Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field...
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![Page 1: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/1.jpg)
Alternative Cropping Systems…
Comparison to a Conventional C-Sb
Rotation
Craig Chase, Field SpecialistFarm & Ag Business ManagementAnn Johanns, Extension Program Specialist
![Page 2: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/2.jpg)
Yields by Crop/Rotation
C-Sb C-Sb-O C-Sb-O/A-A0
50
100
150
200
250
193.73 198.80 202.43
50.27 54.73 56.93
CornSoybeans
Rotation
bu/a
cre
NOTE: The C-Sb-O rotation includes red clover
![Page 3: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/3.jpg)
Production Costs (exc labor and land)
2006 2007 2008 2009 2010 20110.00
100.00
200.00
300.00
400.00
500.00
600.00
Corn-Sb
Corn-Sb-O
Corn-Sb-O/A-A
C-Sb (avg)
C-Sb-O (avg)
C-Sb-O/A-A (avg)
Years
Dolla
rs p
er a
cre
![Page 4: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/4.jpg)
Things to Note
• Soybean varieties used in the 2 year rotation differed from the other rotations beginning in 2006; corn hybrids used in the 2 year rotation differed from the other rotations beginning in 2008.
• Main difference between rotations is fertilizer and pesticide applications. The LEI rotations have significantly less fertilizer and pesticide applied.– Used different herbicides and applied by banding– Only cost associated with manure in initial study is the cost to
apply
• Prices for 2011 are USDA NASS average for October-December 2011.
![Page 5: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/5.jpg)
‘Technology packages’ used for corn and soybean
![Page 6: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/6.jpg)
Bottom Line
• Production costs for LEI corn is approximately $150-175 less per acre; $25-50 less for LEI soybeans.
• This spread has widened as fertilizer and pesticide costs have increased.
![Page 7: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/7.jpg)
Returns to Management
2006 2007 2008 2009 2010 2011$0
$100
$200
$300
$400
$500
$600
$700
$800
Corn-Sb
Corn-Sb-O
Corn-Sb-O/A-A
C-Sb (avg)
C-Sb-O (avg)
C-Sb-O/A-A (avg)
Years
Dolla
rs p
er a
cre
![Page 8: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/8.jpg)
Inclusion of oats and alfalfa
• Strongly-held belief: inclusion of oats and alfalfa make the organic rotation not competitive with the conventional C-Sb rotation.
• Let’s take a look…
![Page 9: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/9.jpg)
Return to Management
2006 2007 2008 2009 2010 2011
-200.00
-100.00
0.00
100.00
200.00
300.00
400.00
500.00
O (C-SB-O)O/A (C-SB-O/A-A)C-Sb
Years
Dolla
rs p
er a
cre
![Page 10: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/10.jpg)
Things to note…
• 2010 was a huge year for revenues for conventional corn and soybeans.
• Production expenses increased at a higher rate than revenue from 2008-09 for conventional corn and soybeans.
• The LEI system had its highest economic return in 2011 (3-yr and 4-yr) led by corn, and hasn’t seen any negative or low numbers (below $69/ac) from 2006 on.
![Page 11: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/11.jpg)
Things to note…
• Fertilizer is added on an as-needed basis– Purchased fertilizer was added on every
rotation in 2010 resulting in lower than expected economic returns compared to 2011.
![Page 12: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/12.jpg)
Focus on the right number…
• Just because you bring in more money doesn’t mean you are keeping any more of it yourself…
• So focus on economic returns, not prices or revenue... Family living and other personal bills are paid out of net returns not gross revenue.
