205
11 Salmon Aquaculture in Canada and Norway – Appraising Governability
intensive, while those in Chile are more labor-intensive (due to lower wages). Larger
enterprises normally hold multiple licenses and are vertically integrated. That is,
they have full control of the whole fi sh chain, ranging from broodstock, nursery,
growout, harvesting to marketing. Most products are fresh or frozen, and are traded
in three international markets: the European Union, Asia (e.g., Japan) and the United
States.In terms of economics, production and market, salmon aquaculture is considered one of the most successful aquaculture practices in the world.
While salmon producers are concerned with maximizing pro fi ts and maintaining
competitiveness in international markets, the industry suffers from an increasingly
negative public opinion. This poses major challenges to the salmon aquaculture
industry that, unless properly addressed, will most likely affect its future growth and
development. Key issues related to salmon aquaculture industry occur throughout
the ‘ fi sh chain’ and as part of the natural and social systems-to-be-governed, as
described below.
Farming Environment
The public, especially seafood consumers, are becoming increasingly aware and
suspicious of the environmental issues associated with salmon aquaculture
(Whitmarsh and Wattage 2006 ) . For instance, news about sea lice from salmon
farms, associated with the declines in wild salmon stocks in Scotland (Gargan et al.
2002 ) and the west coast of Canada (Morton and Routledge 2005 ; Krkošek et al.
2006 ) , has led to poor public perception of the salmon aquaculture industry. This
perception may have a negative effect on the market, as some people may no longer
want to purchase farmed salmon products.
Production Factors
The productivity of salmon aquaculture has improved dramatically over the years
due to rapid technological innovations. Production costs have also declined (Asche
2008 ) . The feed conversion ratio, a measure of fi sh’s ef fi ciency in converting feed
into increased body weight, has greatly improved, and can now be as low as 1.2
– i.e., salmon can gain 1 kg body weight with 1.2 kg of feed. Operations are capital intensive, however, especially in Norway and Scotland. Furthermore, many
salmon producers suffer economic losses from the high mortality rate caused by
diseases and parasites, as well as prevention and control costs (Costello 2009 ;
Asche et al. 2010 ; Aunsmo et al. 2010 ) . Although the development of vaccines has
signi fi cantly reduced the use of antibiotics (Asche et al. 1999b ) , disease and parasite problems continue to be the major risk factor facing salmon aquaculture.
Escape is also a problem resulting in economic losses for salmon farms (Jensen
et al. 2010 ) .
11 Salmon Aquaculture in Canada and Norway – Appraising Governability
intensive, while those in Chile are more labor-intensive (due to lower wages). Larger
enterprises normally hold multiple licenses and are vertically integrated. That is,
they have full control of the whole fi sh chain, ranging from broodstock, nursery,
growout, harvesting to marketing. Most products are fresh or frozen, and are traded
in three international markets: the European Union, Asia (e.g., Japan) and the United
States.In terms of economics, production and market, salmon aquaculture is considered one of the most successful aquaculture practices in the world.
While salmon producers are concerned with maximizing pro fi ts and maintaining
competitiveness in international markets, the industry suffers from an increasingly
negative public opinion. This poses major challenges to the salmon aquaculture
industry that, unless properly addressed, will most likely affect its future growth and
development. Key issues related to salmon aquaculture industry occur throughout
the ‘ fi sh chain’ and as part of the natural and social systems-to-be-governed, as
described below.
Farming Environment
The public, especially seafood consumers, are becoming increasingly aware and
suspicious of the environmental issues associated with salmon aquaculture
(Whitmarsh and Wattage 2006 ) . For instance, news about sea lice from salmon
farms, associated with the declines in wild salmon stocks in Scotland (Gargan et al.
2002 ) and the west coast of Canada (Morton and Routledge 2005 ; Krkošek et al.
2006 ) , has led to poor public perception of the salmon aquaculture industry. This
perception may have a negative effect on the market, as some people may no longer
want to purchase farmed salmon products.
Production Factors
The productivity of salmon aquaculture has improved dramatically over the years
due to rapid technological innovations. Production costs have also declined (Asche
2008 ) . The feed conversion ratio, a measure of fi sh’s ef fi ciency in converting feed
into increased body weight, has greatly improved, and can now be as low as 1.2
– i.e., salmon can gain 1 kg body weight with 1.2 kg of feed. Operations are capital intensive, however, especially in Norway and Scotland. Furthermore, many
salmon producers suffer economic losses from the high mortality rate caused by
diseases and parasites, as well as prevention and control costs (Costello 2009 ;
Asche et al. 2010 ; Aunsmo et al. 2010 ) . Although the development of vaccines has
signi fi cantly reduced the use of antibiotics (Asche et al. 1999b ) , disease and parasite problems continue to be the major risk factor facing salmon aquaculture.
Escape is also a problem resulting in economic losses for salmon farms (Jensen
et al. 2010 ) .