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Economic Feasibility And Government Intervention On Seaweed Farming In

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Journal of Survey in Fisheries Sciences 9(1) 917-924 2022

Economic Feasibility And Government Intervention On Seaweed Farming In

Tamil Nadu
R. Sathish kumar1*, K. Ramesh Kumar2
1*
Ph.D. Research Scholar, Department of Economics and Rural Development, Alagappa University, Karaikudi, Tamil
Nadu, India
2
Assistant Professor, Department of Economics and Rural Development, Alagappa University, Karaikudi, Tamil Nadu,
India,

*Corresponding Author: R. Sathish kumar

*Ph.D. Research Scholar, Department of Economics and Rural Development, Alagappa University, Karaikudi, Tamil
Nadu, India

Abstract
This research aims to examine the role of government for promoting seaweed farming in India and with special focus on
Tamil Nadu. The primary data covers 357 sample households and data were collected from the selected district of Tamil
Nadu. The findings discourses the majority of the seaweed cultivators were well-informed about the welfare initiatives
introduced by the Central and state Governments. Moreover, most of the respondents were availed the loan subsidies. The
study suggested that policy supports, financial incentives, infrastructure development, changes in environment regulations,
market development, capacity building and training for seaweed cultivators have been highly needed for promoting
seaweed cultivation in India and specific in Tamil Nadu because of her rich potential in seaweed recourses.

Keywords: Seaweed, Aquaculture, Government intervention, Coastal areas, Market development

Introduction
The fishery sector plays a significant role in the Indian economy; it contributes nearly one percent of gross value added
and 5.37per cent of gross value added from the farming sector. This sector is also a principal source of exports, food, and
nutritional security and it makes in employment generation and livelihood for a large sector of the economically
underprivileged population of the country, especially in the coastal areas, as per the 2011 census more than one crore
family members engaged in fisheries activities (Handbook on Fisheries Statistics, 2018). The country is well on its way
to reach the potential of fisheries can be seen from the fact that fish production increased from the level of 0.75 million
metric tonnes (MMT) in 1950-51 to 12.59 MMT in 2017-18 from a long coastline of about 8,118 km and 2.02 million sq.
km of EEZ (Exclusive Economic Zone), both marine and inland indicative of the immersive growth and potential of the
sector.

Sustainable development provides a coherent approach to address pressing global challenges such as climate change,
environmental degradation, and resource depletion. However, when shifting from a fossil-based economy to a bio-based
economy, it is important to adhere to the fundamentals of recycling in order for it to be a viable solution. When considering
the possibilities of new feedstocks, the bio-based economy's acceptable capacity should be kept open because the
downward strategy would increase value creation. Seaweed, a bio-product, can replace fossil products because of its
distinct chemical features, quick germination rate, and other advantages outside food.

Handling naturally exposed bunches of seaweed is the most basic way to cultivate seaweed. Additionally, in the most
innovative method, the ranchers take complete control of the algae's life cycle. There are three methods for growing
seaweed. First is the Central Salt and Marine Chemical Research Institute's (CSMCRI) single rope floating raft (SRFR)
approach. It is appropriate for growing seaweeds at greater depths and across a larger region. The second is the synthetic
seaweed manufactured using the fixed bottom long thread technique. The third method is Integrated Multi-Trophic
Aquaculture (IMTA), which is similar to polyculture in that it involves the synchronised growth of two or more species.
To increase production, decrease waste, and support ecosystem services like bioremediation, IMTA produces a variety of
marine organisms from various trophic levels.

