EVALUATING THE ECONOMIC FEASIBILITY OF PIGFISH Orthopristis chrysoptera AQUACULTURE FOR THE TEXAS BAITFISH MARKET

In 2014, marine recreational angling generated approximately $1.3 billion in sales and 11,000 jobs in the state of Texas. From 2013 to 2016 the average annual harvest of marine species for bait in Texas was 1.27 million pounds of bait (live-weight) worth approximately $5.25 million dockside. Aquaculture of marine baitfish for recreational fishing purposes has the potential to both decrease pressure on baitfish stocks by decreasing the need for wild harvest and enhance working waterfronts through the development of new businesses and jobs. Pigfish (Orthopristis chrysoptera) possess a number of traits that make the species an ideal candidate for baitfish aquaculture. Pigfish mature at a small size (20-35 cm in length) so breeding stock can be maintained in smaller tanks. The species is tolerant of crowding, handling, and varying environmental conditions. In addition, pigfish is already a popular live bait choice for Texas anglers. In this research, we examine the economic feasibility of pigfish aquaculture for the Texas marine baitfish market.

The analysis evaluates both production costs and market demand for baitfish in Texas. The production analysis incorporates the results of research being conducted at both the University of Texas Marine Science Institute (spawning and rearing) and at a commercial aquaculture facility in Texas (grow out). The physical research examined: broodstock feeding protocols for optimizing egg production and quality, optimal rearing temperature for larvae, optimal water conditions for survival and growth of larvae, and optimal stocking densities for outdoor grow-out to market size. Data from the research trials will be used to estimate production and transport costs associated with potential commercial operations. Market demand for baitfish in Texas will be estimated using Texas Parks and Wildlife Department trip ticket data from 2009 to 2016. The trip ticket data provides information on the species, quantity, price, and timing of bait fish purchases by Texas bait dealers. This data will be combined with the production data to estimate the potential profitability of commercial scale pigfish aquaculture in Texas. In addition, Monte Carlo simulations will be used to evaluate the robustness of profitability estimates to changes in survival and growth rates, key input costs, and output price.