Economics of Aquaculture United States :: essays papers

Economics of Aquaculture United States Aquaculture is the fastest growing "agricultural" industry in the United States. In 1990, there were over 100 species cultured; eight species accounted for approximately 70% of total culture, with over 3400 aquaculture operations in the United States. This trend is driven by increased demand for fisheries product and reduced yield from traditional fisheries landings (National Research Council, 1982). Given the increased demand, there is a significant potential for job creation in an expanded aquacultural industry. The estimated U.S. Total Aquaculture Production (including freshwater) has more than doubled from 139,887 metric tons with a total value of over $260 million in 1983 to an estimated 313,518 metric tons with a total value of over $724 million in 1992. (NMFS Statistics Division) The aquaculture industry supports an infrastructure of hatcheries, feed mills, processing plants, equipment manufacturers, and suppliers of specialty services and products, as well as enhancing the natural fishery with juvenile finfish and shellfish seed and spat. U.S. annual per capita consumption of fish and shellfish has increased since estimates were first made in 1909. At that time the per capita estimate was 11 lbs., in the 1950 and 60's it was well below 5 lbs., and in 1993 it was 15 lbs. (U.S. Department of Commerce, 1993). Most remarkable was the sharp rise in consumption from 1970 (about 4 lbs.) to 1990 (about 5 lbs.) The domestic seafood industry has identified a goal of increasing domestic seafood consumption to 20 lbs/per capita by the year 2000 although this appears unlikely. It is estimated that 10% - 14% of the fishery products currently consumed in the United States are aquaculturally derived. Changing consumer preferences combined with the reduction in the wild fishery appear to be the dominant factor in the growth of aquaculture. (FDA, 1990) Most of the United States' demand for seafood is met by imports. The value of imported fisheries products more than doubled during the 1980's, to $9.6 billion in 1989. This resulted in a significant trade deficit - $4.9 billion for all fisheries products and $3.1 billion for edible fish and shellfish in 1989. Imported fisheries products contribute more to the United States' trade imbalance than any other food or agricultural commodity. After petroleum products, imported seafood contributes more to the United States trade deficit than any other natural resources product.