1. AQUACULTURE
SUPPLY CHAIN
MANAGEMENT
CASE IN THAI
ORNAMENTAL
FISH
INDUSTRY.
ENG7057 MASTER’S PROJECT
FACULTY OF COMPUTING,
ENGINEERING
AND THE BUILT ENVIRONMENT
TAWATCHAI NUANGSRI
STUDENT ID: S14143090
SUPERVISOR: IAN BAKER

2. OUTLINE
Definitions
Scope of The Research
Overview of The research
Research Methodology
Analysis & Result Discussion
Conclusions
Recommendations for Further Research
References

3. DEFINITIONS
“ Supply Chain Management is an integrative philosophy to manage
the total flow of a distribution channel from supplier to the ultimate user ”
(Cooper and Ellram,1990: p.2).
Aquaculture refers to the farming activities including
breeding, rearing and harvesting of animals and plants in
all kinds of water environments including ponds, rivers, lakes
and the ocean…and also ornamental fish production for
aquarium trade.
(National Oceanic and Atmospheric Administration (NOAA), n/a ).
Ornamental fish means as “a generic term to describe aquatic animals
kept in the aquarium hobby, including fishes, invertebrates such as
corals, crustaceans (e.g., crabs, hermit crabs, shrimps), mollusks
(e.g., snails, clams, scallops), and also live rock”
(Livengood and Chapman,2007: p. 2)

4. Scope of The Research
 This research is to study the aquaculture supply chain management by focusing on Thai
ornamental fish industry.
 This research is undertaken a critical review of the existing literature from available sources
in order to compare with collected data from 62 Thai ornamental fish breeding farms.
 According to Thai Fisheries Department credits that Thailand is one of the top ornamental
aqua culture exporters in the world that exporting to over 50 countries around the world.
 Moreover, Wangcharoenporn and Lawonyawut (1998) believe that Thailand is suitable for
aquaculture business because they are in a good weather condition, land, water resource
and labor.
 However, Andras (2012) cited that the data on the ornamental fish industry was limited.
 So, This dissertation focuses on the study of supply chain management, aquaculture supply
chain management, ornamental fish transportation, current situation in a global ornamental
fish industry and the activities through aquaculture supply chain management from the
available resources comparing with the primary data that was collected from ornamental fish
breeding farms in Thailand in order to set the standard in aquaculture supply chain
management for Thai ornamental breeding farms.

5. Overview of The Research
1. How to manage Aquaculture Supply Chain in
Thai ornamental fish industry?
2. Who is exactly related in Aquaculture Supply
Chain in Thai ornamental fish industry?
3. How does Thai ornamental fish industry maintain
a competitive advantage in the global market
through Aquaculture Supply Chain Management?
1. Be able to demonstrate significant descriptions
of aquaculture supply chain management and
ornamental fish industry in Thailand.
2. To review the current situation of Thai
ornamental industry in global market.
3. To study the production process including
stakeholders along aquaculture supply chain
since breeding, packaging until transportation.
4. To identify the related risk factors along the
process of moving ornamental fish from farm to
the end retail in order to control the quality of
ornamental fish and reduce mortality rate of
ornamental fish during transportation.
5. To analyze the benefits and challenges of
operating aquaculture supply chain management
and criticize the sections within the supply chain
affected to ornamental fish industry in Thailand.
6. To evaluate the current challenges of Thai
ornamental farms, which are distinguished by the
sectors involved and proposing the
recommendations to improve the aquaculture
supply chain management for Thai ornamental
fish industry to maintain competitive advantages
in a global market.
Establish a set of standardized factors in
Aquaculture Supply chain management for Thai
ornamental fish industry.
1. This research focuses on only Thai ornamental
fish breeding farms for exportation based in
Thailand.
2. The primary data will be collected from the farms
that only cultivated the fresh water ornamental
species.
3. This project is not focus on the depth breeding
information but focusing on the risks that should
be concerned and how to protect in any
processes since preparation, packaging until
shipping to ended customer, in order to decrease
the fish mortality rate during transportation.
01
Aim
02
?
03
Obj.
04
Limits

