GLOBAL SHRIMP FARMING SITUATION. George Chamberlain President

GLOBAL SHRIMP FARMING SITUATION George Chamberlain President

GLOBAL AQUACULTURE ALLIANCE Communications Global Aquaculture Advocate magazine Website (www.gaalliance.org) Electronic newsletter BAP Certification Market driven standards for best practices Annual GOAL meeting Production, markets Advocacy Issues and solutions

Health Breeding Kona Bay vannamei Brunei monodon Nutrition Fishmeal replacement Hatchery Farm Seafood Kauai Shrimp Hawaii, USA Kauai clams Brunei

TOPICS 1. The Challenge 2. Disease Case Studies 3. Shrimp Health Management The Past The Present Early Mortality Syndrome The Future 4. Conclusions 5. Panel Discussion

Production (million tonnes) 1. FISH TO 2030 PROJECTS EXCEPTIONALLY STRONG GLOBAL SEAFOOD DEMAND 120 100 Growing fisheries (0.7% per annum) Stagnant fisheries 80 Global consumption rises to 22.5 kg/y Global consumption remains at 1996 levels (15.6 kg/y) 60 Fish 40 20 Technological advances in aquaculture Baseline scenario Ecological collapse of fisheries 1950 1960 1970 1980 1990 2000 2010 2020 2030 Year Ye (1999) IFPRI (2003) FAO (2004) Wijkstrom (2003) Source: Hall, S. Blue Frontiers (2011), WorldFish Centre

Volume (millions of tons) 2. AQUACULTURE IS THE ONLY WAY TO INCREASE OUR SEAFOOD SUPPLY Wild capture: Limited and stable Aquaculture, with growth potential Limited

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Production in Mill. metric tonnes 8,7 9,0 9,9 11,2 13,1 15,0 16,9 17,9 18,5 19,9 20,8 22,2 23,5 24,2 26,3 28,0 29,9 31,6 34,3 36,1 38,3 41,6 % ten year growth rate 3. THE GROWTH RATE OF AQUACULTURE IS SLOWING DOWN 45,0 40,0 35,0 30,0 25,0 20,0 15,0 10,0 5,0 0,0 Production % growth 250 200 150 100 50 0 7 Source: FAO

4. DISEASE IS THE PRIMARY FACTOR LIMITING THE GROWTH OF AQUACULTURE 1. Disease 2. Feed 3. Environment 4. Financing 5. Market 8

TOPICS 1. Our Challenge 2. Disease Case Studies 3. Shrimp Health Management The Past The Present Early Mortality Syndrome The Future 4. Conclusions 5. Panel Discussion

HOW CAN WE REDUCE DISEASE RISK? Lessons Learned in Responsible Aquaculture Initiated in 2011 by the World Bank, the Responsible Aquaculture Foundation, and GAA. Objectives To conduct case studies on selected epidemics To identify common causes and solutions To improve preventative management, policy, and regulation. 10

REDUCING DISEASE RISK IN AQUACULTURE Three Case Studies: 2011: ISA in Chile 2012: EMS in Vietnam 2013: WSSV in Mozambique and Madagascar Report can be downloaded from the GAA website: www.gaalliance.org/newsroo m/whitepapers.php

2011 CASE STUDY IN CHILE: INFECTIOUS SALMON ANEMIA VIRUS Producers captivated by rapid growth of the sector. Inadequate biosecurity, surveillance, zone management Fast response by industry, banks, and regulators

2012 CASE STUDY IN VIETNAM: EARLY MORTALITY SYNDROME OF SHRIMP EMS started in China and spread to Vietnam, Malaysia, Thailand, and Mexico Study began before cause of disease was known, but members of the team identified the pathogen a few months later. Inadequate biosecurity, sanitation, quarantine, and surveillance.

