Typology of Smallholder and Commercial Shrimp (Penaeus vannamei) Farms, including Threats and Challenges in Davao Region, Philippines

Abstract

The shrimp industry in the Philippines plays a vital role in the local and national economy through exports to markets abroad such as South Korea, Japan, the USA, and others. In this study, we aimed to describe the various cultural and operational characteristics of smallholder and commercial shrimp (P. vannamei) farms in the Davao region. We also evaluated the current risks and challenges faced by the shrimp farmers. A semi-structured questionnaire that focused on shrimp farmers and operators in the region was used to collect data from N = 41 farmers and operators. The results showed that respondents who were engaged in smallholder farming activities had an average yield of 10 tons/ha. The commercial farms that operate intensively had an average yield of 24 tons/ha. Most smallholder operators used electric generator machines to conduct aeration in their farms using paddlewheels and blowers. More paddlewheels and blowers were employed per pond in the commercial farms compared to smallholder farms. Generally, the income of a farm was related to their yield or the number of fries rather than social factors or their size. In terms of input costs, feeds were found to have the highest cost, followed by the fry, fuel, labor, and others (fertilizers and water treatment chemicals). Most of the farmers mentioned that their shrimp are affected by diseases such as white spot syndrome (60%), black gills (35%), and red tail (5%). They perceived that the main contamination comes from the water source (31%). The main threats mentioned were declining shrimp prices in the market, source of fry, water disposal, overstocking, and water quality. This study shows that small-holding fish farmers should be supported by the government so that they can make use of the more advanced technology employed by commercial shrimp farmers in order to increase their economic productivity and lower their environmental footprint.

1. Introduction

The shrimp industry in the Philippines has played a vital role in the economy since recovering from disease outbreaks starting in the mid-1990s to the present. The rapid expansion and growth of shrimp aquaculture in recent years had led to its significant contribution to the fisheries sector. Because of this, the Philippines has become a top producing country for shrimp production, with an export value of U$38 million for fresh, frozen, and chilled shrimps/prawns exported to Japan, South Korea, and the USA [1]. This production reached 66,000 mt of total shrimp in 2019 [2,3]. Penaeus vannamei and Penaeus monodon are the most cultured shrimp species, contributing the largest percentage (60%) of farmed crustaceans in 2020 [4,5,6]. P. vannamei only became a preferred species due to its fast-growing capability, which is especially prevalent in the female shrimp. Shrimp farming has provided employment and food security for most Asian coastal countries that are avid consumers of seafood products with large aquaculture sectors, including the Philippines [7,8,9,10,11]. The growth of aquaculture has been one of the most significant changes in global food production over the past 100 years [12]. Apart from being a major source of proteins, aquaculture is considered to be a better alternative to wild-caught fisheries in terms of seafood production [8,13]. Similar to other countries such as Bangladesh, shrimp farming became one of the most popular activities and has been practiced in several districts [14]. In Thailand, traditional shrimp farming was the standard until the adoption of the modified farming system, semi-intensive, and eventually intensive farming to increase production [15]. The center of intensive shrimp farming in the Philippines in the 1990s was Negros Island, but its production dropped in 1997 after it was hit by a disease outbreak [1,2]. Due to this incident, development of several effective strategies such as fish–shrimp integrated culture technology (also known as green water culture technique), a polyculture of tilapia and shrimp, and others were introduced. The shrimp industry slowly recovered after the disease was declared to be manageable in 2004 and has been growing in many areas of the Philippines, including in the Davao region [2,5,16]. As of 2019 data, 1.5% of the total shrimp production (66,252.68 mt) was harvested in the Davao region [3].

