Valuation Study

View Study Details

Fisher Catch Value


Medium: Animals, Plants and/or Others

Country: Malaysia

Analytical Framework(s): Benefit Valuation

Unit(s): Prices

Study Date: 2011

Publication Date: 2014

Major Result(s)

Resource/Environmental Good MYR, per month
MYR, per month
USD, per month
catch value for fishers with outboard-powered vessels 5,935.00 6,380.42 1,848.51
catch value for fishers with inboard-powered vessels 3,126.00 3,360.61 973.62

About the Inflation Adjustment: Prices in Malaysia (MYR) changed by 7.51% from 2011 to 2014 (aggregated from annual CPI data), so the study values were multiplied by 1.08 to express them in 2014 prices. The study values could be expressed in any desired year (for example, to 2020) by following the same inflation calculation and being sensitive to directional (forward/backward) aggregations using your own CPI/inflation data.

Study Note: The authors noted that there are four government agencies with jurisdictions over fishery matters in Malaysia. Apart from the Department of Fisheries Malaysia and Fisheries Development Authority Malaysia, the two other agencies are the Department of Marine Parks under the Ministry of Natural Resources and Environment, and the Malaysian Maritime Enforcement Agency (MMEA). The Department of Marine Parks is responsible for marine parks in Malaysia and has jurisdiction over ARs categorized as marine protected areas. On the other hand, MMEA is responsible for the enforcement of marine and fisheries policies. Coordination between these four agencies is very important in the management of ARs so that they are effective in conserving fish stocks as well as promoting sustainable fisheries.

Study Details

Reference: Shaufique Sidique, Kusairi Mohd Noh, Gazi Md Nurul Islam and Aswani Farhana Mohd Noh. 2014. Economic Impacts of Artificial Reefs: The Case of Fisher Households in Peninsular Malaysia. EEPSEA Research Report, No. 2014-RR4.

Summary: Current knowledge supports artificial reefs (AR)s as an important tool in enhancing Malaysian marine fisheries. However, whether their use has economically benefited artisanal fishers has not been well studied. This gap is addressed by this study, which looks at the socioeconomic impact of ARs on the artisanal fishers in Terengganu. Results indicate that there is a difference in the value of catch between fishers who fish in AR and non-AR areas. Respondents fishing near AR areas are found to benefit from a higher monthly catch value. Our regression models also indicate that fishing in AR areas help reduce vessel operating costs. There is also a significant difference in catch value between fishers with outboard-powered and inboard-powered vessels. Moreover, results indicate that while fishing is the primary source of income for many poor fisher households in the study area, outboard-vessel fishers are more dependent on income sources other than fishing, which is primarily due to their relatively less productive catch compared to inboard-vessel fishers.

Site Characteristics: The main problem of the marine capture fisheries sector in Malaysia is excessive fishing, particularly in inshore areas. Several management regulations and policies have been implemented to manage fishery resources efficiently. In peninsular Malaysia, the main regulatory method implemented to manage fishery resources is limited entry license through zoning. Through this regulation, fishing grounds are divided into fishing zones based on distances from the coastline. In addition to the zoning arrangements and license limitation, mesh-size regulation has been imposed to trawl nets. A policy for conservation with a moratorium on new licenses has also been implemented. Encroachment by trawlers in the near shore fishing ground (zone A) has been identified as the main problem in protecting fishery resources and the livelihood of artisanal fishers in peninsular Malaysia. Due to unclear zoning area demarcation and lack of enforcement, it is difficult to reduce encroachment by trawlers. DOF and LKIM have deployed ARs to prevent trawler encroachment in zone A as well as to compensate the effects of stock depletion and to enhance the income of fishers. Hence, zone A fishing areas have been reserved exclusively for artisanal fishers surrounding the AR areas to provide them with easy access to fishing.

Comments: The study findings revealed whether artisanal fishers have improved access to fishing activities and whether they experience any improvements in catch. The findings provide valuable information to policymakers in designing ARs that distribute benefits more evenly and pay more attention to the people who are dependent on fishery resources. The study also provided information on whether equitable and sustainable benefits from AR programs can be achieved through support from various stakeholders in the community.