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Economic impacts of IPM sampling methods for collards

Published online by Cambridge University Press:  31 January 2012

Myra Clarisse Ferrer*
Affiliation:
Department of Agricultural and Applied Economics, University of Georgia, Athens, GA, USA.
Michael Hammig
Affiliation:
Department of Applied Economics and Statistics, Clemson University, Clemson, SC, USA.
*
*Corresponding author: [email protected]

Abstract

Integrated pest management (IPM) has been very successful in directing farming to a more environment-friendly production. It is a great tool for producers in transition to organic farming. However, the extent of its economic impact is not well understood by farmers. This study looks at the amount of savings and potential market profitability of using IPM in South Carolina collard production considering alternative scouting methods. Scouting is an essential part of IPM that is usually ignored. This analysis presents a comparative assessment of the merits of conventional sampling (CS) and binomial sequential scouting method (SSM). SSM is a recently developed scouting system for traditionally operated collard farms that is geared toward a more economical execution of scouting without forfeiting the effectiveness of the process. Financial analytical tools, specifically costs and returns methods and sensitivity analysis on prices, were utilized to determine the economic advantages or disadvantages of the two methods. Outcomes indicate that both scouting methods would result in cost savings if used on traditionally operated farms. Particularly, the cost savings per hectare generated from IPM with SSM [3.62% of total cost (TC) and 3.91% of total variable cost (TVC)] is higher than the cost savings from IPM with CS (2.91% of TC and 3.15% of TVC). The difference in cost savings between IPM with CS and IPM with SSM basically came from the less scouting time of SSM that entailed lower labor cost for the farm. Therefore, to attain maximum profitability potential, using IPM with the SSM is a better option. Some may conjecture that the cost savings were insignificant due to the low percentages in cost savings. However, its importance is evident at the potential savings per farm and at the aggregate/state level.

Type
Research Papers
Copyright
Copyright © Cambridge University Press 2012

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