India has a lot of potential for growing seaweed. India has an exclusive economic zone (EEZ) that spans 2.15 million
square kilometres and is one of the world's 12 mega biodiversity countries. The nation's coastline and its numerous water
surrounding ecosystems support the prolific growth of several seaweed cultures, each of which has a considerable
economic worth. The country, which has a 7500 km coastline, is home to about 844 different types of seaweed. There are
plenty of resources in the intertidal and sub tidal zone on the West Coast, especially in Gujarat. The development of
industries based on seaweed has tremendous potential thanks to these resources. Seaweed is widely available in Tamil

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 Economic Feasibility And Government Intervention On Seaweed Farming In Tamil Nadu

Nadu, Gujrat coats, Lakshadweep, Andaman, and the Nicobar Islands. Mumbai, Ratnagiri, Goa, Karwar, Varkala,
Vizhinjam, and Pulicat in Tamil Nadu, as well as Chilka in Orissa, are other locations with rich seaweed beds.

There are 14,500 miles of open rivers in India. India can benefit much from seaweed cultivation if these natural resources
are used. First, freshwater, arable land or dietary inputs are not required for the cultivation of seaweed. This is critical
since the nation is facing a serious water scarcity. Second, it is possible to gather seaweed and utilize it to make biofuels,
the usage of which is being advocated in India. The potential for carbon sequestration might be greatly enhanced and the
reliance on fossil fuels could be decreased by switching to seaweed-based electricity. Preliminary research results from a
University of California study indicate that adding a modest amount of seaweed to cattle feed can lower methane emissions
from the cattle industry. India has a significant population of cattle, thus since these conditions are present there as well,
they would be felt there. Fourth, fish population cultivation and ocean acidification reversal can be supported by seaweed
farming. This would support the livelihood and revenue production of the numerous riverside inhabitants who also work
in traditional agriculture.

With the help of the Council of Scientific and Industrial Research (CISR) and CSMRI and their connections to the industry,
India is moving towards knowledge-intensive seaweed production rather of relying solely on collecting seaweed from
untouched regions of the ocean. By 2025, India hopes to increase seaweed output to at least 1 million tonnes annually
with an investment of roughly $86.8 million. The investment is a component of the Blue Revolution programme under
India's Pradhan Mantri Matsya Sampada Yojana (PMMSY). The programme, which was approved by the government in
May 2020, aims to "bring about a Blue Revolution through sustainable and responsible development of the fisheries sector
in India." Seaweed seed banks, nurseries, tissue culture units, processing and marketing facilities, as well as kill training
and business development, will all be funded by the funding. Additionally, the number of jobs and wages available to
individuals will increase because to these investments. The government is also luring big investors to this industry by
approving 100% FDI through automatic methods in the fisheries and aquaculture industries.

An emerging and promising area of a global circular economy is led by startups. For employing seaweed to help rescue
the planet, the Indian startup Sea6 Energy has won praise from all over the world. The goal of this business is to assess
the size and level of automation of tropical seaweed farming. It produces sustainable raw materials for enterprises involved
in the production of agri-foods, health supplements, cosmetics, bioplastics, and polymers, as well as biomass for use as
fuel. For the whole value chain, patents have been obtained. It has created the "Sea Combine," a tractor-like vehicle that
is currently being used in India and Indonesia to distribute seeds and collect tropical sea plants offshore.

Seaweed demand globally

❖ Demand for red seaweeds is estimated to grow at the highest rate due to its functional qualities.
❖ More than 80 per cent of the demand for commercial seaweed in 2015 was from Asia.

Seaweeds Resource in India

Pacific and the region is forecasted to witness the highest growth of more than 9 percent during [Link]
Resource in India In India seaweed production potential is estimated 1,000,000 tonnes distributed in six states-Gujarat,
Tamil Nadu, Kerala, Andhra Pradesh, Maharashtra and Andaman &Nicobar Islands. In 2016 the Tamil Nadu governments
introduced a scheme for seaweed cultivation to fishermen community for livelihood support and ensure means of income
generation of costal area community. The coastal area of Tamil Nadu and Gujarat makes the significant contributing to
the production of seaweed of the country. These resources have great potential for the development of seaweed-based
industries in India. As many as 1000 varieties of seaweed are in existence in India out of which, 300 varieties are in the
Gulf of Mannar (south Tamil Nadu) with rich in algal flora. The latest projection shows that in 2020 the production
capacity of seaweed reached to 26,000 tonnes. At the same time the ministry was target that the incremental production
from 0.56 Lt. in 2020-21 to 11.2Lt, in 2024-25. In the year 2016 the government of Tamil Nadu has introduced a scheme
for seaweed cultivation to the fishermen community for livelihood support and ensures the means of income generation
of the coastal community.

