The Technical Centre for Agricultural and Rural Cooperation (CTA) shut down its activities in December 2020 at the end of its mandate. The administrative closure of the Centre was completed in November 2021.

Shrimp for export: a unique strategy

Dossier

 

Field report from Madagascar

Madagascar is banking on production of shrimp for export, a unique strategy in African aquaculture. And, despite the effects of a crisis in world markets on the Malagasy shrimp industry, the country’s shrimp farmers remain determined to succeed.

Among the mangroves that fringe the north western coast of Madagascar, the AQUALMA marine shrimp rearing site, managed by the UNIMA Group, extends over an 800 ha area of tannes (salt flats), across more than 80 ponds 10 ha in size. All of the industry’s facilities are located at this site at Mahajamba, more than 800 km from the capital Antananarivo, including shrimp rearing ponds, hatcheries, a processing and packaging unit, laboratory and warehouse. Business activities are in full swing, unaffected, it would seem, by the crisis that has shaken the sector. Such performance is not a coincidence: “It’s the result of responsible operations and sound, environment-friendly management,” says Claude Brunot, President of GAPCM, a professional group of Malagasy shrimp farmers and fishers.

Crisis overcome

Shrimp exports primarily target niche markets in France, Japan, Spain, the UK and the US. But in 2008, an unprecedented crisis hit the Malagasy shrimp industry, as a result of competition from underpriced Asian shrimp, skyrocketing oil and fishmeal prices and the emergence of white spot disease. Two of the five remaining shrimp farms were then forced to close. The AQUAMEN company lost over €3.5 million and AQUAMAS, another enterprise, was forced to lay off 600 employees. Company expenditures, especially fuel costs, increased by 51%, whereas world market shrimp prices dropped by 28%. But the premium quality of Malagasy shrimp saved the day and lessened the impact of Asian competition. The French Ministry of Agriculture and Fisheries confirmed this outstanding quality by granting, for the first time globally, a Label Rouge (sign of quality assurance) to UNIMA prawns. Shrimp produced by OSO Farming have received a Label Bio (certified organic) and in Japan, shrimp developed by UNIMA have been awarded a Label Ikizuki (safe to be eaten raw).

From a shrimp health standpoint, the white spot disease problem is currently under control. Dr Luc Ralaimarindaza, Executive Director of ASH, the Malagasy fisheries health authority, is reassuring when he says, “Companies must comply with a rigorous epidemiological surveillance plan designed to detect diseases listed by the World Organisation for Animal Health, and they have stepped up experience-sharing with stakeholders in other producer countries within the region, through implementation of a regional epidemiological surveillance plan.”

Huge potential and strong partnership

Madagascar has an invaluable wealth of land (52,000 ha) suitable for shrimp aquaculture, with an estimated production potential of 58,000 t/year, 10 times more than the present production volume. In less than 20 years exports have risen dramatically, from 400 t in 1994 to 5,000 t in 2012, with peaks at 8,000 t in 2005 and 2007. Shrimp (Penaeus monodon) exports represent the third largest source of foreign exchange earnings (€62 million).

The industry is based on a strong public-private partnership. In 2001, the government launched a pilot farm project and passed a law on responsible and sustainable aquaculture development. This strategy relies on investment from the private sector, which in turn promotes semi-intensive, industrial aquaculture (5-10 post-larval shrimp/m2). The Ministry of Agriculture, Livestock and Fisheries (MAEP), through ASH - the authority that oversees control, inspection and health certification - monitors animal health and the hygiene of foods and animal feed for export. Otherwise, by bringing together professional shrimp farmers, GAPCM facilitates dialogue with the government, and with commercial and financial partners. “Solidarity between farmers has revitalised the industry and broadened the horizons,” claims Zoëlys Raboanarijaona, Director of the Aquaculture Department in the MAEP.

Struggle for small-scale farmers

Shrimp aquaculture is, however, hampered by various constraints. Initial investment is huge as the farms are located in very remote areas and imported feed costs are exorbitant. As a result, the shrimp farms are presently run solely by large investors.

In 1988, the state, with the support of the Japanese Government, created the Centre de développement de la culture de crevettes to ensure the development of shrimp farming through provision of training and technical support for Malagasy shrimp farmers. With each of the 40 small-scale farmers who benefited (members of a Malagasy small-scale shrimp farmers group, GAAMA) remaining in need of financial support, the results were inconclusive. Due to the low quality of the equipment used, these farmers were only able to produce low grade shrimp, which they had to sell cheaply through local fishing companies. The farms were unprofitable and finally disappeared. Although MAEP aims, through its long-term policies, to enhance Malagasy operators’ access to shrimp aquaculture - especially small farmers - no tangible action has been taken so far to boost small-scale shrimp farms.