An Economic Evaluation of Conservation Farming Practices for the Central West of NSW

Abstract

Economic benefits that arise from conservation farming practices need to be assessed over several years to account for improvements in soil structure and nutrient levels. A gross margin model was used to assess benefits over the eight-year period 1999-2006 for 12 regions in the central west of NSW. The annual benefits from improved soil structure ranged from $2.46 to $12.82 per hectare (ha). A reduction in tractor power produced annual savings in the range of $0.60 to $4.05 per ha. The cost of soil compaction by livestock grazing on crop areas ranged from $3.41 to $14.90 per ha. The break-even time to pay back costs for the conversion of machinery for no-till seeding was two to three seasons.