The Philippine Shrimp Farming Industry
On the Road to Recovery

Philip S. Cruz, a member of the Philippine Fisheries and Aquaculture Board and owner of Cruz Aquaculture Corporation, which does consulting and is involved in the hatchery and growout of shrimp, crayfish and some marine fish, reports:

After becoming the world's leading producer of giant tiger shrimp (Penaeus monodon) in 1984 and after producing 90,426 metric tons a decade later, the Philippine shrimp farming industry collapsed in 1997. Production dropped to 40,080 metric tons due to widespread disease and pollution problems. Most severely affected were the high-density farms on the islands of Negros, Cebu and Mindanao (around the cities of Davao and General Santos). Ever since, annual production has remained at 35,000–40,000 metric tons with the bulk of the harvest coming from extensive farms. A virulent strain of luminous Vibrio caused most of the disease problems. A recent study by SEAFDEC-AQD on the molecular characteristics of local Vibrio strains suggests that V. harveyi and V. campbellii were the primary culprits. Just as farmers succeeded in managing luminous Vibrio, whitespot hit in 2002, further delaying a recovery.

Over the last several years, however, shrimp farming has made a comeback because of major modifications in our management practices. Among the key modifications:

Crusticides to remove WSSV carriers
Multiple PCR screenings of postlarvae
Probiotics in hatcheries
Increased aeration on farms
Increased use of dietary immunostimulants
Reduced water exchange
Adoption of stringent farm biosecurity measures
Use of tilapia/greenwater technology

In 1994-1995, shrimp farmers on the island of Negros discovered that filling their ponds with "greenwater", the algae-rich effluent from a reservoir stocked with tilapia, inhibited the luminous bacteria disease. They stocked their reservoir ponds with all-male tilapia at a biomass of around 1-2 metric tons per hectare. Some farmers also culture all-male tilapia in cages within the growout ponds at a standing biomass of around 300 kilograms per hectare in combination with the tilapia effluent from the reservoir. Tilapia effluent is dominated by Chlorella algae, which has been found to inhibit Vibrio growth. Chlorella also inhibits the growth of blue-green algae, resulting in improved and more stable water quality.

Shrimp farmers have learned a lot from neighboring countries, especially Thailand, through Charoen Pokphand/Philippines, a producer of shrimp feeds. During the second quarter of 2006, a sharp unexpected rise in the incidence of WSSV hatchery-bred fry on Negros Island was successfully controlled by farmers through the use of a new aquaculture disinfectant (Virkon^®, manufactured by DuPont), based on experiences of shrimp growers from Vietnam. All these new management strategies put together, coupled with years of experience, have now made production more predictable and risks more manageable.

By 2004, both luminous vibriosis and whitespot disease were declared "manageable" and this has since led to a revival of the industry on Negros. From March 2004 to March 2005, some 203 hectares of growout ponds monitored by the Negros Prawn Producers' Marketing Cooperative, Inc., yielded 950 metric tons of giant tiger shrimp, from an average stocking density of 20.6 PLs per square meter. Harvest size averaged 32.7 grams, with a culture period of 130 days and a feed conversion ratio of 1.83. In 2006, Negros farmers aim to increase harvest size to 35-40 grams.

At the 5th National Shrimp Congress (June 2006), the Philippine shrimp industry, one of the world's last monodon "loyalist", endorsed the farming of the nonnative western white shrimp (P. vannamei). The three-year debate over vannamei caused deep divisions within the industry. A major factor that led to a favorable decision on vannamei was a steep rise in production costs for P. monodon and the scarcity of good quality monodon spawners, which delayed the stocking of farms. Having essentially started the monodon revolution in 1975 by opening up the Japanese market, the Philippine shrimp industry's use of monodon is understandable. It is interesting to note, however, that the first vannamei growout trials in Asia probably happened here way back in 1978-79, from a one-time importation of undomesticated stocks that performed pitifully compared to monodon.

At present, controlled introduction of vannamei in selected demonstration farms on the island of Luzon by the Bureau of Fisheries and Aquatic Resources have yielded impressive yields and attractive production costs, paving the way for the expected full lifting of the ban on vannamei before the end of 2006, giving farmers a free choice on which species to culture. Based on the study by the Fisheries and Aquaculture Board of the Philippines, the Philippines has the potential to produce at least 100,000 metric tons of vannamei in the next five years, on top of the current monodon production.

With the predominantly low farmgate prices for monodon in recent months, most of the intensive monodon farmers have reduced stocking densities to around 15 PLs/m² and hope to harvest 35-gram animals. Field reports gathered to date suggest that this target will likely be achieved. For 2006, Philippine shrimp production is projected at around 40,000 metric tons, of which some 90% will be monodon, 4-6% vannamei and the balance consisting of local shrimp species.

On November 4, 2006, Cruz emailed: "There is still no final word on the lifting of the ban on vannamei, partly because we changed agriculture secretaries just a few weeks ago. I am still optimistic that the ban will be lifted before the end of the year. The 'experimental vannamei ponds' on Luzon continue to expand with an aggregate area already in excess of 200 hectares."

