The study objectives are: (i) to describe the settlement and household conditions and activities in the coastal area of Pakistan; (ii) to analyse the current behaviour of shrimp fishermen, and to describe the shrimp marketing system, and government policy towards the shrimp fisheries sector; (iii) to compare the current technology and economics of Pakistani shrimp farming with those of other shrimp-producing countries; (iv) to identify the scope for the future development of shrimp farming in Pakistan and the implications for fishermen households; and (v) to assess the future overall economic viability of the Pakistan shrimp farming sector. The research comprises: (a) a survey of current shrimp fishing in Pakistan; (b) reviews of shrimp farming in major producing countries; (c) budget analyses and linear program modelling of shrimp and other household enterprises, and (d) cost-benefit, financial, sensitivity, and policy analysis of shrimp farming in Pakistan. The conclusions/results include: (i)  Shrimp fishermen households in Pakistan have experienced a downward trend in their living standards over the last two decades due to over-exploitation of wild shrimp. (ii)  Good prospects for Pakistan farmed shrimp exist on the world market. (iii)  Suitable land is available, and a government-sponsored shrimp hatchery has started work to provide postlarvae. (iv)  Shrimp fishing households could reallocate their labour and other resources towards shrimp farming and thus be able to reap substantial amount of net benefits. (v)  Shrimp farming is economically viable along the Pakistani coastline. (vi)  Awareness of opportunities for shrimp farming on a modern technical, environmentally friendly and sustainable basis should be disseminated in the coastal areas of Pakistan. (vii)  Government assistance in the farm land allocation and institutional credit will be necessary help to boost the shrimp farming industry in the coastal areas.