Marine and Economics

Marine and Economics

The fact that Oceans and Seas cover two-thirds of our planet shows the potential of marine to the economies of many countries. If tapped and developed marine can develop the economy of a country in many ways. Think of the oil industry, shipbuilding, transporting bulky goods across continents, the impact of marine in education and research, such as marine biology, commercial fishing, tourism. There is endless potential of how marine resources can be used to promote the economy. On the downside, the marine life is undergoing a lot of destruction, which ultimately affects the economy. The various dredging in the oceans for sand, oil spillage by oil companies, pollution from plastics and chemicals washed away to the ocean. Marine pollution destroys the environment, health of organisms that are dependent on the ocean, humans included, and economic structures of nations.

This research paper explores the role of marine in the economies of countries with oceanfront. Both positive and negative effects of the ocean to a countries economy are discussed and the reasons behind the impact.

Marine Energy

With the developments of many economies, there is a surge in demand for energy, and with the depletion of mineral energy and fossil fuel, the best alternative is marine energy. With the ocean being a constant feature of the earth, marine energy is renewable, clean, and non-pollutant (Liu, Luo and Zhuang 193).

Marine energy includes tidal energy, wave-current energy, ocean thermal energy, and salinity gradient energy (Liu, Luo, and Zhuang 193). Tidal energy is just like geothermal energy, which is used in the generation of electricity in many nations in the world. Wave energy depends on the movements caused by wind, air pressure, and water gravity, which is also equivalent to the renewable wind energy harnessed in many countries (Liu, Luo, and Zhuang 193). The similarities of marine energy with the current sources of power shows the potential that marine energy has in solving the energy problem brought by economic growth. With the right research and development in marine energy, many countries would have a stable source of energy that is renewable, constant, and predictable.

The Republic of China is exploiting marine energy to solve the shortage of energy supply in their nation. Island residents of China usually have a shortage of energy supply. With the development of both rural and town economies dependent on electric supply, the marine energy has become one of the best ways to deal with the energy scarcity problem in China countries (Liu, Luo and Zhuang 193). The progress that China has made in marine energy show a lot of potentials, and there has been the commercialization of marine energy, which has solved some problems in the energy crisis. For instance, China has a 100 KW and 30 KW wave energy power station developed to world standards that have been commercialized countries (Liu, Luo, and Zhuang 194). Other power stations that can generate over 1 million KW are under development, and China is even using foreign technology in developing countries (Liu, Luo, and Zhuang 193). This shows how marine energy has been used by some states to solve energy problems.

Though China has been faced with some problems in the development, such as high costs when they were exploiting tidal energy, they made progress in other forms of marine energy, such as wave energy, with success. Such development improves the economy of the nation, both in the rural and town centers.

Seafood Economy

Sea fishing provides no barrier to entry since there is no ownership of the resource. The only resource required is a fishing vessel and no specialized skills for one to be a fisherman. The returns are low, and the economic value of such fishing is negligible. This is the problem many people in the deep sea fishing face. Still, with the enormous potential of sea fishing, the effect can and are enormous to the economy and especially to the individual owners who invest in the fishing industry.

The most significant economic importance of fishing is on producing high-volume and high-value seafood (Smith 1039). Products such as lobsters, Bluefin and yellowfin tuna, and posh pie are some of the most expensive foods in the market today. Investing in the deep sea fishing industry has many returns, though the cost of entrance is prohibitive. This is the case with many fishing companies that have invested in fishing, such as the Gulf of Mexico Shrimp fisherman, the offshore fishermen of New England, and North Atlantic scallop fisherman (Smith 1039). These companies have invested hundreds of thousands of dollars to fish high market value products, and it is paying off.

In addition to fishing high-value seafood, the sea fishing industry has its processing industry where value addition is done. This involves cleaning, canning, freezing, boxing, cooking the seafood. Such value addition increases the quality of the fish and also the market value of the product, making the venture profitable (Smith 1039).  Many people depend on both processing and sea fishing for employment.

National Resource of Pacific Islands

The islands in the Pacific Ocean account for only 2% of the landmass, with the remaining 98% being the ocean. With such limited land and weak soils, these nations have become reliant on marine resources. The ocean is the lifeline of these islands, with marine resources being the major part of their economic, social, and cultural development (Ram-Bidesi 364).

