SBIR-STTR Award

Sustainable Production of Pinfish (Lagodon Rhomboides) For the Live Bait Market
Award last edited on: 9/7/2010

Sponsored Program
SBIR
Awarding Agency
USDA
Total Award Amount
$416,520
Award Phase
2
Solicitation Topic Code
-----

Principal Investigator
Shawn McNulty

Company Information

Aquatic Innovations Inc

1662 Millbranch Drive
Auburn, AL 36832
   (334) 759-0023
   shawntmcnulty@yahoo.com
   N/A
Location: Single
Congr. District: 03
County: Lee

Phase I

Contract Number: ----------
Start Date: ----    Completed: ----
Phase I year
2008
Phase I Amount
$73,900
Recreational saltwater fishing is a major industry in coastal areas of the United States. The U.S. Fish and Wildlife Service estimated that saltwater anglers spent $8.4 billion in 2001 on fishing trips and supplies. In many communities this type of "wildlife tourism" is the lifeblood of the community. It is vital to these communities to have a consistent supply of needed goods for these anglers. Therefore much of the success of the saltwater fishing industry in an area lies in the ability of the bait suppliers to harvest and provide suitable bait to both professional guides and amateur anglers. Currently almost all marine baitfish are caught by commercial fishermen using trawls or by the individual angler just prior to the fishing trip, both of which are inconsistent and unsustainable. A solution to the problems of inconsistent supplies of healthy bait fish and the environmental impacts associated with current harvesting methods is the use of aquaculture practices to produce baitfish for the live bait market. Aquatic Innovations' (AI) commercial goal is to raise baitfishes for the live bait market. Currently AI is proposing to investigate the practical and economic feasibility of spawning and nursing pinfish larvae in a recirculating culture system. Our goal is to develop a culture system and protocol that can provide advanced fingerlings for stocking production facilities. The following phase of the research will determine the most efficient method of raising pinfish to market size and study the economics of the retail and wholesale markets. OBJECTIVES: The goal of this research is to determine the practical and economic feasibility of producing pinfish for the live marine bait market. To accomplish this goal, four technical objectives must be achieved. The four technical objectives include: 1) Modification and testing of the spawning/nursery system, 2) Determine efficacy of two doses of HCG injections for induced spawning, 3) Convert larval pinfish from live prey items to a commercial diet in a nursery system, and 4) Evaluate juvenile grow-out using a re-circulation system containing two water sources. These technical objectives are described in detail in the following section. APPROACH: The goal of this research is to determine the practical and economic feasibility of producing pinfish for the live marine bait market. Aquatic Innovations (AI) is proposing to complete both the spawning and nursery life stages in a recirculation system. The recirculation system that AI has designed will allow spawning and nursery stages to be completed in the same system, thus reducing investment costs and handling stress on the fish. Once completed, the system will be stocked with adult pinfish for an acclimation period. The fish will be monitored to determine the response to the artificial saltwater and to determine if any adjustments need to be made to the water or the system. During this time the fish will be given high protein feeds to increase their size, health and energy reserves prior to spawning. At spawning, AI will administer two levels of HCG to female pinfish to determine the efficacy for induced spawning. Once signs of ovulation have been observed, the female will be anesthetized and a small egg sample will be obtained. If the eggs are deemed ready, the female will be stripped. Males will then be stripped and the sperm and eggs mixed. The eggs will be monitored and evaluated for mean egg diameter, oil globule diameter, number of oil globules, and percent fertilization at the late blastula stage. Next the eggs will be counted and redistributed to the spawning tanks. AI will use these records to determine the efficacy of the two hormone doses by comparing total fecundity, fecundity of floating eggs, percentage of sinking eggs and percent survival to 96 h post hatch. The relationship between all variables will be analyzed by linear regression. One-way ANOVA will be used to test all parameters measured by spawn data and category. Significant difference will be determined at P=0.05 using a Tukeys test. Next AI will attempt to convert larval pinfish from live prey items to a commercial diet. For the first three weeks following hatching, the larvae will be offered increasing levels of live rotifers and artemia. Throughout the use of live foods, counts will be made twice daily to ensure adequate quantities are maintained. At 22 dph AI will begin offering a high quality weaning diet. The proportion of live prey to commercial diet will slowly be decreased until 45 dph at which time only the commercial diet will be offered. At 46 dph the success of the larval rearing will be evaluated by determining survival and growth rates of the larval pinfish. AI will also evaluate juvenile growth and survival using two different water sources: 1) well water adjusted with SeaSalt (same water as previous tasks) and 2) low salinity well water from a farm in west Alabama. Throughout this part of the trial the juvenile pinfish will be offered a commercial diet four times per day until apparent satiation. This grow-out trial will proceed for 6 weeks, at which time growth and survival will be assessed. The costs of production will be closely monitored and recorded throughout the project for the final analysis of economic feasibility

