Economic health of the northeast (U.S.) multispecies trawl fleet 1996-2010

The United States northeast multispecies trawl fleet has undergone significant regulatory changes over the past 15 years, leading to a substantial reduction in fishing vessels. Given the changes that have occurred, it is important to systematically measure and monitor the economic status of the fleet. This is accomplished through construction of an “economic health index” that combines data on quantities of fish landed, their prices, along with inputs used, such as fuel and crew, into four basket type indexes which are combined into a single index number. A fifth component, incorporating fixed costs, is then included to arrive at the final index number. Results show that the fleet's economic status has improved since 1996, and that the improvement has been driven by productivity gains. The analysis also shows that inflation adjusted ex-vessel prices have not increased since 1996, while the costs of inputs used on fishing trips have increased.