CORRECTING THE MISALLOCATION OF NEPHROPS STOCKS IN SCOTTISH INSHORE WATERS:
UNTAPPING A VAST ECONOMIC
(AND ENVIRONMENTAL) POTENTIAL (May 2017)
Creeling and trawling for Nephrops are not simply alternative methods of
harvesting Nephrops in inshore waters. Economically, they are quite separate
activities which deliver fundamentally different economic outcomes. What they
have in common is that, in Scotland’s inshore waters, they compete for access to
the same stock of Nephrops.
Currently, in Scotland we have an economically
absurd outcome whereby each tonne of Nephrops caught by trawls in areas fishable
by creels is contributing to an unnecessary degradation of the Scottish marine
environment and a significant reduction in Scottish output, income, employment
and profits, particularly in remote/rural areas. This is a manifestation of
‘market failure’. Regrettably, Marine Scotland, which should be correcting the
anomaly of excessive trawling effort, has adopted a laissez-faire approach. This
is precisely the wrong response.
At the same time, whilst Marine Scotland eschews area management, across the
inshore area, many mobile operators are imposing their own de facto area
management with the primary purpose of benefitting themselves at the direct
expense of creelers. Creelers have to comply with these creel limits otherwise
they face the prospect of their creels being regularly towed away. This is a
very costly and inconvenient sanction.
The combination of Marine Scotland “hands off” approach and de facto creel
limits imposed by the trawl sector has resulted in trawlers managing to secure
87.7% of the Scottish Nephrops catch.
This level of access to Nephrops stocks is certainly not warranted by the
sector’s economic or environmental performance, or indeed any coherent
There is little doubt that exploitation of Scotland’s inshore Nephrops stocks
has been driven in a direction which has been completely incompatible with
Scotland’s best interest and the Scottish Government’s declared policy
objectives. It is clear that Marine Scotland’s current laissez-faire is entirely
inappropriate and deeply damaging, particularly to remote areas in Scotland.
In addressing the issue of which sector should have preferential access to
Scotland’s inshore Nephrops stocks, the paper considers the question; “which
sector will make best economic use of each and every live weight tonne of
Nephrops?” It transpires that creeling not only delivers more jobs per tonne
it catches, it is economically more efficient (i.e. profitable) to catch a tonne
of Nephrops using creels rather than trawling the sea bed.
This is a remarkable result. It means that employment and economic efficiency
(as reflected in profitability per tonne) would both be increased by allowing a
greater Nephrops tonnage to be caught by creelers. At the same time, this would
better facilitate the development of Scotland’s footprint and reputation as an
exporter of quality food and drink.
Apparently, Marine Scotland faces no trade-off between economic indicators.
By reallocating access to Nephrops in favour of creeling Marine Scotland has the
capacity to increase total employment, total household incomes, total profits
/economic efficiency and the number of individual fishing businesses in coastal
areas. Many of these areas are remote and suffer from a narrow range of economic
In addition, and equally remarkably, because each tonne landed by creelers
causes less environmental damage, Marine Scotland does not have to contend with
trade-offs between economic and environmental performance indicators. It can
therefore improve the economy and the marine environment.
This paper further establishes that the optimum allocation of Nephrops stocks
requires that, in future, trawlers should not catch a single tonne of Nephrops
which otherwise could have been caught by creelers. This implies that creelers
should have exclusive access to some inshore areas. Comparing this with the
current reality reveals the full extent of market failure.
Ironically, because of market failure and its own past failure to intervene,
Marine Scotland now faces a legacy of a highly significant economic and
environmental potential just waiting to be released. Moreover, the release of
these economic and environmental benefits would not require a public finance
commitment of any magnitude.
In order to provide an insight into particular policy proposals, among other
things, the study estimated the net gains in key economic performance
indicators. This was done in terms of each 1,000 tonnes of Nephrops transferred
to the creeling sector. These are presented in the Table below and represent the
gains to the creeling sector minus the losses to the trawling sector. They
represent the overall benefit to Scotland as a whole.
