Wet season resting - economic insights from scenario modelling

Pasture degradation, particularly that attributable to overgrazing, is a significant problem across the northern Australian rangelands. Although grazing studies have identified the scope for wet season resting strategies to be used to rehabilitate degraded pastures, the economic outcome of these strategies has not been extensively demonstrated. An exploratory study of the prospective economic value of wet season resting is presented using an economic simulation model of a 28000 ha beef enterprise located in the Charters Towers region of north-eastern Australia to explore seven hypothetical scenarios centred on the projected performance of a wet season resting strategy. A series of 20-year simulations for a range of pasture recovery profiles, stocking capacity, animal productivity responses, beef prices and agistment options are compared with a baseline scenario of taking no action. Estimates of the net present value of the 20-year difference in total enterprise gross margins between the various resting options and the 'do nothing' option identify that wet season resting can offer a positive economic return for the range of scenarios examined, although this is contingent on the assumptions that are made concerning the trajectories of change in carrying capacity and animal productivity. Some implications for management and policy making to support the practical implementation of wet season resting strategies are discussed.

Processing Tomato Production in the Burdekin: Opportunities and Risks for Growers

The research undertaken here was in response to a decision by a major food producer in about 2009 to consider establishing processing tomato production in northern Australia. This was in response to a lack of water availability in the Goulburn Valley region following the extensive drought that continued until 2011. The high price of water and the uncertainty that went with it was important in making the decision to look at sites within Queensland. This presented an opportunity to develop a tomato production model for the varieties used in the processing industry and to use this as a case study along with rice and cotton production. Following some unsuccessful early trials and difficulties associated with the Global Financial Crisis, large scale studies by the food producer were abandoned. This report uses the data that was collected prior to this decision and contrasts the use of crop modelling with simpler climatic analyses that can be undertaken to investigate the impact of climate change on production systems. Crop modelling can make a significant contribution to our understanding of the impacts of climate variability and climate change because it harnesses the detailed understanding of physiology of the crop in a way that statistical or other analytical approaches cannot do. There is a high overhead, but given that trials are being conducted for a wide range of crops for a variety of purposes, breeding, fertiliser trials etc., it would appear to be profitable to link researchers with modelling expertise with those undertaking field trials. There are few more cost-effective approaches than modelling that can provide a pathway to understanding future climates and their impact on food production.

Effect of seasonal conditions on fleece weight and its components in merino sheep grazing Mitchell grass pasture in North West Queensland

SUMMARY Seasonal conditions in the pre to post natal period and selected periods before and during wool growth were described using climatic measures and estimates of the quality and quantity of pasture on offer derived from a validated pasture production model (GRASP). The variation in greasy and clean fleece weight, yield, staple length, fibre diameter, neck and side wrinkle score of Merinos grazing Mitchell grass in north west Queensland was explained in terms of these pasture and climatic measures and animal characteristics such as reproductive status, age and skin area. Multiple regression equations predicting clean and greasy fleece weight from the proportion of days in the wool growth period that the green pool in the pasture was less than one kg/ha, the percentage utilisation of the pasture, age, reproductive status and skin area of the ewes explained 87% and 79% of the variation respectively. Equations with similar predictors explained 58-85% of the variation of the other components. The inclusion of pasture conditions in the pre to post natal period did not significantly improve the predictions of the animal’s later performance. 22nd Biennial Conference.

Modelling Mortality and Reproduction Rates for Management of Sheep Flocks in Northern Australia

By quantifying the effects of climatic variability in the sheep grazing lands of north western and western Queensland, the key biological rates of mortality and reproduction can be predicted for sheep. These rates are essential components of a decision support package which can prove a useful management tool for producers, especially if they can easily obtain the necessary predictors. When the sub-models of the GRAZPLAN ruminant biology process model were re-parameterised from Queensland data along with an empirical equation predicting the probability of ewes mating added, the process model predicted the probability of pregnancy well (86% variation explained). Predicting mortality from GRAZPLAN was less successful but an empirical equation based on relative condition of the animal (a measure based on liveweight), pregnancy status and age explained 78% of the variation in mortalities. A crucial predictor in these models was liveweight which is not often recorded on producer properties. Empirical models based on climatic and pasture conditions estimated from the pasture production model GRASP, predicted marking and mortality rates for Mitchell grass (Astrebla sp.) pastures (81% and 63% of the variation explained). These prediction equations were tested against independent data from producer properties and the model successfully validated for Mitchell grass communities.

