Department of Agricultural Economics
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Browsing Department of Agricultural Economics by browse.metadata.type "Masters"
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- ItemA cost comparison of aerial and ground based approaches for the control of alien invasive pines in the Western Cape(Stellenbosch : Stellenbosch University, 2021-12) Boast, Kyle; Kleynhans, T. E.; De Lange, Willem (Senior economist); Stellenbosch University. Faculty of Economic and Management Sciences. Dept. of Agricultural Economics.ENGLISH SUMMARY : The rugged mountainous areas of the Western Cape fynbos are highly biodiverse, however alien invasive Pines remain a continual threat both in terms of its biodiversity and water supply as they are continually spreading and thriving uncontrollably. Felling has been the main clearing method; however, it has become too expensive and slow to use within these areas in comparison with the speed of the invasion. These environments are complex in that they can vary from site to site in terms of tree density, slope, surrounding obstructive vegetation and remoteness. These site properties often result in longer walk, removal and site access times which can significantly increase overall costs of labour-intensive methods such as felling. The problem is continuing to get worse over time and demands an investigation into alternative clearing methods. Chemical methods such as the Drill and Fill and Aerial Basal Bark Application (ABBA) method have increased the efficiency and scope of alien invasive Pine removal in other countries which have however not been tested for local conditions. The aim of this study was to determine under what site conditions these chemical control methods and the use of helicopters would be more cost effective compared to traditional felling which would encourage an integrated approach to managing the species. The study thus consisted of two novel clearing methods: the Drill and Fill method, the Aerial Basal Bark Application (ABBA) method and traditional felling currently used in practice. A work rate matrix was constructed which compared the financial implications of each clearing method at the various physical site combinations: tree density, slope, surrounding obstructive vegetation and remoteness. Expert knowledge was employed to validate the work rate and costing data. The study found that the higher productivity of the drill and fill teams outweighs their total daily team rate compared to traditional felling. The productivity of traditional felling was prevented by the mandatory higher safety and supervision requirements associated with chainsaw operation which resulted in the inclusion of unproductive team members, in contrast with all members of a drill and fill team using a drill from the added safety of drill operation. The relative lower weight of drill and fill equipment decreases walk times and increases productive working time. Consequently, most scenarios showed the drill and fill method is more cost-effective compared to traditional felling. The ABBA method is the preferred method at sites where isolated Pines are situated in dense fynbos with difficult access at slope gradients of 45° and higher. At these site combinations, ground teams experience longer walk times which reduces their productivity to such an extent that ABBA is comparatively more cost-effective. Additionally, at slope gradients of 45° and higher, high-altitude teams require specialized equipment which results in further reductions in their productivity. Helicopters should therefore target the species in their isolated spread stages before they reach reproductive maturity and spread large amounts of wind-blown seeds over considerable distances. The study assumed the helicopter had a high level of hours available per annum. In practice however this may not be the case due to unfavourable weather conditions in these mountainous areas which makes it risky for operators. Government must make use of a private contractor involved in agricultural crop spraying to prevent this from happening, as operations can be diverted to crop spraying in low lying areas when weather restricts invader tree eradication. This would allow the helicopter to work at a lower hourly rate than a government owned helicopter standing idle.
