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The potential contribution of forage shrubs to economic returns and environmental management in Australian dryland agricultural systems

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  • Monjardino, Marta
  • Revell, Dean
  • Pannell, David J.

Abstract

In face of climate change and other environmental challenges, inclusion of perennial forage shrubs in Australian agricultural systems has the potential to deliver multiple benefits: increased whole-farm profitability and improved natural resource management. The profitability of shrubs was investigated using MIDAS (Model of an Integrated Dryland Agricultural System), a bio-economic model of a mixed crop/livestock farming system. We found that including forage shrubs could increase farm profitability by over 20% for an optimal 10% of farm area in shrubs. The impact of shrubs on whole-farm profit accrues primarily through the provision of a predictable supply of “out-of-season” feed, thereby reducing supplementary feed costs, and through the deferment of grazing of pastures, allowing a higher stocking rate and improved animal production. The benefits for natural resource management include improved water use through summer-active, deep-rooted plants, reduced risk of soil erosion through year-round ground cover and/or wind breaks, reduced soil acidification, increased habitat for biodiversity, and effective carbon storage. Forage shrubs also allow for the productive use of marginal soils. Finally, we discuss other benefits of shrubs such as the effect on lambing and on livestock gut health. The principles revealed by the MIDAS modelling have wide application beyond the region.

Suggested Citation

  • Monjardino, Marta & Revell, Dean & Pannell, David J., 2009. "The potential contribution of forage shrubs to economic returns and environmental management in Australian dryland agricultural systems," 2009 Conference, August 16-22, 2009, Beijing, China 51537, International Association of Agricultural Economists.
    • Handle: RePEc:ags:iaae09:51537
    DOI: 10.22004/ag.econ.51537
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    2. Graeme J. Doole & David J. Pannell, 2013. "A process for the development and application of simulation models in applied economics," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 57(1), pages 79-103, January.
    3. Nasca, J.A. & Feldkamp, C.R. & Arroquy, J.I. & Colombatto, D., 2015. "Efficiency and stability in subtropical beef cattle grazing systems in the northwest of Argentina," Agricultural Systems, Elsevier, vol. 133(C), pages 85-96.
    4. Finlayson, J.D. & Lawes, R.A. & Metcalf, T. & Robertson, M.J. & Ferris, D. & Ewing, M.A., 2012. "A bio-economic evaluation of the profitability of adopting subtropical grasses and pasture-cropping on crop–livestock farms," Agricultural Systems, Elsevier, vol. 106(1), pages 102-112.
    5. Kragt, Marit Ellen & Pannell, David J. & Robertson, Michael J. & Thamo, Tas, "undated". "Easy winnings? The economics of carbon sequestration in agricultural soils," Working Papers 109247, University of Western Australia, School of Agricultural and Resource Economics.
    6. Monjardino, Marta & Loi, Angelo & Thomas, Dean T. & Revell, Clinton K. & Flohr, Bonnie M. & Llewellyn, Rick S. & Norman, Hayley C., 2022. "Improved legume pastures increase economic value, resilience and sustainability of crop-livestock systems," Agricultural Systems, Elsevier, vol. 203(C).
    7. M.A. Quaddus & M.A.B. Siddique, 2013. "Application of decision support tools in sustainable development planning: review and analysis," Chapters, in: M. A. Quaddus & M. A.B. Siddique (ed.), Handbook of Sustainable Development Planning, chapter 1, pages 3-16, Edward Elgar Publishing.
    8. Monjardino, M. & MacLeod, N. & McKellar, L. & Prestwidge, D., 2015. "Economic evaluation of irrigated forage production in a beef cattle operation in the semi-arid tropics of northern Australia," Agricultural Systems, Elsevier, vol. 139(C), pages 122-143.
    9. Thamo, Tas & Addai, Donkor & Pannell, David J. & Robertson, Michael J. & Thomas, Dean T. & Young, John M., 2017. "Climate change impacts and farm-level adaptation: Economic analysis of a mixed cropping–livestock system," Agricultural Systems, Elsevier, vol. 150(C), pages 99-108.
    10. Finlayson, John & Real, Daniel & Nordblom, Tom & Revell, Clinton & Ewing, Mike & Kingwell, Ross, 2012. "Farm level assessments of a novel drought tolerant forage: Tedera (Bituminaria bituminosa C.H. Stirt var. albomarginata)," Agricultural Systems, Elsevier, vol. 112(C), pages 38-47.
    11. Naomi di Santo & Ilaria Russo & Roberta Sisto, 2022. "Climate Change and Natural Resource Scarcity: A Literature Review on Dry Farming," Land, MDPI, vol. 11(12), pages 1-25, November.

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