ABSTRACT The profitability of the Mediterranean mussel (Mytilus galloprovincialis) farming depends on a combination of factors including natural productivity, technical practices, production costs and product pricing. In an effort to analyse the financial risks of the mussel farming in Greece, we examined the profitability of the different farm sizes (1 to 4 ha) under the present situation of the local market and the modern production practices. Assuming that a farm works at a reasonable 80 % of its annual capacity and uses the widely accepted long-line technique, it was demonstrated that a farm size less than 2 ha is not viable economically. Moreover, the cost of the new establishments and the modernization of the existing ones is affordable only if larger enterprise structures are adopted. Consequently, the past EU and/or public support (up to 45% of the total cost of the fixed assets) has been critical for the development of the industry. Taking in account that the majority of the Greek mussel farms are rather small (1-2 ha), we concluded that for financial sustainability the sector needs to be restructured and be organised in larger schemes, such as those of producers organisations or co-operatives, in order to benefit from scale economics and attract better funding
