Halibut Aquaculture Development Constraints

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Halibut Aquaculture DevelopmentConstraints

• David Raymond
• President, Maritime Mariculture Inc
• Febuary 11, 2004

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Introduction

• Maritime Mariculture Inc.
• in operation for the past 8 years with goal to
  develop halibut aquaculture into a profitable,
  commercial business.

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Presentation Focus
Halibut
Constraints
Commercialization
Development
Research

• 1. Broodstock
• 2. Hatchery/Nursery
• 3. Grow Out

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Background Facts

• Halibut
• High Market Value
• High Market Demand
• A proven success internationally.

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1. BroodstockCurrent Requirements

• Research
• - Genetics
• (Quantitative Trait)
• - All-Female Production
• - Diet/Nutrition

• Development
• - Adequate gov. Facilities
• - Back Up Inventories
• - Land-based ind.facilities
• - Industry cage sites

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1. Broodstock (continued) Requirements
currently not being met

• Research
• ?Quantitative Trait
• ?All Female Production
• ? Diet/Nutrition

• Development
• ?Gov. Facilities
• ? Back Up Inventories
• ? Land based ind. facilities
• ? Industry cage site

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1. Broodstock (continued)

• Conclusion 1
• (a) There is a lack of research funding to
  government and industry for focus on broodstock
  diet/nutrition.
• (b) There is a lack of development funding to for
  broodstock facility construction / enhancement.

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2.Hatchery/Nursery Current Requirements

• Research
• - start feeding and weaning

• Development
• - Hatcheries to support long-term industry
  demand for farmed product (30k Metric tons)
• - Nurseries to support juvenile enhancement
  (from 5g - 400g)

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2.Hatchery/Nursery Current Requirements not
being met

• Research
• ? start feeding
• and weaning

• Development
• ?Number of hatcheries insufficient to support
  long-term industry demand for farmed product
  (30kMT)
• ? Number of nurseries is insufficient to support
  juvenile enhancement (from 5g - 400g)

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2.Hatchery/Nursery (continued)

• Conclusion 2
• The potential demand cannot be met by 1 hatchery
• There are no established nurseries
• There is no RD focused on improving Start
  feeding and weaning techniques.

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3. Grow-outCurrent Requirements

• Research
• - Cage
• technology

• Development
• - Marine cages
• - Land-based grow-out
• - Site Development Policy
• - Ability to finance operation costs for initial
  grow-out (in first years)

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3. Grow-out (continued)Current Requirements
not being met

• Research
• ?Cage
• technology

• Development
• ? Marine Cages
• ? Land-based grow-out
• ? Site Development Policy
• ? Ability to finance operation costs for initial
  grow-out (in first years)

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3. Grow-out (continued)

• Conclusion 3
• Further research and development funding is
  required for cage development.
• Development money is required for land based grow
  out.
• (b) Site development policies must allow for the
  needs of halibut aquaculture. The Salmon model
  will not fit the Halibut model.
• (c) Lack of up-front financing for initial grow
  out operators is also preventing progress from
  development into full fledged commercialization.

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Other Important Conclusions

• (i) Farming halibut is a viable pursuit.
• (high price, large demand)
• (ii) Constraints that hamper halibut aquaculture
  development exist and must be addressed.
• (iii) Funding for
• (i) Research and (ii) Development
• are equally essential to address constraints and
  move towards commercialization.

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Important Conclusions (continued)

• (iv) Major effort and investment to date has
  resulted in significant advancements in
  halibut aquaculture development.
• (v) Private investment in Halibut aquaculture
  development has been significant. Sources
  tapped out due to prolonged development phase.

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Important Conclusions (continued)

• (vi) Funding for early-stage operators is
  necessary to launch the industry into a
  self-sustaining, profitable state.
• (vii) Government site allocation policies
  should not hinder progress.

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Main Recommendation

• Assistance is essential for completing the
  development phase and launching out into
  commercial production.
• This assistance should be in the form of
• 1) An Alternate Species Development Fund
• 2) A Direct Operating Loan Program for producers
• 3) Continued support of traditional government
  programs

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Alternate Species Aquaculture is in a Tickle in
the fog and needs quick action from all to help
it home
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• Thank You