Though aquaculture has benefited the economy, food security, and livelihoods of residents, these positives were accompanied by detrimental impacts on marine coastal ecosystems, such as seagrass and mangrove ecosystems [17]. Mangrove forests are found in 121 countries around the world, including the Philippines [18]. Mangrove deforestation and degradation have become one of the major impacts of aquaculture expansion, particularly from intensive and extensive commercial aquaculture [19,20]. As aquaculture increases, mangrove deforestation also increases. Hectares of mangrove trees have been removed in the middle of the forest to create ponds without cutting in the border to prevent wave disturbance. Aquaculture had been recorded as the largest factor contributing to the loss of mangrove trees, responsible for around 20% to 40% of the decrease of mangrove trees globally since 1980 [17,21,22]. In 2007, the estimates of mangrove cover for the Philippines were 1097 km², significantly lower than it was first recorded in 1918, when it had an area of 4000–5000 km² [23]. Mangrove ecosystems have a vital role in environmental and socio-economic functions [18,24]. They can be a source of wood and non-wood forest products, protection against storm surges, and erosion and flood control [18,25,26]. They are also considered as a nursery ground for various fish, shellfish, and other invertebrates; however, deforestation as a result of pond construction and other farm activities causes biodiversity loss [27,28,29,30]. Mangrove ecosystems also provide livelihood to local communities [18]. The degradation of mangroves and continuous conversion can lead to the loss of their important functions in the ecosystem [18,31,32].

The socio-economic impact mainly refers to impacts on livelihood, reduction of employment opportunities, food insecurity, social imbalance, and marginalization of coastal communities, which results in social conflicts. Food security has been affected because most of the aquaculture produced is usually exported instead of being consumed at home [33,34,35,36].

Moreover, it is suspected that the emergence of new diseases is the result of the rise of intensive aquaculture. However, the rapid growth of the industry has also brought a threat among shrimp farmers worldwide [12,37]. Early mortality syndrome (EMS), later named acute hepatopancreatic necrosis disease (APHND), has caused mass mortality in several developing countries [38]. White spot syndrome virus (WSSV), which was found to have originated from China, has widely affected the Philippines and left the industry with a significant economic loss [39]. There are also some viral pathogens, such as monodon baculovirus (MBV), yellow head virus (YHV), hepatopancreatic parvovirus (HPV), and infectious hypodermal and hematopoietic necrosis virus (IHHNV), that cause minimal effects on the growth and survival of black tiger shrimp due to its high tolerance [38,39,40]. Apart from the mentioned pathogenic microorganisms that cause diseases in shrimp, they can also be affected by nutritional deficiencies and environmental factors.

Due to the limited studies that focused on the cultural and operational practices in the production of Penaeus vannamei in the Philippines, we aimed to describe and compare the various cultural and operational characteristics of smallholder and commercial shrimp farms (P. vannamei) in the Davao region. In addition, we assessed the current risks and challenges experienced by shrimp farmers during the time of the pandemic. We think this will be helpful for the development of policies that will enhance and strengthen the shrimp industry in the Davao region and in the Philippines. The study made use of quantitative and qualitative methodology to collect data and insights for the shrimp industry.

2. Materials and Methods

2.1. Study Site

This study was conducted in selected areas of the Davao Region (Figure 1). The Davao Region is a coastal area officially designated as Region XI in the Philippines that occupies the southeastern section of Mindanao. It has an area of 204.33 km² as of 2013. It is composed of 5 provinces: the Davao de Oro (previously known as Compostela Valley), Davao del Norte, Davao del Sur (where Davao City was located, a highly urbanized city), Davao Occidental, and Davao Oriental.

2.2. Data Collection

The data were collected from smallholder and commercial shrimp farmers and operators in the provinces of the Davao region. The primary data were collected by first identifying the target respondents through a listing by the Bureau of Fisheries and Aquatic Resource (BFAR) in terms of registered shrimp operators in the Davao region. The barangay captains also assisted in the survey by referring locations of shrimp farms and farmers in the area. The respondents of the survey were the farmers and operators of shrimp aquaculture within the Davao region. N = 41 respondents were interviewed using a semi-structured survey questionnaire and focus group discussion. The questions were clearly explained to the respondents to facilitate better understanding. While responding to the given questions, respondents were also asked for further explanations to support the acquired information. The survey questions included the assessment of farm characteristics such as land area, pond size, cultured species and diversity, culture system adapted, water supply, use of aeration, frequency of cropping, crop yield, and employed individuals. Additionally, respondents were asked about the cultural practices which encountered environmental problems and diseases as well as the associated management responses. Economic factors influencing the production such as the cost of inputs and estimated income per production were also gathered for return of investment on both smallholder and commercial shrimp farmers. Farm owners or head managers were also interviewed about their experience during the pandemic and how it affected their production. A focus group discussion was conducted before formulating the questionnaire. Data collection procedures and pilot testing of the survey questionnaire were conducted to evaluate its effectivity before the final survey. The researchers conducted the interviews and collected data from July to September 2021.

