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![Page 1: A decision support tool for optimizing integration of specialty crop enterprises in grain production systems. Lori Hoagland](https://reader036.fdocuments.in/reader036/viewer/2022062707/5584abc8d8b42af85b8b4d66/html5/thumbnails/1.jpg)
A DECISION SUPPORT TOOL FOR OPTIMIZING INTEGRATION OF SPECIALTY CROP ENTERPRISES IN GRAIN PRODUCTION SYSTEMS
Lori HoaglandAssistant ProfessorSpecialty Crop Production SystemsDepartment of Horticulture & Landscape ArchitecturePurdue University, USA
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Agriculture in the Midwestern U.S.
Early farms were small and highly diverse
1950’s – mechanization, inexpensive agrochemical inputs & crop subsidies
Today – 85% of cropland planted to corn and soybeans
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Specialization vs. diversification
Specialization - greater productivity & market efficiency
- maintaining profitability becoming more difficult
- negative environmental and social consequences
Crop diversification - benefits: more balanced nutrient and pest management
cycles; greater farm income; reduced income variability
and risk
- large-scale shifts out of corn-soybeans unlikely
- integrating specialty crops as supplementary enterprises
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Specialty crop opportunities in the MW
Demand for local specialty crop production is growing rapidly
Revitalize rural communities
- Create jobs
- Improve farm
income
Promote sound nutrition & health Contribute to environmental sustainability
Distribution of farmers markets in 2010
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Integrating specialty crop enterprises
Specialty crop production requires more intensive management and greater planning
Adoption requires evidence of perceived benefit to the current system
Computer based land-use models
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Objectives of this study
Determine feasibility of integrating various supplemental specialty crop enterprises
Identify supplemental crop alternatives that: - have agronomic and market feasibility
- contribute to the sustainability of the operation
- fit in during times of low labor requirements
- not require additional specialized machinery or
knowledge by the producer
Develop a decision support tool to help growers make decision regarding optimal acreage allocation
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Methodology
Develop a base model of a typical corn-soybean operation in eastern Nebraska to identify periods for integration
- Average farm size, equipment compliment and debt
- Climatic conditions influencing time available for field tasks
- Labor availability of one full-time farm operator
- Activities associated with corn-soybean production
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Corn-soybean base model
0
10
20
30
40
50
60
70
80
90
1 6 11 16 21 26 31 36 41 46 51
Weeks
Lab
or
(Ho
urs
/Week)
Field Tasks Off Tasks Field Time Available Off Time Available
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Viable enterprise alternatives
1) Residue grazing by livestock 2) Winter Wheat/Fall Cabbage
3) Spring Cabbage/ Fall Sunflower
4) Agroforestry
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Enterprise budgets & LP model Detailed enterprise budgets for each
alternative - activities and labor requirements
- costs, returns, subsidy payments, etc.
Dynamic linear programming model - land (256 ha) and machinery held constant
- labor: one full-time operator
- available capital unlimited
- 3.75 ha windbreak system held constant
- market constraints on woody floral crops
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Results
Net return
System Land allocation (ha) Without subsidies
With subsidies
Corn-soybeans alone CS - 256 ($4,765.44) $21,480.96 Grazing considered CS - 256 ($925.44) $25,320.96 Winter wheat/fall cabbage considered CS - 247.90; WW/FC - 8.10 $34,502.72 $60,754.79 Spring cabbage/sunflower considered CS - 254.54; SC/S - 1.46 $3,489.66 $29,686.05 Windbreaks and woody florals considered with market constraints
CS - 254.96; WB - 3.75; SC - 0.10 ; GW - 0.13; BR - 0.02 $4,174.37 $30,011.95
All options considered CS - 243.54; WW/FC -7.88; SC/S - 0.54 WB - 3.75; SC - 0.10; GW - 0.13; BR - 0.02 $40,637.44 $66,456.97
CS-corn-soybeans; WW/FC-winter wheat/fall cabbage; SC/S-spring cabbage-sunflower; WB-windbreak; Woody florals: SC-scarlet curls; GW-goal willow; BR-bailey redtwig dogwood
Subsidies and labor constraints keep majority of land in grain crops
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Sensitivity analyses
Net return
System Land allocation (ha) Without subsidies
With subsidies
Corn-soybeans alone CS – 256 ($4,765.44) $21,480.96
All options considered CS – 243.54; WW/FC – 7.88; SC/S – 0.54; WB – 3.75; SC – 0.10; GW – 0.13; BR – 0.02 $40,637.44 $66,456.97
All options considered with additional market opportunities
CS – 243.54; WW/FC – 7.88; SC/S – 0.54; WB – 3.75; SC – 0.29 $49,152.07 $74,971.60
All options consideredwith market constraints and an additional full-time skilled operator
CS – 243.54; WW/FC – 7.88; SC/S – 0.54; WB – 3.75; SC – 0.10; GW – 0.13; BR – 0.02 $40,637.44 $66,456.97
All options considered with market constraints and part-time seasonal labor
CS – 233.23; WW/FC – 8.32; SC/S – 10.2; WB – 3.75; SC – 0.10; GW – 0.13; BR – 0.02 $86,758.25 $111,443.93
Additional market opportunities and labor
CS-corn-soybeans; WW/FC-winter wheat/fall cabbage; SC/S-spring cabbage-sunflower; WB-windbreak; Woody florals: SC-scarlet curls; GW-goal willow; BR-bailey redtwig dogwood
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Summary and considerations
Diversification with supplemental specialty crop enterprises
- is feasible and profitable
- challenges: greater planning, lack
of infrastructure, farm policy
Computer based land-use models can help growers evaluate alternatives and optimize acreage allocation
Decorative woody florals
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Acknowledgements
Graduate committee at the University of Nebraska-Lincoln
- Dr. Laurie Hodges, Associate Professor, Horticulture
- Dr. James Brandle, Professor, Agroforestry
- Dr. Glenn Helmers, Professor Emeritus, Agricultural
Economics
- Dr. Charles Francis, Professor, Agronomy Funding: - University of Nebraska-Lincoln and Purdue
University
Agriculture Research Programs
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Questions?