The study of Food and Agricultural Organization has (Table 2) pointed that, as of 2019 that the aggregate potential of
seaweed resources of the Indian coast are 22,044 tonnes in Tamil Nadu, 20,000 and 8000 tonnes in Gujarat and
Maharashtra respectively, 2,000 tonnes in Lakshadweep, and 1,000 tonnes in the Andaman and Nicobar Islands.

Why seaweed farming in India

 Remedy for non-availability of required quantity of seaweeds for various uses.
 Provide occupation for the coastal people.
 Provide continuous supply of raw material for seaweed-based industry and reduce CO2 in global warming.

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Journal of Survey in Fisheries Sciences 9(1) 917-924 2022

Table-1: Seaweed Production target

(Lakh ton) in wet Weight
State/UTs 2020-21 2021-22 2022-23 2023-24 2024-25 Total
Rank
(5%) (10%) (25%) (30%) (30%) (100%)
Gujarat 0.1 0.2 0.5 0.6 0.6 2 2
Maharashtra 0.05 0.1 0.25 0.3 0.3 1 4
Goa 0.01 0.02 0.05 0.06 0.06 0.2 6
Kerala 0.025 0.05 0.0125 0.15 0.15 0.5 5
Tamil Nadu 0.15 0.3 0.75 0.9 0.9 3 1
Andhra Pradesh 0.075 0.15 0.375 0.45 0.45 1.5 3
Odisha 0.05 0.1 0.25 0.3 0.3 1 4
West Bengal 0.05 0.1 0.25 0.3 0.3 1 4
Karnataka 0.025 0.05 0.125 0.15 0.15 0.5 5
Pondicherry 0.01 0.02 0.05 0.06 0.06 0.2 6
Lakshadweep 0.005 0.01 0.025 0.03 0.03 0.1 7
Andaman &
0.005 0.01 0.025 0.03 0.03 0.1 7
Nicobar Islands
Daman &Diu 0.005 0.01 0.025 0.03 0.03 0.1 7
Total 0.56 1.12 2.8 3.36 3.36 11.2
Source: Pradhan Mantri Matsya Sampada Yojana, Ministry of Fisheries, GoI. 2021.
Note: UTs: Union Territories’ of India

Table-2 Seaweed resources in Indian coasts

State/UTs Annual Yield in tonnes (fresh wt.)
Tamil Nadu 22,044
Gujarat 20,000
Maharashtra 20,000
Lakshadweep islands 8,000
Goa 2,000
Kerala 1,000
Andaman and Nicobar Islands 120
Source: FAO, Status of seaweed culture in India (2019).
Note: UTs: Union Territories’ of India

Recent Literatures on Seaweed

Nupur Bapuly and Nikhil Sharma (2023) have mentioned that seaweed has huge positional in promoting socio and
economic conditions of the coastal farmers.
Maiken Bjørkan and Suzannah-Lynn Billing (2022) discourse in their study on commercial of seaweed cultivation in
Scotland and social pillar of sustainability, they motioned that the government of Scottish has establish the seaweed
cultivation for industrial promotion and to the blue economy for the potential for rural, island and coastal communities.

