Implications of retaining woody regrowth for carbon sequestration for an extensive grazing beef business: a bio-economic modelling case study

A bio-economic modelling framework (GRASP-ENTERPRISE) was used to assess the implications of retaining woody regrowth for carbon sequestration on a case study beef grazing property in northern Australia. Five carbon farming scenarios, ranging from 0% to 100% of the property regrowth retained for carbon sequestration, were simulated over a 20-year period (1993–2012). Dedicating regrowth on the property for carbon sequestration reduced pasture (up to 40%) and herd productivity (up to 20%), and resulted in financial losses (up to 24% reduction in total gross margin). A net carbon income (income after grazing management expenses are removed) of $2–4 per t CO2-e was required to offset economic losses of retaining regrowth on a moderately productive (~8 ha adult equivalent–1) property where income was from the sale of weaners. A higher opportunity cost ($ t–1 CO2-e) of retaining woody regrowth is likely for feeder steer or finishing operations, with improved cattle prices, and where the substantial transaction and reporting costs are included. Although uncertainty remains around the price received for carbon farming activities, this study demonstrated that a conservatively stocked breeding operation can achieve positive production, environmental and economic outcomes, including net carbon stock. This study was based on a beef enterprise in central Queensland’s grazing lands, however, the approach and learnings are expected to be applicable across northern Australia where regrowth is present.

Effective Use in Livestock Feeds of Mouldy and Weather-damaged Grain Containing Mycotoxins-Case Histories and Economic Assessments Pertaining to Pig and Poultry Industries of Queensland

Mould growth in field crops or stored grain reduces starch and lipid content, with consequent increases in fibre, and an overall reduction in digestible energy; palatability is often adversely affected. If these factors are allowed for, and mycotoxin concentrations are low, there are sound economic reasons for using this cheaper grain. Mycotoxins are common in stock feed but their effects on animal productivity are usually slight because either the concentration is too low or the animal is tolerant to the toxin. In Australia, aflatoxins occur in peanut by-products and in maize and sorghum if the grain is moist when stored. Zearalenone is found in maize and in sorghum and wheat in wetter regions. Nivalenol and deoxynivalenol are found in maize and wheat but at concentrations that rarely affect pigs, with chickens and cattle being even more tolerant. Other mycotoxins including cyclopiazonic acid, T-2 toxin, cytochalasins and tenuazonic acid are produced by Australian fungi in culture but are not found to be significant grain contaminants. Extremely mouldy sorghum containing Alternaria and Fusarium mycotoxins decreased feed conversion in pigs and chickens by up to 14%. However, E moniliforme- and Diplodia maydis-infected maize produced only slight reductions in feed intake by pigs and Ustilago- infected barley produced no ill effects. Use of these grains would substantially increase profits if the grain can be purchased cheaply.

Inferential, non-parametric statistics to assess quality of probabilistic forecast systems

Many statistical forecast systems are available to interested users. In order to be useful for decision-making, these systems must be based on evidence of underlying mechanisms. Once causal connections between the mechanism and their statistical manifestation have been firmly established, the forecasts must also provide some quantitative evidence of `quality’. However, the quality of statistical climate forecast systems (forecast quality) is an ill-defined and frequently misunderstood property. Often, providers and users of such forecast systems are unclear about what ‘quality’ entails and how to measure it, leading to confusion and misinformation. Here we present a generic framework to quantify aspects of forecast quality using an inferential approach to calculate nominal significance levels (p-values) that can be obtained either by directly applying non-parametric statistical tests such as Kruskal-Wallis (KW) or Kolmogorov-Smirnov (KS) or by using Monte-Carlo methods (in the case of forecast skill scores). Once converted to p-values, these forecast quality measures provide a means to objectively evaluate and compare temporal and spatial patterns of forecast quality across datasets and forecast systems. Our analysis demonstrates the importance of providing p-values rather than adopting some arbitrarily chosen significance levels such as p < 0.05 or p < 0.01, which is still common practice. This is illustrated by applying non-parametric tests (such as KW and KS) and skill scoring methods (LEPS and RPSS) to the 5-phase Southern Oscillation Index classification system using historical rainfall data from Australia, The Republic of South Africa and India. The selection of quality measures is solely based on their common use and does not constitute endorsement. We found that non-parametric statistical tests can be adequate proxies for skill measures such as LEPS or RPSS. The framework can be implemented anywhere, regardless of dataset, forecast system or quality measure. Eventually such inferential evidence should be complimented by descriptive statistical methods in order to fully assist in operational risk management.

