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An Economic Evaluation of Beneficial Management Practices for Crop Nutrients in Canadian Agriculture

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  • Sparling, Beth
  • Brethour, Cher
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    Abstract

    Environmental risk management is the process of measuring and/or assessing environmental risk and developing strategies to manage it. One strategy used in Canadian agriculture to manage environmental risk is the implementation of beneficial management practices (BMPs). This paper provides a summary of a larger research project which explored farm profitability before and after participation in beneficial management practices, specifically those related to crop nutrients. Based on producer perceptions and the assumptions used in this analysis, the results of this study indicate that the majority of the selected BMPs, including soil testing, minimum tillage, no-till and nutrient management planning, improved profitability for the representative farms. The profitability of farms using variable rate fertilization depended on the crop grown and the province in which the BMP was practiced. In all cases, the models suggested that buffer strips reduced expected net revenue. To maximize profitability, a producer needs to consider all aspects of their farm. Prosperity will depend not only on applying ‘best practices’ to their operation, but to the environment as well.

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    File URL: http://purl.umn.edu/10249
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    Bibliographic Info

    Paper provided by Canadian Agricultural Economics Society in its series Annual Meeting, July 29-August 1, 2007, Portland, Oregon with number 10249.

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    Date of creation: 2007
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    Handle: RePEc:ags:caes07:10249

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    Web page: http://caes.ca/
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    Keywords: Crop Production/Industries;

    References

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    1. Fuglie, Keith O., 1999. "Conservation Tillage And Pesticide Use In The Cornbelt," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 31(01), April.
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    Cited by:
    1. Boxall, Peter C. & Weber, Marian & Perger, Orsolya & Cutlac, Marius & Samarawickrema, Antony, 2008. "Results from the Farm Behaviour Component of the Integrated Economic-Hydrologic Model for the Watershed Evaluation of Beneficial Management Practices Program," Project Report Series 116268, University of Alberta, Department of Resource Economics and Environmental Sociology.
    2. Tamini, Lota D., 2011. "A nonparametric analysis of the impact of agri-environmental advisory activities on best management practice adoption: A case study of Québec," Ecological Economics, Elsevier, vol. 70(7), pages 1363-1374, May.
    3. Cagdas, Ali D. & Jeffrey, Scott R. & Smith, Elwin G. & Boxall, Peter C., 2013. "Adoption of BMPs and technical inefficiency in Canadian canola production," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 150200, Agricultural and Applied Economics Association.
    4. Tamini, Lota D., 2009. "Agri-Environment Advisory Activities Effects on Best Management Practices Adoption," MPRA Paper 18961, University Library of Munich, Germany.

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