Abstract
Cage culture plays an important role in achieving higher output and generating more export earnings in Malaysia. However, the cost of fingerlings, feed and labour have increased substantially for cage culture in the coastal areas in Peninsular Malaysia. This paper uses farm level data gathered from Manjung, Perak and Kota Tinggi, Johor to investigate the technical efficiency of brackish water fish cage culture using the stochastic frontier approach. The technical efficiency was estimated and specifically the factors affecting technical inefficiencies of fish cage culture system in Malaysia was investigated. On average, 37 percent of the sampled fish cage farms are technically efficient. The results suggest very high degrees of technical inefficiency exist among the cage culturists. This implies that great potential exists to increase fish production through improved efficiency in cage culture management in Peninsular Malaysia. The results indicate that farmers obtained grouper fingerlings from other neighboring countries due to scarcity of fingerlings from wild sources. The cost of feeding for grouper (Epinephelus fuscoguttatus) requires relatively higher costs compared to seabass (Lates calcarifer) production in cage farms in the study areas. Initiatives to undertake extension programmes at the farm level are needed to help cage culturists in utilizing their resources more efficiently in order to substantially enhance their fish production.
Highlights
The marine aquaculture in Malaysia has expanded significantly over the last two decades, contributing about 70 % of the total aquaculture production
The objective of this study is to assess the technical efficiency of brackish water finfish aquaculture in floating cage production system in Peninsular Malaysia by applying the stochastic frontier approach
Sample characteristics The average farm size of cages was 1127 m2; average size of cage farms was relatively larger in Perak (2159 m2) compared to Johor area (902 m2)
Summary
The marine aquaculture in Malaysia has expanded significantly over the last two decades, contributing about 70 % of the total aquaculture production. Brackish water fish cage culture has received much attention over the years due to its high export demand and generated sizeable foreign exchange earnings for the country. The cage culture areas have increased from 27,000 to 1,741,000 m2 between 1982 and 2009. Production has increased from 413 to 22,521 mt during the same period. There were about 3258 farmers involved in cage aquaculture practices in 2009 (Department of Fisheries Malaysia 2011). The Malaysian government took a number of initiatives to promote brackish water cage culture (Ministry of Agriculture 2003). The government has established the Aquaculture Industrial Zones (AIZ) in 2007.
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