Information: Philip S. Cruz, Cruz Aquaculture Corporation, 158-C Araneta Street, Singcang, 6100 Bacolod City, Philippines (email cruzcorp@mozcom.com, webpage www.cruzaqua.com).

Source: 1. Emails to Shrimp News from Philip Cruz. Subject: Re: From Shrimp News. September 10 and 22, 2006. 2. The CD of the Aqua 2006 Abstracts (World Aquaculture Society, Florence, Italy, May 2006). Coping with Luminous Vibriosis and White Spot Disease in Black Tiger Shrimp: The Negros Island Experience. Philip S. Cruz. 3. Email from Philip Cruz on November 4, 2006.


Country Reports

Fiji
Hatchery Transferred to Private Sector

Fiji, an island nation in the South Pacific Ocean, has approved the transfer of a government shrimp hatchery to Navua Holdings Limited, a private company. The hatchery was established by the government in 1998 to encourage the development of shrimp farming. The government spent about $3 million on the hatchery, but was not able to make it profitable.

Source: Fiji Times. Cabinet approves hatchery transfer (http://www.fijitimes.com/story.aspx?id=50917). November 1, 2006.


Thailand
Freshwater Prawns

Raising giant freshwater prawns (Macrobrachium rosenbergii) in large net enclosures (krachang) along river banks could be a lucrative occupation for residents of Khura Buri district in Phangnga, one of the southern provinces still struggling to recover from the 2004 tsunami. Seven farmers are currently taking part in a pilot project, initiated by the Chai Pattana Foundation with financial support from SCB Asset Management Company. Adisorn Sermchaiwong, the president of SCB Asset Management, said his company was providing $27,000 for the venture along with management assistance. He said the farmers began raising the freshwater prawns--sometimes called "river lobsters"--in October 2006. The prawns are expected to grow to a commercial weight of 700 grams within seven months.

Prawns are seen as having great market potential, especially in hotels and restaurants in tourist areas like Phangnga and Phuket, according to Duangjai Nualprakho, a farmer who lost his property to the 2004 tsunami. Duangjai said he joined the project because he had some experience raising prawns in krachang before the tsunami.

Source: Agri Press World. Giant-prawn venture could help farmers (http://www.agripressworld.com/start/artikel/203302/en). October 31, 2006.


United States
Hawaii--Oceanic Institute, Promotions

Anthony Ostrowski, Ph.D., has been promoted to Vice President at the Oceanic Institute, the home of the USA Marine Shrimp Farming Program and an affiliate of Hawai'i Pacific University. Ostrowski will retain the position of Director of the United States Marine Shrimp Farming Program.

Warren Dominy, Ph.D., a research scientist, has been appointed Acting Director of OI's Aquatic Feeds and Nutrition Department. He will work on developing optimal feeds for shrimp (Penaeus vannamei) and fish.

Zhi Yong Ju, Ph.D., is OI's new Chemical Safety Officer. A research scientist in the Aquatic Feeds and Nutrition Department, he will oversee purchases of chemicals and manage their storage, labeling and disposal.

Information: Anthony Ostrowski, Director of the United States Marine Shrimp Farming Program, The Oceanic Institute, 41-202 Kalanianaole Highway, Waimanalo, HI 96795 USA (phone 808-259-3109, fax 808-259-3121, email aostrowski@oceanicinstitute.org, webpage www.oceanicinstitute.org).

Source: Aquafeed.com (The free E-zine for aquafeed professionals, http://www.aquafeed.com). Appointments at Oceanic Institute. Editor, Suzi Fraser Dominy (email editor@aquafeed.com). Issue-36, Volume-6, October 26, 2006.


United States
Hawaii--Oceanic Institute, Heart Healthy Shrimp

Although shrimp is a popular low fat-food, it is high in cholesterol and low in omega-3 fatty acids. In recent work at the Oceanic Institute, a feed formulation was developed for rearing shrimp to market size (15-20 grams)--with low levels of cholesterol and elevated levels of the omega-3 fatty acid docosahexaenoic (DHA).

Two feeding trials were conducted to compare an experimental diet with commercial feeds in terms of their effect on cholesterol and DHA content in the tail muscle of Pacific white shrimp (Penaeus vannamei). At the beginning of Trial 1, shrimp tail muscle contained 237 milligrams of cholesterol per 100 grams and 52 milligrams of DHA per 100 grams on a wet weight basis. After four weeks of feeding, the cholesterol level on a wet weight basis was 193 milligrams per 100 grams in shrimp fed the commercial feed and 148 milligrams per 100 grams in shrimp fed the experimental diet (a 23.3% reduction in cholesterol). The DHA level of tail muscle was 110 milligrams per 100 grams in shrimp fed the commercial feed and 170 milligrams per 100 grams for shrimp fed the experimental diet (a 35% elevation in DHA).

In Trial 2, tail muscle at the beginning of the trial contained 253 milligrams of cholesterol per 100 grams and 50 milligrams of DHA per 100 grams. After five weeks of feeding, the cholesterol level of tail muscle was 186 milligrams per 100 grams in shrimp fed commercial feed (#1), 195 milligrams per 100 grams in shrimp fed commercial feed (#2) and 163 milligrams per 100 grams in shrimp fed the experimental diet (a 12.4 to 16.4 percent reduction in cholesterol).

