Implications of seasonal climate forecasts on world wheat trade: a stochastic, dynamic analysis

Improvements in seasonal climate forecasts have potential economic implications for international agriculture. A stochastic, dynamic simulation model of the international wheat economy is developed to estimate the potential effects of seasonal climate forecasts for various countries' wheat production, exports and world trade. Previous studies have generally ignored the stochastic and dynamic aspects of the effects associated with the use of climate forecasts. This study shows the importance of these aspects. In particular with free trade, the use of seasonal forecasts results in increased producer surplus across all exporting countries. In fact, producers appear to capture a large share of the economic surplus created by using the forecasts. Further, the stochastic dimensions suggest that while the expected long-run benefits of seasonal forecasts are positive, considerable year-to-year variation in the distribution of benefits between producers and consumers should be expected. The possibility exists for an economic measure to increase or decrease over a 20-year horizon, depending on the particular sequence of years.

Developing high yielding wheat for water limited environments in northern Australia

A novel strategy linking physiology with plant breeding, molecular biology and computer simulation modelling is outlined here which aims to enhance selection of high yielding wheats with superior performance under conditions of water scarcity for the northern, subtropical, winter cereals region of Australia. In previous research, a source of high yield and performance under dry conditions for the target region was identified in a drought resistant parent. A large population of fixed lines for molecular genetic studies has been developed using the drought resistant line and widely grown current Australian variety. A preliminary study comparing the parent varieties was conducted in the winter of 2003. The two varieties were similar in many aspects of phenology, morphology and physiology. However, several important traits were identified that likely contribute to higher grain mass and yield of the drought resistant parent, including differences in the number and dry mass of tillers and spikes during development and the ability of drought resistant line to retain green leaves longer during grain filling.