Economic characteristics and management challenges of the Hawaii pelagic longline fisheries: Will a catch share program help?

To date, none of the fisheries in the U.S. Pacific Islands Region is managed under a catch share program. In light of the NOAA policy to encourage the use of catch shares as a fishery management tool, the Western Pacific Fishery Management Council (WPFMC) listed six commercial fisheries, including the Hawaii pelagic longline fishery, the largest in the region, as potential candidates for catch share programs. This study examines the baseline economic characteristics and the main challenges facing the Hawaii pelagic longline fishery and evaluates the impact of these on the desirability and feasibility of a catch share program for this particular fishery.     

Direct marketing strategies: The rise of community supported fishery programs

Community Supported Fishery (CSF) Programs are arrangements between fishermen and consumers where consumers provide upfront payments to fishermen in exchange for scheduled seafood deliveries. They are modeled after the popular Community Supported Agriculture Programs, a form of direct-to-consumer-marketing in which a group of individuals support a farm. There are multiple market and non-market benefits from these programs. Fishermen receive higher prices for fish, are guaranteed a stable income, and can activate political and regulatory support through direct interaction with consumers. Consumers are provided with access to high-quality novel types of fish and benefit from interactions with the producers of their food. CSFs have frequently collaborated with non-governmental organizations to address the challenges associated with these programs. Under the catch share system in the Northeast US groundfish fishery, sectors may be well-positioned to implement a CSF. Direct marketing through a CSF is not likely to completely replace traditional markets for fishermen, but can be a valuable supplement to their operations.     

Quota concentration in the New Zealand fishery: Annual catch entitlement and the small fisher

New Zealand's quota management system (QMS) was introduced in 1986 to enhance the sustainability of New Zealand's fishery. This paper examines trends in quota and catch share concentration across a range of important fish stocks. It demonstrates that continuing concentration is occurring in the ownership of quota for deepwater species. At the same time there has been an increase in participation by small scale fishers in the inshore fishery. This appears to be driven by the introduction of the Annual Catch Entitlement (ACE) regime, allowing annual catch shares to be accessed at reduced transaction cost.     

Fishermen responses on marine protected areas in the Baltic cod fishery

Much of the research that concerns the impacts of management measures in the eastern Baltic cod fishery has focused on fish stock rather than understanding fishermen's attitudes towards regulations. Hence, there is little information available on fishermen's responses although they are the ones whom the regulations affect most profoundly. This study analyses the views of fishermen towards management measures with an emphasis on fishing closures (marine protected areas, MPAs). Swedish log-book data from 1996 to 2005 were used to describe MPA induced fishing effort displacements. Fishermen argued that MPAs have been inefficient in conservation of cod stock. The enlargement of Bornholm MPA in 2005 caused substantial effort displacement towards areas dominated by smaller sized fish. This contributed to the increased discarding of juvenile cod. Enlarged MPAs also intensified competition between different fleet segments and reallocated fishing areas. To reduce fishing mortality, fishermen suggested days-at-sea (effort) regulation and an effective landings control system for all fleets that exploit cod stocks in the Baltic Sea Main Basin. These measures would better motivate fishermen for mutual rule compliance, which is a prerequisite for a sustainable cod fishery.     

Sharing the catch or catching the shares: Catch shares for the western Pacific region?

The applicability of catch shares programs is evaluated for the various fisheries of the Western Pacific Fishery Management Council region in each of the archipelagoes. Implementation of Catch Shares programs in the region is problematic, but would require better data to be done fairly and equitably. Catch shares are currently under initial consideration for the Hawaii and American Samoa longline fisheries and the Hawaii Deep 7 bottomfish fishery. It is argued that current conditions in all the other small boat fisheries in the region make them inappropriate for catch shares management. Overfishing and the “race for fish” are not yet an issue for these fisheries and some are underdeveloped. Catch share programs can cause significant negative social consequences for Western Pacific communities because data on fishermen's participation, catch histories, and motivations to fish for cultural needs is not adequate for any initial allocation scheme to be developed equitably. The prevailing Western Pacific cultural value of sharing the fish by gifting portions, sharing the catch widely and sharing fishing opportunities widely is in clear conflict with the individualized commercial profit motive philosophy of fisheries that are appropriate for catch shares. The small boat fisheries lack adequate monitoring and enforcement, and do not have a total allowable catch or quota. Nor do they usually have a demonstrated need for one. Preliminary community outreach by Council staff and community discussion of catch shares shows a general lack of information yet a potential for strong resistance to the imposition of catch shares.     