2013 CASE STUDY IN MOZ AND MAD: WHITE SPOT VIRUS OF SHRIMP Strain identification of the WSSV pathogen indicated that it originated from the Middle East. Limited surveillance and biosecurity Need for cooperation between Mozambique and Madagascar

TOPICS 1. Our Dilemma 2. Disease Case Studies 3. Shrimp Health Management The Past The Present Early Mortality Syndrome The Future 4. Conclusions 5. Panel Discussion

THE PAST: BEGINNING WITH PRIMITIVE SYSTEMS, LOW YIELDS For centuries, shrimp farming was conducted in a very primitive manner Crude, tidal ponds Wild postlarvae Minimal control of stocking density, predators, environment, nutrition, or health

The Past: Learning the fundamentals to increase control Dr. Fujinaga (1938-1968) Developed techniques for spawning, larval rearing, and growout of P. japonicus Dr. Liao (1968-1985) Transferred Fujinaga s technology to P. monodon in Taiwan Intensive farming systems of Taiwan became the model for Asia

TAIWAN IN 1980 S: INTENSIFICATION AND FRAGMENTATION

RAPID INDUSTRY EXPANSION, BUT HIGHLY VULNERABLE TO DISEASE Million Mt 1,0 0,8 0,5 0,3 0,0

REPEATED DISEASE OUTBREAKS Year Countries Disease 1982 Ecuador BP 1988 Taiwan YHV 1992 China, pandemic WSSV 1994 Ecuador, pandemic TSV 2002 Thailand, Indonesia MSGV 2004 Brazil, Indonesia IMNV 2006 Belize, Mexico PvNv 2010 China, Vietnam, Malaysia, Thailand, Mexico EMS

WSSV EPIDEMIC TRIGGERED ENVIRONMENTAL ATTACKS. WSSV began in China and spread throughout Asia and Americas. Global shrimp production was flat for a decade. Critics asserted that shrimp farming is inherently unsustainable (mangrove destruction, pollution, banned chemicals, social issues) Supreme Court of India ruled against shrimp farming in 1996.

FORMATION OF GAA Founded in 1997 Gathered facts to refute exaggerations Developed Codes of Practice for Responsible Shrimp Farming in 1999 Developed BAP standards for certification of farms, hatcheries, feed mills, and processing plants Great improvements in mangrove conservation, pollution, etc. 1.4 mlllion MT now BAP certified.

WSSV EPIDEMIC LED TO IMPROVED HEALTH MANAGEMENT Biosecurity Widespread use of PCR testing Tightening regulations on movement of animals Farm management Reduced water exchange which led to development of biofloc systems Control of disease carriers with disinfectants, crustacides, and bird netting

THE BREAKTHROUGH: SPF L. VANNAMEI Breeding of Specifc Pathogen Free stocks by Oceanic Institute in Hawaii Initial trials successful in Texas, but failed in Ecuador due to Taura Syndrome Virus Bred SPF stocks for resistance to TSV Rapidly replaced infected P. monodon. Led to development of private breeding companies (e.g., CP, SIS, Kona Bay).

WSSV EPIDEMIC LED TO INDUSTRY TRANSFORMATION AND QUADRUPLING OF PRODUCTION 4,5 4,0 3,5 3,0 2,5 2,0 Million MT 1,5 1,0 WSSV epidemic 0,5 0,0 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 P. vannamei P. monodon M. rosenbergii Other Sources: FAO (2013) for 1991-2011; GOAL (2013) for 2012-2015.

26 THE PRESENT ANOTHER EPIDEMIC EARLY MORTALITY SYNDROME

SHRIMP PRODUCTION IS DOWN, BUT THE TIDE IS TURNING Million MT 4.8 EMS epidemic 4.2 3.6 3.0 2.4 1.8 1.2 0.6 0.0 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 P. vannamei P. monodon M. rosenbergii Other

SHRIMP AQUACULTURE IN ASIA: 2009 2016 MAJOR PRODUCERS Million MT 1.8 1.5 1.2 China is expected to recover slightly in 2014; recovery in Thailand will begin in 2015. Production increases are expected in all countries in the region by 2016. Thailand will be displaced from second to fifth position. 0.9 0.6 0.3 0.0 China Thailand Vietnam Indonesia India 2009 2010 2011 2012 2013 2014 2015 2016 Sources: FAO (2014) for 2009-2012; GOAL (2014) for 2013-2016. M. rosenbergii is not included.