2.3. Data Analysis

All data from interviews were encoded in Microsoft Excel 2016, and preliminary data analyses were performed using the Analyse-it Excel add-in software. All possible dependent variables were first checked for their normality and homogeneity and then plotted on graphs for visualization. Quantitative data were analyzed for relationships regarding income from the farm as a response variable with other predictor variables that included farm area, sociodemographic variables (age, education, household size, number of years farming, and health), and total yield. Only the data from smallholder farms (N = 38) were used in the analysis, as there were only three data representatives from the commercial farms. The sociodemographic variables were reduced to one variable using PCA (principal component analysis), where the component scores were used as the social variable that was later related to the response variable (income). In order to find out the best predictor for the farm income, the social, farm area, and total yield variables were related to the response variable using multiple linear regression. The response variable was first transformed using a log₁₀ transformation to fulfill a normal distribution using a Kolmogorov-Smirnov (KS = 0.065; P > 0.15) test. The regression was then performed. All analyses were performed using MINITAB 17.0 (State College, PA, USA).

3. Results

3.1. Sociodemographic Profile

The description of the sociodemographic variables included age, where the age of fish farmers ranged from 26–40 and 41–55 years. Seventy percent of the fish farmers had an average age of 41 years old, mostly from smallholder farms (Figure 2A). In terms of their educational attainment, most shrimp farmers attended schools, with 39% of them finishing up to an elementary level or having graduated elementary; about 9% of them studied in secondary schools and graduated, and 2% undertook vocational courses. Lastly, 32% pursued their college degrees (Figure 2B). Another variable included the sizes of households, where smallholder shrimpfish farmers had less than ten individuals in every household, with sizes ranging from one to sixmembers. Most shrimpfish farmers had a family with three to four members (36%), and very little (5%) had a family with seven to eight members (Figure 2C). Concerning community residences, about 66% of the shrimpfish farmers had resided in the community for less than 10 years, 11% of the shrimpfish farmers had resided for about 41–50 years, 8% for both 11–20 years and 31–40 years of residency, and 5% for a range of 21–30 years (Figure 2D). There were some organizations of shrimpfish farmers in Davao Oriental, but only 58% of the interviewed farmers were members of the organization (Figure 2E). Only 24% of the farmers had the ability to borrow financial or in-kind expenses, while the rest reported not having access to credit (76%) (Figure 2F). In terms of the ownership of land being used for shrimp farming, 92% of the shrimp farmers owned their land and 8% were renting (Figure 2G). Many of the smallholder shrimpfish farmers had just started their culturing for less than a year, and others had been operating for as many as 21 years already. Most of the shrimpfish farmers had only been farming for the past 1–3 years (26%), 4–6 years (45%), 7–9 years (5%), 10–12 years (8%), 13–15 years (8%), 19–21 years (5%), or 16–18 years (3%).

3.2. Characteristics

3.2.1. Shrimp Farms

Smallholder farms were mostly located in Mati City, with an area less than 3 hectares (

Table 1. Comparison of smallholder and commercial farms.

Variables	Smallholder	Commercial
Farm area (ha)	0.3–3.0	4.8–50
Number of croppings per year	1–3	2–3
Yield per cropping (kg/ha)	10,000	24,000
Revenue per ha/cropping (US$)	62,814	150,754
Average income per ha/cropping (US$)	20,938	60,302
Number of employed individuals	1–10	8–71
Stocking density (* PL/m2)	25–200	60–350
Aeration	Paddle wheel	Paddle wheel, Blower
Number of ponds	1–5	3–38
Average pond size (m2)	4000–5000	2000–3000
Shape of pond	Rectangular, Irregular	Rectangular, Circular
Use of supplements	Probiotic, Molasses, Fermentation	Probiotic, Molasses
Commercial feed (kg/100,000PL/crop)	1000–3000	850–2650
Days of culture period	70–110	80–100
Average body weight (g)	14–30	27–35

* PL = post larvae.

