Aquaponics is frequently posited as one of the anticipated solutions to environmental degradation, food security, or urban deforestation. It is a production system that combines aquaculture and hydroponics to achieve an efficient sustainable balanced system utilizing fish, vegetables, and bacteria in a mutually beneficial cycle. Aquaponics has positive functions for water-saving, food security, increased food production per square meter, and as a solution for a lot of soil fertility and biodiversity through afforestation.
Since 2010, aquaponics farm has gradually developed in Taiwan, and the reasons for establishing a farm are diverse. For instance, entrepreneurship, health preservation, retirement, or even changing careers. Aquaponics is classified as a new industry, and there is still insufficient information for reports and researches both practical and academical aspects. Therefore, this research conducts a comprehensive investigation and analysis on the development of aquaponics in Taiwan and explores the operating mechanism of aquaponics to benefit the development of the industry.
This research collects relevant information in multiple methods from literature, second-hand data, expert interviews, case studies, and questionnaire surveys. According to the PEST theory, the operating mechanism of aquaponics in Taiwan has been sorted out through three levels of investigation and analysis of the macro-environment, industrial environment, and farm in the enterprise. Consequently, the results of this study indicate the following:
1. The macro-environment for aquaponics in Taiwan supports the trend of economic scale growth. While social demand is greater than natural resources, it is not in favor of sustainable development for social ecology.
2. The industrial environment for aquaponics in Taiwan is supported by relevant stakeholders providing resources and forming a social capital network in favor of the development of aquaponics such as environmental protection, food security, or afforestation.
3. The farm in enterprises for aquaponics in Taiwan belongs to a small capital module, and their business models are facing difficulties, such as low technical level and poor access to channeling. The farms utilize the value proposition, creativity, propaganda, and acquisition of aquaponics to demonstrate a diversified business model.
4. The operating mechanism of Taiwan's aquaponics is to provide environmental protection, food security, afforestation, and other functions to create beneficial value. The farm cooperates with various social resources and supports to form social capital, which further strengthens the value of the farm in aquaponics. Conversely, a business model without an economic scale will lead to few impacts on the social ecology.
Keywords: Aquaponics, Macro Environment, Industrial Environment, Social Capital, PEST
Theory