SHRIMP AQUACULTURE IN ASIA: 2009-2012 VS. 2012-2016 Average Annual Growth Rate 40% 32% 2009-2012 2012-2016 37.40% 24% 16% 8% 0% -8% 1.60% -1.80% 1.40% 10.00% 6.00% 6.90% 4.90% 5.30% 3.00% 5.20% -16% -14.00% China Thailand Vietnam Indonesia India Bangladesh Sources: FAO (2014) for 2009-2012; GOAL (2014) for 2013-2016. M. rosenbergii is not included.

SHRIMP AQUACULTURE IN LATIN AMERICA: 2009 2016 MAJOR PRODUCERS d MT Ecuador is ramping up production as output from other countries falters. Production in 2016 is expected to be 28% higher than in 2013. Brazil expects to reach 100,000 tons by 2016. Mexico heavily impacted by EMS in 2013: production down by 50%, with partial recovery afterwards. Ecuador Mexico Brazil 2009 2010 2011 2012 2013 2014 2015 2016 Sources: FAO (2014) for 2009-2012; GOAL (2014) for 2013-2016. M. rosenbergii is not included.

SHRIMP AQUACULTURE IN LATIN AMERICA: 2009-2012 VS. 2012-2016 Average Annual Growth Rate 25% 20% 15% 10% 5% 0% 22.70% 2009-2012 2012-2015 16.20% 9.30% 6.10% 6.00% 4.40% 9.90% 3.60% 9.70% 11.90% 4.00% 23.20% 0.50% -5% -3.80% -3.40% -10% -7.30% Ecuador Mexico Brazil Honduras Peru Guatemala Nicaragua Venezuela Sources: FAO (2014) for 2009-2012; GOAL (2014) for 2013-2016. M. rosenbergii is not included. 31

2014 SURVEY ON EMS IN AFFECTED COUNTRIES Expert Committee Patrick Sorgeloos, Don Lightner, Victoria Alday, Noriaki Akazawa, Stephen Newman, Loc Tran, James Brock, Bruno Gil, Indrani Karunasagar, Randall Brummett, Huang Jie, Angus Cameron, CV Mojan, Peter van Wyk, George Chamberlain Online survey of farms in each affected country Identify practices associated with successful EMS management Dr. Brendan Cowlan will summarize during the panel Followup case studies of selected farms In-depth audits to validate trends seen in survey

THE EMS EXPERT COMMITTEE TESTED THE SURVEY BY INTERVIEWING VIETNAMESE FARMERS

WHAT HAVE WE LEARNED? Early mortality syndrome (EMS), or acute hepatopancreatic necrosis syndrome (AHPNS), is a bacterial disease caused by a strain of Vibrio parahaemolyticus It does not affect humans 34

EMS COLONIZES THE STOMACH AND PRODUCES A TOXIN THAT DAMAGES THE HEPATOPANCREAS Lumen of Stomach Microcolony of bacteria growing on epicuticle of gastric wall 35

HOW IS IT TRANSMITTED? Vertically Can be carried in broodstock and larvae Live feeds for shrimp reproduction, esp. polychaete worms are a major concern Horizontally Cannibalism, consumption of carriers, fecal/oral, and water. Bacterial plaque on egg 36 Cannibalism

WHY IS THE EMS PATHOGEN DIFFERENT THAN A VIRUS? Unlike viruses, it does not require a host organism to replicate Once established in the environment. It colonizes quickly It can be displaced by a mature microbial community 37

A LUCKY, UNEXPECTED BREAK: GENETICALLY-RESISTANT L. VANNAMEI Survey revealed a promising trend with EMSresistant L. vannamei in Mexico Preliminary followup data supports this trend: Shrimp Production in EMS-Affected Areas in Sonora, Mexico EMS-resistant Non-resistant Production (kg/ha) 1,800-2,000 150-300 Survival (%) 45-90 20-30 Pre-harvest 18 -- Final harvest 28 32-36 38

PUTTING IT ALL TOGETHER Diagnostics Improved PCR tests Breeding Genetic resistance to EMS Hatchery Avoid infected foods Improve sanitation Farm Manage microbial community Feed Additives to improve EMS resistance

WHAT S NEXT? We are learning to manage EMS, but already other new diseases are emerging Microsporidean parasite Covert Nodavirus 40

