SBIR-STTR Award

Aquaculture development in isolated Pacific Islands is limited by hatchery capacity, technical support, training, material needs and the supply of specialist services. Black pearl farm expansion epitomizes these constraints. The nucleus estate model can meet these needs, with mutual commercial incentives as the driving force, rather than public sector extension support. We have developed hatchery technology for this lucrative species, and refined grow-out techniques for Micronesian lagoons. However, potential for expansion is limited by reliance on the remote quarantine hatchery in Hawaii; it is expensive, and airfreight space is very limited. Prospective small-scale farmers lack the cash to purchase spat, and lack institutional support. This research will develop hatchery capacity and technical support on-island for small- and medium-scale farmers. A containerized hatchery with tent structures covering larval and nursery tanks could be inexpensively and quickly set up. This hatchery could catalyze growth of smaller farms as JV partners. BPI could then supply spat, technical advice, training, bulk purchasing of materials, seeding technician services and co-operative marketing. The growth of the black pearl industry in Majuro could demonstrate the applicability of this portable hatchery technology and the nucleus estate development model to fledgling Pacific Island aquaculture industries.

Anticipated Results/Potential Commercial Applications of Research:
: We expect that the containerized hatchery will operate successfully and demonstrate the feasibility of a low- cost, mobile, production unit that can be established quickly in remote sites. It will provide the oyster stock that will stimulate the expansion of the pearl farming industry in the Marshall Islands and U.S. oriented South Pacific. The social and financial analysis of the various available commercial pathways will assist the government and potential farmers to develop and manage the industry in the most sustainable and profitable manner.

The U.S.-affiliated Pacific Islands are extremely isolated rural communities, with limited opportunities, and attendant socio-economic ailments. The best opportunity for sustainable economic development is lucrative black pearl farming. This offers great potential, but wild oysters are scarce, and prospective local farmers lack necessary support.Our first commercial farm in Majuro has attracted $2.1 million in American investment. With growout technology in hand, there is vast potential for expansion. We plan to use nucleus estate joint ventures with local farmers to drive this expansion in outer atolls. This project addresses technical, logistical, and sociological challenges with establishing and supporting operations in the remote, rural Pacific.Phase I demonstrated the efficiency of the containerized hatchery as the center for the nucleus estate. Phase II research will determine best strategies for structuring joint ventures to fit the social, cultural and legal framework of rural atoll communities. This can be a model for pearl development throughout the country, and aquaculture development throughout the region. Satellite farms, modeled on a nucleus estate framework, would receive spat from containerized hatchery operations, together with technical management, training, pearl seeding, marketing and supply services. Local partners can provide access to land, lagoon sites, and labor.

Anticipated Results/Potential Commercial Applications of Research:
Containerized hatchery operation dramatically reduce capital costs, infrastructure and lead time for commercial spat production. Start-up farms and farm expansions are more profitable, and more practical. Study of the socio-economic, cultural, and legal environment of the target atoll will identify the most appropriate strategy for establishing and supporting pearl farms. The impacts of the first satellite farm will be assessed, thereby refining application of the nucleus estate model around the containerized hatchery concept. These results will direct our expansion, and be directly relevant to potential local partners, investors, banks, government authorities and regional and international development agencies.