6. Research Methodology
Research Onion (Saunder, Lewis and Thronhill, 2012: pp.128).
1
• Positivism is a highly appropriate concept because the research is generated from
existing knowledge and the outcomes are tested and confirmed or refused before
approval.
2
• Deductive approach enables researchers to test theories with easy and
systematic way on a range of target people such as conducting questionnaire,
interviews or group discussion.
3
• Survey is a research strategy that is principally or exclusively connected with a
quantitative research. Moreover, this strategy is usually liked with a deductive
approach and is also most popular strategy to answer the questions about what,
who, where, how much and how many. Survey or Questionnaires techniques are
suitable for descriptive research.
4
• Mono quantitative method is an appropriately methodological choice that selected
for this project, where the data is collected in term of numeric data.
• this method is generally related with positivism philosophy and usually related with
a deductive approach where a emphasis is on conduct data to analyze theory.
5
• cross-section studies are the most appropriate snapshot time for this research
project, which is limited by the time period.
6
• secondary data plays a crucial role for set a form of the literature review and
analyzed other related data such as global trade situation in ornamental fish
industry.
• This research will be conducted by using questionnaires survey from the
ornamental breeding farms in Thailand for generating a set of standard of
aquaculture supply chain management for ornamental fish industry in Thailand.
Deductive approach (Blackstone, 2012).

7. Analysis & Result
Discussion
The Description of Aquaculture Supply Chain Management in
Thailand and Production Process in Aquaculture Supply Chain
of Thai Ornamental Fish Industry
9.9%
COLLECTOR
16.3%
BREEDER
5.7%
WHOLESALER
16.7%
END-CUSTOMER
6.7%
RETAILER
11.0%
TRAN-SHIPPER
5.3%
IMPORTER
10.3%
EXPORTER
11.0%
INTERMEDIARIES
7.1%
AIRLINE
77.4
%
Indoor farm
64.5 %
Both types
29 %
Outdoor farm
6.5 %
Breeding
91.9 %
Breeding &
Wild-Caught
6.5%
Farm Type
Method
• Prang (2007) demonstrates the typical aquaculture supply chain including Collectors,
Breeders, Intermediaries, Exporter, Importers, Retailers, Wholesaler, Tran-shippers and
Customer, which Breeders who are providers around 90% of fish in the market and
Intermediaries who are linker between Breeders and other stakeholders.
• SRAC Publication illustrates that air carriage is a only proper choice to export ornamental
fish in boxes for international trade (Watson, Kilgore and Martinez, 2010).
• Cheong (1996) believe that ornamental fish is generally transported by air carrier, so
airlines are a crucial factor in the ornamental fish production cost to the end customer.
• There are approximately 90% of the total fresh water species are bred in a farm (Dawes,
1998; Whittington and Chong, 2007).

8. Analysis & Result
Discussion
Current Situation of Thai Ornamental Fish Industry in Global
Market
1. Singapore
7. Thailand
2. Spain
3. Japan
1. USA
$170
mils
$150
mils
$130
mils
$56
mils
2.UK
3. Germany
$211
mils
$105
mils
$81
mils
China
$39
mils
$26
mils
$15
milsSources: United Nations Statistics Division, Commodity
Statistics Database (COMTRADE) (2015).

