Can Fish Farming Be a Viable and Feasible Economic Development Strategy for the Bergriver Municipality?

Abstract

The aquaculture sector in South Africa is said to be small and underdeveloped when compared to countries that have similar socio-economic dynamics. However, the sector has undeniable potential and opportunities for growth and development due to the increasing demand for fish (DFFE Aquaculture Yearbook, 2019). Over the past decade, production volumes for aquaculture commodities have continued to surpass projected figures and this trend is expected to continue well into the future, provided that conditions remain suitable. South Africa boasts a long coastline of approximately 3900 kilometres which includes mainland South Africa and Prince Edward Islands which comprise of Marion Island and Prince Edward Island in the Southern Ocean. Its vast ocean area (Exclusive Economic Zone) of some 1.5 million square kilometres (compared to the land-mass of approximately 1.2 million square kilometres) and the fact that South Africa is uniquely surrounded by three oceans, the Atlantic Ocean in the West, the Southern Ocean in the South and the Indian Ocean in the East which is rich in biodiversity and other natural resources, provides opportunities for sustainable utilisation and economic growth. As part of the development of an Oceans Policy, an economic study was commissioned in 2010 to determine the contribution of the ocean to the South African Economy, in terms of Gross Domestic Product (GDP) and Jobs. This study focused on the monetary value of the structured oceans economy and did not include the valuation of the ecological and natural capital. The South African Maritime sector has been existence for many decades and whilst there is recognition for its contribution to the overall Oceans Economy, some of the sub-sectors remained nascent and under-explored. In promoting the Oceans Economy as a sector for sustained economic growth, it is important to address the multitude of constraints that impede growth and development, including transformation and implementing a set of interventions to advance the sector. From the economic analysis of the total ocean sectors (in 2010), it was estimated that the Oceans Economy could contribute between R129 to R177 billion by 2033 and create between 800 000 to 1 million jobs. In an attempt to stimulate the Oceans Economy, the South African Government initiated Operation Phakisa in 2014 as a results-driven approach with clear plans and targets, based on the Big Fast Results (BFR) methodology which was successfully implemented in the Economic Transformation of the Malaysian Economy. Whilst the implementation of the detailed plans of Operation Phakisa has had varying successes and impacts, further work is required in some subsectors. The development of the Oceans Economy Master Plan builds on the foundation of the initiatives of Operation Phakisa and expands the scope to sub-sectors that had not been dealt with during this process. The Oceans Economy sector is quite complex and will be dealt with at sub-sector level as these sub-sectors are quite unique with its own dynamics and opportunities. A first draft version of the Oceans Economy Master Plan is available.