The Economic Feasibility of Subsoiling Solonetzic Soils in Saskatchewan

Abstract

The feasibility of deep tillage of soils depends on agronomic and economic considerations. The objective of this research was to determine the economic feasibility of subsoiling in Saskatchewan. The economic analysis examined the net present values associated with the cost of subsoiling and the revenues generated by the increases in crop yields using five crop prices and discount rates of 5%, 7.5%, and 10%. Subsoiling of Solonetzic soils in the wetter regions of the Canadian prairies was found to be economically feasible, except under very low crop prices. Under irrigation agriculture, subsoiling of Solonetzic soils was economically feasible over the entire range of crop prices. The subsoiling costs were recovered by revenues from increased crop production by the second or third year after subsoiling. The higher discount rates reduced the magnitude of the economic returns, but did not affect the relative feasibility of subsoiling. Continuous cropping for at least 3 yr after subsoiling, and the selection of higher-revenue crops in the second and third crop years facilitates recovering the cost of subsoiling.