Wealth-based fisheries management and resource rent capture: An application to the Maldives marine fisheries

The economic value of marine fisheries can be measured by the resource rent that may potentially be earned, which represents a flow of real wealth for the community at large. For the island state of the Maldives we estimate that the resource rent that could be generated by the marine fisheries is in the order of $50 million per annum, constituting some 27% of the current value of landings. This rent is lost due to the de facto open-access nature of fishing. A wealth-based approach to fisheries management would seek to capture the rent, and the paper discusses the constraints and trade-offs that would be faced in applying this in the Maldivian context. We argue that such an approach is entirely consistent with the aim of the 7th National Development Plan which rightly emphasises the need to ensure the sustainability of marine resources for present and future generations.     

Beyond individual quotas: The role of trust and cooperation in promoting stewardship of five Australian abalone fisheries

Private property rights, such as individual transferable quotas, are thought to encourage fishers to act as resource stewards. To achieve this, however, fishers must be able to cooperate with each other. This paper examines the relationship between trust, cooperation and stewardship in five abalone (Haliotis) fisheries in southeastern Australia. Industry-led resource management initiatives are used as indicators of stewardship, sometimes including substantial sacrifice of catch quota. Higher levels of trust and cooperative capacity enabled greater levels of industry-based resource management in four of the five fisheries. In one case, however, high levels of trust and cooperative capacity did not translate into associated levels of resource management. It is suggested that additional factors, such as perceptions of resource condition, are key determinants of resource stewardship. Private property rights may, therefore, be less important than previously argued.     

The Icelandic debate on the case for a fishing fee: a non-technical introduction

Research by J.D. Sachs and A.M. Warner, indicates that resource-rich countries are less successful in terms of economic growth than are resource-poor countries. The question of what measures Icelanders need to take to prevent their fishery wealth from limiting economic growth is posed. The main body of the essay discusses arguments for a fishing fee. The principal arguments for a fishing fee are listed. One type of argument concerns flexibility, with a view to possibly introducing other forms of management or altering the distribution of profit in the future. Another type of argument concerns equity and fairness, contending that having a fishing fee makes it easier to ensure that the entire nation enjoys the benefit of the resource. A third type of argument is connected to risk-management, maintaining that, if properly arranged, a fishing fee would make it possible to offer vessel operators an indirect insurance policy which otherwise would not be available to them. The fourth type of argument concerns counter-cyclical policy and the problem of co-habitation of the fishery industry and other export industries and refers to the possibility of wage earners and/or taxpayers being forced (or tempted) to apply general policy instruments to secure a portion of the fishery rent. The general measures available to obtain a piece of the fishery rent share a common failing: their use unavoidably increases costs for other sectors of industry and thus limits possibilities for growth in those sectors and links their performance to fisheries performance. Then there are arguments for neutrality, based on the idea that the so-called resource rent taxes should not affect the use of the factors of production. Finally, there are economic growth arguments, which can be linked to theories of rent-seeking and Dutch disease.     

Individual transferable quotas versus auctioned seasonal quotas: An experimental investigation

Fishery policies have largely developed in response to revealed problems with existing policy instruments. The last major innovation is the introduction of individual transferable quotas, ITQs. Experience thus far is promising. However, if history repeats itself, it is pertinent to start exploring further improvements. Among other things, concerns may be raised about the efficiency of ITQs, financial risks to owners of quotas and fishing vessels, and problems with fairness and collection of resource rent. These issues are studied with a laboratory experiment. Different from previous experiments it allows for trade of both quotas and vessels. In addition, the experiment tests an alternative institutional arrangement, namely auctioned seasonal quotas, ASQs. Neither of the two systems turns out to be as perfect as economic theory predicts. While the two systems are similar in some respects, the ASQ system allows for taxation of resource rent, and surprisingly, it may be the system with the lowest financial risk for fishing firms.     

A note on the economics of Swedish Baltic Sea fisheries

The cod stocks in the Baltic Sea are important not only for fisheries but for the entire ecosystem utilized by numerous stakeholders around the coast. All such activities have economic values. In this note the economics of the Swedish Baltic Sea cod fishery is estimated in relation to the sector's interaction with other users of the Baltic Sea ecosystem. The results show a negative resource rent for the fishery, € −5 million without public expenses (subsidies and administrative costs), and € −13 million including public expenses. The interactions between the fisheries and tourism, seal population, carbon dioxide emissions, recreational fishing, and discards are discussed, and when monetary estimates are available these are related to the estimated resource rent.     

