Open AccessEconomic Effects of Intensification of Baitfish Production
Author(s) -
Pounds Gayle L.,
Engle Carole R.,
Dorman Larry W.
Publication year - 1992
Publication title -
journal of the world aquaculture society
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.655
H-Index - 60
eISSN - 1749-7345
pISSN - 0893-8849
DOI - 10.1111/j.1749-7345.1992.tb00752.x
Subject(s) - production (economics) , yield (engineering) , incentive , revenue , internal rate of return , fishery , payback period , economics , rate of return , agricultural economics , biology , microeconomics , finance , materials science , metallurgy
This study analyzed the economic effects of intensifying baitfish production. An economic engineering approach was utilized to develop enterprise budgets for baiffish production that were used to conduct an economic analysis. All indicators utilized, including net returns, internal rate of return, and payback period, indicated dramatic improvement in the economics of baitfish production with yield increases. There were strong economic incentives to increase yield, and minnow production at industry average yield was only marginally profitable under certain scenarios and unprofitable under others. Yields of 600 kg/ha would generate adequate revenue to compete with other aquaculture alternatives in terms of net returns as well as generate M internal rate of return that would outperform current long‐term interest rates.