Paddock to Reef Monitoring and Evaluation: Economic analysis of ABCD cane management practices for the Mackay Whitsunday region

The economic analysis is based on the A, B, C and D management practice framework for water quality improvement developed in 2007/2008 by the respective natural resource management region. The Mackay Whitsunday ABCD management framework for sugarcane management practices was published in 2009 by the Department of Primary Industries & Fisheries (DPI&F), following the original version that was published in the Water Quality Improvement Plan: final report for Mackay Whitsunday region (2008).

Economic case study of ABCD cane management practices in the Burdekin River Irrigation Area (BRIA) region

A case study was undertaken to determine the economic impact of a change in management class as detailed in the A, B, C and D management class framework. This document focuses on the implications of changing from D to C, C to B and B to A class management in the Burdekin River irrigation area (BRIA) and if the change is worthwhile from an economic perspective. This report provides a guide to the economic impact that may be expected when undertaking a particular change in farming practices and will ultimately lead to more informed decisions being made by key industry stakeholders. It is recognised that these management classes have certain limitations and in many cases the grouping of practices may not be reflective of the real situation. The economic case study is based on the A, B, C and D management class framework for water quality improvement developed in 2007/2008 for the Burdekin natural resource management region. The framework for the Burdekin is currently being updated to clarify some issues and incorporate new knowledge since the earlier version of the framework. However, this updated version is not yet complete and so the Paddock to Reef project has used the most current available version of the framework for the modelling and economics. As part of the project specification, sugarcane crop production data for the BRIA was provided by the APSIM model. The information obtained from the APSIM crop modelling programme included sugarcane yields and legume grain yield (legume grain yield only applies to A class management practice). Because of the complexity involved in the economic calculations, a combination of the FEAT, PiRisk and a custom made spreadsheet was used for the economic analysis. Figures calculated in the FEAT program were transferred to the custom made spreadsheet to develop a discounted cash flow analysis. The marginal cash flow differences for each farming system were simulated over a 5-year and 10-year planning horizon to determine the net present value of changing across different management practices. PiRisk was used to test uncertain parameters in the economic analysis and the potential risk associated with a change in value.

Economic case study of ABCD cane management practices in the Burdekin Delta region.

A case study was undertaken to determine the economic impact of a change in management class as detailed in the A, B, C and D management class framework. This document focuses on the implications of changing from D to C, C to B and B to A class management in the Burdekin Delta region and if the change is worthwhile from an economic perspective. This report provides a guide to the economic impact that may be expected when undertaking a particular change in farming practices and will ultimately lead to more informed decisions being made by key industry stakeholders. It is recognised that these management classes have certain limitations and in many cases the grouping of practices may not be reflective of the real situation. The economic case study is based on the A, B, C and D management class framework for water quality improvement developed in 2007/2008 for the Burdekin natural resource management region. The framework for the Burdekin is currently being updated to clarify some issues and incorporate new knowledge since the earlier version of the framework. However, this updated version is not yet complete and so the Paddock to Reef project has used the most current available version of the framework for the modelling and economics. As part of the project specification, sugarcane crop production data for the Burdekin Delta region was provided by the APSIM model. The information obtained from the APSIM crop modelling programme included sugarcane yields and legume grain yield (legume grain yield only applies to A class management practice). Because of the complexity involved in the economic calculations, a combination of the FEAT, PiRisk and a custom made spreadsheet was used for the economic analysis. Figures calculated in the FEAT program were transferred to the custom made spreadsheet to develop a discounted cash flow analysis. The marginal cash flow differences for each farming system were simulated over a 5-year and 10-year planning horizon to determine the Net Present Value of changing across different management practices. PiRisk was used to test uncertain parameters in the economic analysis and the potential risk associated with a change in value.

Paddock to Reef Monitoring & Evaluation - Economic analysis of ‘ABCD’ cane management for Tully

The economic analysis is based on the A, B, C and D management practice framework for water quality improvement developed in 2007/2008 by the respective natural resource management region. This document focuses on the economic implications of these management practices in the Tully region. A review of the management practices is currently being undertaken to clarify some issues and incorporate new knowledge since the earlier version of the framework. However, this updated version is not yet complete and so the Paddock to Reef project has used the most current available version of the framework for the modelling and economics.

