Despite approval being given by the Gene Technology Regulator to plant genetically modified (GM) ... more Despite approval being given by the Gene Technology Regulator to plant genetically modified (GM) canola varieties in Australia, the question as to whether farmers would be prepared to grow GM canola is still being explored. The purpose of this paper is to establish not only if producers would grow GM canola in south Western Australia but how they make this decision. Results from a survey aimed at canola producers found that adoption of GM canola will ultimately depend upon price premiums for non-GM canola and personal risk likely to be incurred by growers.
If genetically modified (GM) canola varieties are to be released for commercial cultivation in Au... more If genetically modified (GM) canola varieties are to be released for commercial cultivation in Australia, the Australian canola supply chain would have to consider segregation options if it wishes to continue marketing non-GM canola and comply with worldwide labelling requirements. The feasibility of segregation and cost effectiveness of three possible segregation methods is investigated in this paper. In considering each of these methods the increase in total grain handling cost due to segregation is expected to be between 5 and 9 per cent. Such an increase is comparable with segregation costs reported in Canadian literature.
Government and non-government conservation agencies have long-term goals and objectives to provid... more Government and non-government conservation agencies have long-term goals and objectives to provide environmental services, such as conserving the biodiversity of Australian native vegetation. In addition to national parks and reserves, private lands are often included in conservation programs to achieve these objectives. Formal contracts are entered into between the private landholder and the conservation agency to provide environmental services, or more commonly to provide inputs that are likely to lead to environmental services. The paper examines the costs and benefits of monitoring these conservation contracts when biodiversity change is stochastic.
Contracting with private landholders for labor towards production of environmental services (paym... more Contracting with private landholders for labor towards production of environmental services (payment for actions) or the environmental services themselves (payment for outcomes) is reliant on the environmental organization's ability to monitor and assess the environmental outcomes provided. Inaccurate and costly assessment reduces the cost effectiveness of the contract. Different assessment technologies will have different impacts on the cost effectiveness and optimal contracting choice of the environmental organization. The paper compares the influence of field assessment by a local expert, and remote assessment via satellite imagery, on the optimal contracting decision for the Western Australian wheat belt.
Conservation and restoration of native vegetation is often a gradual process which may require ma... more Conservation and restoration of native vegetation is often a gradual process which may require many years to transform an ecosystem from one vegetative state to a target ecosystem. This process is stochastic, with some changes potentially irreversible. In contrast, contracts with landholders to undertake conservation measures on their property are typically for less than ten years and often make no contingencies for re-contracting at the end of the contract period. The risk to land holders and conservation agencies of contracts not being renewed and the consequent potential loss of previous investment means including covenants in conservation contracts may be attractive to both parties. A model is developed to empirically examine the optimal dynamic conservation contract and the possible role of covenants in the costs and benefits of contracts.
The allocation of benefits from research and development of new herbicide uses is dependent on pa... more The allocation of benefits from research and development of new herbicide uses is dependent on patent status. The agricultural chemical industry will preferentially invest in herbicide R&D that increases the use of on-patent herbicides from which a company can capture a price premium. The distribution of benefits from increased use of on-patent herbicide will alter over time, with grain growers benefiting at the expense of agrichemical companies once the patent expires. Public sector investment in herbicide R&D may also benefit the agrichemical industry. The size and allocation of the benefits from R&D into on-patent herbicides is analyzed using economic surplus techniques. Two case studies are examined. One involves research into the choice and application of herbicide for new wheat varieties. The second case study involves returns from R&D investment in research into an alternative for the commonly used off-patent herbicide trifluralin. The results from the case studies show that ...
Paying private landholders for environmental services, rather than input-based payments, has been... more Paying private landholders for environmental services, rather than input-based payments, has been proposed as a way to improve the performance of contracts for conservation agencies. A challenge is that the assessment of environmental services is subjective, raising the question of how assessment accuracy impacts on landholder behaviour and contract design. A model is developed of a contract between a conservation agency and a private landholder for the provision of environmental services. The model is used to estimate the impact of inaccurate and costly assessment on the optimal landholder labour effort and the optimal incentive payment. The model shows that inaccurate and costly assessment reduces the cost-effectiveness of the contract. Application of the model to Western Australian broad acre agriculture suggests that remote assessment by field assessment by a scientist is preferred to remote assessment by satellite. The study also shows the feasibility of contracts for environme...
