Hostname: page-component-78c5997874-g7gxr Total loading time: 0 Render date: 2024-11-19T21:52:02.916Z Has data issue: false hasContentIssue false

Whole-Farm Evaluation of No-Till Profitability in Rice Production using Mixed Integer Programming

Published online by Cambridge University Press:  28 April 2015

K. Bradley Watkins
Affiliation:
University of Arkansas Rice Research & Extension Center, Stuttgart, AR
Jason L. Hill
Affiliation:
University of Arkansas Rice Research & Extension Center, Stuttgart, AR
Merle M. Anders
Affiliation:
University of Arkansas Rice Research & Extension Center, Stuttgart, AR
Tony E. Windham
Affiliation:
Department of Community and Economic Development, University of Arkansas Cooperative Extension Service, Little Rock, AR

Abstract

Rice production in Arkansas usually involves intensive tillage. No-till rice has been studied, but the focus has been limited to impacts on yields and per acre returns. This study uses mixed integer programming to model optimal machinery selection and evaluate whole-farm profitability of no-till management for rice-soybean farms. Results indicate that lower machinery ownership expenses combined with lower fuel and labor expenses do enhance the profitability of no-till management, but the monetary gains appear to be modest, implying that other incentives may be necessary to entice producers to use the practice.

Type
Articles
Copyright
Copyright © Southern Agricultural Economics Association 2006