According to Diego Valderrama (2013), seaweed farming has generated substantial socio-economic benefits to
marginalized coastal communities in developing countries. La Ode Muhammad Aslan (2018) analyzes the income of
seaweed farming households and seaweed farming has the highest contribution to a household income of all activities.
Seaweed is one of the world's main aquaculture products as 70 percent of the seaweed production is exported as a raw
material (dried seaweed), while the remaining (30 percent) is processed into carrageenan (Ferdouse et al. 2018).Seaweed
culture provides financial benefits and creates employment opportunity for coastal inhabitants. This study was conducted
to assess profitability and to determine the socioeconomic factors that affect the profitability of seaweed culture in the
coastal region (TK Ghose &MI Hossain 2020)
Songwe, B. A. et al., (2016) clearly said the study assessed business management capacity; economic return; business
model, and level of value addition initiatives on seaweed farming. The study found that farmers were significantly not
realizing economic returns due to most of the production being below breakeven point (1,439 kgs of dry seaweed per
cycle). Alam et al., (2003) has reviewed the study to adopt commercially viable large-scale culture technologies, and
provide them with good marketing facilities. Buschmann H. Alejandro (2017): Ginigaddara, GAS and Lankapura, AIY
(2018) seaweed farming is perceived as an important livelihood option for the coastal communities, and developing
strategies to mitigate the impact of adverse environmental changes would promote seaweed cultivation.
Kwabena Appiah Agyarko (2017) The study has analyzed women are more patient to complete the cycle of planting,
weeding, harvesting, and selling involved in the cultivation of seaweed. D. Valderrama et al., (2015) and Zamroni. An et
al., (2011) study assessed the opportunities and constraints of seaweed farming projects with regard to sustainable coastal
management in Indonesia.

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 Economic Feasibility And Government Intervention On Seaweed Farming In Tamil Nadu

Ganesan, M.; Trivedi, N.; Gupta, V. (2019): Johnson, B. and Gopakumar, G (2011) pointed out that the regions of Tamil
Nadu and Gujarat have rich seaweed diversity in India.
Narayanakumar, R. and Krishnan, M. (2013),: Krishnana, M. and Narayanakumar, R (2010) in their study has examined
the structure, conduct, and performance of the value chain in seaweed farming in India inquiring into the production,
institutional, marketing, social and community relationships in small-scale seaweed farming. Irmayani et al., (2015),
Tandel Kirtankumar V. et al., (2016) have studied seaweed cultivation and its potential to generate new opportunities for
revenue generation and the empowerment of fisherwomen, Radhika Rajasree SR and S Gayathri (2014). M. F. A. Pratama
et al., (2021) have explored the study based on the SWOT analysis increasing production to meet sponge demand,
expanding the area for sponge breeding, empowering local communities.

Scope of the Study

Farming of seaweeds is widespread, promising economic activity, and an important livelihood option in many tropical
coastal households. Compared to other types of aquaculture activities, seaweed farming has little impact on the
environment. The significant research works are carried out at the national and international levels. Most of the researchers
have focused on the macro aspects of seaweed farming (Vaibhav, 2019; Sajid, I. Khan, and Satam, 2003; Kaplinsky,
Raphael, and Morris, Mike, 2001) and some others have covered national aspects (Krishnan, and Narayanakumar, 2010;
Ganesan, 2019) the limited studies focused on the micro-level impact on the economic feasibility and government
intervention on promoting seaweed farming and create the socio-economic characteristics of the local population and their
ability and willingness to work on the farms. These things are essential to consider for the sustainability of livelihood and
income generation.

Objectives of the study

 To study the economic significance of seaweed cultivation and it’s potential to generate new opportunity of revenue
generation in India.
 To analyse the significance of governments schemes and its involvement in promoting seaweed cultivation.
 To study the awareness among Eco-friendly and hygienic seaweed Methods of collection by the seaweed farmers in
the study area, and
 To suggest the suitable policy implications to promotion of seaweed cultivation in the feasibility districts of India.