The long-term provision of environmental services requires the design of incentive schemes to inc... more The long-term provision of environmental services requires the design of incentive schemes to incorporate environmental and economic objectives. A model is developed of a contract between a conservation agency and a private landholder for environmental services. The contract includes an initial payment and a final payment based on the quality of the environmental services provided. Consideration is given to the
The widespread evolution of resistance in rigid ryegrass populations to the highly effective, in-... more The widespread evolution of resistance in rigid ryegrass populations to the highly effective, in-crop, selective herbicides used within southern Australian grain-crop production systems has severely diminished the available herbicide resource. A new PRE grass-selective herbicide, pyroxasulfone, may offer Australian grain producers a new option for rigid ryegrass control in wheat crops. The efficacy and level of selectivity of rigid ryegrass control with pyroxasulfone was investigated for a range of annual crop species in potted-plant, dose–response studies. In comparison with other currently available PRE herbicides, pyroxasulfone provided effective control of both resistant and susceptible rigid ryegrass populations. Additionally, control of these populations was achieved at rates that had little or no effect on the growth and survival of wheat. This crop was also the most tolerant of cereal species, with triticale, barley, and oat being more injured at higher pyroxasulfone rates t...
Summary Australian research and development organisations invest substantial funds in herbicides ... more Summary Australian research and development organisations invest substantial funds in herbicides for weed control in broad-acre cropping. Benefits from this research and development (R&D) are distributed between growers, consumers and the agricultural chemical industry, ...
The long-term provision of environmental services requires the design of incentive schemes to inc... more The long-term provision of environmental services requires the design of incentive schemes to incorporate environmental and economic objectives. A model is developed of a contract between a conservation agency and a private landholder for environmental services. The contract includes an initial payment and a final payment based on the quality of the environmental services provided. Consideration is given to the
Despite approval being given by the Gene Technology Regulator to plant genetically modified (GM) ... more Despite approval being given by the Gene Technology Regulator to plant genetically modified (GM) canola varieties in Australia, the question as to whether farmers would be prepared to grow GM canola is still being explored. The purpose of this paper is to establish not only if producers would grow GM canola in south Western Australia but how they make this decision. Results from a survey aimed at canola producers found that adoption of GM canola will ultimately depend upon price premiums for non-GM canola and personal risk likely to be incurred by growers.
If genetically modified (GM) canola varieties are to be released for commercial cultivation in Au... more If genetically modified (GM) canola varieties are to be released for commercial cultivation in Australia, the Australian canola supply chain would have to consider segregation options if it wishes to continue marketing non-GM canola and comply with worldwide labelling requirements. The feasibility of segregation and cost effectiveness of three possible segregation methods is investigated in this paper. In considering each of these methods the increase in total grain handling cost due to segregation is expected to be between 5 and 9 per cent. Such an increase is comparable with segregation costs reported in Canadian literature.
Government and non-government conservation agencies have long-term goals and objectives to provid... more Government and non-government conservation agencies have long-term goals and objectives to provide environmental services, such as conserving the biodiversity of Australian native vegetation. In addition to national parks and reserves, private lands are often included in conservation programs to achieve these objectives. Formal contracts are entered into between the private landholder and the conservation agency to provide environmental services, or more commonly to provide inputs that are likely to lead to environmental services. The paper examines the costs and benefits of monitoring these conservation contracts when biodiversity change is stochastic.
Contracting with private landholders for labor towards production of environmental services (paym... more Contracting with private landholders for labor towards production of environmental services (payment for actions) or the environmental services themselves (payment for outcomes) is reliant on the environmental organization's ability to monitor and assess the environmental outcomes provided. Inaccurate and costly assessment reduces the cost effectiveness of the contract. Different assessment technologies will have different impacts on the cost effectiveness and optimal contracting choice of the environmental organization. The paper compares the influence of field assessment by a local expert, and remote assessment via satellite imagery, on the optimal contracting decision for the Western Australian wheat belt.