Decomposing productivity and efficiency changes in the Alaska head and gut factory trawl fleet

Fishing fleets are subject to numerous factors that affect economic performance, making identification and attribution of such impacts difficult. This paper separately identifies the effects of changing input and output prices, fishery management, and quota allocations on total factor productivity using a Lowe Index. Indices account for technical change and decompose productivity estimates into its technical, environmental, and scale-mix components. This results in measures that reflect shifts in the production frontier, and movements by vessels toward and around the frontier, to capture economies of scale and mix after a policy shift to a catch share program that includes fishing cooperatives and a limited access fishery. The difference between cooperative and limited access vessels is exploited to compare the changes in economic performance between the groups after the introduction of the shift to catch shares and cooperative management, which allowed the vessels to improve the timing and coordination across multi-species fisheries and to decrease incidental catch of quota-limited bycatch species that had closed the target fisheries prematurely in the past. Results indicate that total factor productivity increased significantly after the move to a catch share program, largely due to increases in technical change that shifted out the production frontier of the fishery.     

Measuring fishery profitability: An index number approach

Tracking the financial well-being of vessels that depend on a marine fishery resource is an important function of regulators. This research demonstrates how simple indices can be constructed and utilized to track the economic well-being of vessels operating in the Northeast (USA) Multispecies (Groundfish) Fishery. The indices, which use both public and private data, can separately track trends in inputs, outputs, and prices. For the Northeast Multispecies Fishery, the indices reveal that the economic well-being of the groundfish fleet has improved under catch share management through gains in productivity.     

Vertical integration in the post-IFQ halibut fishery

In some fisheries, claims have been made that quota programs have led to increased vertical integration, with processors controlling quota and fishermen. In the US halibut fishery a quota program was designed specifically to maintain the small-scale vessel nature of the fishery. This paper reports on what changes have been seen in the vertical structure of the halibut fishery and offers some explanation for these changes. Results indicate that the specific rights granted can have significantly different effects on the vertical structure of the industry. In the case of the halibut fishery vertical integration was avoided and market transactions actually increased.     

US catch share markets: a review of data availability and impediments to transparent markets

A growing number of US fisheries are managed with catch share programs, which allocate exclusive shares of the total allowable catch from a fish stock to individuals, cooperatives, communities, or other entities. All of these catch share programs allow transferability of catch privileges in some form. Information on these transfers, particularly prices, could be valuable to fishery managers and to fishery participants to support management and business decisions and to increase efficiency of the catch share market itself. This article documents the availability and quality of data on transfers of catch privileges in fourteen US catch share programs. These catch share programs include several individual fishing quota (IFQ) programs and a number of programs that allocate catch privileges to self-organized cooperatives. Price information on catch share transfers is found to be limited or unavailable in most US catch share programs. Recommendations are made on how to improve the design of catch share programs and associated data collection systems to facilitate effective catch share markets, collection of catch share market data, and better use of information from catch share markets.     

Community based fishery management within the Menai Bay conservation area: A survey of the resource user

Management strategies are challenging to implement in Zanzibar's fisheries because the local people depend upon these resources for basic subsistence. This difficulty epitomizes the vital need for sustainable management: the more people need a fishery, the harder it is to limit fishing to allow regeneration. Comparing fisheries management strategies in two coastal villages in Unguja, the largest island of Zanzibar, Tanzania, this paper confirms the results of existing scholarship that communitybased strategies provide the most promising solutions to this challenge. Interviews with officials from the Department of Fisheries and Marine Resources, Village Fishermen Committees, and 51 fishermen in the villages of Kizimkazi Dimbani and Jambiani reveal the efficacy of strategies where local fishermen are centrally involved. The fishermen interviews reveal ignorance of existing fishing regulations and a lack of enforcement while fishermen at both sites noted that many illegal methods of fishing are still in use and expressed concern that such methods damage fish stocks. The Village Fishermen Committees, a recently implemented community-based initiative, are well attended by fishermen, and constitute a management strength that this paper concludes should be the foundation of future policy. To be successful, these committees need additional educational and financial resources.     