Phase II

Contract Number: ----------
Start Date: ----    Completed: ----
Phase II year
2009
Phase II Amount
$342,620
Every year more than 12 million Americans enjoy fishing in our oceans and along our coasts. These saltwater anglers generate close to $30 billion in economic impact and support nearly 350,000 jobs nationwide. A large majority of these anglers prefer to use live bait; however, the supply of live bait is limited and inconsistent. This unmet demand and sporadic supply of live bait has created an excellent opportunity to introduce new aquaculture products to the market. Aquatic Innovations, LLC (AI) is working towards capturing this large and untapped market by introducing farm-raised baitfish. Culturing baitfish on a commercial scale will allow the establishment of a consistent, year round supply of healthy bait that is not affected by seasonal variation. Therefore introduction of farm-raised pinfish (Lagodon rhomboides) will quickly capture a considerable portion of this market due to its superior performance and ability to meet year round demand. In Phase I, AI demonstrated the feasibility of spawning pinfish in an artificial seawater hatchery using hormone injections. AI further demonstrated that larval pinfish could be fed a commercial diet and be acclimated to 4 part per thousand (ppt) well water at an early age. In Phase II, AI will begin commercial production and distribution of the pinfish. AI will concentrate on improving spawning and culturing techniques that were developed in Phase I during the first year of Phase II. The three main areas of concentration will be extending the spawning period with photothermal manipulation, fry first feeding (in the hatchery vs. in a pond), and delivery logistics. AI anticipates producing a significant number of pinfish with the fall of 2009 spawn but also realizes that modifications will need to be made throughout the process. The second year of Phase II production will employ the modifications and technologies that were developed in Year 1 of Phase II in full commercial production. AI has set a production goal of 300,000 pinfish for the first year after the completion of Phase II (spring 2012); however, AI expects to reach that goal in Year 2 of Phase II. Therefore AI will have a large number of pinfish ready for this $169 million market by the end of Phase II funding. Much of the necessary infrastructure is in place, as AI has reached strategic agreements with two commercial fish producers to improve the transition to production of farm-raised pinfish at a commercial scale. OBJECTIVES: The goal of this research is to build upon the technical information gained in Phase I to successfully introduce farm-raised pinfish to the marine live bait market. To accomplish this goal, four technical objectives must be achieved. The four technical objectives include: 1) Optimizing spawning by modifying the hatchery design, 2) Produce pinfish on a commercial scale, 3) Optimize the logistics of transportation and distribution of pinfish along the Gulf of Mexico coast, and 4) Analyze production characteristics and integrate findings into subsequent production batches. At the conclusion of Phase II, AI will be producing pinfish on a commercial scale and delivering them to market. APPROACH: In Phase II, the emphasis switches from feasibility research to production research. The first step will be to implement temperature and photoperiod control in the hatchery to improve spawning success. To take advantage of environmental spawning cues, the temperature and photoperiod will be adjusted beginning in late August. Spawning will continue through the fall and winter with a percentage of larval fish stocked in outdoor ponds and the others remaining indoors in recirculating systems. The production data, including fall vs. winter spawning success and indoor vs. outdoor production, will be analyzed to determine the most profitable method to produce bait size pinfish. As production methods are optimized, production will be ramped up to meet our market goals. The other major task will be to optimize the logistics of transportation and distribution of pinfish along the Gulf of Mexico coast. AI's hatchery is approximately 150 miles from Gulf Shores, AL and 330 miles to Panama City, FL, the last stop on our initial phase of deliveries. AI must determine the optimal hauling capacity and procedures to ensure: 1) that fish arrive at the destination in good condition and 2) delivery trips are optimized to reduce costs. Fish condition upon arrival is a premium concern because condition and health are keystones to AI's marketing strategy. AI will continuously analyze production and transportation data to modify processes and procedures to maximize profits. At the conclusion of Phase II, AI anticipates commercial scale production and delivery to multiple locations along the Gulf Coast