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Technical Assistance Consultant's Report TA7307-REG

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Technical Assistance Consultant's Report TA7307-REG Technical Assistance Consultant’s Report Project Number: 43126-012 June 2013 TA7307-REG: Technical Assistance for Regional Cooperation on Knowledge Management, Policy and Institutional Support to Coral Triangle Initiative (Financed by the Asian Development Bank, Australian Agency for International Development, and the Global Environment Facility) Prepared by Pacific Rim Innovation and Management Exponents Inc. (PRIMEX) Manila, Philippines For the Asian Development Bank (ADB) The views expressed in this report are those of the authors and do not necessarily reflect the views and policies of the Asian Development Bank (ADB) or its Board of Governors or the governments they represent. ADB does not guarantee the accuracy of the data included in this publication and accepts no responsibility for any consequence of their use. By making any designation of or references to a particular territory or geographic area, or by using the term “country” in this document, ADB does not intend to make any judgments as to the legal or other status of any territory or area. Technical Assistance Consultant’s Report Economics of Fisheries and Aquaculture in the Coral Triangle (EFACT) FINAL REPORT June 2013 TA 7307-REG: Regional Cooperation on Knowledge Management, Policy, and Institutional Support to the Coral Triangle Initiative Page i ACKNOWLEDGMENTS The study team would like to thank the many organizations and individuals who have shared their invaluable comments, advice, and technical expertise during the preparation and finalization of this report. The team appreciates ADB's purpose to use this report to inform policy initiatives on coastal and marine resources management and food security at the regional and national levels and to develop project ideas. This work also benefitted from the technical contributions and generous support of the Arafura and Timor Seas Ecosystem Action (ATSEA) Program of the United Nations Development Programme (UNDP), Australian Agency for International Development (AusAID), Danish International Development Agency (Danida), Food and Agriculture Organization of the United Nations (FAO) Statistics Division, United States Agency for International Development (USAID), WorldFish Center (ICLARM), and World Wildlife Fund (WWF). This report would also not have been possible without the keen interest and strong cooperation of the Coral Triangle national coordinating committees and other development partners. The report was finalized under the technical direction and supervision provided by ADB project officers, Marilou Drilon (Senior Natural Resources Economist, Pacific Department) and Pavit Ramachandran (Senior Environment Specialist, Southeast Asia Department). TA 7307-REG: Regional Cooperation on Knowledge Management, Policy, and Institutional Support to the Coral Triangle Initiative Page ii TABLE OF CONTENTS Page Acknowledgments ...................................................................... Error! Bookmark not defined. List of Tables .......................................................................................................................... ivv List of Figures ........................................................................................................................... vi List of Appendices .................................................................................................................... vii List of Abbreviations .............................................................................................................. viiiiii Executive Summary .................................................................................................................. xi CHAPTER I: INTRODUCTION ................................................................................................ 1 A. Background and Purpose of the Study .............................................................................. 1 B. Features of the EFACT Study ............................................................................................ 2 C. Organization of the Report ................................................................................................. 3 CHAPTER II: FISH PRODUCTION IN THE CORAL TRIANGLE: STATUS, TRENDS, AND CHALLENGES ................................................................................ 5 A. Socioeconomic Profile of the Coral Triangle Countries ...................................................... 5 B. Fisheries Production in the Coral Triangle ......................................................................... 8 C. Fisheries Values .............................................................................................................. 18 D. Status of Fishery Resources ............................................................................................ 21 E. Projections of Fish Supply in the CT6 .............................................................................. 24 F. Summary and Conclusions .............................................................................................. 29 References ............................................................................................................................. 29 CHAPTER III: AQUACULTURE DEVELOPMENT TRENDS AND IMPLICATIONS IN THE CORAL TRIANGLE ......................................................................... 33 A. Introduction ...................................................................................................................... 33 B. Aquaculture in the CTI Plans of Action ............................................................................. 33 C. Aquaculture Development in the Coral Triangle ............................................................... 35 D. Interactions between Capture Fisheries and Aquaculture ................................................ 38 E. The Hidden Costs of Fish Kills: A Case Study from the Philippines .................................. 41 F. Conclusion and Recommendations.................................................................................. 44 References ............................................................................................................................. 46 CHAPTER IV: CONNECTIVITIES IN THE CORAL TRIANGLE ............................................ 49 A. Ecological Connectivities ................................................................................................. 49 B. Economic Connectivity: Trade in Fisheries Products ....................................................... 53 C. Governance/Institutional Linkages ................................................................................... 59 D. Conclusions ..................................................................................................................... 62 References ............................................................................................................................. 63 CHAPTER V: SUBSISTENCE FISHERIES IN THE CORAL TRIANGLE .............................. 66 A. Overview.......................................................................................................................... 66 B. Fisheries and Reef Interactions in the Solomon Islands ................................................... 68 C. Capture Fisheries in Timor-Leste ............................................................................ 72 D. Opportunities and Challenges in Valuing Subsistence Fisheries in the Philippines .......... 76 E. Conclusions ..................................................................................................................... 79 References ............................................................................................................................. 80 CHAPTER VI: FISHERIES VALUE RETENTION IN THE CORAL TRIANGLE FOR HIGHLY TRADED COMMODITIES ........................................................................................ 83 A. Introduction ...................................................................................................................... 83 B. Tuna Value Chains in Mindoro Straits and Lagonoy Gulf, Philippines .............................. 84 C. Live Reef Fish Value Chains from Taytay, Palawan ................................................. 90 TA 7307-REG: Regional Cooperation on Knowledge Management, Policy, and Institutional Support to the Coral Triangle Initiative Page iii D. A Simple Value Chain Analysis for Coral Exports in the Solomon Islands ............... 100 References ........................................................................................................................... 105 CHAPTER VII: ASSURING SUSTAINABLE FISHERIES DEVELOPMENT THROUGH ECOSYSTEM RESILIENCY AND FOOD SECURITY ........................................................... 109 A. The Importance of Fisheries in the CT ........................................................................... 109 B. Key Drivers Affecting Fisheries Ecosystem Sustainability .............................................. 112 C. Management Approaches toward Assuring Fisheries Ecosystem Sustainability ............ 116 D. Convergence Opportunities, Synergies in Fisheries, and Coastal Resource Management through the Ecosystem Approach to Fisheries Management .................... 124 References ........................................................................................................................... 128 CHAPTER VIII: REGIONAL CALL TO ACTION .................................................................
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