The Annual Economic Survey of Federal Gulf Shrimp Permit Holders: Report on the Design, Implementation, and Descriptive Results for 2006

This technical memorandum documents the design, implementation, data preparation, and descriptive results for the 2006 Annual Economic Survey of Federal Gulf Shrimp Permit Holders. The data collection was designed by the NOAA Fisheries Southeast Fisheries Science Center Social Science Research Group to track the financial and economic status and performance by vessels holding a federal moratorium permit for harvesting shrimp in the Gulf of Mexico. A two page, self-administered mail survey collected total annual costs broken out into seven categories and auxiliary economic data. In May 2007, 580 vessels were randomly selected, stratified by state, from a preliminary population of 1,709 vessels with federal permits to shrimp in offshore waters of the Gulf of Mexico. The survey was implemented during the rest of 2007. After many reminder and verification phone calls, 509 surveys were deemed complete, for an ineligibility-adjusted response rate of 90.7%. The linking of each individual vessel’s cost data to its revenue data from a different data collection was imperfect, and hence the final number of observations used in the analyses is 484. Based on various measures and tests of validity throughout the technical memorandum, the quality of the data is high. The results are presented in a standardized table format, linking vessel characteristics and operations to simple balance sheet, cash flow, and income statements. In the text, results are discussed for the total fleet, the Gulf shrimp fleet, the active Gulf shrimp fleet, and the inactive Gulf shrimp fleet. Additional results for shrimp vessels grouped by state, by vessel characteristics, by landings volume, and by ownership structure are available in the appendices. The general conclusion of this report is that the financial and economic situation is bleak for the average vessels in most of the categories that were evaluated. With few exceptions, cash flow for the average vessel is positive while the net revenue from operations and the “profit” are negative. With negative net revenue from operations, the economic return for average shrimp vessels is less than zero. Only with the help of government payments does the average owner just about break even. In the short-term, this will discourage any new investments in the industry. The financial situation in 2006, especially if it endures over multiple years, also is economically unsustainable for the average established business. Vessels in the active and inactive Gulf shrimp fleet are, on average, 69 feet long, weigh 105 gross tons, are powered by 505 hp motor(s), and are 23 years old. Three-quarters of the vessels have steel hulls and 59% use a freezer for refrigeration. The average market value of these vessels was $175,149 in 2006, about a hundred-thousand dollars less than the average original purchase price. The outstanding loans averaged $91,955, leading to an average owner equity of $83,194. Based on the sample, 85% of the federally permitted Gulf shrimp fleet was actively shrimping in 2006. Of these 386 active Gulf shrimp vessels, just under half (46%) were owner-operated. On average, these vessels burned 52,931 gallons of fuel, landed 101,268 pounds of shrimp, and received $2.47 per pound of shrimp. Non-shrimp landings added less than 1% to cash flow, indicating that the federal Gulf shrimp fishery is very specialized. The average total cash outflow was $243,415 of which $108,775 was due to fuel expenses alone. The expenses for hired crew and captains were on average $54,866 which indicates the importance of the industry as a source of wage income. The resulting average net cash flow is $16,225 but has a large standard deviation. For the population of active Gulf shrimp vessels we can state with 95% certainty that the average net cash flow was between $9,500 and $23,000 in 2006. The median net cash flow was $11,843. Based on the income statement for active Gulf shrimp vessels, the average fixed costs accounted for just under a quarter of operating expenses (23.1%), labor costs for just over a quarter (25.3%), and the non-labor variable costs for just over half (51.6%). The fuel costs alone accounted for 42.9% of total operating expenses in 2006. It should be noted that the labor cost category in the income statement includes both the actual cash payments to hired labor and an estimate of the opportunity cost of owner-operators’ time spent as captain. The average labor contribution (as captain) of an owner-operator is estimated at about $19,800. The average net revenue from operations is negative $7,429, and is statistically different and less than zero in spite of a large standard deviation. The economic return to Gulf shrimping is negative 4%. Including non-operating activities, foremost an average government payment of $13,662, leads to an average loss before taxes of $907 for the vessel owners. The confidence interval of this value straddles zero, so we cannot reject, with 95% certainty, that the population average is zero. The average inactive Gulf shrimp vessel is generally of a smaller scale than the average active vessel. Inactive vessels are physically smaller, are valued much lower, and are less dependent on loans. Fixed costs account for nearly three quarters of the total operating expenses of $11,926, and only 6% of these vessels have hull insurance. With an average net cash flow of negative $7,537, the inactive Gulf shrimp fleet has a major liquidity problem. On average, net revenue from operations is negative $11,396, which amounts to a negative 15% economic return, and owners lose $9,381 on their vessels before taxes. To sustain such losses and especially to survive the negative cash flow, many of the owners must be subsidizing their shrimp vessels with the help of other income or wealth sources or are drawing down their equity. Active Gulf shrimp vessels in all states but Texas exhibited negative returns. The Alabama and Mississippi fleets have the highest assets (vessel values), on average, yet they generate zero cash flow and negative $32,224 net revenue from operations. Due to their high (loan) leverage ratio the negative 11% economic return is amplified into a negative 21% return on equity. In contrast, for Texas vessels, which actually have the highest leverage ratio among the states, a 1% economic return is amplified into a 13% return on equity. From a financial perspective, the average Florida and Louisiana vessels conform roughly to the overall average of the active Gulf shrimp fleet. It should be noted that these results are averages and hence hide the variation that clearly exists within all fleets and all categories. Although the financial situation for the average vessel is bleak, some vessels are profitable. (PDF contains 101 pages)

