The project is proceeding well ahead of schedule on the construction of a bioeconomic model. Survey data collection is proceeding with industry's full cooperation. Cooperation between the biology and economis project has been highly successful with researchers in both groups (and from both Australia and PNG) making significant contributions to the project.

Three major project achievements occurred during this period of time in the project. First, a joint meeting (combining the economics and biology projects) to coordinate research and data collection was held in PNG in December 2003. At this meeting project objectives were discussed, preliminary bioeconomic models were presented, the extent and availability of historical data was clarified, and working groups (including economics, vessel characteristics and catch and effort relationships---all essential to the economics project) were established to determine future data requirements and survey design. At this time a meeting with industry representatives also took place to inform industry of the project, to obtain final cooperation for data collection and to solicit suggestions from industry for project outcomes.

Second, based on work in the first three months of the project and work during the December meetings in PNG, a preliminary assessment of the logbook data already available was completed. It was determined that the data in some cases was not properly entered and that the series would have to be corrected and brought up to date. That work has now been completed. Future data requirements were determined and a survey data set questionnaire was also completed with data collection commencing in January 2004, and continuing to be collected to this date. The questionaire for the economics data has been completed and data collection began in early 2004. Industry has agreed to cooperate fully with the data collection process.

Third, within the last six months in particular, the Principal Investigator in Australia has completed work on the bioeconomic model used to determine the economic performance of the fishery and to assess management options. Initial runs will require both economic and biological data.

The economics component of this project (joint with a biology and stock assessment component) is proceeding on schedule. Based on the generic form of the bioeconomic model constructed last year in the project, the mathematical form and computer coding of the bioeconomic model as applied to the specific case of the Gulf of Papua Prawn Fishery (GPPF) is now complete, with both the Principal Investigator in Australia and the Principal Investigator in PNG now thoroughly familiar with its construction and implementation. Most of the economic data required to calibrate the bioeconomic model for the case of the GPPF has been assembled and verified. Industry cooperation with data access has been very beneficial. Final bioeconomic model results are now pending the final inclusion of the stock assessment model.

Four major project achievements occurred during this period of time in the project. First, a joint meeting (combining the economics and biology projects) to coordinate research and data collection was held in PNG in October 2004, following a similar meeting conducted in December 2003. At this meeting project objectives were discussed, including ongoing reports on the extent and availability of data collection, with working groups reporting on stock assessment and vessel characteristics research. A meeting with industry also took place. Second, the Principal Investigator from PNG, and his research associate, meet with the Principal Investigator, and his research assistant, in Canberra, Australia, in December 2004. At this meeting the final version of the bioeconomic model---as applied to the specific case of the GPPF---was developed, explained, finalized and coded. Third, all relevant economic data was collected from industry and through port visits throughout the year, allowing sufficient calibration of the bioeconomic model in terms of its major economic components. Finally, at the December meeting in Canberra, considerable progress was made on the development of management objectives and policy options for the GPPF.

The economics component of this project (joint with a biology and stock assessment component) is now behind schedule, due to the repeated delay in establishing a stock-recruitment relationship by the biology team. This stock-recruitment relationship is a crucial part of the bioeconomic model. A preliminary stock-recruitment relationship was finally established at the annual workshop in Port Moresby, June 5th to 8th, 2006. Based on this preliminary relationship, the economics team has now developed estimates of 'maximum economic yield' for the fishery, establishing optimal effort and catch levels, based on the generic form of the bioeconomic model constructed last year in the project. The mathematical form and computer coding of the bioeconomic model as applied to the specific case of the Gulf of Pupua Prawn Fishery (GPPF), based on this preliminary stock-recruitment relationship, has now been completed and thoroughly tested, with both the Principal Investigator in Australia and the Principal Investigator in PNG completely familiar with its construction and implementation. Final model results will be based on the final stock-recruitment model which should be available at the next planned workshop in October 2006.

Most of the economic data required to calibrate the bioeconomic model for the case of the GPPF has been assembled and verified. This has now been coded in Access and Excel format, and double checked for accuracy. With one or two exceptions, industry cooperation with data access has been very beneficial. Nevertheless, given the delay in the project, data now has to be updated to account for recent and dramatic increases in the price of fuel. A supplementary data set is now being constructed by the team in PNG for use in the estimate of final model results.

At the June 2006 workshop in PNG, considerable progress was also made by the economics team on the development of management objectives and policy options for the GPPF. Model results should now be completed in October 2006 and policy options based on these results will be articulated in a report and a planned workshop in PNG in November 2006.