Economic case study of ABCD cane management practices in the Tully region

A case study was undertaken to determine the economic impact of a change in management class as detailed in the A, B, C and D management class framework. This document focuses on the implications of changing from D to C, C to B and B to A class management in the Tully region and if the change is worthwhile from an economic perspective. This report provides a guide to the economic impact that may be expected when undertaking a particular change in farming practices and will ultimately lead to more informed decisions being made by key industry stakeholders. It is recognised that these management classes have certain limitations and in many cases the grouping of practices may not be reflective of the real situation. The economic case study is based on the A, B, C and D management class framework for water quality improvement developed in 2007/2008 by the wet tropics natural resource management region. The framework for wet tropics is currently being updated to clarify some issues and incorporate new knowledge since the earlier version of the framework. However, this updated version is not yet complete and so the Paddock to Reef project has used the most current available version of the framework for the modelling and economics. As part of the project specification, sugarcane crop production data for the Tully region was provided by the APSIM model. Because of the complexity involved in the economic calculations, a combination of the FEAT, PiRisk and a custom made spreadsheet was used for the economic analysis. Figures calculated in the FEAT program were transferred to the custom made spreadsheet to develop a discounted cash flow analysis. The marginal cash flow differences for each farming system were simulated over a 5-year and 10-year planning horizon to determine the Net Present Value of changing across different management practices. PiRisk was used to test uncertain parameters in the economic analysis and the potential risk associated with a change in value.

Economic Analysis of Sugarcane Farming Systems for Water Quality Improvement in the Great Barrier Reef Catchments.

In this report we analyse the private financial-economic impacts of transitioning to improved sugarcane management in the National Resource Management regions of the Wet Tropics, Burdekin Dry Tropics and Mackay Whitsundays. In order to do so, we: 1) compare farm GMs; 2) present information on capital investment associated with the transition; 3) perform a net present value analysis of the investments and; 4) undertake a risk analysis for cane and legume yields and prices. It must be noted that transaction costs are not captured within this project.

Paddock to Reef Monitoring and Evaluation - Economic analysis of ‘ABCD’ cane management for the Burdekin Delta region.

The economic analysis is based on the A, B, C and D management practice framework for water quality improvement developed in 2007/2008 by the respective natural resource management region. This document focuses on the economic implications of these management practices in the Burdekin Delta region. A review of the management practices is currently being undertaken to clarify some issues and incorporate new knowledge since the earlier version of the framework. However, this updated version is not yet complete and so the Paddock to Reef project has used the most current available version of the framework for the modelling and economics.

Paddock to Reef Monitoring & Evaluation - Economic analysis of ‘ABCD’ cane management for the Burdekin River Irrigation Area.

The economic analysis is based on the A, B, C and D management practice framework for water quality improvement developed in 2007/2008 by the respective natural resource management region. This document focuses on the economic implications of these management practices in the Burdekin River Irrigation Area (BRIA). A review of the management practices is currently being undertaken to clarify some issues and incorporate new knowledge since the earlier version of the framework. However, this updated version is not yet complete and so the Paddock to Reef project has used the most current available version of the framework for the modelling and economics.

Estimating the economic implications for grazing properties in the Mackay Whitsunday catchments of practice changes to more sustainable landscapes.

In the Mackay Whitsunday region, the dominant grazing based operations are small intensive systems that heavily utilise soil, nutrient and chemical management practices. To improve water quality entering the Great Barrier Reef, graziers are being encouraged to adopt improved management practices. However, while there is good understanding of the management changes required to reach improved practice classification levels, there is poor understanding of the likely economic implications for a grazier seeking to move from a lower level classification to the higher level classifications. This paper provides analysis of the costs and benefits associated with adoption of intensive grazing best management practices to determine the effect on the profitability and economic sustainability of grazing enterprises, and the economic viability of capital investment to achieve best management. The results indicate that financial incentives are likely to be required to encourage smaller graziers to invest in changing their management practices, while larger graziers may only require incentives to balance the risk involved with the transition to better management practices.

