Aquaculture Development: Back to Basics

1
Aquaculture Development Back to Basics

• Pedro B. Bueno
• Network of Aquaculture Centres
• in Asia-Pacific

2
Aquaculture

• Global 2003 54 M mt (2x of 1993)
• 400 species marine, freshwater, vertebrates,
  invertebrates, molluscs, plants
• 30 of commercial fish and shellfish

3

• 63 of the world salmon supply
• 30 of the world shrimp supply
• One third of all wild-caught fish used to make
  feed for aquaculture
• Can take 22 kg of wild fish to produce 1 kg tuna
• 5-12 kg wild fish to produce 1 kg finfish such as
  grouper, snapper, seabass

4

• Carp is the most produced species 17 M mt in
  2002
• Oysters 4.3 M mt
• Seaweeds - 25 of total aquaculture output, by
  volume
• Culture based fisheries, enhancements
• Integrated farming
• By 2020 68 M mt or 40 of worlds seafood
  output

5
Production by region
6
Production by environment
7
Trends - Asia-Pacific

• Increasing intensification because of
  restrictions and limits to aquaculture expansion
• Diversification of species
• Diversification of production systems
• Increasing influence of markets, trade and
  consumption
• Enhanced regulation and better governance
• (FAO/NACA regional workshop, Ramsar, Sep 2005)

8
Outlook Asia Pacific

• Yield from capture fisheries is not expected to
  increase greatly
• Aquaculture expected to provide more fish to
  satisfy increasing demand

9
Outlook

• Massive expansion of aquaculture will need
• increased production area
• higher intensity of production
• more efficient use of water

10
Outlook

• Intensity not all that high yet in Asia
• There is much room for increased production per
  unit area.

11
Outlook

• Need to address increased use of feed and
  probable increase in (fresh) water requirement
• Reliance on fish meal as a protein source for
  aquaculture feeds is a growing problem
• Of some 100 million tonnes of catch a year, 30
  million tons is converted to fish meal and oil.
• Aquaculture uses 70 percent of fish oil and 30
  percent of fish meal

12
Outlook

• A rapid expansion of scale and greater efficiency
  could lead to decreasing fish prices (IFPRI)
• Culture of herbivorous and omnivorous fish is
  already efficient
• Trend is towards higher value species that offer
  greater profit margins per unit production,
  higher export potential
• Use of by products to add value to the fish

13
(No Transcript)
14
(No Transcript)
15
Others mariculture

• Japan 1.26 M mt
• ROK -- 826,000 mt
• Oysters, Seaweeds,
• Phil -- 1.24 M mt
• 97 is seaweeds

16
(No Transcript)
17
(No Transcript)
18
Constraints

• Global economy
• Lack of demand
• Inability to grow a product
• Inability to sell a product
• Inability to make a profit
• Inability to expand/grow
• Inability to access resources
• Increased regulation on the sector
• Environmental change, climate change
• Limiting supporting infrastructure
• Lack of enabling environment

19
Key enablers

• Market development and access
• Environmental management practices
• Food safety assurance
• Access and rights to land and water
• Capacity enhancement of the sector

20
Market development and access

• Local markets cant absorb excess production.
• The Pacific island nations face special
  challenges
• Reduction in trade barriers
• Value addition, niche markets, and promotion
• Development of certification systems for quality
  and food safety to diversified markets.
• Small-scale commercial producers in the Asia
  Pacific region collectively need access to
  national and international markets.

21
Adoption of environmental management practices

• Better management practices
• International standards for environmental
  management
• Informing public on the positive environmental
  aspects and benefits of aquaculture.
• Biodiversity conservation and management.
• Valuation of aquatic resources and industry
  payments for use of resources

22
Food Safety

• Effective food safety and quality management
  systems
• Zero tolerance concept?
• Certification of aquaculture products -- market
  access and public acceptance
• Small-scale enterprises -- investment in improved
  services to access markets requiring certified
  products

23
Access to land and water resources

• Increasingly competitive
• Integrated coastal management planning and
  zoning.
• Land and water legislation -- avoid exceeding
  carrying capacity.
• Land prices increasing in coastal areas need
  more efficient land use by aquaculture.
• Technological development of offshore/ocean
  farming systems
• Small-scale enterprises are vulnerable when
  resources are limited -- a legal framework
  allowing equitable use of resources
• Clustering and organisation of small-scale
  enterprises.

24
Capacity enhancement within the aquaculture
sector

• Technical capacity building -- involve users, and
  a needs-based approach to deliver skills
• Increased networking among educational providers
  and researchers
• Involvement of private sector in development of
  educational programs
• Certification of trained people and accreditation
  scheme for training and education providers
• Building capacity of producer associations (and
  policy makers).