). Shrimp production in these farms used a monoculture of whiteleg shrimp (Penaeus vannamei). Cropping was practiced by smallholder farmers about one to three times per year, almost the same as commercial farms. Farms were semi-intensively operated by a limited number of employees (1–10 or a maximum of two persons each pond). Stocking density was lower than the other type of farm, using paddlewheel alone as a means of aeration. The number of ponds cultivated simultaneously in one cropping ranged from one to five ponds, which is fewer than commercial farms; however, the smallholder ponds were larger (4000–5000 m²). Ponds were commonly rectangular and traditional irregular shapes. Farmers also used the fermentation process alongside probiotics and molasses as supplements for shrimps. This fermented product is composed of rice bran and molasses. Commercial feed consumption of post-larvae within the whole culture period (70–110 days) ranged from 1000–3000 kg. By an average production, the harvested shrimp weighs 14–30 g when sold in the market. The cost of inputs are two thirds of the amount of revenue per ha per cropping, including the costs of post-larvae, feeds, fuel/electricity, labor, supplements, and other inputs during pond preparation. The rest of the revenue would be their gained profit (~Php 1 million; U$21,000; see Table 1).

Most commercial farms were operated by corporations, with an area much larger than smallholder farms (4–50 hectares; see Table 1). Shrimp production in these farms focused on monoculture whiteleg shrimp (Penaeus vannamei). Farms were intensively operated by numerous employees (a range of 8–71 persons was recorded during the interview). Stocking density was higher than smallholder farms, and they employed paddlewheels and blowers as means of aeration. They practiced cultivating several more ponds (38) in a single cropping at the same time than the smallholder farms; however, their pond area/pond size was smaller (2000–3000 m²). Common pond shapes included rectangular and modern circular shapes. Farmers also use supplements such as probiotics and molasses for shrimps. Commercial feed consumption of 100,000 post-larvae within the whole culture period (80–100 days) ranged from 850–2650 kg, which is slightly lower than the smallholder farms. Most of the harvested shrimp had a 27–35 g average body weight. The average total cost of variable inputs such as post-larvae, feed, electricity, labor, supplements, and other inputs during pond preparation cost 60% of the total revenue per ha per cropping, while the rest (40%) would be their gained profit (~Php 3 million; U$ 60,301; see Table 1).

Results from the data analysis regarding farm income showed that the model was highly and positively related to the yield (Df = 1, MS = 2.16, F = 43.55, P ≤ 0.001), but not to the social factors or the farm area (Df = 1, MS = 0.12, F = 2.41, P = 0.129). The overall model (Df = 2, MS = 1.50, F = 30.25, P ≤ 0.001) with an R² = 63.3% explains the variation well, and there was no autocorrelation between variables.

3.2.2. Variable Cost of Inputs

The operational cost of inputs varies with area and intensity of production. Input costs such as feed are the highest contributor in both smallholder and commercial farms. In smallholder farms (Figure 3A), feed cost contributes 59% of the total cost. The fry also shares 15% of the total cost, and the cost of fuel (used to generate electricity for aerator and other mechanical equipment within the farm) contributes 12% of the total cost. Labor cost refers to the payment of employees in a given culture period, and amounts to 10% of the total cost. The 4% left for others includes the supplements, limestone, tea seed, water treatment (mostly needed during pond preparation), and expenses associated with repair and maintenance. However, in Commercial farms (Figure 3B), unlike smallholder farms, electricity is the second-highest contributor, with 24% of the total cost. Other inputs are closely related to smallholder farms in terms of cost percentage distribution, where the cost of the fry is 17%, the labor cost is 11%, and 3% of the total cost is from the supplements, limestone, tea seed, water treatment, and additional expenses for repair and maintenance.

3.3. Prevalence of Disease and Probable Causes

According to the farmers’ experience in diseases, particularly among smallholder farms, white spot syndrome (WSS) is the most contagious. Around 60% of the farmers that have encountered diseases on shrimp experienced WSS, 35% of them experienced Black gills syndrome, and 5% experienced red tail, otherwise known as Taura syndrome (Figure 4A). The farmers mentioned probable causes of diseases; most of them (44%) identified water quality as the main cause of the presence of diseases such as WSS, black gills, and red tail. Water quality refers to the alkalinity, acidity, temperature, salinity, and level of dissolved oxygen in the pond water. They were also aware of the effects of climatic conditions (25%) on shrimp diseases such as WSS and black gills. Climatic conditions such as heavy rain, hotter temperature, and rising sea level can sometimes directly affect the ponds. For instance, heavy rains can lead to flooding, which changes the quality of water. These factors could affect shrimp culture since shrimp are sensitive to changes in their environment, especially water quality. Farmers have also mentioned cases of water contamination (19%), where water is contaminated with diseases or pathogenic organisms, pesticides, and other chemical substances brought by flooded water. The transmission could also be vector-borne (12%), either by human or animals that cause the spread of the particular diseases (Figure 4B). However, these factors are found to be less prevalent in commercial farms, as they have well-constructed ponds and an availability of resources to mitigate these factors.

