Comparative cost analyses of conventional, integrated crop management, and organic methods

R. G. Brumfield¹, A. Rimal² and S. Reiners³

Abstract
Production costs have been analyzed in several studies using such normative approaches as budgeting and mathematical programming, and positive approaches as estimation of production, cost, or profit functions.

This study used budgeting methods to analyze the costs and benefits of adopting integrated crop management (ICM) or organic methods versus conventional agriculture for tomatoes (Lycopersicon esculentum Mill.), sweet corn (Zea mays L. var. saccharada), and pumpkins (Cucurbita pepo L.).

Data were collected using field studies conducted at the Rutgers University Snyder Research and Extension Farm, Pittstown, N.J. Time and motion study techniques were used to record machinery use and labor quantities. Records of production inputs and yields were also collected. These records were then converted to a 1.0-acre (0.4-ha) basis to constructed crop budgets.

Results show that ICM systems are more profitable than conventional and organic systems. Organic systems had the lowest net returns. However, because of the organic price premium, the net returns were fairly close to those for conventional and ICM systems.


Source
HortTechnology (2000) 10: 785-793


Author Locations & Affiliations

(1) Department of Agriculture, Food, and Resource Economics, Rutgers, The State University of New Jersey, 55 Dudley Road, New Brunswick, NJ 08901-8520
(2) Department of Agribusiness, Southwest Missouri State University
(3) Department of Horticultural Sciences, Cornell University


Posted April 2010