Economic evaluation of precision controlled traffic farming in the Australian sugar industry: a case study of an early adopter

Controlled traffic has been identified as the most practical method of reducing compaction-related soil structural degradation in the Australian sugarcane industry. GPS auto-steer systems are required to maximize this potential. Unfortunately there is a perception that little economic gain will result from investing in this technology. Regardless, a number of growers have made the investment and are reaping substantial economic and lifestyle rewards. In this paper we assess the cost effectiveness of installing GPS guidance and using it to implement Precision Controlled Traffic Farming (PCTF) based on the experience of an early adopter. The Farm Economic Analysis Tool (FEAT) model was used with data provided by the grower to demonstrate the benefits of implementing PCTF. The results clearly show that a farming system based on PCTF and the minimum tillage improved farm gross margin by 11.8% and reduced fuel usage by 58%, compared to producers' traditional practice. PCTF and minimum tillage provide sugar producers with a tool to manage the price cost squeeze at a time of low sugar prices. These data provide producers with the evidence that investment in PCTF is economically prudent.

Introduction, establishment, and potential geographic range of Carmenta sp. nr ithacae (Lepidoptera: Sesiidae), a biological control agent for Parthenium hysterophorus (Asteraceae) in Australia

Parthenium (Parthenium hysterophorus L.), a major weed causing economic, environmental, and human and animal health problems in Australia and several countries in Asia, Africa, and the Pacific, has been a target for biological control in Australia since the mid-1970s. Nine species of insects and two rust fungi have been introduced as biological control agents into Australia. These include Carmenta sp. nr ithacae, a root feeding agent from Mexico. The larvae of C. sp. nr ithacae bore through the stem-base into the root where they feed on the cortical tissue of the taproot. During 1998-2002, 2,816 larval-infested plants and 387 adults were released at 31 sites across Queensland, Australia. Evidence of field establishment was first observed in two of the release sites in central Queensland in 2004. Annual surveys at these sites and nonrelease sites during 2006-2011 showed wide variations in the incidence and abundance of C. sp. nr ithacae between years and sites. Surveys at three of the nine release sites in northern Queensland and 16 of the 22 release sites in central Queensland confirmed the field establishment of C. sp. nr ithacae in four release sites and four nonrelease sites, all in central Queensland. No field establishment was evident in the inland region or in northern Queensland. A CLIMEX model based on the native range distribution of C. sp. nr ithacae predicts that areas east of the dividing range along the coast are more suitable for field establishment than inland areas. Future efforts to redistribute this agent should be restricted to areas identified as climatically favorable by the CLIMEX model.

Spatial and diurnal pattern of protein foraging by Bactrocera tryoni (Froggatt) on a host plant

Background: Queensland fruit fly, Bactrocera tryoni, is the major pest fruit fly in Australia. Protein bait sprays, where insecticides are mixed with spot applications of a protein based food lure, are one of the sustainable pre-harvest fruit fly management strategies used in Australia. Although protein bait sprays do manage fruit fly infestation in the field, there is little science underpinning this technique and so improving its efficacy is difficult. Lacking information includes where and when to apply protein bait in order to best target foraging B. tryoni. As part of new work in this area, we investigated the effect of height of protein on tree and host plant fruiting status on the spatial and temporal protein foraging patterns of B. tryoni. MEthod: The work was conducted in the field using nectarine and guava plants and wild B. tryoni at Redland Bay, Queensland, Australia. Spot sprays of protein bait were applied to the foliage of randomly selected fruiting and non-fruiting trees. Each tree received protein bait spot sprays on the lower and higher foliage at 0530hrs. The number, sex and species of flies that fed on each protein spot were recorded hourly from 0600hrs through to 1800hrs.Results: For nectarines, there was a significant difference in the number of B. tryoni feeding on protein bait placed at different locations within the tree (ANOVA, F = 8.898, p = 0.001). More flies fed on protein placed on higher foliage relative to lower, irrespective of the fruiting status of the nectarine trees. A significant difference was also observed in the diurnal protein feeding pattern of B. tryoni (ANOVA, F = 2.164, p = 0.024), with more flies feeding at 1600hrs. Results for guava are still being collected and will be presented at the meeting.Conclusions: We conclude that B. tryoni effectively forages for protein at heights higher than 1.3m from ground, indicating greater efficacy of protein bait when applied at foliage higher in the canopy. Bactrocera tryoni actively forages for protein throughout the day, with a highest feeding peak at 1600hrs. The lack of significant difference in the spatial protein foraging pattern between fruiting and non-fruiting nectarine trees may be a real result, or may have resulted from the fruiting tree being very close (within 1 – 2 metres) of the non-fruiting tree. This hypothesis is being tested in the guava trial.

