Estimation of short- and long-term floor and ceiling prices for manure in a crop and livestock farms exchange

• Published in: Renewable agriculture and food systems 2023-01, Vol.38, Article e21
• Main Authors: Thiery, Eglantine, Brunschwig, Gilles, Veysset, Patrick, Mosnier, Claire
• Format: Article
• Language: English
• Subjects: Agricultural economics; Agricultural production; Agriculture; Agronomy; Animal manures; Ceilings; Commodities; Crop yield; Crops; Decomposing organic matter; Degradation; Economics; Emission standards; Exchanging; Farmers; Farms; Floors; Humus; Income; Iterative methods; Life Sciences; Livestock; Livestock farming; Manures; Mineral fertilizers; Mineralization; Nitrates; Organic fertilizers; Organic matter; Organic soils; Soil degradation; Soil fertility; Soil improvement; Soils; Straw
• ISSN: 1742-1705; 1742-1713
• DOI: 10.1017/S1742170523000108

Organic matter is a key element of soil fertility. However, in-soil stocks of organic matter are in decline in specialized crop farms. Reintroducing organic fertilizers could be a way to increase or at least maintain organic matter stocks in these soils. Straw/manure exchanges between crop farms and livestock farms could improve overall land fertility and thus the long-term income of farmers. Here we used a bioeconomic model to estimate the agronomic and economic benefits of straw/manure exchanges as part of a strategy to improve soil fertility. Iterative simulations were run with prices of farmyard manure varying from €0 to €20 ton−1 to identify the price at which a crop farm can buy manure and sell straw without degrading its net income (manure ceiling price) compared to purchasing mineral fertilizer only and ploughing back straw. Parallel simulations were run to identify the price at which a livestock farmer can sell manure and buy straw without degrading its net income (manure floor price) compared to keeping all manure on the farm and buying straw on the market. The key new contributions of this study are that it (i) considers the characteristics of manure beyond its short-term fertilizing value, i.e., better mineralization of humus and a 10% increase in crop yields, (ii) estimates both the economic and agronomic benefits of manure and (iii) assesses the impacts of uncertainties on manure effects and prices. The results show that it is profitable for a French farmer in a conventional field crop system to buy manure at a price between €10 ton−1 in the short term and €18 ton−1 in the long term. The results also show that it is still economically advantageous for a livestock farmer to sell part of their manure, even at a very low price. This study shows that it is possible to better distribute manure resources over a territory in a way that enriches the soils of crop farms without degrading the soils of livestock farms.