~ 46 ~ International Journal of Fisheries and Aquatic Studies 2014; 2(1): 46-52 ISSN: 2347-5129 IJFAS 2014; 2(1): 46-52 © 2013 IJFAS www.fisheriesjournal.com Received: 22-07-2014 Accepted: 03-08-2014 Sinitha Xavier Assistant professor Department of Economics P M Govt. College, Chalakudy, Kerala 680722, India. Correspondence: Sinitha Xavier Assistant professor Department of Economics P M Govt. College, Chalakudy, Kerala 680722, India. Economic sustainability of the trawl fishery of Kerala Sinitha Xavier Abstract The study has found that there is proliferation in the number of trawlers operating in Kerala in all maritime districts except Thiruvananthapuram and Alappuzha. The growth rate is the highest (4.24 %) in Kollam, followed by Ernakulam (2.42%) and Kozhikode (1.64%). The all Kerala compound annual growth rate is 8.91 per cent (1980 – 2009). The result of the Fox model revealed that the estimated catch at maximum economic yield (MEY) is 1.95 lakh tones and the effort needed to catch the MEY is only 31.56 lakh hours. With the average 199 days of fishing trips, the actual fishing effort is 63.7 lakh hours. The actual fishing effort is found to be more than double the effort needed to attain the MEY. This finding of the Fox model concludes that with the present fleet size of trawlers, the trawler fishery is operating not at economically optimum or economically sustainable level. Keywords: Maximum economic yield, Economic sustainability, proliferation, Fishing trips and Economic optimum. 1. Introduction The trawler sector plays a decisive role in the economy of Kerala through production, export and employment (GoK, 2007) [1] . The trawler sector is not a simple enterprise as it was in the beginning of 1950s, when the trawlers got introduced into the Kerala fishery through the well- known project called the Indo Norwegian project (INP) (Kurien, 1985) [2] . Recently the trawler technology has become highly complex and ramified. The wooden boats of the past have given way to steel boats, 20 and 30 footer boats have been replaced by 50, 60 and 70 plus footers. Many more mechanical gadgets such as Global Positioning System (GPS), echo-sounder and wireless sets have made these boats ultra-modern and high tech. So much so, now these boats can fish ten to fifteen days at a stretch. Commensurate with this technological complexity, volume of investment also got accelerated. If the investment was around two lakhs in the early 1980s, now it is around 55 to 57 lakh rupees. Adding to this, the total fish catch has declined and resource depletion crisis has taken place as is revealed from various studies of the Central Marine Fisheries Research Institute (CMFRI) and the periodic reports of the directorate of fisheries in Kerala. So it is the need of the hour to study the economic sustainability of the trawler sector. 2. Statement of the problem From 1982 onwards various studies on cost and earnings in Kerala fishery had found out that net profit in the trawler fishery of Kerala is negative. Serious erosion of net profit in the trawler sector since the year 1982 was further observed in the mid-1980s. Following the recommendations of the Balakrishnan Nair Committee Report, a ban on trawling was introduced along the Kerala Coast and it affected the profitability and economic sustainability. This is evident from the protest made by the trawler sector against the trawl ban. At the same time, it is reviewed that the catch rate during the post monsoon period has increased (Balakrishnan Nair Committee Report 2000) [3] . It is not substantiated that the trawl ban has affected the profitability of the trawler sector. The shrimp trawler operators of Kerala ventured into deep sea fishing for the first time in November in 1999. Up to a maximum depth of 100 m of catching the prawn were undertaken from four equidistant bases in Kerala, including Neendakara Shakthikulangara and Cochin. However by 2000, the length of the vessels in the trawl sector was found varying from 48 feet to 60 feet in overall length. Accordingly the investment cost also got accelerated. Further the possibility of catching haul pink prawns by deep sea operations attracted the new investors into the sector and the number of the fishing vessels proliferated.