Table 3.3 Net Gains per 1,000 Tonnes Transferred to Creeling
||Per 1,000 Tonne
|Additional FT Jobs
SCFF takes the view that Marine Scotland should regard the re-balancing of
fishing effort in the form of creel only areas as a quite extraordinary
one-off opportunity to realise the massive potential of our inshore Nephrop
stocks. Currently this potential is being shamefully squandered.
SCFF now calls on Marine Scotland to accept the conclusions of this paper and
to work with the Federation to ensure that inshore Nephrops stocks will now be
managed in Scotland’s best interests. Specifically, SCFF is seeking Marine
Scotland’s support for a target of a fifty per cent share for creelers of the
0-6NM Scottish Nephrops fishery. SCFF believes that this goal can best be
- On the west coast of Scotland through the re-imposition of an 0-3NM
mobile gear restriction; and
- On the east coast of Scotland through a network of mobile gear free
zones negotiated at local level with the support and guidance from Marine
SCFF estimates that the economic benefits of this policy for the west coast
alone would include:
- Over 450 additional (small) fishing vessels and businesses
- Over 700 net and new sustainable jobs in fishing
- Nearly £45m additional annual revenue and over £2.5m annual profits
which would flow directly into west coast communities
These figures clearly demonstrate that the national interest supports a
substantial reallocation of fishing opportunity for Nephrops in Scotland to the
creel sector. The SCFF calls on Marine Scotland to start working with it
immediately to make its goal a reality by 2022.
Scottish Creel Fishermen’s Federation
Open full report in pdf format
Innovation not protectionism key to success of Nephrops fishery (Response to SFF/SCO
Study November 2017)
A coalition of Scottish inshore creel fishermen has
urged for a more innovative spirit in response to a new trawl sector study on
the value of the Scottish prawn fishery. The Scottish Creel Fishermen’s
Federation (SCFF) has given the thumbs down to the study funded by the Scottish
Fishermen’s Federation which attempts to play down on-going creeler-led calls
for more equitable access to inshore prawn grounds. SCFF welcome ongoing efforts
by the Scottish Government and Seafood Scotland to take forward the implications
of its own ‘Misallocation’ report with further industry analysis and an
assessment of the supply chain implications.
In response to the
SFF/SFO study, Alistair Sinclair, National Coordinator for Scottish Creel
Fishermen’s Federation said:
“We are proposing urgent innovation within the
prawn fishery that could generate more rural fishing jobs and reduce
environmental impacts of the excessive trawling effort in our inshore waters.
Creel fishing is a low impact fishery and if given more space to operate, could
revitalise our inshore fishery. Currently our whole business model is hindered
by outdated and inequitable spatial management.
The trawl sector should not be defensive about this. There are many win-wins to
be achieved. Those with foresight within the trawl sector knows the industry
needs to adapt to sustainability concerns, and we are presenting a spatial
management solution that could lead to better fisheries all-round. Less
bottom-trawling could see a return of the whitefish inshore.
The SCFF are encouraged that the Scottish Government, with the expert assistance
of Seafood Scotland, are now building on our research to examine supply chain
implications before progressing any policy or regulatory intervention.
The SFF report fails to assess the opportunity cost of excessive trawling in
inshore waters, nor does it quantify the economic potential of more creeling. We
hoped our own Misallocation report would stimulate meaningful debate about how
to innovate for the success of our shared Nephrops fishery. Unfortunately, what
we’re witnessing is a well-funded trawl lobby employing consultants to produce a
glossy, but two dimensional and protectionist study. This protectionism is
delaying an important and more rational debate that affects both trawl and creel
fishermen in Scotland. The study does nothing to diminish our case; it only
serves to strengthen our calls for more equitable access to the fishery.”
Full response here: