Professional Documents
Culture Documents
doi:10.1111/j.1365-2109.2010.02581.x
School of Agricultural and Resource Economics, University of Western Australia, Crawley,WA, Australia
National Center for Mariculture Research and Development, Research Institute for Aquaculture No. 3, Khanh Hoa,Vietnam
Correspondence: E H Petersen, Advanced Choice Economics, 30 Dean Road, Bateman WA 6150, Australia. E-mail: liz.petersen@
tpg.com.au
Abstract
This paper presents bioeconomic data on lobster farming inVietnam, and perceived constraints to the development of the industry. The farms were found to be
protable, with an average benet cost ratio of 1.44
and an average net revenue of 262 million VND year 1 (or just under US$15000 year 1). Investment in the enterprise is high compared with
other enterprises in the region. However, disease has
the potential to devastate lobster crops and there is little information available to lobster farmers about disease prevention and management. Hence, the lobster
enterprise is a high-risk high-return industry. The predominant perceived constraints to the development of
lobster operations include water quality and temperature issues, insucient access to credit, good-quality
aordable feed and accurate information about technology improvements in lobster farming. It seems that
improving the livelihood of lobster farmers inVietnam
is dependent on reducing their dependence on wild
stocks for seed and feed, improving access to credit
and improving technical and market information
ows. Such improvements are likely to lead to higher
protability, given high export demand and hence sustained high prices for their lobster product.
e634
by-products). Grow-out culture of the lobster generally occurs in central Vietnam ^ from the Quang Binh
province to the Binh Thuan province ^ with most of
the production in Khanh Hoa and Phu Yen (Bell,
Rothlisberg, Munro, Loneragan, Nahs, Ward & Andrew 2005).
This paper is part of a larger project funded by the
Australian Centre for International Agricultural Research (ACIAR) aimed at identifying policy, institutional and economic constraints to the adoption of
manufactured feed diets for lobster, mud crabs and tilapia in Vietnam. One strategy in pursuit of this goal
is the development of a bioeconomic model of lobster
aquaculture to identify the signicant input factors
contributing to economic performance and the eect
of various feeding strategies on protability. To populate the bioeconomic model, a household survey of 40
lobster farmers in central Vietnam was conducted in
the rst half of 2009. The purpose of this paper is to
present the lobster household data, conduct a simple
bioeconomic analysis of the data and present farmer
perceptions of constraints to the development of their
operation.
The paper proceeds as follows: the methodology
for conducting the survey and analysing the survey
data is presented in Methodology. The data from the
household surveys, simple bioeconomic analysis and
farmer perceptions of constraints to development are
presented inResults. The paper concludes with a discussion on the implications of the survey results and
analysis for sheries policy, management and research prioritization (Discussion and conclusion).
Results
This section is divided into eight sub-sections: general household information (General household information), stocking and production information
(Stocking and production information), cage and
other equipment information (Cage and other equipment information), feed information (Feed information), credit requirements and information (Credit
requirements and information), other inputs to production (Other inputs to production), bioeconomic
analysis (Bioeconomic analysis) and farmer views
on constraints to the development of their lobster operations (Farmer views on constraints to development of their lobster operations). Generally, average
data are presented, with the minimum and maximum levels recorded in parentheses.
Methodology
The household surveys were administered to generate information for bioeconomic analysis of lobster
farming in Vietnam and to elicit farmer perceptions
on the constraints to the development of their operations. As most lobster farming is conducted in central
Vietnam, the surveys were administered in Khanh
Hoa and Phu Yen, two adjoining provinces in central
Vietnam. The questionnaire was pilot-tested and administered by sta at the Research Institute for Aquaculture Number 3 (RIA3). Analysis of the data was
conducted by the authors. Readers are encouraged
to contact the authors for a copy of the questionnaire
if they are interested in understanding further the
data collection procedure.
3
28
48
18
3
5.3 (3.08.0)
2.8 (1.07.0)
e635
100
4.0 (2.07.0)
66 972 (50 000120 000)
1.2 (1.01.5)
29.5 (10.080.0)
193 (100300)
85 (13167)
18.1 (16.021.0)
25.0 (20.030.0)
0.95 (0.701.10)
100
0.8 (0.51.1)
1.0 (0.71.2)
56.8 (1080)
798 (6001300)
509 (400800)
97
156 (50390)
839 (6001200)
Phase 1
Phase 2
Phase 3
100
225
4.8
128
28.0
90
659
6.3
93.9
4.40
38
950
25.0
9.2
86.7
1.80
(30.01000)
(1.012.0)
(60.0200)
(2.00167)
(1001200)
(1.013.0)
(50.0200)
(0.60025.0)
(7001100)
(20.030.0)
(6.013.0)
(60.0100)
(0.8005.6)
e636
Nursery phase
Grow-out phase 1
Grow-out phase 2
Grow-out phase 3
13
(340)
1.5
(1.02.0)
1.5
(0.73.0)
2.7
(1.212.0)
1.07
(0.701.50)
3.2
(2.015.0)
15.8
(470)
2.5
(1.04.0)
1.9
(0.86.0)
16.4
(1.296.0)
2.12
(0.804.00)
6.7
(2.015.0)
15.8
(350)
3.5
(2.03.0)
3.0
(1.26.0)
39.8
(7.296.0)
2.68
(1.203.50)
6.9
(3.015.0)
15.4
(140)
3.7
(3.04.0)
4.6
(1.47.0)
64.6
(12.696.0)
3.17
(2.53.50)
6.8
(4.015.0)
Feed information
Information on feeding lobsters diers depending on
the size of the lobsters as shown in Table 6. The average cost of feed depends on the type of feeds used,
which varies signicantly across lobster producers.