Subsidies to tuna fisheries in the Western Central Pacific Ocean

Tuna fisheries in the Western and Central Pacific Ocean are among the most valuable resources in the region. These fisheries, worth an estimated $4.1 billion each year, play a pivotal role in supporting incomes and development goals in the region. However, due to the twin, and potentially inter-related effects of harmful fishing practices such as the use of fish aggregating devices, overcapacity, and fisheries subsidies, many of these tuna fisheries are currently at risk of over-exploitation—putting the livelihoods of countless local fishers at risk. This study finds that government fisheries subsidies in the region represent 37% of the ex-vessel value of tuna fisheries in the region. Fuel subsidies are estimated at US$ 335 million and non-fuel subsidies are estimated at US$ 1.2 billion for the year 2009. Developed countries are responsible for more than half of the subsidies spent in the predominantly developing region, underlying the fact that the majority of tuna value extracted from the national waters of developing countries in the region benefit larger, developed countries. The total resource rent, or return to society, from tuna fisheries, once adjusted for subsidies is a net negative US$750 million in 2009. Fisheries subsidies are enabling foreign fleets to operate at sub-market rates, putting local fleets out of competition for their own fishery resources.     

The potential resource rent from Norwegian fisheries

National wealth can be estimated via the System of National Accounts (SNA). According to SNA-numbers, Norwegian fisheries contributed negatively to the national wealth in the period 1984–2016 with exception of the years 2010–2011 and 2015–2016. Because all parameter values entering the calculation of national wealth are conditional on the existing management regime, the potential value of the natural resources may be concealed. This paper finds that this is the case for the Norwegian fishery sector. Using a numerical optimization model, the paper estimates the contra factual resource rent to be 1.6 billion USD if the fishing quotas were harvested efficiently with the currently available technology. This is 1.2 billion USD more than the observed resource rent in 2011 and means that Norwegian fisheries contribute to national wealth four times more than indicated by 2011 SNA-numbers. Hence, national wealth calculations based on official statistics may trivialize the role of natural resources.     

Migration and coastal resource use in Papua New Guinea

Human migration is a considerable issue for many coastal societies, affecting the ways that people use and manage natural resources. This paper examines reasons for migration in 14 coastal communities in Papua New Guinea (PNG) and compares coastal resource use and socioeconomic conditions between migrants and non-migrants to test the hypothesis that migrants have different levels of coastal resource use than non-migrants. Migrants had lower participation in the fishery, ranked fishing as a less important livelihood strategy, and had lower involvement in village decision-making, but had higher levels of human development. Common property systems such as tenure rights may prevent migrants from accessing marine resources. However, migrants' marginalization in decision-making processes may become increasingly contested where resources are scarce and migrants desire an increasing say in how they are allocated. The current limited use of coastal resources by migrants may be a latent problem that needs to be considered by resource managers, particularly in areas where rapid socioeconomic change is occurring and tenure institutions are fragile.     

Fisheries property rights and recreational/commercial conflict: implications of policy developments in Australia and New Zealand

Commercial fisheries management in Australia and New Zealand is increasingly based on better definition of the rights and responsibilities of resource users. At the same time recreational fishers are claiming a greater share of resources largely based on perceptions of superior economic returns to the community from their activities. The basis of the conflict between traditional, recreational and commercial resource users is moving from physical competition for fish to economic and legal arguments over social priorities. Advantages and disadvantages of increased use of property rights in resource allocation are investigated. It is argued that the recreational sector needs better definition of its claim for priority access to resources.     

The transition from the Soviet system to a market economy as a cause of instability in the Estonian coastal fisheries sector

This study analyzes how overall changes in political and economic life during the last decade have affected the Estonian coastal fishery of the Baltic Sea. At the beginning of the nineties, the opportunity to export fish to the European market emerged. Opening of this new market resulted in rapidly increasing pressure on fish stocks. Some of the most important coastal fishery resources were over-fished because of high export market demand coupled with insufficient resource management and ineffective control and enforcement mechanisms. The costs associated with fishery have grown much more than the first-buyer prices. Additionally, dynamic development of the Estonian economy has resulted in substantial increases in earnings in other economic sectors and therefore the relative wealth of fishermen has steadily declined. This has resulted in increasing social problems. In conclusion, countries in transition may encounter serious difficulties in the fisheries sector, arising from privatization and economic reforms, which may affect the fisheries even years after the establishment of new ruling principles.     

