, genetics and breeding, and nutrition. Our findings can be used to identify research gaps and inform federal policy, grant making, and budget allocation.     

Effect of information on attitudes towards offshore marine finfish aquaculture development in northern New England

Abstract

Social science can make important contributions to understanding the prospects for offshore marine aquaculture development because many of the potential barriers that may restrict its development are social and institutional rather than biological or technical. This study collects baseline data on attitudes towards offshore marine aquaculture held by a key stakeholder group. It also investigates the influence of information on attitudes towards marine aquaculture. Data reported in this study were collected from visitors to a seafood festival in coastal New Hampshire. The formal objectives of this research were to determine what effect, if any, two‐sided information on the potential advantages and disadvantages of marine aquaculture has on attitudes towards marine aquaculture and how prior familiarity with aquaculture moderates the effect of information. The findings from this study indicate that two‐sided information has a negative effect on attitudes, especially among individuals who are unsure of their level of familiarity with the issue.     

New organizational forms within the aquaculture industry: The fish‐farming enterprise as a ‘virtual’ organization

Abstract

The international aquaculture industry is characterized by a global integration process with increasing competition across borders and continents. The rapid development of technology, the extended market rivalry due to new firm entries, and the elevation of quality standards in the international seafood market place a heavy strain on the strategy development process of aquaculture enterprises. In this article, we focus on the ties between strategic positioning in the market and the organizational configuration of the firm. The virtual organization is introduced as an organizational form for a dynamic fish‐farming enterprise. A virtual organization is characterized by flexible borders, emphasis on external cooperative relations and networks instead of ownership integration, and norm‐based relational contracts as focal governance mechanism. The results from an in‐depth, longitudinal study of a Norwegian fish farming enterprise are presented.     

An improved prioritization framework for selecting new finfish mariculture candidates for research and development in Indonesia

Aquaculture, particularly marine‐based production, is one of the fastest growing industries in Indonesia. Indonesia's competitiveness in the trade of aquaculture products is constrained by a lack of research and development (R&D) of new aquaculture species candidates. Mariculture has the greatest potential due to Indonesia's vast marine resources and archipelagic geography. Although there are over 3,000 species of marine fish in Indonesia, only 14 species have been widely cultured, largely finfish. Production is dominated by shrimp, groupers and milkfish. Traditionally, candidate species for mariculture in Indonesia and elsewhere have often been selected on their market value before their biological suitability for culture has been established leading to partially successful R&D efforts or even failure. The present study developed a framework for selecting marine fish species to support mariculture R&D in Indonesia based on an improved analytic hierarchy process (AHP). The approach combined various quantitative and qualitative data and involved different R&D stakeholder groups in the selection process. Ten species that had not been previously researched for their aquaculture potential were identified. The modified approach addressed the interaction complexity of criteria and different preferences across the stakeholders. The involvement of different stakeholders in the selection process not only ensured acceptance of the selected species for further research, but also tested the validity and consistency of the method used in this study. The methodology has relevance for mariculture globally given that efficient candidate selection can help focus efforts and investment in mariculture R&D.     

An assessment of the economic contribution of EU aquaculture production and the influence of policies for its sustainable development

