Case 3-22 Enhancing sustainability by introducing alternative income sources (3): comparison of lost profit by setting a closed season and earned profit by introducing a joint shipping business
Key words | Nianing, octopus, cymbium, establishment of closed season, fishing effort limit, joint shipping project, JICA development study, lost profits, business profits, balance of payments |
Context | In the pilot activities of the JICA fisheries resource assessment and management planning study, measures to support fishers’ income through alternative income-generating activities, such as the joint shipment of fisheries products, were introduced. In addition, fisheries resource management measures, such as the establishment of closed seasons for octopus and cymbium and limiting fishing with gill nets and beach seines. A calculation of the balance between the commercial benefits generated from the joint shipment of octopus and cymbium and the benefits lost by fishers due to the closed seasons was made. The results are presented below. |
Content | Fishers’ losses due to the introduction of closed seasons and a limit on the number of gillnets, as well as the benefits of joint shipment in the village of Nianing, were calculated. The results showed that over two years (2004 and 2005), fishers lost XAF 16.64 million due to the closed season for octopus (1 month x 2) and XAF 3.61 million due to the closed season for cymbium (1 month x 1). The loss of income resulting from a 15% reduction in the number of bottom-set gillnets for sole in the village of Nianing was XAF 7.02 million. On the other hand, the unit price of octopus increased by XAF 600/kg compared to the previous year due to the joint shipment. This resulted in a net profit of XAF 50.76 million. The unit price of cymbium increased by XAF 200/kg compared to the previous year due to the joint shipment. This resulted in a net profit of XAF 45.15 million. Therefore, when the lost benefits from fisheries resource management and the generated benefits from the joint shipment were calculated, the generated benefits were XAF 68.64 million higher than the lost benefits. This is the reason why inhabitants supported the fisheries resource management measures. Joint shipments started in 2004 by the Nianing village fisheries resource management committee and continued until 2011. Since the beginning of the joint shipment, ELIM PECHE, the recipient company of the joint shipment, has only bought from the Nianing village fisheries resource management committee, but since 2011 it has also bought from the village fish merchants. To protect the resource, the fisheries resource management committee did not buy small cymbium and did not buy cymbiums collected by the dive fishery. This meant that they could no longer compete with the village fish traders who were buying without regard to the sustainability of the resources, and they had to abandon the project because they could no longer collect the fish products. |
Lessons Learned | The above case study has shown that the introduction of an economic activity – joint shipping by the village fisheries resource management committee – can be an approach to alleviate fishing pressure by increasing the sustainability of fisheries resource management measures such as the establishment of a closed season. |
Guideline chapter relevant to this case study | Chapter 3 Implementation of resource management measures 3.2 Measures to strengthen the sustainability of resource management 3.2.2 Introduction of alternative sources of incomeAlternative income-generating activities will be selected based on consideration of their profitability, technical appropriateness, contribution to resource management activities and fishing communities, and budget amount required. The management style, business plan, and income and expenditure prospects of the project to be introduced will be thoroughly discussed. |
Situation to which this case study could refer | This case is an effective reference when trying to introduce a joint shipping business by a resource management organisation for reducing the negative impact of fisheries resource management activities on fishing household management and encouraging voluntary participation by fishermen. |