Break-even analysis and profitability of aquaculture practices in India

Sathiadhas R., . and Najmudeen T. M., . and Prathap Sangeetha, . Break-even analysis and profitability of aquaculture practices in India. pp. 667-680. ISSN 0116-6514

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.

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Abstract

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.

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Item Type:	Article
AGROVOC Term:	Aquaculture
AGROVOC Term:	Aquatic animals
AGROVOC Term:	Aquatic organisms
AGROVOC Term:	Economic analysis
AGROVOC Term:	Feasibility studies
AGROVOC Term:	Farming
AGROVOC Term:	Farming systems
AGROVOC Term:	Filtration
AGROVOC Term:	Prawns and shrimps
AGROVOC Term:	Shellfish
Depositing User:	Mr. AFANDI ABDUL MALEK
Last Modified:	24 Apr 2025 00:53
URI:	http://webagris.upm.edu.my/id/eprint/7923

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