TABLE OF CONTENTS Pages Symposium 1 - the National Sea ...

Table 2: Key production parameters
Item Nursery Intermediate Final
Number of Days to Transfer or Harvest 60 60 60
Acclimation Survival 85%
Percent Survival - Phase (%) 80% 85% 90%
Percent Survival - Overall (%) 80% 68% 61%
Stocking Density (shrimp/m 2 ) 1,351 348 150
Harvest Density (shrimp/m 2 ) 1,081 296 135
Harvest Densitu (kg/m 3 ) 1.68 2.43 2.46
Total Weight Harvested/Crop (kg) 29 137 271
Feed Conversion Ratio 1.72 1.77 1.76
The final phase of each culture tank was harvested six times per year, yielding an average
of 271 kg/crop of 18 gram shrimp. In Years 4-10, when all 12 greenhouses were in
production, the total annual production averaged nearly 39,000 kg/year (86,000 lbs/year).
The total production cost per pound of shrimp was estimated to be $4.27/lb. Production
costs were relatively high because recirculating systems are more capital-, energy-, and
labor-intensive than semi-intensive pond production systems in the tropics. Because of
this fact, shrimp produced in recirculating production systems can not compete directly
with foreign-produced shrimp on the wholesale frozen tail market. Rather, these shrimp
must be direct-marketed to restaurants and specialty seafood markets as premium fresh
product in order to bring a higher price. While few detailed market studies have been
carried out to indicate the volume of fresh, whole shrimp that can be sold at various
prices, our experience suggested that significant volumes can be sold at prices in the
range of $5.00-$6.00/lb. For the economic analysis it was assumed that the shrimp were
sold for $5.25/lb of whole shrimp. At this price the annual gross revenues from shrimp
sales averaged nearly $450,000 per year on sales of 86,000 lbs/year of whole shrimp.
Cash Flow and Investment Analyses
A pro forma cash flow analysis was carried out to determine the borrowing requirements
and net cash income from the project over a ten-year period. The results of this analysis
are summarized in Table 3. The cash flow analysis showed that the project would have
to be financed through borrowing or investor paid-in capital during the first three years of
the project, which are building years. Beginning in Year 2 all of the operating costs were
covered by the revenues from shrimp sales, and some of the income from sales was
available to apply against new capital investment. Nevertheless additional outside money
was needed in Years 2 and 3 to cover new construction costs. A total of nearly $495,500
of borrowed capital was paid into the project.
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