The lowland dry zone of Sri Lanka: site for study of aquaculture development within farmer-managed irrigation systems and methodology for participatory situation appraisal

The aims of this paper are twofold. Firstly to characterise rural poverty and to give a broad overview of the agro-ecological, climatic and socio-economic conditions in Sri Lanka which shape poverty. Secondly to present the methodology employed to screen suitable field research areas and the techniques subsequently used to carry out Rapid Rural Appraisal in two upper-watersheds villages. Also presented are details of a concurrent stakeholder analysis that aimed to investigate the capacity of secondary stakeholders to promote sustainable aquatic resource development and to invite their participation in the formulation of a participatory research agenda.[PDF contains 58 pages]

Die Situation der Makrelen- und Stöckerbestände. Der deutsche Beitrag zur internationalen Bestandsabschätzung

The question has not yet been completely solved whether or not the mackerel and horse mackerel stocks in the waters from the Bay of Biscay to the Atlantic off the Norwegian coast are independent unit stocks or must be regarded rather as one stock with distinct stock components. The stock definition, however, is the basis for fishery management and is fundamental for the exploitation of the stocks. For this reason the extensive mackerel and horse mackerel egg survey carried out in 1998, is of high importance and significance for the fishery management of the two species. The survey has begun in January in Iberian waters and will eventually end in the autumn north of Scotland. To cope with this task research vessels of eight European nations are participating.

Coastal erosion as a natural resource management problem: An economic perspective

Unremitting waves and occasional storms bring dynamic forces to bear on the coast. Sediment flux results in various patterns of erosion and accretion, with an overwhelming majority (80 to 90 percent) of coastline in the eastern U.S. exhibiting net erosion in recent decades. Climate change threatens to increase the intensity of storms and raise sea level 18 to 59 centimeters over the next century. Following a lengthy tradition of economic models for natural resource management, this paper provides a dynamic optimization model for managing coastal erosion and explores the types of data necessary to employ the model for normative policy analysis. The model conceptualizes benefits of beach and dune sediments as service flows accruing to nearby residential property owners, local businesses, recreational beach users, and perhaps others. Benefits can also include improvements in habitat for beach- and dune-dependent plant and animal species. The costs of maintaining beach sediment in the presence of coastal erosion include expenditures on dredging, pumping, and placing sand on the beach to maintain width and height. Other costs can include negative impacts on the nearshore environment. Employing these constructs, an optimal control model is specified that provides a framework for identifying the conditions under which beach replenishment enhances economic welfare and an optimal schedule for replenishment can be derived under a constant sea level and erosion rate (short term) as well as an increasing sea level and erosion rate (long term). Under some simplifying assumptions, the conceptual framework can examine the time horizon of management responses under sea level rise, identifying the timing of shift to passive management (shoreline retreat) and exploring factors that influence this potential shift. (PDF contains 4 pages)

Sustainable livelihoods approach (SLA) as an alternative to poverty alleviation in Nigerian fishing communities : a review

The hardship of poverty bestowed on people has become a problem of horrifying enormity. Which attracts global concern to a steadfast search on the best approach to address the menace and to improve the living standard of people particularly those in the rural areas. These areas equally represent where majority of the fishermen lives. They are found frequently isolated, living along margin of lakes, rivers etc often unheard and unseen in development process. The study reviews the concept of poverty, perception and situation in Nigeria, as well as the past approaches to poverty alleviation. Due to the failure of the past approaches to tackle poverty adequately, the paper outlines a new concept of poverty alleviation-sustainable livelihood. Basically the paper highlights its concept, principles, framework and its application in poverty alleviation projects and general development process with particular reference to the Nigerian rural fishing communities

Situation wirtschaftlich wichtiger Grundfischbestände vor Norwegen, Spitzbergen und in der Barents-See

Assessments on NE-arctic stocks of cod, haddock, saith, redfish and Greenland halibut were carried out by the ICES 'Arctic Fisheries Working Group' in August 1996. Whereas stocks of cod, haddock, and saithe are presently in fairly good and stable condition the assessments show the stocks of beaked redfish and Greenland hailibut to be just the opposite. The status of the golden redfish stock seems to be stable. More detailed information is given in this report.

