Source: UNIV OF ARKANSAS submitted to NRP
CATFISH QUALITY DIFFERENCES AND THE IMPACT OF IMPORTS ON THE US CATFISH INDUSTRY
Sponsoring Institution
National Institute of Food and Agriculture
Project Status
COMPLETE
Funding Source
Reporting Frequency
Annual
Accession No.
0197173
Grant No.
2003-38814-13973
Cumulative Award Amt.
(N/A)
Proposal No.
2003-03934
Multistate No.
(N/A)
Project Start Date
Sep 1, 2003
Project End Date
Feb 28, 2007
Grant Year
2003
Program Code
[EQ.M1]- (N/A)
Recipient Organization
UNIV OF ARKANSAS
(N/A)
PINE BLUFF,AR 71601
Performing Department
AQUACULTURE & FISHERIES
Non Technical Summary
Import competition appears to be affecting the catfish industry. This project evaluates any quality differences between U.S. and Vietnamese catfish and determines the impact of import competition on the US industry.
Animal Health Component
100%
Research Effort Categories
Basic
(N/A)
Applied
100%
Developmental
(N/A)
Classification

Knowledge Area (KA)Subject of Investigation (SOI)Field of Science (FOS)Percent
6033710309015%
6036299309035%
6096299301050%
Goals / Objectives
The objectives of this project are four fold: a) to identify factors affecting demand and supply of catfish products in U.S. and factors that affect trade flows. b) to evaluate any quality differences between U.S. and Vietnamese catfish c) to use conjoint experiments to analyze the relationship between product characteristics and consumers' preferences for attributes d) to evaluate the impact of imports, and product differentiation on farmers welfare and the economy of major catfish producing states of Mississippi, Arkansas, Alabama, and Louisiana.
Project Methods
The project incorporates techniques in food science, marketing and economics, i.e., the use of sensory evaluation, conjoint techniques and computable general equilibrium analyses. Results from a sensory analysis will be incorporated into a conjoint procedure to determine consumer preferences for catfish attributes and to develop a quality index that will be incorporated in a conjoint analysis and the general equilibrium framework.

Progress 09/01/03 to 02/28/07

Outputs
The calculation of indicators of internationalization depends to a great extent on the availability of import, export and production data, which must be in the most disaggregated level of nomenclature. The Vietnamese basa and tra are different species than the channel catfish raised in the U.S. therefore classifications to distinguish between the species to otain data is impossible. One way to get around the data problem is to consider the three species of a group, i.e., catfish. Unfortunately, imported basa and tra are frozen fillets but domestic catfish products include fresh and frozen fillets, whole dressed fish, nuggets, steak and value added products. In addition, the period to be covered by the study should demonstrate homogeneity of time series with respect to the trade nomenclature, which is not the case for basa and tra. For these reasons, the indicators of internationalization cannot be calculated for trade in catfish. A gravity model investigation for the U.S. catfish market would be an appropriate analysis, yet the model cannot be constructed due to date limitations on the Vietnamese catfish industry. For example, geographic factors play a major role in the gravity model and simple indicators require a breakdown of trading countries, both for exports and imports. For instance, if a country depends on trade partners for its supply, it is likely that the external supply is concentrated into a few number of partners. Similarly, the dependence of a country towards external demand will increase as exports are geographically concentrated. Issues that need to be addressed in these cases include currency variablity, shifts of supply or demand in the partner countries, unilateral commercial policies. Fortunately, data on these variables for the U.S. are available but similar data from Vietnam is unavailable. Empirical analysis of the impact of trade requires the use of the most disaggregated product classification possible. This minimizes any sectoral bias. The use of a bilateral geographical basis for each of the trading partners in the analysis also minimizes any geographical bias. Quality is an important factor that affects trade flows, but quality measures are diffiult to obtain. One approach that could be used to address the quality issue is to distinguish between horizontal and vertical differentiation by incorporating price differences. With the availability of disaggregated data on the relevant variables, especially Vietnam, a comprehensive investigation could evaluate the true impact of Vietnamese imports and incidence on the U.S. industry. The goal of this part of the study is to identify the characteristics of channel catfish and that of other catfish. Channel catfish fillet is considered off-white, with color ranging from pinkish to grey, depending on season, feeding, handling, and other factors. The fillet from channel catfish is thick, firm, and not susceptible to gapping. Basa and tra fillets are different in appearance and quality. Basa fillets are white and a little thinner than catfish fillets, with a firm texture. Tra or swai fillets are of a beige color, thinner than basa fillets, and have a mealy texture. These characteristics are being developed into objective quality parameters.

