The Limits of Risks Hedging in Aquaculture: The Case of Shellfish Farming in France Public Deposited

http://ir.library.oregonstate.edu/concern/conference_proceedings_or_journals/br86b451j

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  • Shellfish farmers make their production decisions in an environment characterized by multiple uncertainty. As shellfish farming is done in an open area, producers face a large number of risks: e.g. biological, environmental, pollution or climatic risks. Historically, this sector has been affected by several crisis; the last ones were the unexpected mortality of spat in 2008 and 2009. Insurance is one important potential mechanism for managing this kind of risks (e.g. crop insurance in agriculture), but shellfish farming had limited insurance availability in France. The purpose of this article is first to determine specific risks of this segment of agriculture. We then present the existing hedging mechanisms, from self-protection / self-insurance measures to the possible intervention of the Fishery European Funds. We analyze the limits of such instruments and we try to explain why efficient protection is not available for this sector. Main reasons of such a lack are: High level of ambiguity in risks definition, individual correlation and the high degree of specialization of a small sector, what limits the possibility of risk pooling.
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  • Le Bihan, Veronique and Sophie Pardo. 2010. The Limits of Risks Hedging in Aquaculture: The Case of Shellfish Farming in France. 7 pages. In: Proceedings of the Fifteenth Biennial Conference of the International Institute of Fisheries Economics & Trade, July 13-16, 2010, Montpellier, France: Economics of Fish Resources and Aquatic Ecosystems: Balancing Uses, Balancing Costs. Compiled by Ann L. Shriver. International Institute of Fisheries Economics & Trade, Corvallis, Oregon, USA, 2010.
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  • description.provenance : Made available in DSpace on 2013-05-20T19:02:39Z (GMT). No. of bitstreams: 1 196.pdf: 53680 bytes, checksum: 756a6c79ee028050e0317f49382079c7 (MD5) Previous issue date: 2010
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