The production economics of an integrated prawn hatchery-floating nursery project

Abstract

The paper aims to present an economic evaluation of an integrated prawn (Penaeus monodon) hatchery-floating nursery project using standard economic tools and methods of analysis. The data used in the analysis were taken from SEAFDEC AQD experience at the Batan, Aklan Research Substation hatchery-floating nursery project. The technical bases were gathered from researchers after the peculiarities of aquaculture vis-a-vis other business ventures in agriculture and industry were taken into consideration.

The study shows that an integrated hatchery-floating nursery project is a profitable culture system. The rate of return on investment for this integrated project ranges from 29 to 47% while payback period ranges from 1.8 to 2.6 years. A separate economic analysis of a hatchery project and a floating nursery was also undertaken to determine the profitability of independently operating each subsystem. The analysis shows better results for the floating nursery subsystem as compared to the hatchery subsystem. Return on investment and payback period for the floating nursery range from 23 to 78% and 1 to 3 years, respectively, while those for the hatchery range from 20 to 36% and 2.3 to 3.7 years, respectively.