Abstract: Agricultural practice is facing multiple challenges under volatile commodity markets, inevitable climate change, mounting pest pressure and various other environment-related constraints. The objective of this research is to present a dynamic optimization model of crop rotations and farm management and show its suitability for economic analysis over a 30 year time period. In this model, we include management practices such as fertilization, fungicide treatment and liming, and apply it in a region in Southwestern Finland. Results show that (i) growing pest pressure favours the cultivation of wheat-oats and wheat-oilseeds combinations, while (ii) market prices largely determine the crops in the rotation plan and the specific management practices adopted. The flexibility of our model can also be utilized in evaluating the value of other management options such as new cultivars under different projections of future climate and market conditions.

Abstract: In this study, we compare the relative importance of climate change to technological, management, price and policy changes on European arable farming systems. This required linking four models: the SIMPLACE crop growth modelling framework to calculate future yields under climate change for arable crops; the CAPRI model to estimate impacts on global agricultural markets, specifically product prices; the bio-economic farm model FSSIM to calculate the future changes in cropping patterns and farm net income at the farm and regional level; and the environmental model INTEGRATOR to calculate nitrogen (N) uptake and losses to air and water. First, the four linked models were applied to analyse the effect of climate change only or a most likely baseline (i.e. B1) scenario for 2050 as well as for two alternative scenarios with, respectively, strong (i.e. A1-b1) and weak economic growth (B2) for five regions/countries across Europe (i.e. Denmark, Flevoland, Midi Pyrenees, Zachodniopomorsld and Andalucia). These analyses Were repeated but assuming in addition to climate change impacts, also the effects of changes in technology and management on crop yields, the effects of changes in prices and policies in 2050, and the effects of all factors together. The outcomes show that the effects of climate change to 2050 result in higher farm net incomes in the Northern and Northern-Central EU regions, in practically unchanged farm net incomes in the Central and Central-Southern EU regions, and in much lower farm net incomes in Southern EU regions compared to those in the base year. Climate change in combination with improved technology and farm management and/or with price changes towards 2050 results in a higher to much higher farm net incomes. Increases in farm net income for the B1 and A1-b1 scenarios are moderately stronger than those for the B2 scenario, due to the smaller increases in product prices and/or yields for the B2 scenario. Farm labour demand slightly to moderately increases towards 2050 as related to changes in cropping patterns. Changes in N2O emissions and N leaching compared to the base year are mainly caused by changes in total N inputs from the applied fertilizers and animal manure, which in turn are influenced by changes in crop yields and cropping patterns, whereas NH3 emissions are mainly determined by assumed improvements in manure application techniques. N emissions and N leaching strongly increase in Denmark and Zachodniopomorski, slightly decrease to moderately increase in Flevoland and Midi-Pyrenees, and strongly decrease in Andalucia, except for NH3 emissions which zero to moderately decrease in Flevoland and Denmark. (C) 2015 Elsevier Ltd. All tights reserved.

Abstract: Highlights • We analyze the economic effects of plant breeding research in Germany. • Effects of reduced CO2 emissions due to productivity increases are being quantified. • Expansion of global agricultural area has been reduced by 1–1.5 million ha. • CO2 emissions have been reduced by 160–235 million tons. • German plant breeding research has an economic value of 10.8–15.6 billion EUR. Abstract We analyze the economic effects of plant breeding research in Germany. In addition to market effects, for the first time also effects of reduced CO2 emissions due to productivity increases are being quantified. The analysis shows that investments in German plant breeding research in the period 1991–2010 have reduced the global expansion of agricultural area by 1–1.5 million hectares. This has led to reduced CO2 emissions of 160–235 million tons. The economic value generated by plant breeding research, through increased production and reduced greenhouse gas emissions, is estimated at 10.8–15.6 billion EUR in the same period. This can be translated into a social rate of return on research investment in the range of 40–80% per year. Projections for the period 2011–2030 generate a return rate in the range of 65–140% per year. Investments into plant breeding research in Germany are highly profitable from a societal point of view. At the same time, our results show significant under-investments in agricultural research in Germany. These results provide a good justification for policy-makers to reverse funding cuts for public agricultural research over the last decades and to improve institutional conditions for private research, e.g. through better protection of intellectual property rights.