This paper shows that the rapid expansion of aquaculture in Southeast Asia occurred in response to market demand and profit opportunities with little government involvement. Governments were more enabling than pro-active; they endorsed aquaculture as a source of livelihood or export earnings, but did not provide generous incentives to farmers. It is only recently, that, motivated by the sector’s contribution to economic development, food security and the balance of payments, some governments have been pro-active, deliberately promoting the sector with such incentives.