Economic analyses of options for weedy Sporobolus grass management

Weedy Sporobolus grasses have low palatability for livestock, with infestations reducing land condition and pastoral productivity. Control and containment options are available, but the cost of weed control is high relative to the extra return from livestock, thus, limiting private investment. This paper outlines a process for analysing the economic consequences of alternative management options for weedy Sporobolus grasses. This process is applicable to other weeds and other pastoral degradation or development issues. Using a case study property, three scenarios were developed. Each scenario compared two alternative management options and was analysed using discounted cash flow analysis. Two of the scenarios were based on infested properties and one scenario was based on a currently uninfested property but highly likely to become infested without active containment measures preventing weed seed transport and seedling establishment. The analysis highlighted why particular weedy Sporobolus grass management options may not be financially feasible for the landholder with the infestation. However, at the regional scale, the management options may be highly worthwhile due to a reduction in weed seed movement and new weed invasions. Therefore, to encourage investment by landholders in weedy Sporobolus grass management the investment of public money on behalf of landholders with non-infested properties should be considered.

From inferential statistics to climate knowledge

Climate variability and change are risk factors for climate sensitive activities such as agriculture. Managing these risks requires "climate knowledge", i.e. a sound understanding of causes and consequences of climate variability and knowledge of potential management options that are suitable in light of the climatic risks posed. Often such information about prognostic variables (e.g. yield, rainfall, run-off) is provided in probabilistic terms (e.g. via cumulative distribution functions, CDF), whereby the quantitative assessments of these alternative management options is based on such CDFs. Sound statistical approaches are needed in order to assess whether difference between such CDFs are intrinsic features of systems dynamics or chance events (i.e. quantifying evidences against an appropriate null hypothesis). Statistical procedures that rely on such a hypothesis testing framework are referred to as "inferential statistics" in contrast to descriptive statistics (e.g. mean, median, variance of population samples, skill scores). Here we report on the extension of some of the existing inferential techniques that provides more relevant and adequate information for decision making under uncertainty.

A survey of management and economic impact of weeds in dryland cotton cropping systems of subtropical Australia

In dryland cotton cropping systems, the main weeds and effectiveness of management practices were identified, and the economic impact of weeds was estimated using information collected in a postal and a field survey of Southern Queensland and northern New South Wales. Forty-eight completed questionnaires were returned, and 32 paddocks were monitored in early and late summer for weed species and density. The main problem weeds were bladder ketmia (Hibiscus trionum), common sowthistle (Sonchus oleraceus), barnyard grasses (Echinochloa spp.), liverseed grass (Urochloa panicoides) and black bindweed (Fallopia convolvulus), but the relative importance of these differed with crops, fallows and crop rotations. The weed flora was diverse with 54 genera identified in the field survey. Control of weed growth in rotational crops and fallows depended largely on herbicides, particularly glyphosate in fallow and atrazine in sorghum, although effective control was not consistently achieved. Weed control in dryland cotton involved numerous combinations of selective herbicides, several non-selective herbicides, inter-row cultivation and some manual chipping. Despite this, residual weeds were found at 38-59% of initial densities in about 3-quarters of the survey paddocks. The on-farm financial costs of weeds ranged from $148 to 224/ha.year depending on the rotation, resulting in an estimated annual economic cost of $19.6 million. The approach of managing weed populations across the whole cropping system needs wider adoption to reduce the weed pressure in dryland cotton and the economic impact of weeds in the long term. Strategies that optimise herbicide performance and minimise return of weed seed to the soil are needed. Data from the surveys provide direction for research to improve weed management in this cropping system. The economic framework provides a valuable measure of evaluating likely future returns from technologies or weed management improvements.

