This study aims to present an overview of coastal aquaculture, particularly of shrimp farming in North Vietnam, and to estimate environmental costs for coastal shrimp farming in Hai Phong City, as a case study. To achieve the study objectives, the main method employed was the economy model for environmental cost estimation. The study results show the continuous increase in area (10.5% to 31.8%) and yield (43,221.7 to 65,258.0 tons) of coastal aquaculture in all six provinces of North Vietnam. For seven years (1995–2001), the area of shrimp farming in Hai Phong City increased by 85%, while the yield increased by 348%. Estimation of environmental costs using an experimental model was developed for Hai Phong due to shrimp farming development with input contribution from over 60 farms in 2001–2003. Parameters input into the model are costs for each shrimp farm, including: Square Area (ha), Yield (kg), Shrimp price (Vietnamese dong (VND) kg−1), Total replacement cost due to conversion of natural resources to shrimp farms (VND), Juvenile cost (VND), Food cost (VND), Culturing technical cost (VND), Fuel cost (VND), Chemical cost (VND), Medical cost (VND), Energy cost (VND), Disease prevention cost (VND), Water control cost (VND), Labour cost (VND). The developed model shows that the environmental cost will increase by 0.39% for every one unit of shrimp yield increased. Applying economic models (experimental models) to estimation of environmental costs of coastal shrimp farming and aquaculture generally allows promotion of some quantitative inputs to planning for sustainable aquaculture in North Vietnam.

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