Conservation ag affects financial results

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'Closing the Financial Information Gap in Conservation Agriculture' is a collaboration between the North Central Region Water Network, the University of Wisconsin–Division of Extension, the University of Minnesota-Water Resources Center, the Environmental Defense Fund, Compeer Financial and the Croatan Institute.

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Through training and resource development, the 'Closing the Financial Information Gap in Conservation Agriculture' project aims to increase knowledge about the financial impacts of conservation practices among conservation educators, farm business-management educators and agricultural lenders to enhance their abilities to support farmer decisions.

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Reduced tillage – or conservation tillage – refers to tillage methods that leave at least 30 percent of plant residue on the field following harvest, or have a reduced level of soil disturbance than conventional tillage as measured by the Soil Tillage Intensity Rating.

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The number of acres farmed with reduced tillage and no-till methods has increased in recent decades.

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Reduced tillage is a system-level change that can require upfront investment in new machinery and adjustments to other inputs. But by making fewer trips across the field, reduced tillage can reduce fuel, machinery and labor costs for an increase in profitability.

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Reduced-tillage practices can impact yields positively and negatively, depending on various factors.

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Cover-cropping is the practice of planting a crop after harvesting the cash crop, to maintain soil cover and root growth before planting the next cash crop.

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Effective nutrient management meets the nutrient needs of the plant and minimizes losses to the environment.

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Effective nutrient management meets the nutrient needs of the plant and minimizes losses to the environment. Efficient nutrient management involves using the right fertilizer product and applying the right amount of it at the right time and in the right place, also known as the 4Rs of nutrient management. Farmers use practices such as diverse crop rotations, split-applying fertilizer, variable-rate application and soil testing to reduce the risk of overapplying nutrients.

Adopting efficient nutrient-management practices can save farmers about $30 per acre on land currently receiving excess nutrients, according to the USDA, with some examples approaching $50 per acre.

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Producers in field with beef cattle farmers

Managed-grazing systems that aim to prevent overgrazing, protect soil health and support profitability succeed when they achieve an optimal stocking rate, as measured by the number of animals per acre.

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Adopting conservation-agriculture practices is an investment. Incorporating reduced tillage, cover cropping, nutrient management and managed grazing can enable farmers to build resilient enterprises in a changing climate.

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North Central Sustainable Agriculture Research and Education

Farmers and ranchers are increasingly interested in conservation practices to strengthen soil health and improve water quality for present and future generations. Conservation practices can also help farmers improve their profitability in the face of increasingly volatile weather and uncertain market conditions.