Host Records of Fruit Flies in the South Pacific

Understanding the host range for all of the fruit fly species within the South Pacific region is vital to establishing trade and quarantine protocols. This is important for the countries within the region and their trade partners. A significant aspect of the Australian Centre for International Agricultural Research (ACIAR) and Regional Fruit Fly Projects (RFFP) has been host fruit collecting which has provided information on fruit fly host records in the seven participating countries. This work is still continuing in all project countries at different intensities. In the Cook Islands, Fiji, Tonga and Western Samoa, fruit surveys have assumed a quarantine surveillance role, with a focus on high risk fruits, such as guava, mango, citrus, bananas, cucurbits and solanaceous fruits. In the Solomon Islands, Vanuatu and the Federated States of Micronesia (FSM), fruit surveys are still at the stage where host ranges are far from complete. By the end of the current project a more complete picture of the fruit fly hosts in these countries will have been gained. A brief summary of the data collected to date is as follows: 23 947 fruit samples collected to date; 2181 positive host fruit records; 31 fruit fly species reared from fruit; 12 species reared from commercial fruit. A commercial fruit is classed as an edible fruit with potential for trade at either a local or international level. This allows for the inclusion of endemic fruit species that have cultural significance as a food source. On the basis of these results, there are fruit fly species of major economic importance in the South Pacific region. However, considerably more fruit survey work is required in order to establish a detailed understanding of all the pest species.

Evaluation of exclusion netting for insect pest control and fruit quality enhancement in tree crops

This work evaluated the following aspects of the use of exclusion netting in low chill stone fruit: the efficacy of protection from fruit fly for this highly susceptible crop; the effects on environmental factors; and the effects on crop development. Concurrently, an economic viability study on the use of exclusion netting was undertaken. The trial site was a 0.6-ha block of low chill stone fruit at Nambour, south-east Queensland, Australia. In this area, populations of Queensland fruit fly (Bactrocera tryoni) are known to be substantial, particularly in spring and summer. The trial block contained healthy 4-year-old trees as follows: 96 peach trees (Prunus persica cv. Flordaprince) and 80 nectarine trees (40 P. persica var. nucipersica cv. White Satin and 40 P. persica var. nucipersica cv. Sunwright). Exclusion netting was installed over approximately half of the block in february 2001. The net was a UV-stabilized structural knitted fabric made from high-density polyethylene yarn with a 10-year prorated UV degradation warranty. The results demonstrated the efficacy of exclusion netting in the control of fruit flies. Exclusion netting increased maximum temperatures by 4.4 deg C and decreased minimum temperatures by 0.5 deg C. Although exclusion netting reduced irradiance by approximately 20%, it enhanced fruit development by 7-10 days and improved fruit quality by increasing sugar concentration by 20-30% and colour intensity by 20%.

Innovative new production systems for low-chill stonefruit in Australia and South-East Asia: a review

Fruit size and quality are major problems in early-season stonefruit cultivars grown in Australia and South-East Asia. In Australia, Thailand and Vietnam, new training and trellising systems are being developed to improve yield and fruit quality. Australian trials found that new training systems, such as the Open Tatura system, are more productive compared with standard vase-trained trees. We established new crop-loading indices for low-chill stonefruit to provide a guide for optimum fruit thinning based on fruit number per canopy surface and butt cross sectional area. Best management practices were developed for low-chill stonefruit cultivation using growth retardants, optimizing leaf nitrogen concentrations and controlling rates and timing of irrigation. Regulated deficit irrigation (RDI) improved fruit sugar concentrations by restricting water application during stage II of fruit growth. New pest and disease control measures are also being developed using a new generation of fruit fly baits. Soft insecticides such as (Spinosad) are used at significantly lower concentrations and have lower mammalian toxicity than the organophosphates currently registered in Australia. In addition, fruit fly exclusion netting effectively eliminated fruit fly and many other insect pests from the orchard with no increase in diseases. This netting system increased sugar concentrations of peach and nectarine by as much as 30%. Economic analyses showed that the break-even point can be reduced from 12 to 6 years Open Tatura trellising and exclusion netting.