Economic Assessment of Meteorological Information Services for Capture Fisheries in Taiwan

Abstract

This study evaluates the economic benefits of meteorological information services (MISs) provided by the Central Weather Administration (CWA) in Taiwan, specifically for Taiwan’s capture fishery industry. Using the contingent valuation method (CVM) and conducting in-person interviews, we collected questionnaires from capture fishery practitioners nationwide to gather their subjective evaluations of the meteorological information services provided by the CWA. Based on these evaluations, we further investigated the respondents’ willingness to pay (WTP) for the CWA’s meteorological information services. An empirical analysis of the bid function was conducted to identify the key factors influencing the respondents’ bidding behavior. The empirical findings indicate that the primary factors affecting bids include subjective perceptions (such as forecast accuracy ratings and the ratings of the impacts on fishing production), working location, fishing vessel tonnage, and fishing methods. The median WTP for Taiwanese capture fishery practitioners is Taiwan dollar (TWD) 2111.12 per person per year. Based on the number of capture fishery practitioners in Taiwan in 2019, the total annual economic value of applying MIS in coastal and offshore fisheries is estimated to be between TWD 376 million and TWD 496 million per year.