Measures of fishing fleet diversity in the New England groundfish fishery

After 16 years under a limited access program with effort controls, the New England groundfish fishery transitioned to a catch share management system in 2010. For much of its earlier management history, issues related to fishing capacity were paramount as effort controls were increasingly restrictive to meet biological objectives. As the size of the active fleet declined from over 1000 vessels from 1994 to 2001 to less than 400 vessels in 2012, the management concern shifted to fleet diversity. Fleet diversity has been cast in terms of vessels based on characteristics such as size, gear, and region rather than their share in landings or economic value. Measuring fleet diversity with indices commonly used in the biodiversity literature such as richness, effective diversity based on the Shannon index, and evenness appears appropriate for this context. In this paper these indices were applied to measure changes in diversity of the active New England groundfish fleet from 1996 to 2012. Fleet diversity as measured by the Shannon Index has declined by approximately 35% from 1996 to 2012, but has remained relatively stable since 2007. Forty vessel types were present in all 17 years, which accounted for about 85% of active groundfish vessels and over 90% of total groundfish landings in all years. Even though the fleet size and overall diversity have declined the “core” groundfish fleet remains stable.     

Considering community allocations: Power and the politics of enclosure in the Gulf of Alaska

In 2012, the North Pacific Fishery Management Council initiated the process of designing a new management structure for the Gulf of Alaska trawl groundfish fleet. The new program is currently structured as a catch share program and driven by the need to end the ‘race for fish’ and provide the trawl fleet with the tools to reduce bycatch. To date much of the discussion among policy makers and stakeholders has centered on community protection measures and how best to avoid the negative social and economic impacts of catch share programs including impacts to crew, consolidation and the flight of quota and resource wealth from Gulf of Alaska fishery dependent communities. This paper examines how community protection measures related to the distribution of benefits and access to fishery resources are considered and challenged in the North Pacific today. Special attention is given to the ongoing debate surrounding the potential inclusion of an initial allocation to place-based Gulf of Alaska communities via a Community Fishing Association. As part of this effort, this paper examines the political space and underlying power dynamics in which consideration of alternatives to the commodification of fishing rights occurs.     

A knowledge base for management of the capital-intensive fishery for small pelagic fish off South Africa

As a contribution to South Africa's move towards an ecosystem approach to fisheries management, this study explores the existence of common perceptions about South Africa's pelagic fishery between resource users and scientists. It represents a collaborative research effort of social and natural scientists. A brief overview is given of the southern Benguela upwelling ecosystem and small pelagic fish resources, the fishery, and management of the fishery. Stakeholder knowledge and views were determined by conducting open-ended qualitative local knowledge interviews. Candidate indicators to address five major issues raised in the interviews were selected: length-at-50% maturity, total mortality, exploitation rate, proportion of bycatch, mean length of catch, and centre of gravity of catches. The indicator approach is shown to be a useful tool to manage the South African small pelagic fishery, and can be made compatible with existing management approaches. The foundation of a good adaptive fisheries management system is a data collection system that enables multi-disciplinary analysis and provides a basis on which decisions can be made.     

Statistical fraud detection in a commercial lobster fishery

In this study we introduce the first step towards a statistical model for the reliability of fisheries data. We applied Benford's Law to catch data from the Atlantic Canadian lobster (Homarus americanus) fishery's lobster fishery areas (LFAs) 33 and 34 and compared our results to those using observations from the “grey zone” (a highly regulated lobster fishery shared by Canada and United States) and a fishery with a different regulatory regime (snow crab, Chionoecetes opilio). Non‐conformity with Benford's Law is often considered as an indicator of human manipulation of accounting data. We found that observations from the grey zone conformed to the distribution predicted by Benford's Law, whereas observations from snow crab and both lobster fishery areas did not conform.     

How have catch shares been allocated?

A unique database was created that describes the methods used to allocate shares in nearly every major catch share fishery in the world. Approximately 54% of the major catch share fisheries in the world allocated the Total Allowable Catch (TAC) solely on the basis of historical catch records, 3% used auctions, and 6% used equal sharing rules. The remaining 37% used a combination of methods, including vessel-based rules. These results confirm the widely-held belief that nearly all catch share programs have “grandfathered” private access to fishery resources: 91% of the fisheries in the database allocated some fraction of the TAC on the basis of historical catch. This publicly available database should be a useful reference tool for policymakers, academics, and others interested in catch shares management in Hawai'i and across the globe.     