3.4. Risks, Challenges, and Possible Solutions

The respondents mentioned different challenges that affected their production, such as disease, overstocking, waste disposal, water quality, pollution, source of fry, high cost of inputs, lack of capital, low market demand, and the pandemic (see

Table 2. Challenges, impacts on shrimp production, and farmers’ suggested solutions.

Factors	Impacts	Suggested Solution
Disease	Shrimp death	Proper cultural management Strict implementation of biosecurity and government intervention
Overstocking	Lack of oxygen	Following the standard stocking density suitable to the capacity of the pond area and availability of aerator
Waste disposal	Increased contamination	Total removal of excess solid or liquid waste inside the pond Construction of sludge pond/reservoir for solid and liquid pond waste Treating the wastewater before the release into the waterways
Water quality	Causes diseases on shrimp Stunted/low growth rate	Water quality testing kit/lab to regularly monitor the optimum level of water parameters in the pond.
Pollution	Low survival rate of shrimp post-larvae	Good source of water
Source of fry	Insufficient supply Potential in carrying disease	Accessible hatchery Disease-free, high-quality, and cheaper source of fry
High cost of inputs	Limited and insufficient supply of inputs required for better production Production declines	Access to a cheaper supply input for production Other alternatives to lessen the cost of production
Lack of capital	Disable the farmers to increase their production Unable to support the needs of the farm	Access to credit (money/in kind)
Low market demand	Low profitability	Processing plant for shrimp produced.
Pandemic	Decreasing buyer due to mobility restriction It prolongs the culture period of shrimps Led to an increase in input cost Low market price	Government policy to loosen the mobility restriction to allow the people to work and earn for their necessities, as well as to enable the transportation of goods in and out of the town Government assistance to help the shrimp farmers that are affected by the pandemic overcome associated obstacles

). These factors have brought corresponding negative impacts on shrimp production. In particular, diseases have reduced harvest yield due to a massive loss in production. Overstocking has led to shrimp death due to a lack of oxygen supply and disease outbreaks.

Moreover, improper water disposal can lead to water contamination, possible disease, and nutritional deficits, affecting the growth of cultured shrimps. Pollution can also lower the survival rate of post-larvae, while the lack of capital can prohibit farmers from increasing their production. Lastly, the pandemic brought a significant impact specifically on the market aspect of shrimp aquaculture; mobility restrictions have shrunk the number of consumers in the market. Moreover, the farmers have given suggestions to help mitigate the above-mentioned challenges. These include: Having a good source of water; proper waste disposal; following the required stocking density; having an accessible, good quality, and cheaper source of fry; a processing plant for shrimp export; proper cultural management and biosecurity; availability of a water quality testing kit/lab; cheaper supply inputs; access to credit; and government assistance to help farmers to mitigate the challenges associated with the pandemic.

4. Discussion

4.1. Farming Characteristics

There were two identified shrimp farmers in the region, and the smallholder commercial shrimp farmers were both producers of P. vannamei as their main cultured species of preference. They usually have two to three croppings per year [41]. In the Davao region, smallholder farms dominate the sector, which is the case in other parts of Asia [42]. Commercial shrimp farms were intensively cultivated, technically well-supported, and financially awash with cash. They had well-constructed ponds lined with HDPE rubber liner that did not need to have a prolonged period of pond preparation, particularly for drying. Thus, it enabled them to proceed on to the next cropping with a shorter time of preparation compared to farmers with earthen ponds. Most of the smallholder farms were local growers employing their own family members. They tended to have smaller farms when compared to those commercial farms cultivated by a corporation or an export-oriented company. Since these commercial farms cultivate shrimp in large volumes, they were very particular on their mode of production. In addition, commercial farms can hire personal farm technicians that supervise inputs and actions needed to maximize the production. In contrast, smallholder farms have limited access to a farm technician from the company that supplied them feed and seedstock. In addition, the income of smallholder farmers is highly dependent on the total yield that they produce [43]. The fact that their age, household size, or even their health and farm area were not positively related to their level of income could be due to dependence on stocking density of the shrimp. The higher this stocking density, the more shrimp can be grown and produced to desired sizes. This explains why income is more accurately predicted by stocking density rather than farm size. While this could be good economically, a higher stocking density of shrimp could also lead to prevalence of diseases in highly intensive farms [3].