9. Analysis & Result
Discussion
Risk Factors in Aquaculture Supply Chain of Thai Ornamental
Fish Industry
51.6%
Shipping
32.3%
Packaging
10%
Preparation
46.8%
Long Flight
43.5%
Temp.Change
8.1%
Lower O2
1.6%
Fish Stress
40.6%
Stop feeding
31.6%
Suitable
Package
27.8%
Good healthy
fish
The most important part in transportation process
The most concern risk of Fish mortality during shipping
The method of risks reduction of ornamental fish mortality during shipping
Lim et al. (2003) that explains
transportation in long haul is the most
risk that exporter should mainly
consider.
Temperature is also important to
health of fish because they are cold-
blooded animals (Watson, Kilgore and
Martinez, 2010).
The higher temperature affects the
quality of water which bacteria is
grower significantly (Mandal et al.,
2010).
Lim et al. (2003) and Cole et al. (1999) that suggested on make
fishes are starved before packing and transportation. This
method can reduce volume of excrement or diseases from
fishes as well as it increases survival rates.
Choosing appropriate for packing is also important to make
shipping more successful, as oxygen rate is significant to fish
health (Watson, Kilgore and Martinez, 2010).
There are many factors connecting in any
success including Preparation, Packing and
Shipment ornamental fish in boxes, which is
crucial to realize the fish must be able to survive
in the container with few stress since the fish
packaging is sealed until the shipment arrives to
destination (Watson, Kilgore and Martinez,
2010).

10. Analysis & Result
Discussion
Benefits/Challenges in Aquaculture Supply Chain of Thai
Ornamental Industry and Suggestion.
37% 34.8% 20% 8.1%
Ornamental fish species
development
Quality
Import & Export
Regulations
Technology
Challenges of Thai ornamental fish
breeding farms
Problems of Thai ornamental fish
breeding farms
4.8%4.8%5.5%11.5%16.4%18.2%18.8%23.6%
High
Competition
Price
High
Restricted
Reg.
Lack Gov.
Support
High
shipping
cost
Fish
Quality
High fish
Mortality rate
Loss
Profit
90.3%
Aquaculture
SCM
can maintain the
competitive
advantages of
business in a
global market.
Thai breeders and farms need to focus on the development in ornamental fish
species and quality. It can help Thai farm to achieve the term of fame in
global market, which can increase profits in this area.

11. Conclusions
 Thailand have a high potential to do this business especially in term of exportation, which 7th ranking in the top global ornamental
fish trade for exportation during 2012- 2015.
 Thai ornamental fish industry is own-breeding ornamental fish than importing from other countries.
 Breeders, Intermediaries, Airline and ended customer play a big role in Thai ornamental fish industry, which Breeders are the main
producer of Thai ornamental fish industry and there is the intermediaries who link between breeders and exporter or other
stakeholders in Thai ornamental fish business.
 Production process begins from breeding farms until shipping ornamental fish product to end customer. Most of sampling
ornamental fish breeding farm in Thailand are mostly concerned on shipping process is the most important part than packaging and
preparation process because of the long-haul flight is able to affect to ornamental fish species.
 In order to protect any risk factors that impact on the mortality rate of ornamental fish species, Thai ornamental fish breeding farms
mostly concern to avoid feeding the ornamental fish products before transportation in order to reduce excrement for maintaining the
quality of water during transportation.
 Thai ornamental fish breeding farms believe the development of ornamental fish species and quality of ornamental fish product are
the most challenge for Thai ornamental fish industry in the global market.
 Thai ornamental fish need to focus on the development of ornamental fish species and fish quality in order to maintain the
competitive in a global market.
 Thai government for example, Thai fisheries department is the important organization can support and help Thai ornamental fish
breeding farm in term of the knowledge, research and development of Thai ornamental fish species and certify and investigate the
Thai ornamental fish products to meet export partnership requirements and regulations. This will be the benefit to Thai ornamental
fish industry development.

12. Recommendations for
Further Research
 The further research is also able to study on the different continents or other countries including focusing on the other ornamental
fish species such as salt water ornamental fish species.
 The study focus on a local area including neighbor country because of the duration of transportation is not far from Thailand, the
type of transportation might be different from this dissertation.
 The aquaculture culture supply chain management in each country may be different type of management in aquaculture. So, the
research in another area enable to develop the aquaculture supply chain management and this is a benefit for all ornamental fish
breeding farms.
 The further research choose focus on the study on breeding process in order to develop Thai ornamental fish species which was
showed that is the big challenge of Thai ornamental fish industry.

