| Rationale for 
	Investment 
      Production technology 
		available.High profitability.Huge international 
		markets.Significant potential for 
		growth. Commercial and Technical 
	Merits 
      Redclaw is excellent for aquaculture due 
		to its physical, biological and commercial attributes.Robust species with broad geographic 
		potential & simple life cycle.Production technology uncomplicated, 
		viable & proven.Simple feeds.Relatively economical to produce.Looks like a lobster and 
		good eating qualities,  premium end of the crustacean market 
		spectrum.A$12 to 19/kg 
		farm-gate price depending on size.Sold as live product, cooked or frozen. Keys to Commercial Success 
      Climate 
      and geography.Selection of strains with 
		high fecundity and fast growth rates.Pond size, shape, design 
		and water quality, temperature, recycling. and 
		effluent management.Superior brood stock and 
		establishment of a system for producing juveniles for stocking.Shelter and feed 
		for 
      juvenile production and grow-out stock.Selection of harvesting techniques.Postharvest management techniques & 
		processing technology.Marketing and 
		transportation know-how.Consumer awareness and product standards.Quality, quantity and consistency of 
		supply.Produce redclaw 
		with attributes according to consumer and 
		market requirements.  | 
      
        | Profitability Analysis Australian operations
 |  
        | Assumptions |  
        | □ | Pond area of 4.7 hectares: 7 juvenile + 40 grow-out ponds. This represents the minimum pond area for commercial viability.
 |  
        | □ | 20 year project life. |  
        | □ | Annual harvest 394 kg/grow-out pond from Year 2 onwards. |  
        | □ | Average growing time 9 months to 65 g mean weight which fetches A$14/kg 
		at farm gate. |  
        | □ | Farm establishment cost = A$347,900 (land, labor, machinery, 
		farm infrastructure). |  
        | □ | Average farm profit A$5.25/kg/year. |  
        | □ | Total production costs = A$8.25/kg each year (all operating costs, 
		capital costs, & allowance for owner's labor and management). |  
        | Analysis |  
        | □ | Discounted Payback Period = 4 years (to recover initial outlay). |  
        | □ | At an annual yield of 394 kg/grow-out pond 
        the minimum price for the investment to be profitable was 
		A$8.25/kg. |  
        | □ | Conversely, at an assumed price of A$13.50/kg, 
        the minimum yield for profitability was 232 
		kg/grow-out pond. |  
        | 
        □ | Grow-out 
        periods vary between 6 to 15 months depending 
        on weight desired for marketing. Analysis 
		of the interaction between prices, survival rates and market 
		weights showed that the most profitable option was a grow-out period of 
		9 months. |  
        | □ | Indicated gross profit 
		is: $2,500 X 40 = A$100,000/year 
        from Year 2.
 |  
        |  | Source: 
        Rural Industries Research & 
		Development Corporation (1997) |  |