Über die Situation des Kabeljaubestandes in der Nordsee, unter besonderer Berücksichtigung der Deutschen Bucht

Seit der letzten speziellen Situationsbeschreibung des Kabeljaubestandes in dieser Zeitschrift sind 4 Jahre vergangen (EHRICH, 1988). In der Zwischenzeit ist besonders den Fischern durch weitere Fangeinbußen bewußt geworden, daß sich der Zustand des Bestandes nicht verbessert, sondern im Gegenteil weiter verschlechtert hat. Die Schonmaßnahmen wie stufenweise Erhöhung der vorgeschriebenen Mindestmaschenweite auf 100 mmm und eine Reduzierung des Fischereiaufwandes in den Jahren 1991 und 1992 auf 70 % des Aufwandes in 1989 (Mindesthafenliegezeit: durchgehend 8 Tage pro Monat oder alternativ Erhöhung der Mindestmaschenweite auf 110 mm für die direkte Fischerei auf Kabeljau und Schellfisch) haben keine positive Wirkung gezeigt.

Westgrönland, der Kabeljaubestand und die hydrographische Situation im Herbst 1988

Über die positive Entwicklung des Kabeljaubestandes unter Westgrönland, ab Mitte der 80iger Jahre wurde bereits im Vorjahr berichtet. Die mit FFS "Walther Herwig" im Herbst 1987 erzielten Surveyergebnisse dokumentieren einen steilen Anstieg der Bestandsgröße sowohl hinsichtlich der Individuenzahl (Abundanz) als auch des Bestandsgewichts (Biomasse) um das 4-fache auf 583 Millionen Fische bzw. um das 6-fache auf 464000 Tonnen. Diese Bestandszunahme war zahlenmäßig zu 88% und gewichtsmäßig zu 85% auf die Rekrutierung der 3 jährigen Kabeljau des starken Nachwuchsjahrganges 1984 zurückzuführen.

Toxic blue-green algae: The "problem" in perspective

The incidence of blue-green algal blooms and surface scum-formation are certainly not new phenomena. Many British and European authors have been faithfully describing the unmistakable symptoms of blue-green algal scums for over 800 years. There is no disputing that blue-green algal toxins are extremely harmful. Three quite separate categories of compound have been separated: neurotoxins; hepatotoxins and lipopolysaccharides. There is a popular association between blue-green algae and eutrophication. Certainly the main nuisance species - of Microcystis, Anabaena and Aphanizomenon are rare in oligotrophic lakes and reservoirs. Several approaches have been proposed for the control of blue-green algae. Distinction is made between methods for discharging algae already present (eg algicides; straw bales; viruses; parasitic fungi and herbivorous ciliates), and methods for averting an anticipated abundance in the future (phosphorous control, artificial circulation etc).

On the problem of the distribution of Acanthocyclops viridis Jurine in the Rybinsk reservoir. [Translation from: Byulleten' Institute Biologii Vodokhranilishch 1958(1), 36-39, 1958. ]

Observations of individual weight, duration of development and production of different stages of Tropodiaptomus incognitus are presented. The study is based on data gathered from Lake Chad in 1968.

The problem of the co-existence of Arctodiaptomus bacillifer (Koelb.), Acanthodiaptomus denticornis (Wierz.) and Heterocope saliens Lill [Translation from: Memorie dell'Istituto Italiano di Idrobiologia Dott.Marco de Marchi 8 81-94, 1954]

In freshwater environments of modest size and without notable ecological structure, there is usually present only one diaptomid species. When two or more diaptomid species are present in the same habitat, generally their body dimensions are distinctly different. There are only four examples of co-existence of Arctodiaptomus bacillifer (Koelb.) and Acanthodiaptomus denticornis (Wierz.) situated at higher altitudes alpine lakes. The article discusses the results of sampling in the summer of 1953 and the problem of the co-existence of Arctodiaptomus bacillifer, Acanthodiaptomus denticornis and Heterocope saliens.

The microbiological quality of water: the nature of the problem

Improvements in methods for the detection and enumeration of microbes in water, particularly the application of techniques of molecular biology, have highlighted shortcomings in the ”standard methods” for assessing water quality. Higher expectations from the consumer and increased publicity associated with pollution incidents can lead to an uncoupling of the cycle which links methodological development with standard-setting and legislation. The new methodology has also highlighted problems within the water cycle, related to the introduction, growth and metabolism of microbes. A greater understanding of the true diversity of the microbial community and the ability to transmit genetic information within aquatic systems ensures that the subject of this symposium and volume provides an ideal forum to discuss the problems encountered by both researcher and practitioner.