4.2. Cultural Practices

Shrimp production in the Davao region employs pond preparation prior to stocking. This pond preparation is very crucial to possible risk throughout the culture period. Pond preparation in smallholder farms is costlier and requires more time than commercial farms, as it relies on natural sun drying. In contrast, commercial farms have HDPE liners on their ponds, making it easier to clean and remove sediments or debris. They may not need long periods of drying, which leads to quicker pond preparation. The removal of any unwanted particles and excess organic load in the pond from the previous cropping is also essential. Complete drying, indicated by visible cracks in the soil, is required among smallholder farms. These practices are intended to remove dangerous organisms and other particles that may affect the quality of water for stocking. In 30 days or more, after the drying period and pond preparation, the pond is filled with water. The water used is usually treated with chlorine. The application of tea seed and liming to neutralize acidity in the soil prior to stocking were also practiced by some farmers.

The seedstocks/post larvae (PL) that were used for culture were imported from other nearby hatcheries, such as those in General Santos City and Butuan City. Currently, the pacific whiteleg shrimp is the most preferred culture species in the Davao region. Seeds are stocked at ages (PL8) 8 to (PL15) 15 days. Older seeds were observed to have a lower mortality rate; however, their cost is higher compared to younger seeds. Therefore, to compromise, most farmers stock PL10. Technically, they are provided by hatcheries with recommended stocking density, where a 1000 m² pond area should accommodate only 100,000 PLs in a semi-intensively cultured farm. In the Mekong Delta, there are also factors that represent the intensification and specialization of the farm. One of these is the stocking density; high stocking density monoculture uses a high level of inputs and equipment. Similarly, most extensive ponds operate larger ponds than those of intensive or semi-intensive ponds [4]. The lower stocking density can obtain a higher maximum production and survival rate, as proven in other studies [44]. A high survival rate can also be attainable in small intensive ponds with best management practices [45]. However, poor management can reduce production and profitability, even when the prices are high [46]. The profitability of the farm always depends on the management practices as well as the price in the market [47].

For maximization of shrimp production with its feed efficiency, farmers followed the recommended feeding guide. Blind feeding is the term used to describe feeding in the first month of culture with regular monitoring offeeding efficiency. The regular monitoring of the amount of feed consumed helps determine the amount of feed the shrimp needs. Commercial and formulated feeds are used to increase the growth of shrimp. However, improper feeding can lead to a waste of feed. Farmers have practiced broadcasting feeds within the pond excluding the middle part. Most of the excess feeds sink into the pond bottom as a solid waste with other organic loads. However, commercials farms have auto-feeding machines, which help mitigate issues regarding excess feeding as well as labor problems. Moreover, the application of supplements can help improve the nutrition of the shrimp. During the rainy season, the production of ammonia in the pond water increases; therefore, the initiation of liming and water exchange (top drain) can be a solution in maintaining the suitable water quality in the pond. Smallholder farms mostly use paddlewheels for aeration, generated by fuel or electricity. Aeration is one of the reasons for the high electricity costs associated with shrimp production, as it is important for the shrimp and reduces mortality from disease [45]. The culture period of pacific whiteleg production in the Davao region is usually within 90 days. Sometimes it takes up to 110 days, depending on the availability of the buyer. Farmers gradually harvest the shrimp by netting and complete draining. The marketable size of shrimp is generally 10 g average body weight (ABW) and above, but farmers preferred to harvest their shrimps around 20 g to 25 g ABW.

