ESTIMATION OF THE KEY REFERENCE POINTS IN SMALL PELAGIC FISHERY PRODUCTION USING A BIOECONOMIC MODEL

Y.Y.K. DE SILVA AND L.H.P. GUNARATNE *Department of Agricultural Economics and Business Management, Faculty of Agriculture, University of Peradenyia, Sri Lanka

Department of Commerce

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Sri Lanka

ABSTRACT

This study aims at estimating the different key reference points, the Maximum Sustainable Yield (MSY), Economic Sustainable Yield (ESY), Open Access Equilibrium Yield (OAY) and their corresponding efforts in the small pelagic fishery in South, West and North-west coasts of Sri Lanka based on a bioeconomic model. The result of the estimation of the Schaefer model shows that the current level of exploitation in the small pelagic fishery of Sri Lanka surpasses the maximum sustainable yield level, but does not exceed the open access equilibrium level. The estimated economic sustainable yield and its corresponding effort level are 4,060 metric tons and 997,330 horsepower-hours respectively, and potential resource rent at Economic Sustainable Yield (ESY) is estimated at Rs. 257 million per month. The results indicate that substantial reduction in fishing effort are required to maintain the maximum sustainable yield which should be the primary goal in the small pelagic fishery management. The current effort may have to be decreased by 12 percent and 13 respectively in order to attain maximum sustainable yield and economic sustainable yield. However, the evaluation of potential impact of such reduction on equity is also important to maintain a sound balance between efficiency and equity goals.

Key Words: Maximum sustainable yield, Economic sustainable yield, Open access equilibrium, Small pelagic fishery, Fishing effort