13. References
Andras, V. (2012) Ornamental Fish-Product/Market Report. Available at:
http://www.ditp.go.th/contents_attach/69336/55001842.pdf [ Access on 29 April 2016].
Blackstone, A. (2012). Principles of Sociological Inquiry: Qualitative and Quantitative Methods. Available at:
http://catalog.flatworldknowledge.com/catalog/editions/blackstone-principles-of-sociological-inquiry-qualitative-and-quantitative-methods-1-0 [Accessed 5 March
2016].
Cheong, L. (1996) Overview of the current international trade in ornamental fish, with special reference to Singapore. Rev. sic. tech. int. Epiz., 15(2), pp. 445-
481.
Cole, M. S., Tamaru, C.S., Bailey, B.S., Brown, C. and Ako, H. (1999) Shipping Practices in the Ornamental Fish Industry. [pdf] Hawaii: Center for Tropical and
Subtropical Aquaculture. Available at: https://www.extension.org/mediawiki/files/8/86/Shipping_Practices_in_the_Ornamental_Fish_Industry.pdf
[Accessed 13 February 2015].
Cooper, M. C. and Ellram, L. M. (1993) Characteristics of Supply Chain Management and the Implications for Purchasing and Logistics Strategy. The
International Journal of Logistics Management, 4(2), pp. 13-24.
Dawes, J. (1998) International experience in ornamental marine species management. Part 1: perspectives. In workshop: Management Strategies for the Marine
Ornate Species of the Gulf of California, La Paz, Baja California Sur, Mexico (pp. 18-19).
Lim, L.C., Dhert, P. and Sorgeloos, P. (2003) Recent developments and improvements in ornamental fish packaging systems for air transport. Aquaculture
Research, 34, pp. 923-935.
Livengood, E.J. and Chapman, F.A. (2007) The Ornamental Fish Trade: An Introduction with Perspectives for Responsible Aquarium Fish Ownership. [pdf]
Florida: University of Florida. Available at: http://edis.ifas.ufl.edu/pdffiles/FA/FA12400.pdf [Accessed 13 February 2015].
Mandal, S. C., Das, P., Kakati, B. K., Barman, D. and Muzaddadi, A. U. (2010) Packing and Transportation of Ornamental fishes. [pdf] Hyderabad: Aqua
International. Available at:
http://www.researchgate.net/publication/234198910_Packaging_and_transportation_of_ornamental_fishes_Aqua_International_pp_28-_31 [Accessed 19 March
2015].

14. References
Prang, G. (2007) An industry analysis of the freshwater ornamental misery with particular reference to the supply of Brazilian freshwater ornamentals to the UK
market. Uakari, 3(1), pp. 7-51.
Watson, C., Kilgore, K. H. and Martinez, C. (2010) Shipping Fish in Boxes. [pdf] Mississippi: Southern Regional Aquaculture Center. Available at:
http://www.hccfl.edu/media/518599/srac%20shipping%20fish%20in%20boxes.pdf [Accessed 19 March 2015].
Wangcharoenporn, V. and Lawonyawut, K. (1998) Aquarium fish industry in Thailand Available at:
http://agris.fao.org/agris-search/search.do?recordID=TH2001000324 [Access on 28 April 2016].
Whittington, R.J. and Chong, R. (2007) Global Trade in ornamental fish from an Australian perspective: The case for revised import risk analysis and
management strategies. Preventive Veterinary Medicine, 81(1-3), pp. 92-116.
Saunders, M., Lewis, P. and Thornhill, A. (2012) Research methods for business students, 6th edn, Pearson, Harlow.
United Nations Statistics Division (2015) Commodity Statistics Database (COMTRADE). Available at:
http://comtrade.un.org/db/ce/ceSnapshot.aspx?px=H1&cc=030110&r=764 [Accessed 27 February 2016].
United Nations Statistics Division (2015) Commodity Statistics Database (COMTRADE). Available at:
http://comtrade.un.org/db/ce/ceSnapshot.aspx?px=H1&cc=030110&r=764 [Accessed 27 February 2016].

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