P.A.M. van Zwieten, Aquaculture in the Netherlands: opportunities and threats, The Hague (The Netherlands), National Council for Agricultural Research (NRLO), 1998. NRLO Report 98/8.

[Original title: Kansen en bedreigingen voor aquacultuur in Nederland]

Summary

General

1. Aquaculture is the fastest growing method of food production in the world. Since 1984, its annual volume in low-income countries has grown by about 13%, in the developed countries it has increased by about 3%. World-wide, approximately 2.5% to 3% of all animal protein used for human consumption is derived from fish culture. However, fish production and consumption show strong regional variations. Aquaculture is particularly concentrated in the developed countries (volume: 85%; value: 71%). Global production is dominated by traditional extensive fish farming in brackish and fresh waters and by the culture of cypriniformes. Marine production is strongly increasing, although not surpassing half of fresh-water production. Still, the expected rise in global fish demands is supposed to be met by fish farming since there is little growth potential in fishery production, as the FAO believes. Under adequate conditions, aquaculture production may have doubled by the year 2010. Two major factors to limit growth, however, are environmental degradation and the availability of land and water.

2. Today, nearly all fish-farming developments are confined to traditional small-scale systems in areas where they are traditionally to be found as well as in new intensive systems in both industrialised countries and low-income countries. Particularly in low-income countries, fish farming serves other objectives apart from food production, such as acquiring foreign currency, increasing the income of the rural population, and creating jobs. Income growth in these countries is accompanied by a shift in preferences for more expensive species. In addition, global research priorities are controlled by breeding organisms, systems and production demands in high-income countries. Eventually, this might result in stagnation in the growth of Asian carp culture (FAO, 1996). On the other hand, both ICLARM and several other research institutes - mostly at universities - have conducted important strategic studies to examine cypriniformes, tilapia species and extensive cultures.

3. Fish farming in industrialised countries is focused on relatively expensive species. In modern contemporary cultures, however, considerable cost reductions have been achieved. As a result, the production of relatively lowly appreciated species (e.g. tilapia, catfish) by using high-tech 'industrial' farming methods, designed to replace cheap fish from fishery, is coming within reach. For the next few years this development is not expected to have a great impact, despite the increasing demand for 'white fish' by processing industries.

3. Aquaculture should be seen in the broader context of the use of land and water as well as economic developments. It is faced with increasing competition for the use of space and means of production. Development issues should be seen in the light of management possibilities and the rehabilitation of individual ecosystems. This requires an adequate understanding of these production systems and their potential. Environmental degradation due to mismanagement of natural resources is a realistic danger in developing and intensifying cultures. Frequently, environmental degradation may not only affect (the growth of) aquaculture, but it may also have consequences for other claims made on the resources involved. Conversely, environmental degradation affecting aquaculture is also found to be the result of other activities.

4. A long-term tendency in aquaculture is increasing intensification, involving more and more control of production variables such as environment, stock and organism. Consequently, there will be an increasing need to improve culture efficiency and to control any effects resulting from intensification and conflict management regarding the use of natural resources. Strategic aquaculture studies are challenged with the task to provide links between economic, social and ecological sustainability. System comparisons - in terms of technology, social organisation, accessibility of resources, labour etc. - may help to understand the development potential of aquaculture under specific conditions.

5. Intensification in aquaculture means paying more attention to biotechnological and technical aspects. It is becoming increasingly important to work on closed culture systems, also from an environmental perspective (pollution, the escape of domesticated or genetically modified animals). The development of aquaculture is expected to be greatly enhanced by genetic manipulation, in particular transgenic fish. National policies to direct research efforts and to control the possibilities of releasing genetically modified aquatic organisms for breeding uses will be necessary, both from an environmental perspective and to gain public acceptance. This will also apply to the use of medicines. Technically, biological control of transgenic fish through induced sterility will be priority number one if the possibility is being considered to develop genetically modified aquatic organisms for commercial uses.