This review paper examines the structure of the EU aquaculture sector, the contribution it makes to the EU economy and the policy environment for past and future development. The primary analysis uses statistical data from the Food and Agriculture Organization of the United Nations which has been re-categorized according to species groups established by the European Aquaculture Technology and Innovation Platform (EATiP) and by culture system type using expert knowledge. Additional data sources for the analysis include the European Market Observatory for Fisheries and Aquaculture Products (EUMOFA) and the European Commission Scientific, Technical and Economic Committee for Fisheries. EU aquaculture production was 1.34 million tonnes in 2012 with a first sale value of €4.76 billion. Shellfish comprised 45 % by volume and 28 % by value; marine fish 30 % by volume and 53 % by value; and freshwater fish 25 % by volume and 19 % by value. The total production volume has actually fallen slightly from 1.4 million tonnes in 2000, whilst the value has increased significantly from 2.79 billion in 2000, mainly due to a growth in Atlantic salmon production. Five countries accounted for around 78 % of the direct output value of EU aquaculture in 2012, the UK, France, Greece, Italy and Spain. Around 50 % of the direct output value was generated using marine cage systems (28 % by volume), whilst less than 3 % of value was generated in recirculated aquaculture systems (<1.5 % by volume). Around 5 % of value was contributed by extensive to semi-intensive inland and coastal pond systems. STECF (2014) estimates there are between 14,000 and 15,000 aquaculture enterprises in the EU employing around 80,000 people, approximately 40,000 full-time equivalent (FTE). The greatest number of jobs (FTE) is provided by the freshwater pond and suspended shellfish sectors due to much lower productivity figures. This could be seen as a social benefit in rural and coastal regions, but corresponding low wages could also discourage young entrants to the industry and lead to dependency on migrant workers. Where efficiencies can be improved through capital investment there is likely to be significant scope for consolidation of ownership as can be observed in the marine fish sector. The output from aquaculture has to find a place within the wider fish and seafood market where volumes are generally inversely related to price. The potential growth of the sector is therefore constrained both in relation to the overall market and with respect to competition from substitute products. These include product from EU capture fisheries as well as imports from third countries (sourced from aquaculture and capture fisheries). Whilst interactions between individual products can be hard to demonstrate, any increase in production costs is likely to lead to lower output volumes, whilst improvements in production efficiency can lead to increased output volumes. With around 60 % of EU fish and seafood supply obtained through imports, and little prospect of increasing outputs from capture fisheries, EU policy is generally supportive of sustainable aquaculture development for reasons of food security and economic development. The underlying basis for this is maximizing the quality and health benefits of farmed products, whilst improving resource efficiency and minimizing impacts. This is expressed through funding support for research and technological development and structural funds to the fisheries and aquaculture industries. However, constraints to growth also exist in the form of regulatory barriers and costs that reduce industry competitiveness. Changing market requirements are also a factor. Prospects for growth have been assessed using the results of EATiP stakeholder workshops combined with the analysis of the sector by system type. These suggest an overall increase in production by 55 % is possible by 2030 based mainly on expansion of marine cage-based farming using larger systems in more exposed sites and similarly shellfish farming using larger-scale suspended systems. Expansion of recirculated aquaculture systems appears likely based on entrepreneurial and European policy for research and technological development activity, although constrained by currently low competitiveness.     

Factors affecting the reproductive efficiency in crayfish: implications for aquaculture

In recent years, crayfish aquaculture industry has been developing rapidly in different regions of the world. Crayfish aquaculture is often carried out in dams, lakes and extensive pond systems. There is an increasing demand for crayfish juvenile in aquaculture sector. Therefore, it is important to know which factors affect reproductive efficiency in crayfish. In the present review, factors affecting the reproductive efficiency of crayfish are divided into two main sections, external and internal factors. Dietary lipids, phospholipids, highly unsaturated fatty acids, protein and amino acids, vitamins and carotenoids are important external factors affecting broodstock crayfish reproduction. In addition, various external (i.e. female size, stocking density, temperature, photoperiod, sex ratio) and internal (i.e. endogenous hormones) factors affect the reproductive efficiency in crayfish. This study reviews the present knowledge with the purpose of realizing the factors that are important to reach optimal crayfish nutrition, maturation and reproduction (i.e. pleopodal egg number and quality). This review will particularly be useful for crayfish farmers and crayfish hatchery units.     

Green grow the fishes‐oh? Environmental attributes in marketing aquaculture products

Abstract

The rise of aquaculture production in the last two decades has had a notable impact on many of the world's markets, sometimes supplementing or replacing existing capture fishery products, developing new market opportunities through improved availability, novel products and/or improved market chain efficiency. Meanwhile consumers have also become increasingly aware of environmental issues and associations with the products they consume; within this broader trend, the practices and possible impacts of aquaculture have justifiably or otherwise been subject to particular scrutiny and sometimes negative comment. Future opportunities and directions for growth and development of aquaculture may become increasingly driven by market perceptions of environmental attributes and, associated with this, the ways in which aquaculture processes and products are presented. This paper reviews the relevant issues of environmental attributes, explores the ways in which these may interact with future production and market trends and suggests critical emerging factors for the aquaculture sector.     

RELATIONSHIP BETWEEN TROPHIC LEVEL AND ECONOMICS IN AQUACULTURE

The rising share of aquaculture in supplying seafood changes the mixture of species in the world's market, because capture fisheries target carnivorous species whereas aquaculture focuses on species that are lower in the food chain. Trophic level correlates with production volume (tons/yr) and with unit value (US$/ton) in aquaculture but not in capture fisheries (FAO's fisheries data). Apparently, sustainability and economics in aquaculture both depend on ecological efficiency, i.e., the use of resources and the production of waste. Species feeding low in the food chain use efficiently the natural resources. Each level up the food chain inflates costs related to the use of resources, the production of waste and the maintenance of water quality. This effect has further repercussions on the economics of aquaculture: (1) cost influences profit and unit price, and (2) price influences demand and market share. The overall ecological efficiency, sustainability and economics of culturing carnivorous fish are improved by growing them in an ecological balance with species from low trophic levels in integrated multi-trophic aquaculture.     