4.3. Prevalence of Marine Pollution and Disease

Perceived causes of marine pollution and disease include farming practices, waste disposal, use of chemicals, mangrove conversion, and improper implementation of biosecurity measures that prevent spread or entrance of diseases. Commercial farms are more particular in their biosecurity measures, such as tire bath/foot bath disinfecting, crab fencing, bird scaring devices, individual paraphernalia in ponds, settling, and treatment ponds. They use less water by recycling. They also rely on filtration systems to ensure that wastewater released into the environment is free from toxins. However, if these practices are neglected, associated risks will most likely occur. Released wastewater from shrimp farms accompanied with fecal matter and unused feed is largely composed of nitrogen, which can cause oxygen depletion as well as marine pollution. Diseases usually spread from nearby ponds/farms due to lack of proper management and mishandling of the situation. Wastewater from the infected ponds is also released to the water ways, which contaminates the water source. If it is absorbed by other ponds, since these are not rubber-lined, the disease can easily spread to other ponds. Other factors could be transmission through agents and vectors as well as the quality of fry being introduced in the farm. Moreover, most of the smallholder farms are more vulnerable to contamination and the spread of diseases, as they do not have sufficient implementation of biosecurity measures under good aquaculture practices (GAqP). Concurrent with its importance in the economic sector and development in many Asian countries, shrimp farming has been facing various issues regarding its negative effects on the environment [29]. Concern has been expressed regarding the use of chemicals in shrimp farms, and its potential impacts on the environment and human health [48]. Liming compounds and water treatment are the common substances that help mitigate water pollution and contamination. For instance, zeolite (hydrated alkali–aluminum silicates) is used for the removal of ammonia and neutralizes the pH level of the pond water [49]. Fertilizers are used to enhance the growth of phytoplankton, which provides an alternative food supply for the shrimp and improves the general environment in the pond. There are also applications of antibiotics that help prevent and treat viral infections; microorganisms (probiotics) as treatment for the water or sediments; and vitamin products to enhance growth of shrimp and resistance to diseases [50].

Due to pollution and the occurrence of problems such as diseases, the world production of shrimp has stagnated and even decreased over the last few years. The same trend was experienced by Vietnam, as they have previously applied feeds, pesticides, and antibiotics which led to water pollution. The intensification of shrimp farming has resulted in environmental problems [29]. In the Philippines, the prevalence of IHHNV in various wild populations of Penaeus monodon has been correlated with shrimp culture intensification and a decline in mangrove status [51], associated with other diseases such as WSSV, MBV, HPV, and YHV [40,52,53]. Accumulated pollution from watershed activities and from self-generated organic loads has resulted in slower growth of shrimp, higher susceptibility to diseases, and, most significantly, mass mortalities [54]. The presence of disease in populations and ecosystems is influenced by numerous environmental factors, including infectious organisms (mostly viruses), pollutants such as chemical and biological wastes, and deficiency in essential nutrients [29].

4.4. Challenges in the Time of the COVID-19 Pandemic and Coping Strategies

Coronavirus Disease (COVID-19) has affected various sectors, including the aquaculture sector, which has forced strict mobility lockdowns [55,56]. In the Philippines, the entire aquaculture supply chain and marketing system has faced multiple challenges. Many farmers have reduced their activities due to low demand and uncertainty. It has brought various challenges for rural livelihoods and economic problems such as loss of income and job opportunities. Moreover, disaster-prone communities have been struggling with COVID-19 restrictions and their severe economic impact [13,57,58,59].

Within the study area itself, mobility restriction presented as the main health protocol during the pandemic that negatively affected aquaculture farms as well as market disruption, which hampered their marketing operations [58,59]; though some commercial farms that had some access to the market were less affected by market disruption. However, some commercial farmers who do not have access are struggling to market their produce. They tend to compete with local or small-scale producers in the huge market and even with local traders. Hence, as the supply of shrimp commodity in the market rises, demand lowers, resulting in a lower buying price. Additionally, producers are forced to compete on the price demand. In this situation, local traders who mostly bought the produce of small-scale farmers will also initiate a lower price. Thus, the high production cost and temporary increase on some input costs leads to a decrease in profitability of production for smallholder farms. Other factors include a limited availability of fry and fingerlings, temporary rise in cost of farm inputs, limited local supply of various inputs, the timing of lockdown, and reduced shrimp farmers’ ability to access needed inputs. These were constraints in accessing inputs, particularly when it involved crossing a municipal boundary due to pass requirements and the mandatory quarantine of 14 days when one returns to his/her municipality, even if the distance travelled is only a few kilometers [60].