Weed eradication - an economic perspective

There has been recent interest in determining the upper limits to the feasibility of weed eradication. Although a number of disparate factors determine the success of an eradication program, ultimately eradication feasibility must be viewed in the context of the amount of investment that can be made. The latter should reflect the hazard posed by an invasion, with greater investment justified by greater threats. In simplest terms, the effort (and hence investment) to achieve weed eradication comprises the detection effort required to delimit an invasion plus the search and control effort required to prevent reproduction until extirpation occurs over the entire infested area. The difficulty of estimating the required investment at the commencement of a weed eradication program (as well as during periodic reviews) is a serious problem. Bioeconomics show promise in determining the optimal approach to managing weed invasions, notwithstanding ongoing difficulties in estimating the costs and benefits of eradication and alternative invasion management strategies. A flexible approach to the management of weed invasions is needed, allowing for the adoption of another strategy when it becomes clear that the probability of eradication is low, owing to resourcing or intractable technical issues. Whether the considerable progress that has been achieved towards eradication of the once massive witchweed invasion can be duplicated for other weeds of agricultural systems will depend to a large extent upon investment (. $250 million over 50 yr in this instance). Weeds of natural ecosystems seem destined to remain more difficult eradication targets for a variety of reasons, including higher impedance to eradication, more difficulty in valuing the benefits arising from eradication, and possibly less willingness to pay from society at large.

Validating economic and environmental sustainability of a short-term summer forage legume in dryland wheat cropping systems in south-west Queensland.

The present study set out to test the hypothesis through field and simulation studies that the incorporation of short-term summer legumes, particularly annual legume lablab (Lablab purpureus cv. Highworth), in a fallow-wheat cropping system will improve the overall economic and environmental benefits in south-west Queensland. Replicated, large plot experiments were established at five commercial properties by using their machineries, and two smaller plot experiments were established at two intensively researched sites (Roma and St George). A detailed study on various other biennial and perennial summer forage legumes in rotation with wheat and influenced by phosphorus (P) supply (10 and 40 kg P/ha) was also carried out at the two research sites. The other legumes were lucerne (Medicago sativa), butterfly pea (Clitoria ternatea) and burgundy bean (Macroptilium bracteatum). After legumes, spring wheat (Triticum aestivum) was sown into the legume stubble. The annual lablab produced the highest forage yield, whereas germination, establishment and production of other biennial and perennial legumes were poor, particularly in the red soil at St George. At the commercial sites, only lablab-wheat rotations were experimented, with an increased supply of P in subsurface soil (20 kg P/ha). The lablab grown at the commercial sites yielded between 3 and 6 t/ha forage yield over 2-3 month periods, whereas the following wheat crop with no applied fertiliser yielded between 0.5 to 2.5 t/ha. The wheat following lablab yielded 30% less, on average, than the wheat in a fallow plot, and the profitability of wheat following lablab was slightly higher than that of the wheat following fallow because of greater costs associated with fallow management. The profitability of the lablab-wheat phase was determined after accounting for the input costs and additional costs associated with the management of fallow and in-crop herbicide applications for a fallow-wheat system. The economic and environmental benefits of forage lablab and wheat cropping were also assessed through simulations over a long-term climatic pattern by using economic (PreCAPS) and biophysical (Agricultural Production Systems Simulation, APSIM) decision support models. Analysis of the long-term rainfall pattern (70% in summer and 30% in winter) and simulation studies indicated that ~50% time a wheat crop would not be planted or would fail to produce a profitable crop (grain yield less than 1 t/ha) because of less and unreliable rainfall in winter. Whereas forage lablab in summer would produce a profitable crop, with a forage yield of more than 3 t/ha, ~90% times. Only 14 wheat crops (of 26 growing seasons, i.e. 54%) were profitable, compared with 22 forage lablab (of 25 seasons, i.e. 90%). An opportunistic double-cropping of lablab in summer and wheat in winter is also viable and profitable in 50% of the years. Simulation studies also indicated that an opportunistic lablab-wheat cropping can reduce the potential runoff+drainage by more than 40% in the Roma region, leading to improved economic and environmental benefits.

Poor adoption of ley-pastures in south-west Queensland: biophysical, economic and social constraints.