Europe - The Netherlands

6. Since its accelerated development starting in the 1970s, fish farming in Europe has been characterised by its application of intensive culture systems and technologies, while it has been dominated by a large diversity of species with great commercial value. In terms of volume, shellfish farming is the largest sector, although in value it is surpassed by fish farming. Most farming sectors - particularly marine ones - show rising production trends. Aquaculture accounts for 12.4% of the volume and 25% of the value of EU fish production. Until the year 2005, half of all EU countries (including the Netherlands) are expected to remain on similar production levels (due to restricted locations; greater strictness in environmental measures). Other countries are expected to show small to substantial growth levels because of their potential to use one or more species. However, various countries, including the Netherlands, may show faster growth levels than anticipated in recent extrapolations.

7. Major factors that may limit further developments of EU aquaculture which also apply to conditions in the Netherlands, particularly in the field of fish farming, include:

8. Major opportunities for development, also applying to aquaculture in the Netherlands, particularly fish farming, can be found in:

9. The growing amount of attention paid to the value of natural resources, including the interactions between aquaculture and environment, may inhibit further developments in the industry of aquaculture. In many cases this will be achieved as a result of increased production costs rather than lack of technology. Still, in the case of extensive shellfish farming, e.g. mussel farming, lack of developments in farming technologies may be involved here.

10. Major research priorities in Europe for the next few years will include: (1) coastal zone management; (2) disease detection, prevention and control; (3) genetics and upgrading; (4) species diversification; and (5) product quality improvement. Many improvements are to be expected in farming methods and in areas such as feed types, genetics, disease control, water usage and housing technologies (e.g. recirculation systems). It will not be too long before extensive research focus on new species will produce successful cultures. However, the study of species is strongly aimed at examining technological aspects of farming while paying little attention to market potential; also, it has led to fragmentation of R&D efforts. Aquaculture research is highly complex as it does not only encompass a great number of disciplines, but also a great number of species and farming systems. This implies that research efforts will seldom cover more than part of the entire sector. Cultures will develop along more or less fixed stages, each with their specific research needs that cannot always be met. Until now, the industry of aquaculture has been too small to make heavy investments in research efforts. Research on the culture of Atlantic salmon is the exception.

11. Europe is estimated to be 80% self-sufficient in its demand for fish, a level which is similar to those of Canada and the United States. Yet, the Netherlands is highly self-sufficient in the areas of fish and fish products. Thus, new outlets for Dutch aquaculture should be found largely outside the Netherlands.

The Netherlands - Fish farming

12. Fish produced for consumption in the Netherlands include eel ( 2,800 tons, 80 companies), African catfish (1,500 tons, 28 companies), trout (300 tons, 5 companies) and turbot, seabass and seabream (60 tons, 1 company). In addition, some 600-800 tons of trout (40 companies) are produced for angling purposes. There is a small farming industry for ornamental fish (3 production companies, 5 breeding farms), which enjoys a growing interest from the gardening industry. The total value of fish culture ex breeding farm is estimated to be NLG 50 million.

Today, both eel and catfish cultures are reasonably successful. Since 1994, these two cultures enjoy a great deal of interest, both to establish new businesses and to expand existing activities. A considerable increase in production is expected, in catfish perhaps a doubling in 1 or 2 years. This is some cause for concern: especially in the case of catfish, (too) little is done to promote sales, while both cultures may suffer from heavily falling prices.

13. Knowledge, infrastructure, experience, technology, a considerable number of processing companies and the use of recirculation systems that are believed to be environmentally friendly and sustainable: all these factors seem to make a successful starting-point for production expansion. Nevertheless, large-scale fish farming is not really getting off the ground, due to inadequate knowledge of and lack of co-operation between partners in the food industry, combined with relatively laborious relations between industry and knowledge institutes. Although the idea seems to have taken root that the start of new cultures or an expansion of existing cultures should be preceded by more adequate market information, it has had little effect thus far, particularly in catfish farming. Both eel and catfish seem to have the volume to become serious partners for the processing industry. The eel industry is strongly in the lead here. Apart from more adequate market knowledge, purification of waste water (e.g. denitrification) is mentioned as a relevant factor to achieve more advanced levels of production. Still, the costs of farming fish in recirculation systems (which are relatively high) remain a problem. Breeding farms and processing industry are greatly interested in better transportation as well as alternative techniques for killing fish.