In Trial 2, the DHA level of tail muscle was 55 milligrams per 100 grams in shrimp fed commercial feed (#1), 83 milligrams per 100 grams in shrimp fed commercial feed #2 and 101 milligrams per 100 grams in shrimp fed the experimental diet (a 17.8 to 45.5 percent elevation in DHA).

The results of these two trials indicate that the levels of cholesterol and DHA in shrimp tail muscle were significantly influenced by the composition of the diet. The lower level of cholesterol and higher level of DHA in shrimp fed the experimental diet represents an improved nutritional profile in shrimp edible tissue. These levels are aligned with the American Heart Association recommended dietary cholesterol intake for people with heart disease.

A provisional patent application on heart healthy shrimp has been filed with the USA Patent and Trademark Office.

Source: World Aquaculture Society. The CD of the Aqua 2006 Abstracts (Florence, Italy, May 2006). Heart Healthy Shrimp. A. Reza Kamarei (rkamarei@oceanicinstitute.org), S. Divakaran, Warren Dominy, Leonard Obaldo and Ian Forster (The Oceanic Institute, Nutrition Department, 41-202 Kalanianaole Highway, Waimanalo, HI 96795 USA). Information: John Cooksey, World Aquaculture Conference Management, P.O. Box 2302, Valley Center, CA 92082 USA (phone 760-751-5005, fax 760-751-5003, email worldaqua@aol.com, webpage www.was.org).


United States
New Jersey--Epicore BioNetworks

Epicore BioNetworks, Inc., a public corporation registered in Calgary, Alberta, Canada, supplies probiotics and hatchery feeds to shrimp farmers worldwide. Its shares are listed on the TSX Venture Exchange in Toronto under the symbol EBN. In its 2006 fiscal year, which ended June 30, 2006, Epicore reported expanding sales and profits, despite some large swings in regional markets and some very challenging market conditions. For example, shrimp viral diseases in several markets forced producers to lower stocking densities, which decreased demand for some of Epicore's products.

The company generated net income of $110,000, an 11.8% increase over 2005. Net income per share was $0.005 versus $0.004 in 2005. At the end of June 2006, cash reserves were $400,000, an increase of 40% over 2005. Sales exceeded the two million dollar mark for the first time, and it was profitable for the third year in a row.

A new application method for EPICIN, a pond probiotic, helped shrimp farmers increase yields in low-density ponds. As a result, sales in Ecuador increased 70% over fiscal 2005.

Latin America remained Epicore's largest market as sales grew 12% in 2006. A rapidly growing shrimp aquaculture market and excellent distributor efforts made Mexico the largest distributor market in fiscal 2006.

Epicore's focus on the Asian market paid off in 2006 with a 32% increase in sales. Distributors in India and Indonesia made major contributions to fiscal 2006 results.

EPILITE, a new liquid hatchery feed, made a significant contribution to 2006 sales.

Information: William Long, Chief Executive Officer, Epicore BioNetworks, Inc., 4 Lina Lane, East Hampton, NJ 08060 USA (phone 609-267-9118, fax 609-267-9336, email epicore@gbsias.com, webpage www.epicorebionet.com).

Source: CNW TELBEC. Epicore BioNetworks, Inc. Fiscal Year 2006 Results for the period ended 30 June 2006 (http://www.cnw.ca/fr/releases/archive/October2006/27/c5637.html). October 27, 2006.


Vietnam
Antibiotics--Japan to Inspect All Shrimp Imports from Vietnam

On September 22, 2006, the Japanese Ministry of Health, Labor and Welfare announced that four batches of shrimp from Vietnam (tested on September 18, 2006) contained residues of chloramphenicol or nitrofurans. At the time, Japan tested 50 percent of the shrimp from Vietnam. Now, it has decided to test 100 percent! If it continues to find antibiotics, it might ban all shrimp imports from Vietnam!

Japan is Vietnam's biggest customer for shrimp, and some Vietnamese exporters don't think the Vietnamese government is doing enough to respond to the problem. Vietnam's National Fisheries Quality Assurance and Veterinary Directorate (NAFIQAVED) has suggested that it inspect all shrimp destined for Japan. That proposal, however, faces strong opposition from businesses like Seaprimexco, which in August and September 2006 spent roughly $187,000 on certificates from the Directorate--only to discover that two of its shipments that carried Directorate certificates were rejected because they contained antibiotics.

Sources: 1. Thanhniennews.com. Japan increases quality tests on Vietnamese shrimp (http://www.thanhniennews.com/business/?catid=2&newsid=20408). Tuoi Tre and Thanh Nien (translated by Ha Viet). September 23, 2006. 2. Seafood.com (an online, subscription-based, fisheries news service). Japan moves to 100% inspection of Vietnamese shrimp as exporters criticize government. Editor and Publisher, John Sackton (phone 781-861-1441, email jsackton@seafood.com). November 3, 2006.