JACKSON (AP) — Keith King never imagined his 21 years in the catfish industry would culminate in him turning his back, perhaps for good, on the work he loves so much.

Stung by sky-high feed and fuel prices and competition from cheaper imported catfish, King is draining the ponds at his Aqua Farm operation in Leland.

King, president of the Catfish Farmers of Mississippi, said he will grow corn and soybeans — much more profitable crops — in the soil once it dries.

It’s becoming a common scenario as the state’s farm-raised-catfish industry, long one of Mississippi’s most successful agriculture sectors, is seeing dozens of operations close and others drain their ponds to grow row crops.

“The times are as difficult as they’ve ever been,” said Roger Barlow, president of The Catfish Institute, a group that promotes the U.S. catfish industry. “We’re going through a lot of challenges, a lot of issues.”

Corn and soybean costs marching toward historic highs and Chinese-bred catfish gaining a stronger presence in the last two years have been the catalyst for industry changes, King said.

Mississippi is the leader in domestically grown catfish, accounting for about 60 percent of the product, said Terry Hanson, an aquaculture economist at Mississippi State University.

But the shift is evidenced by the numbers.

The state has lost 30 catfish operations since last year, according to the U.S. Department of Agriculture.

The area dedicated to catfish farming dropped 13.1 percent since last year from 92,500 water surface acres last July to 80,400 water surface acres last month.

And the number of fish processed plummeted from 700 million pounds in 2003 to 500 million pounds in 2007, a 28.6 percent dip.

Catfish feed — typically a mix of corn, soybeans and other grains — costs more than $400 a ton versus $250 a ton farmers paid last year.

MSU estimates catfish farmers spend half their production costs feeding their fish.

“In the past, we’ve had (back-and-forth price) cycles,” Hanson said. “Feed prices have gone up 60 percent. People are looking at the numbers and are pulling their hair out.”

Rick Moyer said he’s determined to stay in the business he’s toiled in for 23 years.

“We’ve seen hard times, but this is a whole different scenario,” said Moyer, owner of Quiver River Aquaculture in Sunflower.

He specializes in fingerlings, or 1-year-old catfish.

To increase efficiency at his operation, he’s feeding his carry-over fish from last year more of a “maintenance diet” as opposed to standard feeding.

Moyer attempts to make fewer trips to deliver fish to processors in an effort to save on fuel costs.

Barlow and other champions of domestically raised catfish are frustrated that Chinese imports have gained a foothold with consumers despite what they say are numerous safety concerns.

Barlow said 52 shipments of imported catfish were blocked at U.S. borders because they contained chemicals and other ingredients banned on domestic catfish, even if they’re legal in China.

But imported catfish averages $1 per pound cheaper than domestic catfish, and consumers can quickly forget any safety concerns in today’s troubled economy, experts acknowledge.

The catfish farmers’ group lobbied for the passage of a law this year that mandates restaurants selling catfish in Mississippi include “country of origin” labeling in its description of their catfish offerings.

“It lets the consumer decide,” he said.

Barlow said it’s an important step for domestically grown catfish regaining its place in the market, particularly as 70 percent of the state’s catfish wind up in restaurants.

He added homegrown catfish’s quality warrants a higher price than imported competition.

Moyer agrees the new law can be an effective way of promoting Mississippi’s catfish but stressed its impact is limited.

“That’s not going to cut the price of grains, the cost of fuel, imports,” he said.

Still, Barlow is encouraged by a 21 percent increase in catfish processing statewide from last year, attributing that at least in part to the increased emphasis on labeling homegrown catfish.

Many in the industry say they can see the state’s catfish business operating on a smaller scale in coming years.

But some say that might be a healthy, more efficient way of doing business once the industry gets through the difficulty of adjusting.

But science may help the industry regain leverage on foreign competitors.

Researchers at MSU are developing a hybrid catfish they hope will become the marketplace standard.

The species is a crossbreed of 3- to 5-year-old female channel catfish and 5-year-old male blue catfish.

Researchers tout the hybrid as being able to reach the market faster than standard channel catfish. The hybrid also is more disease-resistant and gives processors more useable meat from each fish, they say.

“You’re essentially getting the best of both parents,” said Craig Tucker, the MSU aquaculture center’s director.

But crossbreeding is labor-intensive. While both types of catfish are common in Mississippi, they don’t tend to live together, so it takes a controlled environment to get them to breed, researchers say.

Some 40 million to 45 million hybrid catfish are expected to hatch this year. But the crossbreed has a way to go before it commands a significant chunk of the marketplace.

About 30 million hybrid catfish hatched last year, comprising less than 1 percent of the overall catfish market in Mississippi, said Brian Bosworth, who is researching the hybrid for the USDA.

About 1 billion would need to be hatched to supply the industry as a whole, Tucker added, a goal that could take a few years to achieve.

Because science is involved, successful hatching rates can vary, and researchers hope to achieve greater consistency there, Bosworth said.

Any upswing may come too late for King. He said if he does return to raising catfish, it will be on a much smaller scale, explaining it’s expensive to drain ponds and sell equipment while getting out of the industry.

Moyer hopes to remain in the catfish business long enough to reap whatever benefits the hybrid fish and other advances bring.

“Most of the people who are still here are going to be here for the long run,” he said.