![Page 13: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/13.jpg)
Another look at returns to management
2006 2007 2008 2009 2010 2011$0
$50
$100
$150
$200
$250
$300
$350
$400
$450
C-Sb (avg)
C-Sb-O (avg)
C-Sb-O/A-A (avg)
Years
Dolla
rs p
er a
cre
![Page 14: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/14.jpg)
Average Return to Management, 2006-2011
2yr 3yr 4yr-$50
$0
$50
$100
$150
$200
$250
$300
$350
$400
$450
CornSoybeansOatsAlfalfa (2nd yr)
Rotation
Retu
rn p
er A
cre
![Page 15: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/15.jpg)
Average Returns to Land, Labor, and Management by Crop Rotation, 2006-2011
Return to
Land, L
abor, a
nd Man
agem
ent
Return to
Land an
d Man
agem
ent
Return to
Man
agem
ent
$0$50
$100$150$200$250$300$350$400$450
C-SbC-Sb-OC-Sb-O/A-A
![Page 16: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/16.jpg)
Fertilizer makes all the difference…
• Used fertilizer equivalents from manure analysis and the annual costs to calculate economic returns had the manure been purchased.
![Page 17: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/17.jpg)
Average Returns to Land, Labor, and Management by Crop Rotation, 2006-2011 – with fertilizer equivalents for manure applied
Return to Land, Labor, and Management
Return to Land and Management
Return to Management$0
$50
$100
$150
$200
$250
$300
$350
$400
$450
C-SbC-Sb-OC-Sb-O/A-A
![Page 18: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/18.jpg)
Management practices used for corn and soybean in each rotation system, 2008-2010
![Page 19: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/19.jpg)
Average Returns to Land and Management, by Crop Rotation, GE comparison
![Page 20: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/20.jpg)
Average Returns to Land and Management, by Crop Rotation, GE comparison
![Page 21: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/21.jpg)
Production costs as affected by rotation and management, 2008-2010
* Does not include land, does include laborSource: Gomez et al., in review
![Page 22: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/22.jpg)
Net returns to land and management as affected by rotation and management, 2008-2010
Source: Gomez et al., in review
![Page 23: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/23.jpg)
Energy Usage by Rotation• Measured usage in energy within the field, and energy
available for purchase (solar energy not included).• Doesn’t take into consideration energy for seed,
storage, delivery, etc.• Corn takes the bulk of the energy usage in all rotations.• Fertilizer is the leading category in the 2-year rotation,
but as might be expected, field operations are the highest usage category for the 3 and 4-year rotations.
![Page 24: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/24.jpg)
Energy Input per Crop for Individual Rotations 2006-2011 average for each rotation
2yr 3yr 4yr0.0
1.0
2.0
3.0
4.0
5.0
6.0
7.0
CornSoybeansOatsAlfalfa (2nd yr)
1,00
0,00
0 BT
U p
er A
cre
![Page 25: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/25.jpg)
Distribution of Energy Inputs in Cropping Rotations by Selected Energy Categories, 2006-2011
C-SB C-SB-O C-SB-O-A -
0.5
1.0
1.5
2.0
2.5
3.0
3.5
4.0
Grain DryingField OperationsPesticidesFertilizer
1,00
0,00
0 BT
U p
er A
cre
![Page 26: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/26.jpg)
Diesel Fuel Equivalents2006-2011
C-SB C-SB-O C-SB-O-A0.00
5.00
10.00
15.00
20.00
25.00
30.00
Gallo
ns p
er A
cre
*Assumed 138,690 BTU per gallon of diesel fuel. (EIA)
![Page 27: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/27.jpg)
Bottom Line
• Conventional prices and revenues are historically high.
• Fertilizer, pesticides, seed, etc. costs have increased dramatically reducing net economic returns to conventional production.
• LEI systems allow for equal to higher returns with less purchased inputs.
![Page 28: Alternative Cropping Systems… Comparison to a Conventional C-Sb Rotation Craig Chase, Field Specialist Farm & Ag Business Management Ann Johanns, Extension.](https://reader030.fdocuments.us/reader030/viewer/2022032611/56649ccd5503460f94997aeb/html5/thumbnails/28.jpg)
Questions…..
Any questions or comments?
Thank You for This Opportunity!
Craig A. ChaseFarm Management Field Specialist
312 Westbrook LaneAmes, IA 50014(319) 238-2997
http://www.extension.iastate.edu/agdm/fieldstaff/cchase.html