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Al-Soboh, G., Srivastava, A.K., Burkhardt, T.H., and Kelly, J.D.. “A Mixed-Integer Linear Programming (MILP) Machinery Selection Model for Navybean Production Systems.Transactions of the ASAE 29(January-Febraary 1986):81-84, 89.Google Scholar
Anders, M.M., Windham, T.E., Moldenhauer, K.A.K., Gibbons, J., Bacon, R.K., McNew, R.W., Grantham, J., and Holzhauer, J.. “Helping Arkansas Rice Farmers Exploit Market Opportunities by Improving Use of Soybean, Wheat, and Corn in Rice Rotations.” B.R. Wells Rice Research Studies 2002. Norman, R.J., and Meullenet, J.-F., eds. Fayetteville, Arkansas: Arkansas Agricultural Experiment Station, Research Series No. 504, 2003, pp. 250-56.Google Scholar
Anders, M.M., Windham, T.E., Watkins, K.B., Moldenhauer, K.A.K., Gibbons, J., McNew, R.W., and Holzhauer, J.. “The Effect of Rotation, Tillage, Fertility, and Variety on Rice Grain Yield and Nutrient Uptake.” B.R. Wells Rice Research Studies 2004. Norman, R.J., Meullenet, J.-F., and Moldenhouer, K.A.K., eds. Fayetteville, AR: Arkansas Agricultural Experiment Station, Research Series No. 529, 2005, pp. 250-58.Google Scholar
American Society of Agricultural Engineers. ASAE Standards, Agricultural Machinery Management. St. Joseph, Michigan: ASAE-The Society for Engineering in Agriculture, Food, and Biological Systems, ASAE Publication No. EP496.2, 2003a.Google Scholar
American Society of Agricultural Engineers. ASAE Standards, Agricultural Machinery Management Data. St. Joseph, MI: ASAE-The Society for Engineering in Agriculture, Food, and Biological Systems, ASAE Publication No. D497.4, 2003b.Google Scholar
Arkansas Department of Environmental Quality. 2002 Integrated Water Quality Monitoring and Assessment Report. Little Rock, AR: Arkansas Department of Environmental Quality, Water Division, Publication No. WQ02-10-1, 2002.Google Scholar
Beaton, A.J., Dhuyvetter, K.C., Kasterns, T.L., and Williams, J.R.. “Per Unit Costs to Own and Operate Farm Machinery.Journal of Agricultural and Applied Economics 37(April 2005):131-44.CrossRefGoogle Scholar
Bryant, K.J., Tacker, P., Vories, E.D., Windham, T.E., and Stiles, S.. Estimating Irrigation Costs. Little Rock, Arkansas: University of Arkansas Cooperative Extension Service, Fact Sheet No. FSA28, 2001.Google Scholar
Bollich, R.K. 1991. “Conservation Tillage Practices for Rice in Southwest Louisiana.” Proceedings of the 1991 Southern Conservation Tillage Conference. Keisling, T.C., ed. Fayetteville, AR: Arkansas Agricultural Experiment Station, Special Report No.148, 1991, pp. 1112.Google Scholar
Camarena, E.A., Gracia, C., and Sixto, J.M. Cabrera. “A Mixed Integer Linear Programming Machinery Selection Model for Multifarm Systems.Biosystems Engineering 87(2004): 145-54.CrossRefGoogle Scholar
Cross, T.L., and Perry, G.M.. “Depreciation Patterns for Agricultural Machinery.American Journal of Agricultural Economics 77(February 1995): 94204.CrossRefGoogle Scholar
Cross, T.L., and Perry, G.M.. “Remaining Value Functions for Farm Equipment.Applied Engineering in Agriculture 12(1996):547-53.CrossRefGoogle Scholar
Danok, A., McCarl, B., and White, T.K.. “Machinery Selection and Crop Planning on a State Farm in Iraq.American Journal of Agricultural Economics 60(August 1978):544-49.CrossRefGoogle Scholar
Danok, A., McCarl, B., and White, T.K.. “Machinery Selection Modeling: Incorporation of Weather Variability.American Journal of Agricultural Economics 62(November 1980):700-08.CrossRefGoogle Scholar
Epplin, F.M., Tice, T.E., Baquet, A.E., and Handke, S.J.. “Impacts of Reduced Tillage on Operating Inputs and Machinery Requirements.American Journal of Agricultural Economics 64(December 1982):1039-46.CrossRefGoogle Scholar
Fughe, K.O.Conservation Tillage and Pesticide Use in the Cornbelt.” Journal of Agricultural and Applied Economics 31 (April 1999): 133-47.Google Scholar
Hall, B.F., and LeVeen, E.P.. “Farm Size and Economic Efficiency: The Case of California.American Journal of Agricultural Economics 60(November 1978):589600.CrossRefGoogle Scholar
Hartell, J.G.Pricing Benefit Externalities of Soil Carbon Sequestration in Multifunctional Agriculture.Journal of Agricultural and Applied Economics 36(August 2004):491505.CrossRefGoogle Scholar
Held, L.J., and Helmers, G.A.. “Impact of Machinery Ownership Costs on Risk Efficiency and Farm Organization.Review of Agricultural Economics 13(January 1991):8598.CrossRefGoogle Scholar
Huitink, G., Tacker, P., Sills, J., Daniels, M., and Boils, J.C. Jr.Soil Erosion and Clear Water. Little Rock, AR: University of Arkansas Cooperative Extension Service, Fact Sheet No. FSA1028, 1998.Google Scholar
Kleiss, B.A., Coupe, R.H., Gonthier, G.J., and Justus, B.G.. “Water Quality in the Mississippi Embayment, Mississippi, Louisiana, Arkansas, Missouri, Tennessee, and Kentucky, 1995-98.” Reston, VA: U.S. Department of the Interior, U.S. Geological Survey, Circular No. 1208, 2000.Google Scholar
