Economic Returns of Irrigated and Non-Irrigated Peanut Based Cropping Systems

Abstract

Proper crop rotation is essential to maintaining high peanut yield and quality. However, the economic considerations of sustainable cropping systems must incorporate commodity prices, production costs, and yield responses of the crops within the cropping system. Research was conducted at the USDA/ARS National Peanut Research Laboratory's Multi-crop Irrigation Research Farm in Shellman, Georgia to determine the average net returns of irrigated and non-irrigated cropping systems consisting of peanut (Arachis hypogea L.), cotton (Gossypium hirsutum L.), and corn (Zea mays L.). Five replicated cropping systems provided data on yield responses from irrigated and non-irrigated rotation sequences defined as: continuous peanuts (PPP), cotton/peanuts/cotton (CPC), corn/peanuts/corn (MPM), cotton/cotton/peanuts (CCP), and cotton/corn/peanuts (CMP). The peanut yield in the PPP rotation was 3300 kg/ha in the non-irrigated treatment. Non-irrigated yields in CPC and MPM rotation sequences were 3940 and 3890 kg/ha, respectively and yields in CCP and CMP rotation sequences were 4770 and 4710 kg/ha, respectively. The peanut yield in the PPP rotation was 4080 kg/ha in the irrigated treatment. Irrigated yields in CPC and MPM rotation sequences were 5280 and 5230 kg/ha, respectively and yields in CCP and CMP rotation sequences were 5940 and 6010 kg/ha, respectively. The economic returns of the cropping systems were analyzed for 3 different price level combinations. Production costs (variable and fixed) were obtained from partial budgets. Returns were defined as the 3 year average net returns of each cropping system and were calculated for each price level combination which resulted in 57 comparable average net returns for the irrigated and non-irrigated treatments. Net returns were influenced by rotation sequence, price, and irrigation.