Stock assessment of the Queensland-New South Wales tailor fishery (Pomatomus saltatrix)

Data on catch sizes, catch rates, length-frequency and age composition from the Australian east coast tailor fishery are analysed by three different population dynamic models: a surplus production model, an age-structured model, and a model in which the population is structured by both age and length. The population is found to be very heavily exploited, with its ability to reproduce dependent on the fishery’s incomplete selectivity of one-year-old fish. Estimates of recent harvest rates (proportion of fish available to the fishery that are actually caught in a single year) are over 80%. It is estimated that only 30–50% of one-year-old fish are available to the fishery. Results from the age-length-structured model indicate that both exploitable biomass (total mass of fish selected by the fishery) and egg production have fallen to about half the levels that prevailed in the 1970s, and about 40% of virgin levels. Two-year-old fish appear to have become smaller over the history of the fishery. This is assumed to be due to increased fishing pressure combined with non-selectivity of small one-year-old fish, whereby the one-year-old fish that survive fishing are small and grow into small two-year-old fish the following year. An alternative hypothesis is that the stock has undergone a genetic change towards smaller fish; the true explanation is unknown. The instantaneous natural mortality rate of tailor is hypothesised to be higher than previously thought, with values between 0.8 and 1.3 yr–1 consistent with the models. These values apply only to tailor up to about three years of age, and it is possible that a lower value applies to fish older than three. The analysis finds no evidence that fishing pressure has yet affected recruitment. If a recruitment downturn were to occur, however, under current management and fishing pressure there is a strong chance that the fishery would need a complete closure for several years to recover, and even then recovery would be uncertain. Therefore it is highly desirable to better protect the spawning stock. The major recommendations are • An increase in the minimum size limit from 30cm to 40cm in order to allow most one-year-old fish to spawn, and • An experiment on discard mortality to gauge the proportion of fish between 30cm and 40cm that are likely to survive being caught and released by recreational line fishers (the dominant component of the fishery, currently harvesting roughly 1000t p.a. versus about 200t p.a. from the commercial fishery).

Tactical Pasture Management: Enhancing Profits from Poplar Box Country

The project assembled basic information to allow effective management and manipulation of native pastures in the southern Maranoa region of Queensland. This involved a range of plant studies, including a grazing trial, to quantify the costs of poor pasture composition. While the results focus on perennial grasses, we recognise the important dietary role played by broad-leaved herbs. The plant manipulation studies focussed on ways to change the proportions of plants in a grazed pasture, eg. by recruitment or accelerated morbidity of existing plants. As most perennial grasses have a wide range of potential flowering times outside of mid-winter, rainfall exerts the major influence on flowering and seedset; exceptions are black speargrass, rough speargrass and golden beardgrass that flower only for a restricted period each year. This simplifies potential control options through reducing seedset. Data from field growth studies of four pasture grasses have been used to refine the State's pasture production model GRASP. We also provide detailed data on the forage value of many native species at different growth stages. Wiregrass dominance in pastures on a sandy red earth reduced wool value by only 5-10% at Roma in 1994/95 when winters were very dry and grass seed problems were minimal.

Stock assessment report on Queensland east coast red throat emperor (Lethrinus miniatus) fishery

The Red Throat Emperor fishery was assessed using an age-structured model that incorporated all available information on catch, catch per unit effort (CPUE) and age structure and a surplus production model fitted to the catch and CPUE data. The Great Barrier Reef (GBR) was divided into five regions: Townsville, Mackay, Storm Cay, Swain reefs, and Capricorn Bunker. Age structure varied greatly between regions, with fish aged 5-8 years predominating in the Townsville region, 4-7 years in the Mackay, Storm Cay and Swains regions, and 2-3 years in the Capricorn-Bunker region. These differences were explained by different age-dependent vulnerabilities to fishing between the regions. The age-structured model estimated that exploitable biomass fell to about 60% of virgin biomass in the late 1990s, due mainly to years of poor recruitment, but recovered to around 70% by 2004. Further recovery can be expected due to the fishery not meeting its total allowable commercial catch (TACC) of 700 t in recent years. The current TACC of 700 t, combined with a recreational-charter catch of around 450 t, contains little margin for error, especially in view of high year-to-year variability of recruitment of red throat emperor and stresses on the GBR from land clearing, coastal development and climate change. The state of the population needs to be monitored closely. Further data on age structures after 2000 will provide more certainty to this assessment.

Grazing impacts on the susceptibility of rangelands to wind erosion: The effects of stocking rate, stocking strategy and land condition

An estimated 110 Mt of dust is eroded by wind from the Australian land surface each year, most of which originates from the arid and semi-arid rangelands. Livestock production is thought to increase the susceptibility of the rangelands to wind erosion by reducing vegetation cover and modifying surface soil stability. However, research is yet to quantify the impacts of grazing land management on the erodibility of the Australian rangelands, or determine how these impacts vary among land types and over time. We present a simulation analysis that links a pasture growth and animal production model (GRASP) to the Australian Land Erodibility Model (AUSLEM) to evaluate the impacts of stocking rate, stocking strategy and land condition on the erodibility of four land types in western Queensland, Australia. Our results show that declining land condition, over stocking, and using inflexible stocking strategies have potential to increase land erodibility and amplify accelerated soil erosion. However, land erodibility responses to grazing are complex and influenced by land type sensitivities to different grazing strategies and local climate characteristics. Our simulations show that land types which are more resilient to livestock grazing tend to be least susceptible to accelerated wind erosion. Increases in land erodibility are found to occur most often during climatic transitions when vegetation cover is most sensitive to grazing pressure. However, grazing effects are limited during extreme wet and dry periods when the influence of climate on vegetation cover is strongest. Our research provides the opportunity to estimate the effects of different land management practices across a range of land types, and provides a better understanding of the mechanisms of accelerated erosion resulting from pastoral activities. The approach could help further assessment of land erodibility at a broader scale notably if combined with wind erosion models.