Self-governance within a QMS framework—The evolution of self-governance in the New Zealand Bluff oyster fishery

This paper examines efforts to develop stakeholder led self-governance in the Bluff oyster fishery. The paper focuses on collaborative management and its ability to address some of the unintended consequences of management. The Bluff oyster fishery's administrative, biological, and economic performances are analysed to assess whether or not the participatory management model, in this case fisheries self-governance, complements individual transferable quota (ITQ) for this inshore shellfish fishery.The paper argues that the Bluff oyster fishery's current self-governance model, based on a fishery plan, aids in improving the performance of the fishery, and that the Bluff oyster fishery has the capacity to shift further towards a stakeholder led self-regulated fishery.     

The migrant anchovy fishery in Kabui Bay,Raja Ampat,Indonesia: Catch,profitability, and income distribution

We estimate the unregulated catch and fisher income of the Kabui Bay migrant anchovy fishery operating in the Raja Ampat regency, Papua, Indonesia. Interviews with migrant fishers were conducted in April and November 2006, and estimates were generated through Monte Carlo simulations. Anchovy fisher income averaged US $1835 per year, about twice the average fisher income in the area. The income levels estimated by this study suggests that there is potential for the Raja Ampat Fisheries Bureau to capture some economic rent from the fishery to help fund a fisheries management program, from which Raja Ampat could benefit.     

Distributional effects of property rights: Transitions in the Atlantic Herring fishery

A principal challenge in developing any fishery management plan is the allocation of benefits and costs among participants in the fishery. This process is further complicated by imperfect information about future market demand and limited ability to predict the consequences of regulatory change. This paper offers a new approach to policymakers, using econometric analysis to simulate the potential impact of individual tradable quotas (ITQs) in a fishery. We compare the distribution of harvest across participants in the Atlantic Herring fishery under the current open access regime and under a potential ITQ regime, assuming two different levels of future demand. Our results show that production efficiency varies by vessel gear, home-port and relationship with buyers. Some of the predicted consequences of ITQs are: vessels from Massachusetts will gain share relative to those from Maine; trawlers will gain share relative to purse seine vessels; and independent vessels will lose share relative to vessels that are primarily contracted to specific processors or bait companies. These results will help policymakers in developing future management plans for the herring fishery. More generally, this analytical approach can help regulators in any fishery assess the potential impact of alternative policy changes under alternative future demand scenarios.     

The orange roughy fishery of Namibia: lessons to be learned about managing a developing fishery

Exploration for orange roughy Hoplostethus atlanticus in Namibia started in 1994 and within 12 months several aggregations had been discovered, suggesting the existence of a biomass sufficient to support a viable fishery. At that early stage it was realized that few, if any, recognized management procedures existed for newly developing fisheries, especially with the paucity of data such as existed on Namibian orange roughy. The development of the Namibian orange roughy fishery is reviewed to document the management strategies implemented and how the management of the fishery evolved. The first six years of the fishery are described, including the three-year exploration phase, several years of profitable exploitation, and the severe decline in catch rates. Whether the decline is attributable to fishing mortality or to change in the aggregating behaviour of orange roughy, or both, is not clear. Although many aspects of the precautionary approach were followed, a risk analysis applied and a number of innovative management methods implemented (e.g. incentives to promote exploratory fishing, use of Bayesian statistical methods, implementation of a management plan for long-term total allowable catches), the aggregating biomass declined to between 10 and 50% of virgin levels within the six years. The management methods applied are evaluated in the light of the severe decline in catch rate experienced in 1998 and 1999, so that others may learn from the experience.     

The Newfoundland fishery: ten years after the moratorium

Excessive overfishing combined with negative environmental conditions led to the decimation of the northern cod stock and its closure to commercial fishing in 1992. During the ensuing dozen years, the stock has not recovered. This paper considers the current state of the Newfoundland economy and the Newfoundland fishery and asks whether the lessons of the earlier day have been learned. The answer appears to be no. The main mover of the economy is exogenous to the fishery, the unemployment rate remains high, currently more than twice the Canadian rate, and the population of the province has fallen by ten percent. With respect to the fishery, although the decimated groundfish have been replaced by shellfish and the nominal value of landings has doubled since 1992, the fishery still has excess capacity, fishermen and fish plant workers generally earn low incomes, and the fishery remains heavily subsidized.