Market disruption, as mentioned, significantly affected the operability of shrimp production. For instance, for farmers that produced a high-priced commodity, reduction in its demand resulted in a decrease in price by as much as 50%. Shrimps are currently sold for as low as $3–$5 to $6–$7/kg, weighing 10–20 g ABW. Due to lack of demand, they must prolong their harvest until there is an available buyer. In this case, there is additional costs of inputs during the culture period, as they extended the number of culturing days. Even though the situation was difficult, most of the interviewed farmers still produced shrimp for lack of better alternative livelihoods, specifically in smallholder farms. However, there were differentiated capacities for taking advantage of this sustained demand. Large-scale shrimp farmers, due to better linkage, were able to connect into other markets and resell in urban areas. They tended to have their own vehicles and other necessary documents that enabled them to transport their product accordingly [60]. Market operations were also reduced from 7 to 6 days in a week to give time for disinfection, and in some other areas, markets were only opened after lunch time and closed early in the evening. Therefore, other vendors resorted to some alternative arrangements such as peddling their supply (fish, crabs, shrimp, etc.) in their communities and selling it in local street markets called talipapa.

Other effects of COVID-19 on the shrimp farmers’ families included experiencing the closing of their educational institutions, which was difficult for the families that depended on fishing and farming [58,59]. Digital learning and online learning have now become an alternative educational mode [61]. Yet, most vendors can barely teach their children at home due to lack of knowledge or additional finances for internet connection [57,58,59]. Due to the sudden change, many students experienced negative impacts of the COVID-19 outbreak [62,63]. This also reduced the families’ income; the limited access to digital resources and high cost of internet connectivity would cause radical change to the academic life of the student, particularly in some rural areas [63,64,65].

Sunny and colleagues (2021) estimated that the global population depends on small-scale fisheries for their livelihood, and that results in rising food insecurity among fishing communities [66]. The importance of aquaculture in food supply could help decrease threats of food insecurity. Fisheries and aquaculture provide nutritious food for hundreds of millions of people around the world, and livelihoods for over 10% of the world’s population [67]. Government and industry responses are needed to address the immediate economic and social hardships that the crisis is provoking in the shrimp sector. Governments also need to maintain long-term ambitions for protecting natural resources and ecosystems, and the viability of fisheries. Transparency in policy responses would most likely help build trust in the future of the fishery sector and markets, and use all the lessons that are acquired from the experienced crisis to improve the sustainability and the resiliency of every sector. Economic equity and environmental considerations discussed similar best practices: support the incomes of those most in need rather than subsidize inputs, and ensure that evidence-based management is intact and implemented [68].

5. Conclusions

The production of Penaeus vannamei has been continuously practiced in some parts of the region; from family-operated to company-owned establishments, shrimp farms share some cultural practices but may differ in the level of intensification. Commercial shrimp farms are more intensified and technology advanced, allowing them to be more productive and profitable. However, smallholder farms remain partially dependent on knowledge they accumulated over the past years of farming, and do not adopt new technologies that will help them improve their production. There are various challenges enumerated in this paper, but disease outbreak remains as a major constraint in the development of the shrimp aquaculture sector. Cultural and operational management also played a significant role to prevent possible risk along the production. Shrimp aquaculture is known as expensive farming; hence, financial resources are important to sustain the needs of the farm. Moreover, market disruption made the most significant impact regarding experience on shrimp farming during the COVID-19 pandemic. Along with this challenge, mobility restrictions, lockdown, the temporary rise of input costs, and a lower market price of shrimp due to lower demand also affected shrimp farming.

6. Recommendation

This study shows that smallholding fish farmers should be supported by the government in order to make use of the more advanced technology employed by commercial shrimp farmers, increase their economic productivity, and lower their environmental footprint. This will help the smallholding fish farmers to conform to the good aquaculture practices stated in R.A.8550, also known as “The Philippine Fisheries Code of 1998”, particularly in section 47 [69]. In addition, the local government must support them through a specific program for the shrimp commodity to build up the capability of smallholding shrimp farmers and help them manage their water quality, waste disposal, and strict implementation of biosecurity measures to prevent the outbreak of disease. Both the national and the local government must support the commercial shrimp farmers, their market export orientation, and their institutional buyers through connecting them with additional markets. Regarding the impacts of the pandemic, alternative product utilization and innovation for excess shrimp supply must be investigated and tried. There is also a need to continue enhancing and training the shrimp farmers to increase their knowledge of shrimp disease prevention, proper culture and market expansion, and innovation to eliminate market threat in the shrimp industry.