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Break-even Analysis and Profitability of Aquaculture Practices in India

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Relation http://eprints.cmfri.org.in/585/
 
Title Break-even Analysis and Profitability of
Aquaculture Practices in India
 
Creator Sathiadhas, R
Najmudeen, T M
Prathap, K Sangeetha
 
Subject Socio Economics and Extension
Aquaculture
 
Description Economics of different aquaculture practices in India were worked out on annual basis
and the break-even analysis has been done to compute the price required at a given level of
production to cover all costs. While the shrimp-oriented aquaculture industry in India recorded
exceptional growth for the last three decades in spite of its high exposure to risk and uncertainties,
the farming/culture of various other species has not picked up to the expected level enabling the
optimum use of potential areas suitable for aquaculture. The break-even price for the tiger shrimp
through semi-intensive culture system is worked out at Rs.161/kg and Rs. 126/kg by improved
extensive method, while it fetches market sales price of Rs. 350 to 400/kg. White shrimp culture
is less risky and the break-even price worked out to Rs.166 /kg in semi-intensive and Rs. 88/kg
in improved extensive culture while it obtains market sales price of Rs. 300-350/kg. Break-even
price of other farming systems like crab culture worked out to Rs. 107/kg and crab fattening to
Rs. 173/kg while the market sales price of crab is Rs. 250/kg. In mussel culture, break-even
price worked out to Rs. 3.35/kg (market sales price Rs.8/kg) while that of seaweeds
(Gracilaria edulis) worked out to Rs. 7328/tonne in dried form (market sales price of dried
seaweed is Rs.6000/tonne). The net profit varies for different systems of aquaculture from
Rs.49,060/ha for traditional paddy cum prawn filtration system, Rs. 11.15 lakh/ha for crab culture
and Rs.14.99 lakh/ha for crab fattening, Rs. 23.94 lakh/ha for pearl culture, Rs.9.48 lakh/ha/
year to Rs.6.03 lakh/ha/year for longline mussel culture in Karnataka and Kerala, Rs 1.85 lakh/
ha for rack and ren culture of edible oysters in Kerala and Rs.0.58/ha for the rope culture of
Gracilaria edulis. The paper concludes that there is ample scope and feasibility for developing
an integrated approach in the aquaculture practices in India. Other development strategies
suggested for promoting aquaculture include introduction of legal framework for regulating all
the types of aquaculture, delineating effective marketing strategies and development of parallel
marketing avenues especially in the domestic market.
 
Publisher AFS Society
 
Date 2009
 
Type Article
PeerReviewed
 
Format application/pdf
 
Language en
 
Identifier http://eprints.cmfri.org.in/585/1/AFS_Dr.Sathiadhas_paper2.pdf
Sathiadhas, R and Najmudeen, T M and Prathap, K Sangeetha (2009) Break-even Analysis and Profitability of Aquaculture Practices in India. Asian Fisheries Science, 22 (2). pp. 667-680.