- ItemThe financial implications of different crop rotation systems for the Goue Ruens(Stellenbosch : Stellenbosch University, 2019-12) Nell, Casper Jan-Hendrik; Hoffmann, Willem H.; Strauss, J. A.; Stellenbosch University. Faculty of Economic and Management Sciences. Dept. of Agricultural Economics.ENGLISH SUMMARY : The world population is expected to increase to 10.9 billion by 2100 and consequently demand for food will increased. Increasing food production will most likely place more pressure on natural resources, and lead to environmental problems. These challenges create an urgent need for improved crop production systems and conservation focussed agriculture to aid in the management of such challenges. Conservation farming hold the three pillars of crop rotation, minimum soil disturbance and cover cropping. This study focus on the crop rotation aspect of conservation agriculture in the geographical region of the Goue Rûens. The main research objective was to evaluate the whole-farm long-term financial implications of different crop rotation systems within the Goue Rûens area. The crop rotation systems consisted of cash crops and livestock grazing on pastures. This study placed significant emphasis on the interactions between the crops. The systems approach served as the scientific foundation for this study, and entailed integrating the expert knowledge of relevant role players. The farming system is inherently complex, therefore the proposed method had to accommodate and integrate the interrelated factors of the system. Systems thinking was identified as a suitable tool for managing the associated complexities. The Delphi method was followed to integrate scientific crop rotation trial data with expert knowledge to assess the impacts of systems on whole farm level. Farm-level, multi-period budget modelling was employed to evaluate crop rotation systems in terms of the expected financial performance of the farm system under different rotation systems. A farm-level budget model incorporates crop rotation systems with associated investment requirements and production activities by the integration of physical, biological and financial factors. Standard accounting principle present the results in a format that famers understand. A typical farm served as point of departure for the model construction. Expert knowledge was employed to validate the assumptions regarding the physical properties of such a typical farm. A whole-farm multi-period budget model approach was used to evaluate the financial implications of each identified crop rotation system within the Goue Rûens area. This whole-farm multi-period model is able to integrate each system’s individual components, with their particular investment requirements and climate variability. Financial modelling, as a method, was successful in achieving the research goal. Each of the individual crop rotation systems included in the Tygerhoek crop rotation trial was simulated in a whole-farm context through a multi-period budget to calculate the expected financial performance of each system. The output gained from this research method allowed for the financial comparison of the various systems, using the internal rate of return on capital investment (IRR). The range of the IRRs for the different crop rotation systems at a whole-farm multi-period level was relatively narrow. No system was observed that significantly outperformed any of the other respective systems. It did however indicate the importance of combinations of crops and wheat as well as barley in the same system.
- ItemLonger term financial implications of including cover crops into winter cereal-based crop rotation systems in the Middle Swartland(Stellenbosch : Stellenbosch University, 2021-12) De Villiers, Tielman Johannes; Hoffmann, Willem H.; Strauss, Johann A.; Stellenbosch University. Faculty of Economic and Management Sciences. Dept. of Agricultural Economics.ENGLISH SUMMARY : The world's population is currently growing at 1.03% annually. The demand on natural resources will increase steadily, necessitating the adoption of sustainable farming techniques to maintain food security. Food security depends on sustainable farming practices. Conservation agriculture is a comprehensive approach to sustainable farming which enhances yields, increases profitability, and promotes environmental protection. Conservation agriculture is widely used in cereal production systems across the Western Cape and is based on three interconnected principles: minimum soil disturbance, sufficient soil cover and diversified crop rotation systems. Crop rotation systems are site-specific. Trial data from the Langgewens experimental farm were utilised to assess the long-term financial implications of various crop rotation systems under full conservation agriculture practices. Limited research is available on the financial implications of cover crops which may explain why producers are hesitant to alter their cash rotation crops to include cover crops in the winter grain production systems of the Swartland. The primary objectives of this research project is to evaluate the financial implications of including cover crops into the whole-farm system. The typical farm approach was utilised to integrate the interrelated synergies of the farm system. A multidisciplinary group discussion was held with industry experts from the Middle Swartland producing region. The group discussion included agronomists, economists, soil scientists and farmers. Each participant contributed to the group conversation with distinct and in-depth knowledge of their respective professions. The Middle Swartland region's typical whole-farm budgets were developed by using Microsoft Excel spreadsheet programs. The excel spreadsheets enabled the incorporation of the expertise of professionals into multi-period budgets Whole-farm budget components are interlinked and modifications in one component can affect other components of the whole-farm budget. The Internal Rate of Return (IRR) and Net Present Value (NPV) were utilised to calculate overall farm profitability for several crop rotation systems in the Middle Swartland region. For a typical farm in the Middle Swartland region, System 3, is the most promising and robust rotation system over a 20-year period. This crop-pasture rotation system had a predicted Internal Rate of Return of 7.14 percent. The speculation approach which includes cover crops being grazed by bought in sheep and where at the end of the season the sheep are sold, are projected to be more lucrative than the traditional continuous cash crop rotation. This is due to the advantages of lower input cost prices and lower mechanical investment and replacement. Cover crops input costs are lower than that compared of a cash rotation crop and does not require intensive mechanical work. Cover crops overall input costs are there for lower than compared to a cash rotation crops such as canola. The wider implementation of speculation is expected to be limited due to the availability of speculation sheep at the required scale.