The value of whale watching to local communities in Baja, Mexico: A case study using applied economic rent theory

Nature-based tourism can provide opportunities for local stewardship and create incentives to support habitat and conservation of marine species where there is pressure on local habitat. We investigate the local economic value of Eastern Pacific gray whales (Eschrichtius robustus) to two communities in Baja California Sur, Mexico, that benefit from nature-based tourism associated with the whales. Using a producer side approach and data for 2006, we estimate the economic rent associated with whale watching in 2006 and then examine the distribution of that rent among local stakeholders. We find a substantial local value associated with the presence of gray whales, with the largest share (two-thirds) going to the whale watching owner-operators. Our findings suggest that increasing the whale watching price in 2006 would have been a cost-effective strategy for increasing the rent captured locally from whale watching. Finally, we conclude with a brief assessment of developments since 2006.