25
Management of the sector

• Command and control
• Market-based instruments
• Self-regulation
• Co-management

26
C and C

• Laws and regulations - rights
• ensure that basic rights of individuals and the
  welfare of the public take precedence over that
  of interest groups
• rules are used to impartially decide among
  potentially conflicting interests

27
C and C

• Laws and regulations -- obligations
• Although the moral force of the principle of
  sustainable development is apparent, morality by
  itself is not always sufficient to compel
  individuals to act wisely.
• Competitiveness may provide an incentive for
  short-term gains to be secured at a longer-term
  cost.
• Prevent free riders

28
Market-based instruments

• Producer bears the cost of polluting or not
  polluting the environment
• Tax is imposed on pollution revenue to clean up
  the pollution or compensate society for the
  damage caused by the pollution
• Farmer pays for the cost of abatement of
  pollution
• Polluter pays principle to induce individuals
  or firms to change their behavior.

29
Eco-labeling

• Gives the consumer the opportunity to express
  her/his environmental and ecological concerns
  through the choice of products.
• Incentive -- better price and/or bigger market
  share
• Certification for a set of desired standards

30
Eco-labeling

• Attributes other than price, quality and safety
• Economic and social objectives
• fair trade
• support to small farmers
• discouraging child labor
• health-related properties i.e. organic
• environmental and ecological well-being

31
Voluntary regulation

• Management practices (good, better, best)
• Codes of practices by farmers and industry
• Standards

32
Co management

• A governance system that combines state control
  with local, decentralized decision making and
  accountability and which, ideally, combine the
  strengths and mitigate the weaknesses of each.

33
Co management

• World Bank
• The sharing of responsibilities, rights and
  duties between the primary stakeholders, in
  particular, local communities and the state a
  decentralized approach to decision making that
  involves the local users in the decision making
  process as equals with the nation-state.

34
Hai Lang commune Common Property Resource

• 1,800ha with 500 ha shrimp ponds 100 ha
  mangrove
• Unplanned aquaculture
• Excessive nutrients water pollution
• Stocked with clams, mussels, tilapia, rabbit
  fish, grey mullet
• Co-managed by local communities
• Species biodiversity better income from
  diversified aquaculture

35
Khanh Hoa Seabed resource management

• Overfished resources
• Lobster wild seed and trash fish
• Alternative replace overfished species via
  co-management schemes.
• Reduce dependence on polluting activities

• Seabed is stocked with seed from hatcheries
• Gastropods, bivalves, sea cucumber
• Resources co-managed by authorities fisherfolk

36
Focus on the Farmer
37
basic goals

• High yield
• Lower costs
• Better economic returns
• Less risk

38
Societys requirements

• Safe product
• Affordable
• Reliable supply
• No pollution
• No workers exploitation
• No impact on biodiversity
• Fish welfare

39
Factors that drive aquaculture

• From the needs of people for local employment,
  food security and more income

40

• to the needs of industries, with emphasis on
  productivity, profitability and
  consistent-quality products.

41

• and considerations for the health of the
  environment and the consumer.

42
Needs of the farmer

• assurance of security of the investment
• reduce the risk of losing a crop
• reduce the risk of losing money from
  ill-informed choices
• a reliable supply of viable and healthy seed

43

• a range of practices to produce and sell
  wholesome and safe fish
• opportunities to work with other farmers and
  other workers to better comply with safety
  requirements on his fish and the manner in which
  they are farmed
• options to produce fish that leave the
  surrounding clean
• skills to do all the above, and further
  opportunities to improve those skills

44

• strengthen farmer and fellow farmers collective
  ability to deal with suppliers and buyers
• opportunity to work with others in identifying
  their problems and the ability to find or work
  out solutions for them
• provide the opportunity to express their views in
  policy and development planning

45
staying in business
Consumers
Health
Industry
AQUACULTURE
46
(No Transcript)
47
Adequacy of market mechanism?

• Market mechanism alone may be inadequate without
  being distorted to favor the farmer.
• Subsidies - discouraged,

48
Adequacy of market mechanism?

• Way to go -- better capacity to comply.
• Collective and democratic action.

49
empowerment

• strengthen the system of support that enables the
  farmer to play a more active role in and have a
  better control over the social and economic
  processes that impact on his livelihood

50
and reward

• The purpose of such support is to assure that,
  for staying in business, the farmer is
  justifiably rewarded.

51
Sustainability and profits

• Simplest expression of sustainability is that the
  activity perpetuates itself
• A farmer keeps on farming because s/he benefits
  from it.
• A farmer who earns a profit to pay for production
  costs, for his familys living, and for their
  future security is a responsible farmer.
• It is the one who fails in faming or makes a
  profit by taking short cuts whose costs society
  ends up paying for, who is not.
• (with apologies to Peter Drucker)

52
Competitiveness

• higher yield, productivity, returns
• greater ability to avoid or manage natural and
  economic risks
• comparative advantage

53

• capacity to comply with regulations, adopt codes
  of practices and address market access
  requirements and barriers to trade.
• ability to farm responsibly

54
Why organize

• Attain economy of scale
• Power to negotiate
• Having to do more with less

55
Roles of farmers associations

• Facilitate consultation among major stakeholders
  and players policies and a supportive legal and
  institutional framework that support aquaculture
  development cannot be developed without
  communication

56
Roles of farmers associations

• Better participation in the planning, development
  and management of aquaculture, including the
  promotion of codes and BMPs

57
Roles of organized farmers

• Promotion of efficient use of resources,
  including water, sites, seed stock and other
  inputs.

58
Roles of organized farmers

• Capacity building, and the provision of and
  access to information

59
Roles of organized farmers

• Voluntary self-regulatory mechanisms for
  attaining best practices
• Capacity for co-management

60
Some evidences

• Case 1 India small shrimp farmers
• Diseases White spot
• Small farmers 70
• Fragmented market chain

61
Shrimp project - India

• 2005 crop 930 demonstration ponds, 484
  hectares, 15 villages
• 100 increase in production
• 34 increase in size of shrimp
• 65 reduction in disease prevalence
• Improvement in quality of the shrimps
• Contract hatchery seed production system

62
Case 2 Vietnam

• Total output -- 374,000 mt in 1993 to 1.15
  million mt in 2003
• Shrimp farming 330,000 mt In 2005
• Increase in no. of farms not from better
  productivity.
• Environmental deterioration and health problems
  11 loss of the total shrimp production in 2004
• Increased the use of chemicals which led
  importing countries to impose restrictions
• Negative impact on the livelihoods

63
Case 2 - Vietnam

• BMPs for six hatcheries seed production 1.5
  times higher and a price per unit seed 30-40
  higher than non-BMP seed.
• 7 pilot farming communities (655 beneficiaries)
  less risk of mortality, higher production and
  higher probability of making a profit.
• Farming communes that introduced seed testing
  increased their chances of making a profit 7
  times.
• Average yields were more than 4 times higher than
  in non-BMP adopting farms

64
Other benefits

• Capacity building
• The project strengthened the institutions
  involved with seed health management by training
• Supported the drafting of national and
  provincial-level legal documents to improve the
  process of seed screening and certification.

65
Other benefits

• Social harmony
• enhance trust and cooperation among the players
  in the market chain that include hatchery owners,
  the farmers, and processors/exporters.
• the supplier of inputs, the farmer, and the buyer
  of products stand to gain more from each one
  behaving responsibly towards one another than by
  taking advantage of each other.

66
A program to support farmers

• More adherence to voluntary codes of conducts and
  best management practices
• lessen the need for more rules and regulatory
  controls, which are blunt instruments, and
  restrict healthy development if carried to the
  excess or enforced inefficiently

67
A program to support farmers

• Direct participation or at least active
  representation of farmers in regional and global
  discussions of agreements and policies, and
• Stronger cooperation among players in the market
  chain in developing and adopting better practices

68
Unexplored, newly emerging opportunities

• Designer fish with special characteristics
• Designer feeds for efficient use of resources
• New species for diversification of markets
• Recreational fisheries, ecotourism, ornamental
  fish
• Non food uses including re-use of wastes or
  conversion of by-products
• Marine bioactive compounds nutraceuticals,
  natural products.
• Algal products for substitution of animal
  products
• Plant based therapeutants
• Pet foods

69
A few things about NACA
70
NACA Mandate

• Assist governments to improve opportunities for
  sustainable aquaculture development and to
  contribute to social and economic development
• Cooperation in R D, focused on rural
  development
• Institutional strengthening and policy development

71

• Work Program on Aquaculture Development in
  Asia-Pacific (1991-5 1996-2000 2001-5 2006-11)
  
• Focus broadened from the biological-technical, to
  the economic, environmental, and social.

72

• Aquaculture was transforming into a rapidly
  growing and increasingly science-based activity.
• Concerns of effect of rapid growth on the
  environment, resources, other sectors, people,
  and on its own sustainability.

73
RD Cooperation

• Coastal aquaculture
• Inland aquaculture

74
Marine Fish Network

• Incorporated in NACAs work program
• Expanded in scope from grouper to other species

75
Shrimp aquaculture

• Consortium program (FAO/NACA/ WB/WWF /UNEP)
• Communications of better management practices
  continued
• Agreements made to formulate an set of principles
  for responsible shrimp aquaculture management
• Basis of certification systems, national and
  regional GAP/Code of Conduct and Best Practices
  programs

76
Health Advisory Group
77
(No Transcript)
78
Training

• Integrated Fish Farming
• Shrimp health management
• Grouper hatchery
• Study program in southern China
• Private partnership
• Farmer-farmer exchange
• Industry, NGOs

79
enaca

• eNACA community
• Expanding the participation of people
• Easier access
• Faster, less costly information dissemination

80
Work Programme

• Technical cooperation
• Participatory
• Wide ownership
• Building on existing capacities
• Adding value to each others efforts
• Assurance of uptake

81

• Autonomous IGO
• 17 member governments
• 2 associate members
• Secretariat of the Pacific Community
• APAARI
• Wide range of partnerships

82
(No Transcript)