Economic Impacts of Coastal and Offshore Aquaculture

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The overall goal of this paper was to estimate the potential economic impact of the establishment of economically viable commercial offshore aquaculture production systems in the Gulf. The potential impact of the industry was estimated by using IMPLAN.

The commercial offshore aquaculture production was represented by the “Miscellaneous livestock ” sector. Commercial seafood processing was represented by the “Prepared Fresh or Frozen Fish or Seafood" sectors. The ex-vessel values of the Gulf commercial fishing and processing sectors were retrieved from the National Marine Fisheries Service database.

The direct effects created by the establishment and operation of a single production system with 12 cages would generate indirect and induced effects. Indirect effects consist of the inter-industry effects of the input-output analysis. Induced effects consist of the impact of household expenditures in input-output analysis. The sum of the direct, indirect, and induced effects is equal to the total economic impact measured in terms of output ($), jobs, labor income ($), and tax collections ($).

Sources:

Posadas, Benedict C. 2005. Potential Economic Impact of Commercial Offshore Aquaculture in the Gulf of Mexico. MASGP 04-036. Online Proceedings of the 2004 IMPLAN Users Conference sponsored by the National Marine Fisheries Service in Sheperdstown, West Virginia on October 6-8.

Posadas, Benedict C., and Christopher J. Bridger. 2004.Economic Feasibility and Impact of Offshore Aquaculture in the Gulf of Mexico. In pages 109-127, Bridger, C.J., (ed.). Efforts to Develop a Responsible Offshore Aquaculture Industry in the Gulf of Mexico: A Compendium of Offshore Aquaculture Consortium Research. MASGP-04-029. Mississippi-Alabama Sea Grant Consortium, Ocean Springs, Mississippi.