Trade-Offs Between Single- and Multiple-Batch Production of Channel Catfish, Ictalurus punctatus:

Abstract

Economic trade-offs associated with single- and multiple-batch production of channel catfish, "Ictalurus punctatus," were analyzed using multi-period and risk programming mathematical models. Single-batch stocking strategies maximized net returns above variable cost, primarily because poorer feed conversions in multiple-batch systems resulted in lower net returns. In the absence of off-flavor, single-batch production would increase annual net returns by 5%. For every 25% reduction in off-flavor incidence, annual net returns increased by 1-3%. The 10-year average fall-to-spring price differential was less than the cost of holding fish through the winter, based on an assumed inventory holing cost of $0.08/kg/month. For each reduction in holding cost of $0.02/kg/month, annual net returns increased by 8-9%. Multiple stocking was selected as a risk-reducing strategy, but expected income decreased by 8% to 35% depending on the number of ponds stocked in multiple batches. Cash flow restrictions decreased annual net returns by 18% because multiple-batch stocking strategies were required to meet financial obligations.