Methodology& Data collection

This study is designed as a descriptive approach based on both primary and secondary data. Primary data were collected
through a structured interview schedule. The schedule includes family size, age composition experience in fishing and
seaweed farming, asset ownership, income, and employment status, indebtedness, and socio and economic status
improvement associated with seaweed farming. The sample was drawn based on purposive sampling proportionate to size.
For this purpose one district was identified namely Ramanathapuram district, Eleven villages are selected on the basis of
the high-level proportion of seaweed farming, as the study area analyzes the structure, conduct, and performance of
seaweed farming, as these districts are the center of seaweed farming in Tamil Nadu. Based on a detailed analysis of the
existing literature and the gaps therein, the following hypotheses have been framed and to be tested. After the intervention
of seaweed farming, household income was increased and there is a considerable diversification in livelihood and
generation employment in general particularly to women in the coastal seaweed farming households.

Data Analysis
The collected data of 357 were analysed with the help of simple descriptive tables, percentage analyses were employed to
assess the economic feasibility and livelihood status of seaweed farming farmers in Tamil Nadu and selected district.

Results & Discussion

Table-1 Percentage of Awareness on Welfare Schemes Provided by the Central Government
S. No Opinion No. of the Respondents Percent
1. Yes 326 91.3
2. No 31 8.7
Total 357 100.0
Source: This source collected from field survey

The above table presents the awareness level of respondents regarding the welfare schemes of the Central Government.
Among the total 357 respondents, a significant majority of 326 individuals (91.3% of the sample) were aware of the
welfare schemes provided by the Central Government. Conversely, a small proportion of 31 respondents (8.7% of the
sample) reported not being aware of these schemes.

The findings reported that the majority of the surveyed population is well-informed about the welfare initiatives introduced
by the Central Government. However, it is essential to note that a minority still lacks awareness about these programmes.
Addressing this lack of awareness among the smaller group could be an area of improvement for the government, ensuring
that more citizens can benefit from the available welfare schemes.

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Journal of Survey in Fisheries Sciences 9(1) 917-924 2022

Table-2 Percentage of Awareness on Welfare Schemes Provided by the State Government

S. No Opinion No. of the Respondents Percent
1. Yes 332 93.0
2. No 25 7.0
Total 357 100.0
Source: This source collected from field survey

It was observed that a substantial majority of the participants, around 93.0%, were knowledgeable about the welfare
schemes provided by the State Government. In contrast, a smaller minority of approximately 7.0% admitted to being
unaware of these initiatives. These findings suggest a considerably high level of awareness among the respondents
concerning the state government's social welfare programs.

Table-3 Percentage of subsidies availed from the governments for seaweed cultivation
S. No Opinion No. of the Respondents Percent
1. Yes 291 81.5
2. No 66 18.5
Total 357 100.0
Source: This source collected from field survey
According to the table above, the respondents' views on government subsidies for seaweed cultivation are as follows: 81.5
percent, or 291 respondents, reported availing the subsidy, while 18.5 percent, or 66 respondents, stated that they did not
receive any subsidy from the government.

Table-4 Percentage of nature of subsidy availed

S. No Description No. of the Respondents Percent
1. Loan 250 70.0
2. Raft 57 16.0
3. Seaweed 50 14.0
Total 357 100.0
Source: This source collected from field survey

The data provided in the table above illustrates the types of subsidies utilized by the respondents. According to the study,
70.0% of the participants benefited from a loan subsidy, whereas 16.0% chose a raft assistance subsidy. Furthermore,
14.0% of the respondents took advantage of a seaweed-related subsidy.

Table-5 Percentage of bank loan available for seaweed cultivation

S. No Opinion No. of the Respondents Percent
1. Yes 276 77.3
2. No 81 22.7
Total 357 100.0
Source: This source collected from field survey

According to the study findings, the respondents utilized a bank loan to support their seaweed cultivation endeavors.
Among the participants, 276 individuals (77.3%) acknowledged having obtained the bank loan, while 81 respondents
(22.7%) stated that they did not have access to this financial assistance.

