Analytical Hierarchical Process and Cost Benefit Analysis for Evaluation of Alabama Catfish Profitability and Sustainability

Catfish production has experienced a decline in the past two years, and farmers have been blaming international competition, exports, low prices and poor feed conversion ratios as the main causes. We evaluate the usefulness of the Analytic Hierarchy Process (AHP) and the Cost Benefit Analysis (CBA) as instruments for rapid evaluation of farmers‚ problems, the profitability and sustainability of aquaculture systems in Alabama. In April 2010, tests of the instruments were conducted among five farmers. A survey was then administered to 27 Alabama farmers and specialists involved in large-scale catfish production and marketing. Participants displayed unanimity in their responses. All IRs were less than 0.1. The variables: the‚ improvement in technology‚ and the‚ reduction of disease problems‚ received the highest ranks. Embedded in the response of technological innovation is the improvement in feed conversion ratio. This criterion received a rank of 75% higher than the second highest ranked criteria, which is‚ increase harvest frequency. In last place were reduction in selling cost and burglary/theft. Government influence received a low ranking, but research and extension received average scores. The participants did not rate trade highly and only accorded average importance to environmental sustainability. The CBA analysis shows that catfish farming in Alabama on a 60-acre pond is profitable in the long run, given the RRR of 8%. Based on participants‚ ranking of needs, if a 12% increase in technological change is attained, profitability will increase by 20%. The improvements can be obtained from increasing feed conversion efficiencyKeywords: Fisheries Economics, Fish and Aquaculture Sectors' Development, The Economics of Aquaculture Production and Profitability Part IIIKeywords: Fisheries Economics, Fish and Aquaculture Sectors' Development, The Economics of Aquaculture Production and Profitability Part II

The Economics of Kappaphycus Seaweed Cultivation in Developing Countries: A Comparative Analysis of Farming Systems

The farming of the red seaweed Kappaphycus alvarezii and related species as raw material for the hydrocolloid carrageenan rapidly spread from the Philippines in the late 1960s to Indonesia, Tanzania, and other tropical countries around the world. Although numerous studies have documented positive socioeconomic impacts for seaweed farming, factors such as diseases and distance to export markets have led to an uneven development of the industry. Using standard budgeting techniques, this study adapted production and market data from a FAO-led global review of seaweed farming to develop comparative enterprise budgets for eight farming systems in six countries (Indonesia, the Philippines, Tanzania, India, Solomon Islands, and Mexico). Although the basic technology package is the same across countries, the study revealed large differences in the economic performance of systems due to wide variations in farm prices and the scale of operations. Although seaweed farming is a suitable activity for small-scale producers, a minimum of 2,000m of cultures lines are still necessary to ensure adequate economic returns. Greater farming plots may be needed if farm prices are well below the average farm prices paid in Indonesia and the Philippines. Policy recommendations are made to improve the economic potential of underperforming systems

Aquaculture in Africa: Reasons for Failures and Ingredients for Success

Whereas aquaculture has become the fastest growing food activity in the world in the past three decades, in Africa in general, and in sub-Saharan Africa in particular, it has been notable for its weak and erratic growth. Recognizing the genuine potential for aquaculture to contribute greatly to food security, poverty reduction, and the continent’s economic growth, policy makers and development planners in Africa recognize the need to ensure sustainable development of the sector. This paper discusses the developments that have occurred in aquaculture over the past 20 years in Africa, analyzes the reasons behind the various successes and failures that have transpired, and suggests the way forward, arguing that economic and public sector policy instruments that attract private investments and make the industry competitive at home and abroad are key ingredients to success. It then discusses unexplored private investment opportunities in the sector

Aquaculture in Africa: Reasons for Failures and Ingredients for Success

Whereas aquaculture has become the fastest growing food activity in the world in the past three decades, in Africa in general, and in sub-Saharan Africa in particular, it has been notable for its weak and erratic growth. Recognizing the genuine potential for aquaculture to contribute greatly to food security, poverty reduction, and the continent’s economic growth, policy makers and development planners in Africa recognize the need to ensure sustainable development of the sector. This paper discusses the developments that have occurred in aquaculture over the past 20 years in Africa, analyzes the reasons behind the various successes and failures that have transpired, and suggests the way forward, arguing that economic and public sector policy instruments that attract private investments and make the industry competitive at home and abroad are key ingredients to success. It then discusses unexplored private investment opportunities in the sector