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.

Membrane fractionation technologies for high quality mill sugar and value-added by products - an integrated sugar production process concept model.

Membrane filtration technology has been proven to be a technically sound process to improve the quality of clarified cane juice and subsequently to increase the productivity of crystallisation and the quality of sugar production. However, commercial applications have been hindered because the benefits to crystallisation and sugar quality have not outweighed the increased processing costs associated with membrane applications. An 'Integrated Sugar Production Process (ISPP) Concept Model' is proposed to recover more value from the non-sucrose streams generated by membrane processing. Pilot scale membrane fractionation trials confirmed the technical feasibility of separating high-molecular weight, antioxidant and reducing sugar fractions from cane juice in forms suitable for value recovery. It was also found that up to 40% of potassium salts from the juice can be removed by membrane application while removing the similar amount of water with potential energy saving in subsequent evaporation. Application of ISPP would allow sugar industry to co-produce multiple products and high quality mill sugar while eliminating energy intensive refining processes.

Validation and development of PigBal model - Stage 2

The proposed project involves validate and upgrading the PigBal model to improve the accuracy of manure and GHG production predictions.

A multi-field bio-economic model of irrigated grain-cotton farming systems.

We present a participatory modelling framework that integrates information from interviews and discussions with farmers and consultants, with dynamic bio-economic models to answer complex questions on the allocation of limited resources at the farm business level. Interviews and discussions with farmers were used to: describe the farm business; identify relevant research questions; identify potential solutions; and discuss and learn from the whole-farm simulations. The simulations are done using a whole-farm, multi-field configuration of APSIM (APSFarm). APSFarm results were validated against farmers' experience. Once the model was accepted by the participating farmers as a fair representation of their farm business, the model was used to explore changes in the tactical or strategic management of the farm and results were then discussed to identify feasible options for improvement. Here we describe the modelling framework and present an example of the application of integrative whole farm system tools to answer relevant questions from an irrigated farm business case study near Dalby (151.27E - 27.17S), Queensland, Australia. Results indicated that even though cotton crops generates more farm income per hectare a more diversified rotation with less cotton would be relatively more profitable, with no increase in risk, as a more cotton dominated traditional rotation. Results are discussed in terms of the benefits and constraints from developing and applying more integrative approaches to represent farm businesses and their management in participatory research projects with the aim of designing more profitable and sustainable irrigated farming systems.

Economic modelling of grazing systems in the Fitzroy and Burdekin catchments

The Great Barrier Reef (GBR) is the largest reef system in the world; it covers an area of approximately 2,225,000 km² in the northern Queensland continental shelf. There are approximately 750 reefs that exist within 40 km of the Queensland coast. Recent research has identified that poor water quality is having negative impacts on the GBR (Haynes et al. 2007). The Fitzroy Basin covers 143,000 km² and is the largest catchment draining into the GBR as well as being one of the largest catchments in Australia (Karfs et al. 2009). The Burdekin Catchment is the second largest catchment entering into the GBR and covers 133,432 km².The prime determinant for the changes in water quality entering into the GBR have been attributed to grazing, with beef production the largest single land use industry comprising 90% of the land area (Karfs et al. 2009). Extensive beef production contributes over $1 billion dollars to the national economy annually and employs over 9000 people, many in rural communities (Gordon 2007). ‘Economic modelling of grazing systems in the Fitzroy and Burdekin catchments’ was a joint project with the Fitzroy Basin Association and the Queensland Department of Employment Economic Development and Innovation. The project was formed under the federally funded Caring For Our Country and the Reef Rescue programs. The project objectives were as follows; * Quantifying the costs of over-utilising available pasture and the resulting sediment leaving a representative farm for four of the major land systems in the Burdekin or Fitzroy catchments and identifying economically optimal pasture utilisation rates * Estimating the cost of reducing pasture utilisation rates below the determined optimal * Using this information, guide the selection of appropriate tools to achieve reduced utilisation rates e.g. extension process versus incentive payments or a combination of both * Model the biophysical and economic impacts of altering grazing systems to restore land condition e.g. from C condition to B condition for four land systems in the Burdekin or Fitzroy catchments.

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.