A financial analysis of a silvopasture system in southern Mississippi

Abstract

Silvopasture is reemerging as a land use in the southern US. Alternate land use treatments based on field trials for timber and pasture for beef cattle production were financially evaluated. Multiple-use management aspects of these systems were further illustrated by the addition of fee hunting. Land Expectation Values (LEVs) were lower when silvopasture treatments were compared to steer grazing only. However, silvopasture treatments compared favorably to some grazing treatments. LEVs were higher when silvopasture treatments were compared to commercial forest plantation applications on similar sites. Silvopasture systems promote multiple-use management of the land under an environmentally friendly cropping system whereby certain types of wildlife can thrive. This is particularly relevant in light of recent increases in fee hunting in the South. LEVs were reduced by $289, $200, and $151 ha−1 at discount rates of 5%, 7%, and 9% respectively, when fee hunting was excluded in the recommended silvopasture treatment. The monetary value of a wildlife component in this system can be interpreted as the expected value gained per hectare per rotation in perpetuity when fee hunting is part of the management plan. On average, it represented an 8.6% gain in LEVs for this treatment. Results from this study support the potential for silvopasture applications in the South for private landowners. Cattle grazing of improved forage in commercially productive loblolly pine (Pinus taeda) stands can relieve annual cash flow problems inherent in tree production.