Balancing environmental concerns and efficiency in Mediterranean fisheries: Economics of production with a look at market trends

The fishing sector in the Adriatic Sea is exposed to stricter regulations due to the negative ecological impact of large-scale fisheries, while increasing socio-economic challenges threaten the profitability of the industry. We apply Stochastic frontier and Price formation analysis to the rapido fishery of Chioggia (Italy) in order to investigate potential strategies to enhance the economic performance of the fishery, considering both effort restrictions and market trends. The use of two different methodological approaches emphasizes the need for a comprehensive and flexible approach to fisheries management, taking into account seasonal fluctuations in efficiency and average prices. The results reveal that efficiency variations are significantly influenced by seasonal factors and stock availability, thus indicating a limited capacity of fishers to adapt to changing market conditions. We emphasize the importance of flexible scheduling of fishing days and discuss the opportunity for implementing mixed management systems incorporating a Total Allowable Catch or quotas.