Policy Implications
 Policy Support: Governments should create favorable policies and regulations that incentivize and support seaweed
cultivation. This includes providing permits and licenses for seaweed farming operations, defining property rights and
access to coastal areas, and establishing clear guidelines for sustainable practices.
 Research and Development: Governments should invest in research and development initiatives to improve seaweed
farming techniques, optimize seaweed species for cultivation, and explore new applications for seaweed-based
products. This can lead to increased productivity and efficiency in the industry.
 Financial Incentives: Governments should offer financial incentives, grants, and subsidies to encourage individuals
and businesses to invest in seaweed cultivation. These incentives can help offset initial setup costs and stimulate growth
in the industry.
 Infrastructure Development: Supporting the development of necessary infrastructure, such as seaweed processing
facilities and transportation networks, can facilitate the growth of the seaweed sector and create a conducive
environment for businesses to thrive.
 Environmental Regulation: Since seaweed cultivation takes place in marine environments, governments must set and
enforce environmental regulations to ensure that farming practices do not harm marine ecosystems. Sustainable and

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 Economic Feasibility And Government Intervention On Seaweed Farming In Tamil Nadu

responsible seaweed cultivation practices should be promoted to protect biodiversity and maintain the health of coastal
ecosystems.
 Market Development: Governments can assist in the creation of markets for seaweed products by promoting awareness
of seaweed's potential uses and benefits. Encouraging domestic consumption and facilitating international trade can
boost the economic prospects of the seaweed industry.
 Capacity Building and Training: Supporting training programs and capacity building for seaweed farmers can help
improve their skills and knowledge, leading to more efficient and sustainable cultivation practices.
 Public-Private Partnerships: Governments can collaborate with private companies, research institutions, and non-
governmental organizations to promote seaweed cultivation. Public-private partnerships can leverage expertise,
funding, and resources to accelerate the growth of the industry.
 International Cooperation: Seaweed cultivation often transcends national borders. Governments can engage in
international collaborations to share knowledge, best practices, and technology related to seaweed farming for mutual
benefits.
 Climate Change Mitigation: Seaweed has the ability to sequester carbon dioxide from the atmosphere, making it a
valuable tool in climate change mitigation. Governments can support research and projects focused on utilizing
seaweed to combat climate change.

Conclusion
Seaweeds are regarded as an essential part of the current global food security due to their extra functions in the mitigation
of climate change and the empowerment of women. Due to its straightforward culture method, outstanding nutritional
profile, and contribution to global climate change mitigation and adaptation measures, some recent study suggests seaweed
farming as an alternative to terrestrial agriculture. The seaweed sector is expected to benefit the majority of farmers,
particularly women, by increasing their purchasing power, fostering social empowerment, and aiding in efforts to fight
poverty. Although seaweed farming technology has made considerable strides over the past few decades, there are still a
number of barriers that need to be overcome before its sustainable production methods, varied uses, and societal
acceptance can be fully realized. To achieve sustainable production at a reasonable cost with the greatest possible benefits,
the initial phase in cultivation should involve careful selection of the proper species and adequate culture locations in the
coastal waters. It's also essential to keep the market price at a level that encourages farmers to engage in the farming
system. Establishing necessary rules is crucial to raising the calibre of seaweed species and the products developed from
them for human use. Determining the daily intake of seaweed or seaweed products is also essential for a balanced diet.
The collaboration and coordination between the nations and countries that produce and consume seaweed must be
improved if the seaweed farming sector is to become sustainable. National and international organisations should develop
and share best management practices for the seaweed farming technologies that are economically viable, environmentally
benign, and socially acceptable among tropical and subtropical nations. To guarantee the contribution of these nourishing
aquatic crops for a healthy earth and human populations, this should be done right away.

Acknowledgements
The present paper has been developed as a part of a major research work funded by the Indian Council of Social Science
Research (ICSSR) and the Ministry of Human Resource Development (MHRD). Financial support to the above paper by
ICSSR and MHRD is gratefully acknowledged by the author.

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