Technical efficiency analysis for the Iranian fishery in the Persian Gulf

There are many fish landing areas in southern Iran, distributed all along the coastline, and despite gradually increasing effort, the total catch has fluctuated in recent years. This study examines the technical efficiency of the fishing industry, and identifies factors that could be causing inefficiency. A stochastic production function among fishery vessels is estimated. Technical efficiency measures the ability of firms to maximize output using a given set of inputs and technologies. The results indicate that technical efficiency in the fishery is relatively low, and that wooden vessels of medium size are more efficient than small fibreglass vessels. Both skippers' socio-economic drivers and vessel instrumentation have a significant impact on efficiency. Ownership of two-way radio and ownership of GPS are important considerations that influence fishing efficiency, and the skipper's level of education and experience are qualities that also affect it. Owner-operated vessels and younger skippers are more efficient than others. Understanding these constraints may contribute to increasing the efficiency of the Iranian fishery in the Persian Gulf.