Catch share programs in developing countries: A survey of the literature

The literature on catch shares is dominated by analyses of programs in developed countries. To address this research gap, this paper identifies and discusses programs in developing countries. The paper also investigates differences between countries that have and have not implemented programs across a number of relevant dimensions, including governance and resource value, and characterizes the relationship between catch share type (e.g., quota-based or space-based systems) and the species characteristics. The paper identifies programs in about 20 percent of coastal and developing countries and finds that countries with catch shares have higher governance rankings, stronger economies, more valuable fishery export industries, and fewer people employed in fisheries. For example, the average governance effectiveness rank is 38.7 for all coastal and developing countries and 60.8 for countries with quota-based fishing rights. Species managed under quota-based systems are also found to have the potential for strong recruitment externalities. The results support ideas from the fisheries economics literature on the pre-conditions that are more likely to lead to the adoption of a catch share program.     

Participatory practices in fisheries across Europe: Making stakeholders more responsible

Drawing on an EU-funded project titled “Sharing responsibilities in fisheries management” this paper assesses the institutional landscape of fisheries management in a number of European countries, with a particular emphasis on stakeholder involvement in regulatory decision-making. What are their roles and responsibilities in the chain of governance? What are the specific characteristics of each country, and what is similar and what is different as compared with other sectors? Although there is a move towards devolvement and decentralisation in some European countries, there is quite an ambivalence regarding such reforms in other countries. These differences in stakeholder involvement are partly a result of institutional traditions within each country, but also a reflection of how management authorities struggle with the dilemmas pertaining to such reforms of participatory practices. Thus, we argue that even within a reformed fisheries management system that allows greater participation of stakeholder groups, there can hardly be one European model that fits all.     

Policy,legal and institutional reforms for public–private partnerships needed to sustain large marine ecosystems of East Asia

The legacy of overfishing, destruction of coastal habitats, and accelerated pollution loading has dramatically reduced the biomass and diversity of marine waters in East Asia. Coasts can no longer support the numbers of people migrating to them, thus risking future economic benefits and social stability. Some countries are adopting needed reforms while, in others, less priority is given to reforms. National budgets for the environment, as well as international financial flows for environmental sustainability, remain disappointing. In the water sector alone, a global shortfall of US$100 billion annually will frustrate the achievement of Millennium Development Goals (MDGs). The paper argues that reforms are essential in the North and the South in order to reverse the gloomy outlook for East Asia, including global trade reforms and reduction of agricultural/fisheries subsidies in the North. Reforms to facilitate creation of public–private partnerships and their international support may be the only viable options for improving water service delivery, sewage/industrial effluent treatment, fisheries, and maritime transport to reduce impacts on coastal and marine waters to meet MDGs. The Global Environment Facility (GEF) has supported a series of projects since 1991, totaling US$657 million for East Asia, with an emphasis on practical application of integrated coastal management for the large marine ecosystems. Among reforms identified to mobilize the private sector are revolving funds, reinsurance facilities, sub-sovereign lending, risk mitigation, partnerships, and corporate responsibility. GEF advocated these reforms in the run-up to the World Summit on Sustainable Development and is supporting a new generation of projects for countries desiring to pursue them.     

Global seafood trade flows and developing economies: Insights from linking trade and production

Knowing the patterns of marine resource exploitation and seafood trade may help countries to design their future strategic plans and development policies. To fully understand these patterns, it is necessary to identify where the benefits accumulate, how balanced the arrangements are, and how the pattern is evolving over time. Here the flow of global seafood was traced from locations of capture or production to their countries of consumption using novel approaches and databases. Results indicate an increasing dominance of Asian fleets by the volume of catch from the 1950s to the 2010s, including fishing in the high seas. The majority of landings were by high-income countries’ fishing fleets in their own waters in the 1950s but this pattern was greatly altered by the 2010s, with more equality in landings volume and value by fleets representing different income levels. Results also show that the higher the income of a country, the more valuable seafood it imports compared to its exports and vice versa. In theory, this implies that the lower income countries are exporting high value seafood in part to achieve the broader goal of ending poverty, while achieving the food security goal by retaining and importing lower value seafood. In the context of access arrangements between developed and developing countries, the results allow insights into the consequences of these shifting sources of income may have for goals such as poverty reduction and food security.     

