The drop in Campeche production, contrary to what was to be 

 expected on a logical basis, can be explained in one of two ways or 

 by a combination of these factors: 



If, in the year 195U, an increasing number of "Carapeche" 

 fishermen discovered that they were unable to recover trip or "variable" 

 expenses, there is a possibility that such operators decided to dis- 

 continue fishing rather than add to their already heavy losses caused 

 by relatively large fixed costs - depreciation, insurance, repairs, etc. 



Alternatively, the drop in production can be explained by 

 biological or weather factors. The wei^t of the available evidence 

 appears to support this hypothesis. United States Fish and Wildlife 

 Service field reports from Florida for most of the year 195^1 include 

 frequent complaints about low prices in the industry and low catches 

 in the Cairpeche grounds and describe the distress caused by these con- 

 ditions. In September 195U the following information submitted by ^ 

 field agent was indicative of conditions in the fishery: 



"During the period between August 1st and September 13th, 

 a loan company in Miami refinanced 22 of the UO shriuqj 

 boats they had financed. This example surely reflects 

 business trends in the shrimp industry probably better 

 than any other index." 



A further pI^^of of the biological causes of the production 

 decline is furnished by statistics on 195U landings of Mexican boats 

 fishing the Gulf of Campeche which show a trend similar to the Florida 

 operations on the same fishing grounds (see chapter on Mexico in Survey 

 of Shrimp Fisheries of Central and South America, Special Scientific 

 Report — Fisheries No. 235). 



Operations in Texas followed a logically coherent pattern. 

 The continued price depression, intensified efforts to meet financial 

 obligations 17/ and the influx of new vessels, combined to bring about 

 an increase oT almost one-third (from 70,U35 to 93,258 pounds) in the 

 production of Texas shrimpers from 1953 to 195U. 



17/ In September 1951^ a member of the field staff of the United States 

 Fish and Wildlife Service reported on shrimp production in the 

 State of Texas as follows: "Production in Texas has been quite 

 heavy with no sign of a slowdown. Present low prices would justify 

 decreased activity were the men in a financially good position. 

 The high notes due on much of the fleet provide most of the impetus 

 for the present high level of activity." 



152 



