Farm Accountancy Data Network for fisheries
The following headings on this page contain explanations of the background to the data collection for the Farm Accountancy Data Network:
Population and sample
The Farm Accountancy Data Network for fisheries encompasses a sample of the active cutter fleet. The active cutter fleet is comprised of some 400 vessels, of which more than 100 are included in the LEI panel. The fleet is characterised by differences in sizes (engine power), the applied fishing methods (or the targeted fish species) and the home ports. In the past, data was also collected for the freezer stern trawlers of large-scale high seas fisheries and for the mussel sector. However, this data collection was terminated in the 1980s and 1990s. The data collection for large-scale high sea fisheries has recently recommenced, and as from 2002 data is collected from all the relevant ship owners.
The data collection is fully dependent on the willingness of the individual cutter owners to disclose their accounts. The stratified sample remains virtually unchanged over the years, as a result of which the panel is of a fairly constant composition. At the time, the holdings included in the sample were chosen fairly randomly. However, access to the data has become largely dependent on the LEI staff members’ personal connections within the sector.
The use of a constant panel does offer the benefit of a more reliable insight into the annual movements within the sector. In theory, the sample is less representative of the population. However, specific data – such as the catch rights and the deployment of the vessels – are available for the entire population. The results for groups not represented in the panel are estimated on the basis of the data for one of the ‘adjacent’ groups. It is assumed that the activities of the LEI panel are representative for the entire sector.
Data collection
The data is collected by three LEI staff members stationed in The Hague. The participating fishery holdings and/or their accountants are visited at periodic intervals to derive data about the revenues and costs directly from bank statements, invoices, and payroll records. In addition, electronic records of catch data are obtained directly from the auctions (subsequent to authorisation from the participants).
The data collection for the fishery holdings is somewhat more restricted than that for the agricultural/horticultural holdings. For example, no private or financing data is derived from the accounts. Just as in the case for the agricultural/horticultural sector, the data collected from fisheries is also treated as confidential. Data about individual companies is never issued to third parties.
The data is collected in a central database for ready access by researchers. As a reward for their cooperation the participating holdings receive quarterly reports and financial annual accounts for each vessel. The quarterly reports compare the gross revenue from the landings for the past quarter and the major variable costs with the same data in the same quarter of the previous year. The financial annual accounts are comprised of the income statement (profit and loss accounts) supplemented with specifications for each sector of the fisheries, the results per day at sea, and some technical data such as the number of days at sea and litres of gas oil. A comparative overview is also enclosed which indicates the extent to which the revenues and costs for the relevant vessel differ from the averages for comparable vessels.
Principles and definitions
The data in the Farm Accountancy Data Network is used to calculate both sector results and average results by cutter and by holding. The sector results and the results per cutter, such as the income statement [link to Table 1.3 in the fisheries database], relate to the accounts for each vessel. Financing studies are carried out at holding level rather than vessel level. Some 15% of the holdings operate more than one vessel. The definitions of the economic terms used for fisheries are largely the same as those used for the agricultural/horticultural sector. However, different principles and methods are used for a number of issues, such as the calculated interest and labour costs for the captain/owners.
The income statement for the cutters concludes with the net result. The net result is obtained by deducting all costs from the gross revenue from the landings (turnover). The costs also include a calculated 'part salary' for the captain/owner and any other owners who sail on the vessel and do not receive a part salary. This calculated unpaid salary is equal to the amount paid to the other members of the crew.
The unpaid costs also include the interest on the invested capital. This percentage is derived from the rate of interest on government bonds less half the rate of inflation and increased by half a percent as risk element. The resultant rate of interest is applied to the book value of the vessel and to the current operating capital.
The profit and loss accounts also state the gross surplus key figure. This gross surplus constitutes the balance of the gross revenue from the landings less the costs, exclusive of depreciation and interest charges. This balance is an approximation of the gross cash flow per holding, i.e. the amount available for the payment of the repayment and interest obligations to the bank.
Results: tables and key figures
The Farm Accountancy Data Network can be used to present a broad range of key figures. BINternet presents a selection of this information, both with respect to the groups of holdings included in the survey and the key figures included in the results. Sector results and averages per cutter are presented for the entire fleet and for the vessels, classified into engine-power categories. The key figures relate to the capacity, deployment, and results. The results are published and analysed in reports including ‘Visserij in cijfers’ (Fishery in figures (only available in Dutch)).