Louisiana Sea Grant Releases Socioeconomic Study on the Recreational For-Hire Fishing Industry in the U.S. Gulf of Mexico

A recent study by Louisiana Sea Grant is providing an insightful glimpse into the business and policy workings of the recreational for-hire (RFH) fishing sector in the U.S. Gulf of Mexico.

The report, titled “Economic and Attitudinal Perspectives of the Recreational For-Hire Fishing Industry in the U.S. Gulf of Mexico,” is based on a 2010 survey of RFH operations in Texas, Louisiana, Mississippi, Alabama and West Florida.

A total of 689 captains participated in the survey, providing information on trip and vessel characteristics, financial data, fishing effort, hurricane impacts and opinions on policy issues relevant to their industry. The report compiles and analyzes this data at the state and Gulf level for three vessel classes: head boats, charter boats and guide boats.

“We found that RFH licenses have been generally trending upward for the past decade and that the average business is profitable,” said Rex Caffey, project leader and professor of natural resource economics at Louisiana State University and Louisiana Sea Grant. “Some interesting differences emerge, however, when you look at the data by vessel class.”

One of the more notable findings is the high number of guide boats operating in Gulf coastal waters. Though relatively small in length – averaging only 22 feetcompared to 33 feet for charter boats and 55 feet for head boats – guide boats were found to account for 70 percent of the 3,315 for-hire operators in the region and more than half of the industry’s estimated $215 million in annual dockside revenue.

Differences by vessel class were also evident in regard to current and pending management policies. Head boat operations were found to be more tolerant of regulations requiring federal observers, mandatory reporting, limited entry and electronic vessel monitoring. Catch share management, however, was generally opposed by operators of all vessel classes.

Taken together, these attitudinal and economic findings provide the insight needed to improve state and federal management of the RFH sector.

This project was conducted by Louisiana Sea Grant College Program and the Louisiana State University Center for Natural Resource Economics & Policy. Support for the project was provided by National Sea Grant Office, the National Oceanic and Atmospheric Administration and the Louisiana Department of Wildlife and Fisheries. (View a PDF copy of the report). For additional information, please email [email protected].