Impacts
This project identified the data gaps needed to conduct empirical analyses of trade impacts between the U.S. and Vietnam. The data being developed will help in developing marketing and economic parameters.

Publications

  • Lu, Y., Silva, J.L., Kim, T. 2006. Effect of Storage Temperature Accumulation on Quality of Fresh Channel Catfish Fillets. Miss. Academy Sci. Mtg., Vicksburg, MS Feb. 23-24. J Miss. Academy Sci. 51(1):24.
  • Lu, Y., Silva, J.L., Kim, T. 2006. The effect of pH on quality attributes of fresh catfish fillets. IFT Mtg., Orlando, FL. June 24-28 (Abst. 39A-16).


Progress 01/01/05 to 09/30/05

Outputs
The structural econometric model has been developed to identify factors affecting demand and supply of catfish products in the U.S. and the factors that affect trade flows. Final results will be available 2006. The food science work has concentrated on test related to the effects of color attributes of catfish fillets. Tests to date have compared storage life and sensory quality of catfish fillets with varying shades of color. These tests provide a quantitative baseline of the color attributes of catfish fillets. The conjoint experiments have been designed and will be undertaken once the food science work has been completed.

Impacts
It is hoped that the results will show that catfish is a fresh product with high quality characteristics and will result in a nutritious and sound product for the consumer. In addition, we will be able to identify factors that have affected increased volume of catfish importation for which quality and exchange rate could be significant factors.

Publications

  • No publications reported this period


Progress 01/01/04 to 12/31/04

Outputs
Data for the analysis of factors affecting demand and supply of catfish products in the US and factors that affect trade flows have been collected. The structural model for fitting the data is specified and being tested with the data for preliminary results. Regarding quality differences between US and Vietnamese catfish, preliminary experiments have been conducted based on the appearance, texture, and taste factors of raw and cooked fillets. A panel has been trained to determine the level of each of the factors in each of the products. To evaluate the impact of imports on farmers welfare, a regional computable general equilibrium (CGE) model that combines Mississippi, Arkansas, Alabama and Louisiana has been developed. The model is currently being tested with baseline data.

Impacts
It is hoped that the results will show that catfish is a fresh product with high quality characteristics and will result in a nutritious and sound product for the consumer. In addition, we will be able to identify factors that have affected increased volume of catfish importation for which quality and exchange rate could be significant factors.

Publications

  • No publications reported this period


Progress 01/01/03 to 12/31/03

Outputs
Regarding the first objective of identifing factors that affect demand and supply of catfish products in U.S. and factors that affect trade flows, the relevant literature on trade is being perused to ascertain factors that have been identified to affect trade in agricultural commodities. The search is currently centered on publications in the agricultural economics literature. Data on supply and demand variables are also being collected. The necessary software required to evaluate the impact of imports, and product differentiation on farmers welfare and the economy of catfish producing states of Mississippi, Arkansas, Alabama, and Louisiana has been purchased. These include 'GAMS' and 'IMPLAN' and the associated national and state data required for 'IMPLAN.' Relating to evaluating any quality differences between U.S. and Vietnamese catfish there is a review of the literature and preliminary experiments, along with previous experience has resulted in the development of general categories for analyzing catfish and imported fish. These are based on the appearance, texture, and taste factors of raw and cooked fillets. Each one of these factors is subdivided into individual characteristics, including good and bad traits such as sweet taste and rancidity. A panel is being trained to determine the level of each of the sub factors in each of the products. Along with this there will be objective evaluation of color and texture of the products, as well as some chemical analyses.

Impacts
It is hoped that the results will show that catfish is a fresh product with high quality characteristics and will result in a nutritious and sound product for the consumer. In addition, we will be able to identify factors that have affected increased volume of catfish importation for which quality and exchange rate could be significant factors.

Publications

  • No publications reported this period