14. High-quality knowledge of recirculation systems has resulted in a fast growing (export) industry of system builders. Comparatively, the Netherlands and Denmark have an edge in know-how. Internationally, however, there is a great interest in closed systems. Parallel to the cultures in Europe, the Netherlands has developed a profitable fish feed industry which is very active, relatively speaking, on the international market. Initiatives to realise new developments in feed types and recirculation systems, in addition to providing better support in culture development, were taken mostly by these companies. The demand for technological know-how is high among farmers, there is a great need for information. Since the farming sector is quite small in the Netherlands, there is a small basis to support strategic scientific research and development studies. To enable further developments in the industry it will be necessary to make strategic decisions at policy-making levels.

15. The fish-farming policies pursued by the Ministry of Agriculture, Nature Management and Fisheries, which were developed during the 1980s following the disaster of the catfish culture, need to be readjusted. Careful growth and a supportive (market) policy aimed at quality control and management rather than species-specific production volumes seem to be the issues here. The industry holds the belief that mistakes made in other types of intensive animal farming may be avoided by developing now that an economic structures policy that will cover the areas of well-being, medicines and the discharge of waste water.

The Netherlands - Shellfish culture

16. Ex-farm, the mussel bed culture (100 ktons, 61 companies) has a value of approximately NLG 100 million, which is doubled or even tripled after processing. Despite the culture's variability, profits are quite high thanks to low cost prices. The sector is adequately organised and is export-oriented. The recently developed rope culture (300 tons, 7 companies) are active in a niche market. Growth potential is limited because the indigenous mussel can be applied with only moderate success in this type of culture while location problems are also involved. The oyster culture (1,400 tons, 16 companies, value NLG 5 million) has not recovered from an imported disease called bonamiasis. In contrast with the mussel culture, the industry is poorly organised and is considered to have few possibilities.

17. The processing and distributing of fresh mussels to the traditional markets is well organised, also because of its high-quality image. Potentially, the processing industry may be threatened by imports from elsewhere in the world. The industry's position is now believed to be highly competitive, although assessments vary. Future competition is anticipated particularly from Asian countries when they begin to succeed in meeting strict health requirements set by major markets for processed mussels. The fresh product, too, can be expected to face competition within the EU. Rewatering mussels in the as yet clean Oosterschelde water may turn out to be a weakness for the industry: its low cost price and high-quality image largely depend on that condition.

18. The mussel culture is under pressure from conservationist quarters: the question is whether Dutch society will continue to give permission to fish for shellfish in the shallows. Politically, providing more room for farming in the shallows or in the Oosterschelde is not a matter of discussion. And apart from the non-enclosed areas that are currently used, no other suitable locations are available. Although the quota system has led to greater efficiency, it seems necessary to establish innovations in production methods, catching, sowing and transportation techniques to make better use of seed mussels. Serious thought should be given to farming improvements. Research in the Netherlands has not been designed to answer those questions: they are seen as marginal problems, in view of high natural stock fluctuations. The industry seems to be innovative in processing and distribution, but not in improving production.

19. The oyster culture is more a trade rather than a farming sector, with increased risks of introducing diseases, harmful exotics or toxic phytoplankton. A new oyster pathogen in Europe might be the commercial end of pacific creuse farming in Europe. Technically, it does not seem much of a problem to get disease-resistant Zeeland oysters through breeding or genetic improvement. In addition, hatchery farming of oyster seed may be an interesting alternative to help Zeeland oysters back on their feet. However, the sector is not very active in innovating farming and processing methods nor does it express a great need for research. Even so, current research capacities in the Netherlands have few possibilities to study these developments.

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