Tourism is one of the major industries in the pacific region, with coral reefs, sandy beaches, and whale watching is the major attractions. Tourism is a significant contributor to the GDP of Cooks Island (Ram-Bidesi 373). In Fiji, it is the primary source of foreign exchange and economic importance to other islands such as Hawaii. Most hotels and resorts are located along the beaches, where many tourists spend the day diving, snookering, kayaking and sunbathing, contribution to the development of these islands.

In the pacific marine resources are the raw products in most industries these regions. Such is the case with coral sands, from dredging lagoons, which is used in the cement factory in Fiji (Ram-Bidesi 373). Polymetallic sulfide is mined in the coastal region of New Guinea. The sulfide deposits in the pacific seafloor are rich in minerals such as zinc, gold, copper, and silver (Ram-Bidesi 373).

It is estimated that 40% of the world’s tuna supply comes from the Pacific Ocean (Ram-Bidesi 364). In addition to tuna, the coral reefs in this region provide the best ground for breeding different marine species. More than 25% of the marine fish species are found in the Pacific reefs. Such high-value seafood can make the pacific islands have a good flow of money from the fishing industry if tapped. Islands such as Hawaii have commercial sea fishing industry, which is generating a lot of wealth to the island. In the northern Hawaiian Islands, nine fishers are known to bring in $ 1.5 million of individual catch each year.

Education and Research

With the ocean becoming of significant importance, with transportation, energy production, mining, in-depth sea explorations, education, and research in the marine ecosystem has emerged. Many skillsets are required in the maritime field. Research in different areas in the marine ecosystem is ongoing in many countries and many organizations and universities. For instance, marine energy discussed above requires a lot of research and development in both engineering and marine environment to tap the energy. With the successful construction of power stations producing electricity from marine energy, it shows how successful countries can be if they did enough research on the marine environment.

Education in the fields of marine biology helps in the conservation of marine life. Skills learn help in understanding the sea. A case example is a marine biologist who studies sea organisms-their behavior, ecology, reproduction, development, and other aspects (Humes 152). Other specialized courses such as oceanography, aquatic chemistry, zoology, ecology offer opportunities to research in the specialized fields.

The problems facing marine life are another is offering research. Specialized individuals try to solve the issues that affect the marine ecosystem, provide the solution, and ways to conserve the natural order of the environment.

Navigation is vital for ships. The cruises that offer tourists opportunities to travel by sea, oil tankers, and cargo transporters require specialized skills in navigation, which a person needs to undergo specialized training to achieve such skills.

Blue Economy

With Indian ocean lagging behind Pacific and Atlantic in development, countries consisting of Indian Ocean rim are beginning to tap the potential offered by the sea for economic development and human sustainability in the coming decades. Africa is witnessing a growth in its population, and the economy and the ocean provide opportunities that can propel it forward if tapped. The successful use of the ocean requires African countries to maintain the health of the ocean. Otherwise, the economies of these countries will suffer. Blue economy sets principles to ensure a balance between economic, environmental, and social benefits, and that marine ecology is protected (Obura 412). The species found in the Indian ocean are vulnerable to overuse and over-extraction (Obura 412). Also, pollution and other activities in the ocean, such as oil exploration, dredging soli, and corals, affect their survival, and it is vital to protect them.

The decreasing coral reefs and peak in fishing are signs that the ocean needs sound management and investments. It is estimated that over 65% of the coral reefs in the Indian ocean are at risk from local threats (Obura 416). Much of the problem comes from overfishing, coastal development, and pollution. With the extinction of the reefs, the social and economic sectors depending on coral reefs, will die, and there is an urgency for minimizing local threats.

Science-based management of fisheries in the Indian Ocean is needed to prevent over-exploitation of seafood in the Indian ocean and also support the local fishermen in improving fishing techniques to increase their output and thus increase their income from fishing (Obura 418). With most fishing in the Indian ocean being small scale, the ocean offers employment opportunities to many people and also provides nutritious food to the local community. A sound management system needs to be put in place to know the potential of the ocean and help the fishermen with better machinery.