Aquaculture development in India: An economic overview with special reference to coastal aquaculture

Abstract

Coastal aquaculture emerged as a sunrise sector in India during the 1990s. It was identified as a sector full of promise for expanding exports and for adding to foreign exchange. The sector has more than fulfilled its promise and has more in store. This paper gives an overview of the role and development of fisheries in general and aquaculture in particular in India. Growth, sources of growth, contribution to national gross domestic product, impact on rural economy, socio‐economic impacts, generation of backward linkages, and export growth of coastal aquaculture in terms of composition, direction and penetration are reviewed. The paper concludes on an optimistic note for development of coastal aquaculture in the country with the streamlining of policy measures for production and marketing.     

Marketing research paradigms for aquaculture

Abstract

A basic premise of this review is that the traditional agricultural economics marketing research paradigm is of limited value for addressing many of the key marketing issues affecting aquaculture. These issues include how to get consumers to recognize and accept new or slightly differentiated products, and how to design products that more nearly match consumer preferences. Accordingly, we stress an ‘industrial style’ market‐development approach to aquacultural marketing research that emphasizes product differentiation and market segmentation. The focus is pragmatic in that we bring into play managerial strategies (e.g. demand‐function modification and segment development) that are integral to implementing research findings. Empirical studies pertaining to seafood demand and preference articulation are selectively reviewed to illustrate concepts and to highlight research applications.     

A model to assess trade-offs between environmental impact and profitability of offshore salmon farms: A case study on Chile

ABSTRACT

In recent decades, aquaculture has emerged as a viable method to help supply the growing global demand for seafood; however, expansion of the industry comes with potential negative impacts. Regulatory decisions governing aspects like aquaculture farming practices and farm siting inherently lead to trade-offs between profitability and the health of the surrounding environment through impacts including pollution, disease, and disturbance from escaped fish. Efficiently and sustainably scaling up aquaculture will require the development of methods for explicitly examining the trade-offs among these impacts and socioeconomic objectives. We developed a model to assess these trade-offs and illustrate the approach with a case study of salmon aquaculture in southern Chile. In the case study we found evidence that all 21 farms with approved permits may be underperforming on both profitability and the protection of ecosystem health. Our model suggests that explicit evaluation of trade-offs can illuminate the potential for improvements on multiple outcomes simultaneously.     

THE FUTURE OF U.S. SEAFOOD SUPPLY

The United States today imports most of the seafood it consumes. Half of these imports are from aquaculture. Domestic wild capture production is limited and U.S. aquaculture production has declined in recent years. Policy, socioeconomic, and regulatory obstacles stand in the way of expanded U.S. aquaculture production. In this article, we examine the implications of two future paths for seafood supply: an increasing reliance on imports, and a shift toward increased domestic aquaculture production. We examine global trends, likely future developments in U.S. seafood demand and supply, and implications of the path of U.S. aquaculture development for U.S. seafood supply and prices, employment, ecological footprint, and seafood supply security and safety. We conclude with recommendations for a path forward that serves the interests of the nation and the global community in the search for economically sound and sustainable ways to feed a growing population.     

海洋药物研究开发趋势

本文论述了海洋药物研究开发四个方面的发展趋势:海洋药源生物向人工增养殖的方向发展;海洋药物研究向开发海洋微生物资源方向发展;向开发海洋极端生物资源的方向发展;向生物技术方向发展。     

ORIGINS MATTER: (NO) MARKET INTEGRATION BETWEEN CULTURED AND WILD GILTHEAD SEA BREAM IN THE SPANISH SEAFOOD MARKET

Interactions between fisheries and aquaculture have become a major issue that is still insufficiently studied. Therefore, the objective of this article is to test whether the cultured and wild gilthead sea bream in the Spanish seafood markets are integrated. By using the Johansen methodology, cointegration of the price series of farmed and wild gilthead sea bream was tested. In contrast to previous studies, our econometric results show that wild and the farmed gilthead sea bream form two heterogeneous products in the Spanish market. These new results question the generalization currently accepted by the scientific literature that farmed and wild fish are substitutes when they belong to the same species. The binomial product-market, along with some specific features of the Spanish market, such as the negative perceptions of aquaculture by some significant groups of consumers, appeared to have a great explanatory power for justifying these different results.