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Getting Started in Aquaculture
Jim Held
Aquaculture Outreach Specialist
UW-Extension
QuickTime™ and aTIFF (Uncompressed) decompressor
are needed to see this picture.
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6 Critical rules for success
1. Keep the fish wet
2. Big fish eat little fish
3. Critical components need 3
levels of redundancy
4. You can’t make money growing fish
5. Most operations fail because
of poor business planning
6. Don’t make the same
same mistake twice
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“I have this pond…”
• Can I make money with it?
• What can I grow?
• What is it going to cost me?
• How hard do I have to work?
• Are there any subsidies?
• What do you mean it’s not my pond!
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Goals- A fork in the road
• Profit
• Feed the family
• Agricultural experience for kids
• Landscape improvement
• Recreation
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Write it down!
Ron’s RuleIf it doesn’t work on paperit won’t work in the real world
Jim’s CorollaryIf it does work on paperit still may not work in the real world
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Project Notebook
what it is
• Composite results of market identification and bio-programming
• Describes a properly evaluated and functional facility
• Includes cost projections, construction and operations schedule
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Project Notebook
what it does• Enables immediate decisions without
further work
• Provides a framework to sell your idea to financial backers
• Guide for subsequent phases of development in spite of
– Postponements
– Changes in permitting
– Changes in designer
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Where do I start?
• Road map- Business Plan
– Market Identification
– Bio-programming
– Facility characterization
– Financial analysis
– Environmental impact (Permitting)
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Resources• RAC publications
– ncrac.org
– srac.tamu.edu
– nrac.umd.edu
• White Papers– aquanic.org
• Aquaculture associations– wisconsinaquaculture.com
• Extension specialists– Aquaculture.uwsp.edu
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Market identification:
finding a hole in the market(see rule #4)
• Fish species
– Outdoor- environmental limitations
– Indoor- market limitations
• Target audience
– Wholesale
– Retail
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Market identification• Product(s)
– Product form
– Value added
– Vertical integration
• Pricing– Market price
– Premium price
– Breakeven price
• Production level– Quantity
– Flow
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Market identification
Ultimately the question to be answered is:
How is my product different from existing products in the marketplace?
Some of the answers to this question are:
convenience, quality, price,
feel-good factor
Know and understand your competition!
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Bio-programming:
if you feed it, will it grow
• Goals
– Statement of intent, purpose, and
methodology
– The what, why and how of the project
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Biological criteria• Species description
– Propagation and life cycle
– Production cycle
• Behavioral characteristics– Negative attributes
• Culture techniques– Propagation
– Juvenile needs
– Grow-out method
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Biological criteria
• Environmental requirements
– Water quality
– System limitations
• Nutritional requirements
– Feed conversion ratio
• Lbs of feed/lbs of weight gain
– Live
• Minnow size is critical
– Formulated feeds
• Fish meal vs grain based diets
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Biological criteria
• Growth rates
– Time to market size
– Relevance to production cycle
• Mortality rates
– Survival at different life stages
• Diseases
– Veterinary needs
– Biosecurity
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Facility characterization
• Integrates goals, design criteria financial constraints and site conditions into a functional and operational plan
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Facility programming• Production schedule
– Populations at each life stage
– Water and space needs
• Infrastructure– Water system
– Production space
– Support space• Feed and equipment storage
• Processing area
• Transfer/holding facilities
• Office space
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Production fits site
or
Site fits production
• Predetermined site
– Economic viability given limits imposed by
site constraints
• Undetermined site
– Optimize biological and physical
requirements
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Schematic design
• Translates criteria and site constraints into a workable design
• Identify and solve major design problems
• Verify no constraints to production goals
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Results in:• Report describing facility design
concept
• Site layout with location of major components
• Floor plans for support buildings
• Schematic diagram of hydraulics, air and power systems -REDUNDANCY!
• Topographical survey-emphasis on water flow
• Preliminary construction cost and schedule
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Financial analysis
• Financing source(s)
–Bank
–Investors
–Personal wealth
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Financial analysis
• Cost/benefit requirements of owner and financing organization-may require some modeling
– Interest on borrowed capital
– Profit distribution to investors
– Equity in tangible assets
– Tax considerations
• Business deductions, depreciation
• Employee costs
– Salary, fringe benefits, social security,insurances
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Financial analysis
• Phased development
– Basic necessitiies/immediate needs
• Small scale trial
– Cash flow restrictions
• Mitigated by vertical integration
– Room for expansion
– Change in focus
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Environmental analysis
• Influences on the environment
• Positive and negative impacts
– Wetlands
– Native and non-native species
– Water table
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Environmental analysis
• Permitting– Construction and building permits
• Zoning and pond construction
– Fish hatchery license
– Livestock premises registration
– HAACP food processing license
– Well drilling and use permits
– Retail sales license and sales tax number
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Questions?
Unsuccessful businesses
do not plan to fail-
They fail to plan!!
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Fish choices
• Food fish - depends on water temp
– Trout, perch, bluegill, tilapia, catfish
• Stocking - source may be a problem
– Walleye, pike, bass, panfish
• Bait - you can’t raise enough
• Ornamentals– Mostly indoors
• Recreation - balance is important
– Beware of excessive reproduction
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Aquaculture systems
• Pond
• Raceway
• Net pen
• Recirculation
• Aquaponics
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Fish Ponds
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Ponds• Things to consider:
– Land
– Water source
– Effluent
– Depth of pond
– Slopes of sides
– Power
– Permits
– Liners
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Flow-through systems
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Flow-through systems
• Things to consider:
– High volume of moving water
– Effluent
– Permits
– Aeration
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Recirculating systems
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Recirculating systems
• Things to consider:
– Cost
• Tanks, pumps, filters and biomedia, UV
sterilization
– Back up power source
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Net Pens
A way to use big ponds
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Aquaponics is……the combination of recirculating
aquaculture and hydroponics (soilless plant culture).
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General comments
• Very water conservative
• Very productive for plants
• Biosecurity critical
• Fish are a byproduct
• Keep the bacteria happy
• Balance and compromise
• Usually indoors so year-round
• Seasonal hoop houses
• Leafy greens work best
• Fruits need pollination
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Aquaponics systems• Three main systems:
– Media bed
– Nutrient Film Technique (NFT)
– Raft system
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Media Bed
Inexpensive components
Uses inert media
Flood and Drain
Needs less filtration
Good for fruits and roots
Seeds sown directly
Maintenance required
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Media bed
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Nutrient Film Technique - NFT
• Small reservoir of water
• Can be tiered
• Greens work best
• Fruits need innovative support
• High filtration needs
• Water flow critical
• Expensive to build
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NFT
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Raft Style
• Cheap to build
• Easy to operate
• Safe for fish
• Production line
• Simple filtration
• Needs germination
• Almost any size
• Best for greens
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Raft Style
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Fish for Aquaponics
• Tilapia
• Catfish
• Perch
• Bluegill
• Koi
• Not trout!
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Plants for Aquaponics
• Leafy greens
• Fruits
• Roots
• Herbs
• Ornamental aquatics
• Flowers
• Ethnic specialties