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Economic Impacts of Cover Crops for a Missouri Wheat–Corn–Soybean Rotation

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  • Zhen Cai

    (The Center for Agroforestry, The School of Natural Resources, University of Missouri, Columbia, MO 65211, USA
    The School of Natural Resources, University of Missouri, Columbia, MO 65211, USA)

  • Ranjith P. Udawatta

    (The Center for Agroforestry, The School of Natural Resources, University of Missouri, Columbia, MO 65211, USA
    The School of Natural Resources, University of Missouri, Columbia, MO 65211, USA)

  • Clark J. Gantzer

    (The School of Natural Resources, University of Missouri, Columbia, MO 65211, USA)

  • Shibu Jose

    (College of Agriculture, Food and Natural Resources, University of Missouri, Columbia, MO 65211, USA)

  • Larry Godsey

    (Agri-Business, Missouri Valley College, Marshall, MO 65340, USA)

  • Lauren Cartwright

    (Natural Resources Conservation Service Missouri, Columbia, MO 65203, USA)

Abstract

In the United States, agricultural production using row-crop farming has reduced crop diversity. Repeated growing of the same crop in a field reduces soil productivity and increases pests, disease infestations, and weed growth. These negative effects can be mitigated by rotating cash crops with cover crops. Cover crops can improve soil’s physical, chemical, and biological properties, provide ground cover, and sequester soil carbon. This study examines the economic profitability for a four-year wheat–corn–soybean study with cover crops by conducting a field experiment involving a control (without cover crops) at the Soil Health Farm in Chariton County, MO, USA. Our findings suggested that economic profitability of the cash crop is negatively affected by the cover crop during the first two years but were positive in the fourth year. The rotation with cover crops obtained the same profit as in the control group if revenue from the cash crop increased by 35% or the cost of the cover crop decreased by 26% in the first year, depending on the cost of seeding the cover crop and terminating it. This study provides insights for policymakers on ways to improve the economic efficiency of cost-share conservation programs.

Suggested Citation

  • Zhen Cai & Ranjith P. Udawatta & Clark J. Gantzer & Shibu Jose & Larry Godsey & Lauren Cartwright, 2019. "Economic Impacts of Cover Crops for a Missouri Wheat–Corn–Soybean Rotation," Agriculture, MDPI, vol. 9(4), pages 1-13, April.
    • Handle: RePEc:gam:jagris:v:9:y:2019:i:4:p:83-:d:225517
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    References listed on IDEAS

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    1. Songsermsawas, Tisorn & Baylis, Katherine R. & Chhatre, Ashwini, 2014. "Effects of Peers on Agricultural Productivity in Rural Northern India," 2014 AAEA/EAAE/CAES Joint Symposium: Social Networks, Social Media and the Economics of Food, May 29-30, 2014, Montreal, Canada 166115, Agricultural and Applied Economics Association.
    2. Adusumilli, Naveen & Davis, Stacia & Fromme, Daniel, 2016. "Financial Evaluation of Irrigation Efficiency Improvement Practices in Row Crop Production in Louisiana," 2016 Annual Meeting, February 6-9, 2016, San Antonio, Texas 229791, Southern Agricultural Economics Association.
    3. Labarta, Ricardo A. & Swinton, Scott M. & Black, J. Roy & Snapp, Siglinde & Leep, Richard, 2002. "Economic Analysis Approaches To Potato-Based Integrated Crop Systems: Issues And Method," Staff Paper Series 11677, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    4. Schnitkey, Gary & Coppess, Jonathan & Paulson, Nick, 2016. "Costs and Benefits of Cover Crops: An Example with Cereal Rye," farmdoc daily, University of Illinois at Urbana-Champaign, Department of Agricultural and Consumer Economics, vol. 6, July.
    5. Swanson, Krista & Schnitkey, Gary & Coppess, Jonathan & Armstrong, Shalamar, 2018. "Understanding Budget Implications of Cover Crops," farmdoc daily, University of Illinois at Urbana-Champaign, Department of Agricultural and Consumer Economics, vol. 8, June.
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    Cited by:

    1. Chen, Le & Rejesus, Roderick M. & Brown, Zachary S. & Boyer, Christopher M. & Larson, James A., 2020. "Adoption of Cover Crops under Uncertainty: A Real Options Method," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304391, Agricultural and Applied Economics Association.

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