The present review identifies various constraints relating to poor adoption of ley-pastures in south-west Queensland, and suggests changes in research, development and extension efforts for improved adoption. The constraints include biophysical, economic and social constraints. In terms of biophysical constraints, first, shallower soil profiles with subsoil constraints (salt and sodicity), unpredictable rainfall, drier conditions with higher soil temperature and evaporative demand in summer, and frost and subzero temperature in winter, frequently result in a failure of established, or establishing, pastures. Second, there are limited options for legumes in a ley-pasture, with the legumes currently being mostly winter-active legumes such as lucerne and medics. Winter-active legumes are ineffective in improving soil conditions in a region with summer-dominant rainfall. Third, most grain growers are reluctant to include grasses in their ley-pasture mix, which can be uneconomical for various reasons, including nitrogen immobilisation, carryover of cereal diseases and depressed yields of the following cereal crops. Fourth, a severe depletion of soil water following perennial ley-pastures (grass + legumes or lucerne) can reduce the yields of subsequent crops for several seasons, and the practice of longer fallows to increase soil water storage may be uneconomical and damaging to the environment. Economic assessments of integrating medium- to long-term ley-pastures into cropping regions are generally less attractive because of reduced capital flow, increased capital investment, economic loss associated with establishment and termination phases of ley-pastures, and lost opportunities for cropping in a favourable season. Income from livestock on ley-pastures and soil productivity gains to subsequent crops in rotation may not be comparable to cropping when grain prices are high. However, the economic benefits of ley-pastures may be underestimated, because of unaccounted environmental benefits such as enhanced water use, and reduced soil erosion from summer-dominant rainfall, and therefore, this requires further investigation. In terms of social constraints, the risk of poor and unreliable establishment and persistence, uncertainties in economic and environmental benefits, the complicated process of changing from crop to ley-pastures and vice versa, and the additional labour and management requirements of livestock, present growers socially unattractive and complex decision-making processes for considering adoption of an existing medium- to long-term ley-pasture technology. It is essential that research, development and extension efforts should consider that new ley-pasture options, such as incorporation of a short-term summer forage legume, need to be less risky in establishment, productive in a region with prevailing biophysical constraints, economically viable, less complex and highly flexible in the change-over processes, and socially attractive to growers for adoption in south-west Queensland.

Temperature and Salinity Tolerances of the Tropical Spiny Lobster, Panulirus ornatus

Interest in the development of aquaculture of the tropical spiny lobster, Panulirus ornatus, has increased markedly over the past 10 yr because of strong market demand and high prices. In Australia, economic conditions will necessitate that a semi-intensive approach be taken, possibly involving managed environmental conditions. Identification of optimal temperature and salinity levels will be necessary, and therefore two experiments were performed to examine these two parameters. Juvenile lobsters were grown in tanks at five temperatures (19, 22, 25, 28 and 31 C). Growth was significantly affected by temperature (P < 0.01), and maximal growth occurred at 25-31 C. Examination of the temperature effect on molt increment and intermolt period indicated that 27 C was the optimal temperature, at which molt increment was greatest and intermolt period the least. Temperature also had a significant (P < 0.01) positive effect on apparent feed intake (AFI). Juvenile lobsters were also exposed to four different salinities (20, 25, 30 and 35 ppt) over a period of 91 d. Significant differences (P < 0.01) were apparent for both survival and growth. Lowest survival occurred at 35 ppt which may be attributable to higher cannibalism at that salinity. Growth was highest at 35 ppt and progressively less at lower salinities. Although full marine salinity (35 ppt) will generate best performance of P. ornatus, its capacity to tolerate reduced salinity will provide greater opportunity to develop commercial aquaculture.

Potential economic benefit of intensification of beef production in Australian rangelands: an operational case study perspective.

In Australia, the development of rangelands has led to steady gains in pastoral productivity through more intensive and widespread land use (Stokes et al., 2006). Opportunities to benefit from intensification exist on large properties with relatively poor water and fencing infrastructure development, resulting in uneven utilisation of available forage (Ash et al.,2006). The objective of this study is to value expected economic gains from carrying out property improvements on a beef property located in Northern Australia.

Using harvest statistics to monitor temporal variation in kangaroo density and harvest rate

