Economic analysis of shrimp farming in the Coastal Districts of Maharashtra

Abstract

Among the different shrimp species cultured in India, Tiger shrimp, Peneaus monodon is the most popular and commands considerable demand all over India, including Maharashtra. In India, there exists about 1.2 million hectare of potential area suitable for shrimp farming. It has been estimated that about 1.45 lakh tonnes of shrimp were produced during the year 2006. Shrimp farming has helped to generate employment opportunities due to increase production, better transport facilities, improved processing, marketing techniques and export trade. However, the industry suffered various shocks including white spot disease, price fluctuation at international level and threat of antidumping by USA, which resulted in greater risk in production and marketing. All these issues have direct bearing on the profitability and economics of shrimp farming operations. The present study is based on economic analysis of shrimp farming in the coastal Maharashtra viz.. Thane, Raigad, Ratnagiri and Sindhudurg. The data on shrimp farming was collected from a total sample size of 110 farmers, using a pretested questionnaire. The technical efficiency was estimated using ’Cobb Douglas Production Function'. The results revealed that the water spread area, stocking density per hectare, and fertilizer used were the most important factors for determining the production of shrimp in the Slate of f^aharashtra. The cost of seed, quantity of feed, and culture period were the most pertinent factors for determining the production of shrimp in Thane District. The culture period and quantity of feed were the most important factors for determining the production of shrimp in Raigad District. Stocking density, cost of medicines and feed required were the most important factors for determining the production of shrimp in Ratnagiri and Sindhudurg Districts. The study suggests the need for the concerted efforts in developing a disease management plan and evolving a viable marketing strategy for augmenting the production and realising a higher unit value for shrimp production.