Abstract
This paper examines technical efficiency and the potential factors affecting it in small-scale harvesting operations involving five key commercial demersal species of Al Batinah coastal fisheries, Oman. A stochastic production frontier (SPF) approach was applied to a pooled data covering the period 2010-2016. There is strong evidence of a considerable extent of technical inefficiency and overutilization of fishing effort (fishing hours). The results from the technical inefficiency model suggested that geographical location and interannual fluctuation of stock were significantly affecting fishers’ efficiency. Finally, the empirical results are discussed along with policy implications and the suitability of the Stochastic Production Frontier (SPF) approach to technical efficiency analysis in small-scale fisheries.
Highlights
It is well-recognized that small-scale fisheries (SSF) in developing countries play a crucial role in food security and poverty alleviation, employment generation especially in the rural and coastal communities, and, contribute to the well-being of many millions people globally (FAO 2018,Tietze 2016, Teh and Sumaila 2013, FAO and WFC 2008, Béné et al 2007 )
While there is no universally best way to define SSF as they differ across countries (Smith and Basurto 2019, FAO and WFC 2008, Salas et al 2007), the characteristics that are commonly used to describe SSF include the following: low level of technological sophistication, use of less capital in production, labor-intensive production, presence of unskilled labor and part-time fishers, a large number of small-size boats targeting a mix of species, poor economic returns, complicated production process influenced by culture and traditions of small-scale fishing communities, among others (Tietze 2016, Damasio et al 2016, Salas, et al 2007, McGoodwin 2001)
Technical efficiency (TE) - as a component of economic efficiency - is inherently linked to economic profitability of a fishing boat as it measures the ability of a producer to produce the maximum level of output for a given set of inputs and the state of production technology (Farrell 1957)
Summary
It is well-recognized that small-scale fisheries (SSF) in developing countries play a crucial role in food security and poverty alleviation, employment generation especially in the rural and coastal communities, and, contribute to the well-being of many millions people globally (FAO 2018,Tietze 2016, Teh and Sumaila 2013, FAO and WFC 2008, Béné et al 2007 ). The sector has been confronted by a number of challenges such as overfishing, overcapacity, lack of compliance and weak enforcement, and economic inefficiency in both harvest and post-harvest operations, inefficiency in various stages of supply chain, a lack of coherent, reliable and accessible information both globally ( Pomeroy 2012, de Graaf et al 2011, Salas et al 2007) and locally (Bose et al 2019a, Al-Siyabi and Bose 2018, Bose et al 2017, Al Balushi et al 2016, Qatan et al 2016, Al-Jabri et al 2015, Al-Subhi et al 2013) Given this background, the conservation of coastal fisheries resources, biological and economic sustainability of small-scale fishing operations and the maintenance of socio-economic benefits from the resource for those who depend on it are crucial both in global and local contexts as failure to safeguard small-scale fisheries will seriously affect the livelihood of small-scale fishers. Technical efficiency (TE) - as a component of economic efficiency - is inherently linked to economic profitability of a fishing boat as it measures the ability of a producer to produce the maximum level of output for a given set of inputs and the state of production technology (Farrell 1957)
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