Mauritius Economy and the Ocean

With the realization that the marine environment influences Mauritius’ economy, the government in 2015 set up the ministry of Ocean Economy, Marine Resources, Fisheries, Shipping, and Outer Islands. This ministry is dedicated to ocean activities. The government plans are to reduce pollution, minimize ocean acidification, and manage and protect the marine ecosystem (Obura 438). Measures taken to protect the marine environment include protecting coral reefs and other aquatic ecosystems, scientific research and capacity-building, sustainable use and management of fish stocks, and designating some areas as protected and conserved (Obura 439). Any problems in the ocean surrounding Mauritius island affect its economy and social life, and the need to preserve the ocean is more a basic need.

As with many countries looking for an alternative source of energy, Mauritius is researching marine energy. Mauritius depends on imported fossil fuel for the generation of power, and success in marine energy will not only give them a renewable and secure source of energy but will reduce their dependence on foreign nations and reduce their international expenditure (Obura 442). This would have a massive impact on the economy since the money they use would be used in other developments in the country.  Developments so far have confirmed that the project is feasible.

With the island’s dependence on export/import trade, the seaport is an essential part of the business. The Mauritius government is expanding the port to accommodate the growth in trade. This will boost the economy. The downside of such expansion is coastal erosion and destruction of marine life by the dredging of the oceanfront (Obura 443). The need to come up with a solution to conserving marine life cannot be overlooked.

Marine Conservation

With the many benefits the ocean provides, there is a need to conserve it. Many ways have been proposed to conserve the ocean ecosystem, both local, national, and international.

Local conservation methods include avoiding polluting the ocean with sewage waste, plastics, chemicals from industries, and hotels operating near the sea. National conservation methods are the policies the government of a country implements to protect its marine ecosystem, which directly leads to protecting the livelihoods of the citizens of that country.

Many international treaties have been passed to protect the ocean from the declining state that we are currently witnessing. Pollution is becoming a significant problem, and with international organizations involved in the pollution, there needs to be international bodies to govern and manage marine resources. Oil spillages by notable industry players cause a lot of damage that it takes years to stabilize the ecosystem. The spillages also take long to remove from the ocean, making the damages even more severe. We have witnessed may sea animals dying after oil spillages and layers of oil on top of the ocean, killing more animals and sea life form months and days. Over-fishing and exploiting resources beyond a citizen’s country is causing significant conflicts between nations. Such international bodies are there to set up policies concerning fishing, pollution, protect endangered marine species, and other problems that affect the ocean.

Sea Transport

With the surge in the production of goods in Asia and especially China-made container transport, the best way to transport goods across countries (Theofanis and Boile 52). However, most of the trade between such countries is imbalanced. This ends up with the empty containers being transported back to their origin after goods arrive at their destination. Such is the case with the USA, where many vessels carrying empty containers are required for empty repositioning to the overseas destination (Theofanis and Boile 52). Countries with more imports and low exports force the ocean carriers to store empty containers in these counties for prolonged periods (Theofanis and Boile 52). Active management techniques have are being used to reduce repositioning costs and increase asset visibility (Theofanis and Boile 64). This has boosted the sea transport and reduced cost associated with repositioning of containers.

Summary

The ocean has unlimited potential. We have witnessed countries fighting for ocean boundaries when deposits of oil have been found. Other countries are known to let their fishermen go past their limits for deep-sea fishing. Such potential can change the economy of a country significantly. The wealth that oil brings to a nation improves the country significantly. This is what changed most middle east countries. Minerals also inject a lot of money into a country. Tourism is another primary source of revenue for some countries. Think of Fiji, Maldives, and Hawaii, and the beautiful beaches and clear blue skies. Electricity generation changes rural areas and towns and spurs a lot of other industries since almost all other sectors in the world depend on electricity as the primary source of energy.

Transportation of bulk goods from one continent to another requires a reliable means of transport that can withstand the mass and not degrade, like our roads. A good source of protein is fish, which is inexpensive, and with the use of chemicals in the rearing of farm animals makes fish the best source of protein that has no human chemicals for enhancing growth. All this shows the potential that the ocean offers to people and nations both economically and socially. A healthy ocean helps the economies and social lives of nations, and destroying the marine environment destroys the economies of many countries. The relationship between the marine ecosystem and the nation’s economy cannot be underestimated.