Shrimp, salinity and sustainability : an assessment from Southern India

This policy brief is based on SANDEE working paper no. 41-09 "Should shrimp farmers pay paddy farmers? : the challenges of examining salinization externalities in South India"The study finds that soil salinity caused by shrimp farms has a significant negative effect on rice paddy yields. It assesses two villages in the district of Karaikal (India), one that is affected by shrimp farms and the other that is not, and estimates the economic impact that shrimp farming has on farmers' livelihoods. The paper recommends that a regulatory framework be developed to help farmers affected by salinity. This study concludes that farms with highly saline soils would gain significant economic benefits if soil salinity is reduced to safe levels. The gains could range from Rs 1,000 to Rs 5,000 per hectare