Krause, M.A., and Black, J.R.. “Optimal Adoption Strategies for No-Till Technology in Michigan.Review of Agricultural Economics 17(September 1995):299310.CrossRefGoogle Scholar
Laughlin, D.H., and Mehrle, R.K.. An Economic Evaluation … Straight Versus Contour Levee Rice Production Practices in Mississippi. Mississippi State, MS: Mississippi Agricultural & Forestry Experiment Station, Bulletin No. 1063, 1996.Google Scholar
Lindo Systems Inc. What's Best: the Spreadsheet Solver. Chicago: LINDO Systems Inc., 2003.Google Scholar
Martin, S.W., Robinson, J.R.C., Cooke, E.T. Jr., and Parvin, D.. “Managing Tillage, Crop Rotations, and Environmental Concerns in a Whole-Farm Environment. Plant Management Network. Internet site: http://www.plantmanagementnetwork.org/pub/cm/review/2005/whole/ (Accessed May 24, 2005).Google Scholar
Parsch, L.D., and Danforth, D.M.. “Rice Rental Arrangements in Arkansas.” Proceedings of the 25th Rice Technical Working Groups, New Orleans, 1994, pp. 7778.Google Scholar
Parsch, L.D., Keisling, T.C., Sauer, P.A., Oliver, L.R., and Crabtree, N.S.. “Economic Analysis of Conservation and Conventional Tillage Cropping Systems on Clayey Soil in Eastern Arkansas.Agronomy Journal 93(November-December 2001): 12961304.CrossRefGoogle Scholar
Pearce, A.D., Dillon, C.R., Keisling, T.C., and Wilson, C.E. Jr.Economic and Agronomic Effects of Four Tillage Practices on Rice Produced on Saline Soils.Journal of Production Agriculture 12(April-June 1999):305-12.CrossRefGoogle Scholar
Pfeiffer, G.H., and Peterson, M.H.. “Optimum Machinery complements for Northern Red River Valley Grain Farms.North Central Journal of Agricultural Economics 2(January 1980):5560.CrossRefGoogle Scholar
Reid, D.W., and Bradford, G.L.. “A Farm Firm Model of Machinery Investment Decisions.American Journal of Agricultural Economics 69(February 1987):6477.CrossRefGoogle Scholar
Ryan, R.L., Erickson, D.L., and De, R. Young. “Farmers' Motivations for Adopting Conservation Practices along Riparian Zones in a Mid-Western Agricultural Watershed.Journal of Environmental Planning and Management 46(January 2003): 1937.CrossRefGoogle Scholar
Salassi, M.E., Breaux, J.B., and Naquin, C.J.. “Modeling Within-Season Sugarcane Growth for Optimal Harvest System Selection.Agricultural Systems 73(September 2002):261-78.CrossRefGoogle Scholar
Smith, R.J. Jr., and Baltazar, A.M.. “Reduced- and No-Tillage Systems for Rice and Soybeans.” Arkansas Rice Research Studies, 1991. Wells, B.R., ed. Fayetteville, AR: Arkansas Agricultural Experiment Station, Research Series No. 422, 1992, pp. 104-07.Google Scholar
U.S. Department of Agriculture-Economic Research Service. Rice Situation and Outlook Yearbook. Washington, DC: U.S. Department of Agriculture, Economic Research Service, Market and Trade Economics Division, Outlook Report No. RCS-2005, 2005.Google Scholar
U.S. Department of Agriculture-National Agricultural Statistics Service. 2002 Census of Agriculture: Arkansas State and County Data. Internet site: http://www.nass.usda.gov/census/census02/volumel/ar/index2.htm (Accessed January 5, 2005)Google Scholar
U.S. Department of Agriculture-National Agricultural Statistics Service. Arkansas Weather and Crop Progress. Internet site: http://www.nass.usda.gov/Statistics_by_State/Arkansas/Publications/Crop_Progress_&_ Condition/index.asp (Accessed January 10, 2005).Google Scholar
U.S. Department of Agriculture-National Agricultural Statistics Service. Annual Average Farm Workers: Number, Hours Worked and Wage Rates, Arkansas, Delta Region and United States. Internet site: http://www.nass.usda.gov/ar/fmlabor.pdf (Accessed May 21, 2005).Google Scholar
U.S. Department of Agriculture-National Agricultural Statistics Service. Monthly Prices Received by Arkansas Farmers for Crops. Internet site: http://www.nass.usda.gov/ar/econcrop.pdf (Accessed June 3, 2005).Google Scholar
University of Arkansas-Cooperative Extension Service. Arkansas Soybean Handbook. University of Arkansas Cooperative Extension Service, Publication No. MP197 Revised, 2000.Google Scholar
University of Arkansas-Cooperative Extension Service. Rice Production Handbook. University of Arkansas Cooperative Extension Service, Publication No. MP192 Revised, 2001.Google Scholar
Uri, N.D.Conservation Tillage in U.S. Agriculture, Environmental, Economic, and Policy Issues. Binghampton, New York: Food Products Press, Haworth Press, Inc., 1999.Google Scholar
Watkins, K.B., Anders, M.M., and Windham, T.E.. “An Economic Comparison of Alternative Rice Production Systems in Arkansas.Journal of Sustainable Agriculture 24(2004), pp. 5778.CrossRefGoogle Scholar
West, T.O., and Post, W.M.. “Soil Organic Carbon Sequestration Rates by Tillage and Crop Rotation: A Global Data Analysis.Soil Science Society of America Journal, 66(November-December 2002): 1930-46.CrossRefGoogle Scholar
Wilson, C.E. Jr., and Branson, J.W.. “Trends in Arkansas Rice Production.” B.R. Wells Rice Research Studies 2004. Norman, R.J., Meullenet, J.-F., and Moldenhouer, K.A.K., eds. Fayetteville, AR: Arkansas Agricultural Experiment Station, Research Series No. 529, 2005, pp. 1524.Google Scholar