North Carolina's shellfish industry : site conditions and economic impacts : a statewide survey of shellfish leaseholders

enforcement. Regulations already exist barring the illegal removal of shellfish from leases. However, North Carolina does not have planned aquaculture zones and many leases are not within view of the leaseholder's waterfront property, hence sufficient oversight is not possible at all times. More efficient methods to prevent poaching will be needed for the industry to expand. Impacts from hurricanes can be significant, particularly in the case of off-bottom culture, and onshore hatcheries or nurseries. Unfortunately, few options are available for leaseholders once the lease has been established. Selecting sheltered locations as appropriate facility sites represents the best option to minimize hurricane risks. Deteriorating water quality can impact existing and potential leaseholders. Temporary closures, such as those following heavy rains, can hamper the timing for harvest. Long-term problems, such as from nearby developments, can permanently close all or parts of a lease. To some degree, as with hurricanes, water quality is out of the control of leaseholders. The best way to address poor water quality is to site an operation far from areas with closed waters nearby. Similar to the risks with hurricanes, proper siting can minimize water quality problems over the long term. The concerns for the industry are perhaps one reason for the divergence of opinion on the future of the shellfish culture industry. Forty-two percent of respondents felt the industry would grow within the next five years, 38% felt that it would decline, and 20% thought the industry would remain the same. Positive signs for the shellfish culture industry include growing demand and stable pricing. Wholesale pricing for hard clams (all groups) averaged 12.5 cents per clam, while retail pricing averaged 17.7 cents per clam (all grades). Oysters averaged $32 per bushel, while individual oysters averaged 35 cents per oyster. The problems noted likely contributed to several respondents indicating that the industry would decline. While price and overall operation economics will dictate the growth or decline of the industry, the major concerns described by current leaseholders will provide a framework for directing efforts to assist in industry development. Specifically, addressing issues with theft, and deteriorating water quality — perhaps by developing methods to better locate new facilities — will ultimately assist interested, but concerned, growers. Conclusion Increasing demands for safe and sustainable seafood, and stable prices for cultured shellfish products provide opportunities for future shellfish aquaculture development in North Carolina. Addressing issues of theft and deteriorating water quality will assist growth, as long as the economics of production are maintained. Substantial potential exists for current leaseholders to expand. The results of this survey indicate that the vast majority of leaseholders utilize extensive methods for shellfish production with relatively low yields. Modest increases on existing leases would provide a significant increase in shellfish production to the state, without additional leases. However, large-scale increases in North Carolina's shellfish industry will likely begin with new operations in which income generated from the business is a primary source rather than a supplemental one. Assistance with siting new shellfish leases could reduce risks from theft and problematic water quality, and therefore should be considered among growth options in the industry. References L IS. Census of Agriculture ( USDA ) 2007: Summary and State Data. Washington, D.C.: USDA National Agriculture Statistics Service, 2009. Murray, T.J., and Hudson, K. 2011. Virginia Shellfish Aquaculture Situation and Outlook Report. Virginia Sea Grant Marine Extension Program. Virginia Sea Grant Publication # VSG-11-06. National Oceanic and Atmospheric Administration. 2009. Fisheries of the United States 2008. Fisheries Statistics Division, National Marine Fisheries Service, NOAA, Silver Spring, Md Contact: Marc Turano North Carolina Sea Grant Mariculture and Blue Crab Specialist marc turano(5)ncsu.edu 919/513-0122 Raleigh, North Carolina North Carolina Shellfish Industry 6 North Carolina Sea Grant North Carolina's Shellfish Industry: Site Conditions and Economic Impacts A statewide survey of shellfish leaseholders Marc J. Turano, North Carolina Sea Grant Martin Posey, University of North Carolina Wilmington Troy Alphin, University of North Carolina Wilmington North Carolina UNC-SG-12-01 * www.ncseagrant.org