Economic analysis of aquaponics and hydroponics production in the U.S. Midwest

Abstract

This article examined the profitability of aquaponics in the U.S. Midwest. Three sources of data were considered for the study: (1) three active aquaponics farms, (2) a university greenhouse experiment, and (3) published research. The first analysis compares the economics of aquaponics and hydroponics systems under similar operations. Results suggest that the aquaponics system requires higher investment and operating cost but has lower production of vegetables compared with the hydroponics system. However, if aquaponics vegetable production is managed as an organic production, and the produce is sold at 20% premium price, aquaponics becomes profitable. The second analysis constructed three different representative farm sizes of aquaponics production of basil and tilapia—small, medium, and large. The production of basil provides better economic returns than the fish. All farm sizes are feasible when the basil price is above $10.00 per kg. The larger farm has the best results because of lower cost of production.