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Bioeconomic analysis of small-scale cultures of Kappaphycus alvarezii (Doty) Doty in India

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Abstract

Commercial culture of red algal seaweeds, particularly Kappaphycus and Eucheuma, has increased significantly in recent years and, since 2008, has surpassed the production of all other farmed seaweeds. A number of countries have analyzed the feasibility of small-scale culture of Kappaphycus as a method of alleviating poverty in low-income coastal communities. In this study, a bioeconomic model for individual and artisanal culture of Kappaphycus alvarezii is constructed. The results of the study show that using the base model, the net present value is positive at the 6-month mark, once the business has started, and that the internal return rate is 210 %. These results are explained by the small investment required for a raft culture system. Sensitivity analysis shows that the business tolerates important unfavorable variations in the critical economical, technological, and biological variables. Finally, the results suggest that this type of culture can fulfill an important social role as long as conflicts for marine space usage are resolved, climate conditions are favorable, and diseases and epiphytes are controlled.

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  1. Escuela de Ciencias Empresariales, Universidad Católica del Norte, Larrondo 1281, Coquimbo, Chile

    Sergio Zuniga-Jara & Maria Marin-Riffo

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  1. Sergio Zuniga-Jara
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  2. Maria Marin-Riffo
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Correspondence to Sergio Zuniga-Jara.

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Zuniga-Jara, S., Marin-Riffo, M. Bioeconomic analysis of small-scale cultures of Kappaphycus alvarezii (Doty) Doty in India. J Appl Phycol 28, 1133–1143 (2016). https://doi.org/10.1007/s10811-015-0616-3

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  • DOI: https://doi.org/10.1007/s10811-015-0616-3

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