The cost of feed decreases as the lobsters grow older,
with feed for small lobsters (o50 g) averaging
12950 VND kg 1 and feed for the largest lobsters
(4800 g) averaging 10784 VND kg 1. The average
feed mix provided to the lobsters also diers depending on lobster size. The predominant feed ingredient
for the smallest lobsters is small shrimp (on average
57% of the diet), whereas the predominant ingredient
for the largest lobsters is nsh (on average 44% of
o 50 g
50^200 g
200^800 g
4800 g
12 950
(500020 000)
11 875
(500017 000)
11 833
(500037 000)
10 784
(500017 000)
10
0
4
57
30
33
0
10
39
18
38
0
22
29
11
44
0
24
23
8
e637
4.7 (1.05.0)
the diet). Pellets were not used by any of the lobsterfarming households surveyed. Commercial lobster
pellets are not currently available, but are expected
to be available to Vietnamese farmers within the next
3 years (C. Jones, Queensland Primary Industries and
Fiseries, pers. comm.).
The larger project, of which this paper is a part, has
an aim of assessing the potential constraints to the
adoption of manufactured pelleted diets by lobster
growers. Hence, the questionnaire included questions on the perceived adaptability, cost and growth
rates associated with manufactured feeds, as reported in Table 7. Please note that reported perceptions are based on the potential use of pellets
designed for other seafood species (such as shrimp
or catsh) or future lobster pelleted diets, and not
from actual experience. Farmers were asked to rate
the adaptability of lobsters to manufactured feeds
(such as pelleted diets) on a scale of 1^5, where 1 is
easily adaptable and 5 is not adaptable. The average
score was 4.7, indicating that farmers perceive that
lobsters do not readily adapt to manufactured feeds.
Eighty per cent of the households perceive manufactured diets to be more expensive than current diets,
and approximately 13% of the households perceived
that manufactured feeds lead to faster growth rates.
Bioeconomic analysis
The results of the bioeconomic analysis presented in
Petersen and Phuong (in press) using data presented
in this paper are provided in Tables 8 and 9. Readers
are referred to Petersen and Phuong (in press) for the
bioeconomic methodology and more detailed analysis.
All costs of the lobster grow-out enterprise are
summarized in Table 8. The total costs equate to
897 millionVND crop 1 (50397 USD crop 1) or approximately 600 000 VND kg 1 of production. Costs
are dominated by feed (61%) and seed (22%) costs.
Economic statistics are presented in Table 9. Annual statistics include a total revenue of 860 million
(VND year 1). The total costs equate to 598 million
VND year 1. Subtracting the total costs from the total revenue provides a net revenue of 262 million VND year 1. Dividing the total costs by the total
Table 8 Cost structure
e638
Cost item
Seed
Feed
Labour
Cages
Other capital items
Interest
Contingency
Total costs
Total costs kg 1
production
Cost
(millionVND
crop 1)
Cost
(USD crop 1)
199.9
547.5
81.0
0.5
11.4
15.0
42.0
897.3
0.6
11 227
30 749
4549
30
641
842
2359
50 397
31
% of
total
costs
22
61
9
0
1
2
5
100
Million
Million
USD
VND crop 1 VND year 1 year 1
Total revenue
Total costs
Net revenue
Benefitcost ratio
Net present value (20 years)
1291
897
393
1.44:1
3384
860
598
262
48 323
33 598
14 726
190 058
revenue yields a benet cost ratio (BCR) of 1.44, indicating that for every dong spent, the farmer receives
1.44 dong in return. In other words, the prot margin
is 44% of the total costs. Using a discounted cash ow
analysis, the net present value over a 20-year time
horizon (assuming a discount rate of 5%) is 3384 millionVND or 190 058 USD.
80
Water temperature is high in
June August
Terrestrial run-o during
November to December causes
water turbidity and cages have
to be removed to other places
every wet season
28
Hard to access credit, credit is
obtained through the
middleperson and so interest
rates are high
18
High price, hard to buy, not
much feed available during the
wet season
13
Too high
13
Documentation is not available,
it is hard to access information
on different techniques
3
Could not pay back in time
3
3
Seed is not always available
early in the season
0
0
0
0
0
0
10
Disease outbreaks
100
Households with other
Provide support for accessing
suggestions or
credit, provide training on lobster
recommendations to fisheries
diseases and their treatments,
authorities or management
institutions to help improve your help reduce interest rates when
farmers lose their crops,
grow-out operations
improve access to training in
lobster culture techniques, ban
trawl net fishing activity
e639
e640
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