STUDY OF 200 SHRIMP PONDS IN THAILAND AHPND 03, 07, 11, 12, 16, 20, 32, 34,40, 45, 47, 50, 52, 54, 55, 58, 73, 74, 82, 83, 84, 87, 90,91, 92, 93, 105, 110, 112, 116, 119, 122, 126, 131, 144, 150 36/148 (24%) No AHPND but bacterial lesions 04, 05, 21, 24, 44, 51, 69, 75, 79, 86, 88, 96, 99, 101, 117, 130, 133, 136, 139, 143 20/148 (14%) Early mortality but No HP lesions 57, 70, 98, 100, 111 5/148 (3%) Collapsed HP epithelium 02, 15, 17, 25, 26, 29, 30, 37, 38, 46, 48, 49, 53, 64, 65, 76, 80, 81, 95, 97, 104, 109, 113, 114, 115, 123, 125, 127, 128, 134, 135 31/148 (21%) Normal HP 01, 06, 08, 09, 10, 13, 14, 18, 19, 22, 23, 27, 28, 31, 33, 35, 36, 39, 41, 42, 43, 56, 59, 60, 61, 62, 63, 66, 67, 68, 71, 72, 77, 78, 85, 89, 94, 102, 103, 106, 107, 108, 118, 120, 121, 124, 129, 132, 137, 138, 140, 141, 142, 145, 148, 149 56/148 (38%) 41 Infected with the microsproidian E. hepatopenaei (EHP) 72/148 = 49% Mortality <35 days (study definition of EMS = 21/148 = 14%) Infected with white spot syndrome virus (WSSV) = 8/148 = 5% Covert mortality nodavirus (CMNV) = 64/148 = 43% Specimens 146 and 147 un-readable (poor fixation)

THE FUTURE Our journey As shrimp farming matures, it must continue to develop improved controls that help reduce disease risk, increase production, and improve sustainability. 42

BRAZIL SHOULD CONSIDER SPF/SPR L. VANNAMEI 100 % S u r v i v a l 90 80 70 60 50 40 30 20 10 TSV IMNV 0 2011 2012 2013

20-Sep 27-Sep 4-Oct 11-Oct 18-Oct 25-Oct 1-Nov 8-Nov 15-Nov 22-Nov 29-Nov 6-Dec 13-Dec 20-Dec 27-Dec 3-Jan 10-Jan MBW (g) and Harvest (tons) INDONESIA IS ACHIEVING FAST GROWTH AND HIGH YIELDS DESPITE IMNV (MAKASAR, INDONESIA 114 DAYS) 30 25 20 15 10 MBW Harvest 5 0

SPF STOCKS WITH RESISTANCE TO WSSV ARE ALSO AVAILABLE

Weight MARKER-ASSISTED BREEDING Molecular Markers (SNPs) used for trait identification in mainstream agriculture. In Hawaii, soy farmers are funding research on markers for dietary soy tolerance in shrimp 20 15 10 5 0 Fishmeal Soybean meal

DEEP INTENSIVE PONDS Deep ponds (3-5 m) used in Vietnam for Pangasius now being built for shrimp in China Can achieve yields of 30-50 mt/ha/cycle. Pangasius

MORE EFFICIENT FEEDING Salmon farms achieve the lowest FCRs in aquaculture Centralized computer controlled feeding systems being used in shrimp ponds in Brunei to drive down FCR Salmon farming

INTEGRATED MULTI-TROPHIC AQUACULTURE Mussels feed on algae and organic waste from salmon farms in Chile Clams feed on algae and organic waste in shrimp ponds in Hawaii and produce a valuable secondary crop. Salmon/mussel/kelp farming

ZONE MANAGEMENT STANDARD Zone management standards are under development as BAP 5 th star Proximity among farms Veterinary services Quarantine Management practices Information sharing

Million Metric Tonnes OUR EXPECTION: SHRIMP FARMING WILL DOUBLE IN THE NEXT DECADE 9 8 7 6 5 4 3 * 2 1 0 51

CONCLUSIONS Seafood demand is strong due to rising middle class in Asia and aquaculture is the only way to meet this increasing demand Disease is a key factor limiting industry growth, but the industry is recovering from EMS. Brazil is in a strong position to implement improving technology and expand production to meet the growing global shrimp demand. Major opportunities: Utilize SPF L. vannamei lines that are genetically resistant to IMNV and WSSV Implement biosecure intensive systems