Multi-national Industry Capacity in the North Sea Flatfish Fishery

Abstract

Fisheries managers often see the management of regional fisheries as a more pertinent approach than managing separate national fleet units that exploit numerous fish stocks. This article considers an industry approach, using data envelopment analysis (DEA), to shed light on the exploitation of the North Sea flatfish fishery by a multi-national fleet, identifying overcapacity and possible reductions of the current fleet. The analysis estimates that the same catch could be taken with a fleet at 77% of its current size, and suggests an optimal reallocation of fixed inputs of each national fleet. Further insight is also given to surplus and optimal vessels in terms of catches and vessel characteristics. Simulations of the impact of possible quota reductions and restrictions of equal capacity reduction across nations are also considered.