基于地租理论的养殖用海海域使用金定价机制探讨

为进一步推动我国海域有偿使用制度的顺利实施、促进海域资源市场化的有效运作以及提升海洋资源的开发利用效率,文章以养殖用海海域为例,概述地租理论的发展历程、我国养殖用海海域使用金征收现状和海水质量状况以及基于地租视角的养殖用海海域使用金制定标准。研究结果表明:我国养殖用海海域使用金的制定存在年代久远、现势性较差以及不同地区差别较大等问题;为在经济层面上实现海域所有权,国家应向海域使用者征收绝对海租;由于海水质量和地理位置等因素直接影响养殖用海等海域开发利用活动的整体效果和经济利益,也应根据不同资源禀赋收取级差海租。因此,从地租角度考察养殖用海海域使用金的制定,应是绝对地租和级差地租的综合体现。     

A clash of values and approaches: A case study of marine protected area planning in Mozambique

Many developing countries are expanding their network of Marine Protected Areas (MPAs) to meet ambitious marine conservation targets set globally and to develop tourism nationally. This study explores the human dimensions of MPA planning in Mozambique by engaging local resource users in a series of structured discussions about marine resource use, pressures on marine resources, ways to address such pressures, and the potential positive and negative impacts of MPAs on the management of marine resources and livelihoods, from a community perspective. Findings show that the groups and communities interviewed are at best ambivalent towards MPAs while at the same time supporting increased government regulation, including conventional fisheries management measures. The study suggests that without significant community involvement in the choice of marine conservation tools, the drive to establish MPAs to achieve biodiversity conservation and tourism development goals may be counterproductive, at least in terms of poverty alleviation and sustainable resource use. It argues that a wider range of marine conservation approaches and tools needs to be considered in addition to MPAs, taking into consideration local views and institutional capacities.     

海洋可再生资源权益资产负债表研究——以山东省海洋捕捞为例

文章借鉴自然资源资产负债表的编制框架和海洋资源的统计核算等相关理论,通过确认海洋资源的产权和最大可持续产量,编制海洋可再生资源权益资产负债表。基于修正模型以及1988—2015年山东省海洋渔业相关数据,计算山东省海洋捕捞年度最大可持续产量,继而编制2015年山东省海洋渔业捕捞权益资产负债表。结果表明:山东省自1996年起出现捕捞资源超采问题,1997—2001年过度捕捞情况最为严重,2002年后在相关规定实施和资源量大减的双重压力下捕捞量有所降低但超采依旧严重。实例证明,编制海洋资源权益资产负债表可为海洋资源权益交易和综合管理提供依据,具有可行性和重要性。     

Economic gains from introducing international ITQs—The case of the mackerel and herring fisheries in the Northeast Atlantic

Achieving a balance between fishing capacity and fishing opportunities is one of the major challenges in European fisheries. One way to achieve this is to introduce individual tradable quotas or similar management measures. In several mackerel and herring fisheries in the Northeast Atlantic, such systems have already been introduced on a national basis and the long term economic gains of this have been acknowledged. This paper takes this a step further and investigates the potential economic gains from introducing individual tradable quotas between countries. Overall, the results show that the gross cash flow can be improved by 21% by allowing the mackerel and herring quotas to be traded internationally in the Northeast Atlantic. This rent gain arises mainly from increased productivity by allowing tradability between areas and fleets. The analysis also shows that the Danish pelagic fleet will gain from increasing its share of mackerel and herring quotas, whereas the Irish fleets are incentivised to sell quota, if individual quotas are allowed to be traded among countries. This result is in line with the qualitative analyses that show that Irish fishermen targeting herring in the Celtic Sea are negatively oriented towards international individual tradable quotas, whereas the Danish pelagic fishermen have strong preferences for international individual tradable quotas.     

Co-management in Japanese coastal fisheries: institutional features and transaction costs

This paper presents the institutional history and features of Japanese coastal fishery management, including the past decade's major legislative developments. In Japan, local resource users have been the principal decision makers in fishery resource management. Under the current Fishery Law, resource conservation is an integral part of resource use. Coordination of fisheries’ issues, such as rights/license distribution and local regulations, is achieved by multilevel coordinating organizations. Government and/or research institutes provide support with planning, scientific advice, etc. A brief analysis of Kanagawa Prefecture suggests that the fisheries transaction costs, especially the monitoring, enforcement and compliance costs, are remarkably low.     

Marine protected areas in a welfare-based perspective

Assuming a broad set of fisheries management goals, this paper analyzes the implementation of a marine protected area (MPA) together with open access outside, applying a bioeconomic model that ensures unchanged growth post-MPA. Taking into account that conservation and restoration, food security, employment and social surplus are amongst the objectives that many managers include in fisheries management, it is found that this broader welfare economic approach to MPAs may well recommend them to a greater degree than espoused in the more common resource rent focused studies carried out to date. It is shown that for overfished stocks, an MPA may yield resource protection, maximize harvests and increase consumer and producer surplus, as well as give higher employment. This, however, is less apparent for moderately overfished as well as highly migratory stocks. Resource protection and enhancement implicitly improves ecosystem services.