Management of the commercial harvest of kangaroos relies on quotas set annually as a proportion of regular estimates of population size. Surveys to generate these estimates are expensive and, in the larger states, logistically difficult; a cheaper alternative is desirable. Rainfall is a disappointingly poor predictor of kangaroo rate of increase in many areas, but harvest statistics (sex ratio, carcass weight, skin size and animals shot per unit time) potentially offer cost-effective indirect monitoring of population abundance (and therefore trend) and status (i.e. under-or overharvest). Furthermore, because harvest data are collected continuously and throughout the harvested areas, they offer the promise of more intensive and more representative coverage of harvest areas than aerial surveys do. To be useful, harvest statistics would need to have a close and known relationship with either population size or harvest rate. We assessed this using longterm (11-22 years) data for three kangaroo species (Macropus rufus, M. giganteus and M. fuliginosus) and common wallaroos (M. robustus) across South Australia, New South Wales and Queensland. Regional variation in kangaroo body size, population composition, shooter efficiency and selectivity required separate analyses in different regions. Two approaches were taken. First, monthly harvest statistics were modelled as a function of a number of explanatory variables, including kangaroo density, harvest rate and rainfall. Second, density and harvest rate were modelled as a function of harvest statistics. Both approaches incorporated a correlated error structure. Many but not all regions had relationships with sufficient precision to be useful for indirect monitoring. However, there was no single relationship that could be applied across an entire state or across species. Combined with rainfall-driven population models and applied at a regional level, these relationships could be used to reduce the frequency of aerial surveys without compromising decisions about harvest management.

Where to from Brahmans in the Northern Australian herd? Maintaining the economic benefit of earlier infusions of Bos indicus.

The economic performance of a terminal crossbreeding system based on Brahman cows and a tropically adapted composite herd were compared to a straightbred Brahman herd. All systems were targeted to meet specifications of the grass-finished Japanese market. The production system modelled represented a typical individual central Queensland integrated breeding/finishing enterprise or a northern Australian vertically integrated enterprise with separate breeding and finishing properties. Due mainly to a reduced age of turnoff of Crossbred and Composite sale animals and an improved weaning rate in the Composite herd, Crossbred and Composite herds returned a gross margin of $7 and $24 per Adult Equivalent (AE) respectively above that of the Brahman herd. The benefits of changing 25% of the existing 85% of Brahmans in the northern Australian herd to either Crossbreds or Composites over a 10-year period were also examined. With no premium for carcass quality in Crossbred and Composite sale animals, annual benefits were $16 M and $61 M for Crossbreds and Composites in 2013. The cumulative Present Value (PV) of this shift over the 10-year period was $88 M and $342 M respectively, discounted at 7%. When a 5c per kg premium for carcass quality was included, differences in annual benefits rose to $30 M and $75 M and cumulative PVs to $168 M and $421 M for Crossbreds and Composites respectively.

Scalloped Hammerhead microsatellite genotypes (eight loci) representing five regions on Australia's east coast and one location in central Indonesia.

Biodiversity of sharks in the tropical Indo-Pacific is high, but species-specific information to assist sustainable resource exploitation is scarce. The null hypothesis of population genetic homogeneity was tested for scalloped hammerhead shark (Sphyrna lewini, n=244) and the milkshark (Rhizoprionodon acutus, n=209) from northern and eastern Australia, using nuclear (S. lewini, eight microsatellite loci; R. acutus, six loci) and mitochondrial gene markers (873 base pairs of NADH dehydrogenase subunit 4). We were unable to reject genetic homogeneity for S. lewini, which was as expected based on previous studies of this species. Less expected were similar results for R. acutus, which is more benthic and less vagile than S. lewini. These features are probably driving the genetic break found between Australian and central Indonesian R. acutus (F-statistics; mtDNA, 0.751 to 0.903; microsatellite loci, 0.038 to 0.047). Our results support the spatially-homogeneous management plan for shark species in Queensland, but caution is advised for species yet to be studied.

Milkshark (Rhizoprionodon acutus) microsatellite genotype data (six loci) from samples collected from five locations in eastern Australia and central Indonesia.

Biodiversity of sharks in the tropical Indo-Pacific is high, but species-specific information to assist sustainable resource exploitation is scarce. The null hypothesis of population genetic homogeneity was tested for scalloped hammerhead shark (Sphyrna lewini, n=244) and the milkshark (Rhizoprionodon acutus, n=209) from northern and eastern Australia, using nuclear (S. lewini, eight microsatellite loci; R. acutus, six loci) and mitochondrial gene markers (873 base pairs of NADH dehydrogenase subunit 4). We were unable to reject genetic homogeneity for S. lewini, which was as expected based on previous studies of this species. Less expected were similar results for R. acutus, which is more benthic and less vagile than S. lewini. These features are probably driving the genetic break found between Australian and central Indonesian R. acutus (F-statistics; mtDNA, 0.751 to 0.903; microsatellite loci, 0.038 to 0.047). Our results support the spatially-homogeneous management plan for shark species in Queensland, but caution is advised for species yet to be studied.