Conservation and restoration of native vegetation is often a gradual process which may require ma... more Conservation and restoration of native vegetation is often a gradual process which may require many years to transform an ecosystem from one vegetative state to a target ecosystem. This process is stochastic, with some changes potentially irreversible. In contrast, contracts with landholders to undertake conservation measures on their property are typically for less than ten years and often make no contingencies for re-contracting at the end of the contract period. The risk to land holders and conservation agencies of contracts not being renewed and the consequent potential loss of previous investment means including covenants in conservation contracts may be attractive to both parties. A model is developed to empirically examine the optimal dynamic conservation contract and the possible role of covenants in the costs and benefits of contracts.
The allocation of benefits from research and development of new herbicide uses is dependent on pa... more The allocation of benefits from research and development of new herbicide uses is dependent on patent status. The agricultural chemical industry will preferentially invest in herbicide R&D that increases the use of on-patent herbicides from which a company can capture a price premium. The distribution of benefits from increased use of on-patent herbicide will alter over time, with grain growers benefiting at the expense of agrichemical companies once the patent expires. Public sector investment in herbicide R&D may also benefit the agrichemical industry. The size and allocation of the benefits from R&D into on-patent herbicides is analyzed using economic surplus techniques. Two case studies are examined. One involves research into the choice and application of herbicide for new wheat varieties. The second case study involves returns from R&D investment in research into an alternative for the commonly used off-patent herbicide trifluralin. The results from the case studies show that ...
Paying private landholders for environmental services, rather than input-based payments, has been... more Paying private landholders for environmental services, rather than input-based payments, has been proposed as a way to improve the performance of contracts for conservation agencies. A challenge is that the assessment of environmental services is subjective, raising the question of how assessment accuracy impacts on landholder behaviour and contract design. A model is developed of a contract between a conservation agency and a private landholder for the provision of environmental services. The model is used to estimate the impact of inaccurate and costly assessment on the optimal landholder labour effort and the optimal incentive payment. The model shows that inaccurate and costly assessment reduces the cost-effectiveness of the contract. Application of the model to Western Australian broad acre agriculture suggests that remote assessment by field assessment by a scientist is preferred to remote assessment by satellite. The study also shows the feasibility of contracts for environme...
The long-term provision of environmental services requires the design of incentive schemes to inc... more The long-term provision of environmental services requires the design of incentive schemes to incorporate environmental and economic objectives. A model is developed of a contract between a conservation agency and a private landholder for environmental services. The contract includes an initial payment and a final payment based on the quality of the environmental services provided. Consideration is given to the
The widespread evolution of resistance in rigid ryegrass populations to the highly effective, in-... more The widespread evolution of resistance in rigid ryegrass populations to the highly effective, in-crop, selective herbicides used within southern Australian grain-crop production systems has severely diminished the available herbicide resource. A new PRE grass-selective herbicide, pyroxasulfone, may offer Australian grain producers a new option for rigid ryegrass control in wheat crops. The efficacy and level of selectivity of rigid ryegrass control with pyroxasulfone was investigated for a range of annual crop species in potted-plant, dose–response studies. In comparison with other currently available PRE herbicides, pyroxasulfone provided effective control of both resistant and susceptible rigid ryegrass populations. Additionally, control of these populations was achieved at rates that had little or no effect on the growth and survival of wheat. This crop was also the most tolerant of cereal species, with triticale, barley, and oat being more injured at higher pyroxasulfone rates t...
Summary Australian research and development organisations invest substantial funds in herbicides ... more Summary Australian research and development organisations invest substantial funds in herbicides for weed control in broad-acre cropping. Benefits from this research and development (R&D) are distributed between growers, consumers and the agricultural chemical industry, ...
The long-term provision of environmental services requires the design of incentive schemes to inc... more The long-term provision of environmental services requires the design of incentive schemes to incorporate environmental and economic objectives. A model is developed of a contract between a conservation agency and a private landholder for environmental services. The contract includes an initial payment and a final payment based on the quality of the environmental services provided. Consideration is given to the
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