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Özkan, Ş., Farquharson, R. J., Hill, J., & Malcolm, B. (2015). A stochastic analysis of the impact of input parameters on profit of Australian pasture-based dairy farms under variable carbon price scenarios. Environmental Science & Policy, 48, 163–171.
Abstract: The imposition of a carbon tax in the economy will have indirect impacts on dairy farmers in Australia. Although there is a great deal of information available regarding mitigation strategies both in Australia and internationally, there seems to be a lack of research investigating the variable prices of carbon-based emissions on dairy farm operating profits in Australia. In this study, a stochastic analysis comparing the uncertainty in income in response to different prices on carbon-based emissions was conducted. The impact of variability in pasture consumption and variable prices of concentrates and hay on farm profitability was also investigated. The two different feeding systems examined were a ryegrass pasture-based system (RM) and a complementary forage-based system (CF). Imposing a carbon price ($20-$60) and not changing the systems reduced the farm operating profits by 28.4% and 25.6% in the RM and CF systems, respectively compared to a scenario where no carbon price was imposed. Different farming businesses will respond to variability in the rapidly changing operating environment such as fluctuations in pasture availability, price of purchased feeds and price of milk or carbon emissions differently. Further, in case there is a carbon price imposed for GHG emissions emanated from dairy farming systems, changing from pasture-based to more complex feeding systems incorporating home-grown double crops may reduce the reductions in farm operating profits. There is opportunity for future studies to focus on the impacts of different mitigation strategies and policy applications on farm operating profits. (C) 2015 Elsevier Ltd. All rights reserved.
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Özkan Gülzari, Ş., Åby, B. A., Persson, T., Höglind, M., & Mittenzwei, K. (2017). Combining models to estimate the impacts of future climate scenarios on feed supply, greenhouse gas emissions and economic performance on dairy farms in Norway. Agric. Syst., 157, 157–169.
Abstract: • This study combines crop, livestock and economic models.
• Models interaction is through use of relevant input and output variables.
• Future climate change will result in increased grass and wheat dry matter yields.
• Changes in grass, wheat and milk yields in future reduce farm emissions intensity.
• Changes in future dry matter yields and emissions lead to increased profitability.
There is a scientific consensus that the future climate change will affect grass and crop dry matter (DM) yields. Such yield changes may entail alterations to farm management practices to fulfill the feed requirements and reduce the farm greenhouse gas (GHG) emissions from dairy farms. While a large number of studies have focused on the impacts of projected climate change on a single farm output (e.g. GHG emissions or economic performance), several attempts have been made to combine bio-economic systems models with GHG accounting frameworks. In this study, we aimed to determine the physical impacts of future climate scenarios on grass and wheat DM yields, and demonstrate the effects such changes in future feed supply may have on farm GHG emissions and decision-making processes. For this purpose, we combined four models: BASGRA and CSM-CERES-Wheat models for simulating forage grass DM and wheat DM grain yields respectively; HolosNor for estimating the farm GHG emissions; and JORDMOD for calculating the impacts of changes in the climate and management on land use and farm economics. Four locations, with varying climate and soil conditions were included in the study: south-east Norway, south-west Norway, central Norway and northern Norway. Simulations were carried out for baseline (1961–1990) and future (2046–2065) climate conditions (projections based on two global climate models and the Special Report on Emissions Scenarios (SRES) A1B GHG emission scenario), and for production conditions with and without a milk quota. The GHG emissions intensities (kilogram carbon dioxide equivalent: kgCO2e emissions per kg fat and protein corrected milk: FPCM) varied between 0.8 kg and 1.23 kg CO2e (kg FPCM)− 1, with the lowest and highest emissions found in central Norway and south-east Norway, respectively. Emission intensities were generally lower under future compared to baseline conditions due mainly to higher future milk yields and to some extent to higher crop yields. The median seasonal above-ground timothy grass yield varied between 11,000 kg and 16,000 kg DM ha− 1 and was higher in all projected future climate conditions than in the baseline. The spring wheat grain DM yields simulated for the same weather conditions within each climate projection varied between 2200 kg and 6800 kg DM ha− 1. Similarly, the farm profitability as expressed by total national land rents varied between 1900 million Norwegian krone (NOK) for median yields under baseline climate conditions up to 3900 million NOK for median yield under future projected climate conditions.
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Schönhart, M., & Nadeem, I. (2015). Direct climate change impacts on cattle indicated by THI models. Advances in Animal Biosciences, 6, 17.
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Ruete, A., Velarde, A., & Blanco-Penedo, I. (2015). Eco-DREAMS-S: modelling the impact of climate change on milk performance in organic dairy farms. Advances in Animal Biosciences, 6(01), 21–23.
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Kässi, P., Känkänen, H., Niskanen, O., Lehtonen, H., & Höglind, M. (2015). Farm level approach to manage grass yield variation under climate change in Finland and north-western Russia. Biosystems Engineering, 140, 11–22.
Abstract: Cattle feeding in Northern Europe is based on grass silage, but grass growth is highly dependent on weather conditions. If ensuring sufficient silage availability in every situation is prioritised, the lowest expected yield level determines the cultivated area in farmers’ decision-making. One way to manage the variation in grass yield is to increase grass production and silage storage capacity so that they exceed the annual consumption at the farm. The cost of risk management in the current and the projected future climate was calculated taking into account grassland yield and yield variability for three study areas under current and mid-21st century climate conditions. The dataset on simulated future grass yields used as input for the risk management calculations were taken from a previously published simulation study. Strategies investigated included using up to 60% more silage grass area than needed in a year with average grass yields, and storing silage for up to 6 months more than consumed in a year (buffer storage). According to the results, utilising an excess silage grass area of 20% and a silage buffer storage capacity of 6 months were the most economic ways of managing drought risk in both the baseline climate and the projected climate of 2046-2065. It was found that the silage yield risk due to drought is likely to decrease in all studied locations, but the drought risk and costs implied still remain significant. (C) 2015 IAgrE. Published by Elsevier Ltd. All rights reserved.
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