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On-farm Costs of Soil Salinisation: a Case Study for the Liverpool Plains in New South Wales

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  • Greiner, Romy
Abstract
Land affected by a high water table displays waterlogging and salinity effects. This causes costs to farmers through additional land management problems, loss of soil productivity and results in a decline of the farm's capital value. A multi-period mathematical model is developed to investigate best land and financial management strategies for such farms. Water tables rise mainly due to ground water import caused by high recharge in the surrounding parts of the catchment. The hydrological connection between model farm and catchment is established through the variable "condition of the upper aquifer". This paper analyses the effects of different levels of ground water import in terms of progress of soil salinisation, associated farm management responses and farm income development. The condition of the upper aquifer is shown to be decisive for the advance of salinisation and for the financial viability of the model farm. If the upper aquifer is draining or if it causes only minor rise of the water table, then the farming enterprise remains viable and long-term sustainable. If the aquifer condition causes high rates of upward leakage, then salinisation erodes farm productivity to an extent where no financially viable land management strategy is available.

Suggested Citation

  • Greiner, Romy, 1996. "On-farm Costs of Soil Salinisation: a Case Study for the Liverpool Plains in New South Wales," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 64(01), pages 1-15, April.
    • Handle: RePEc:ags:remaae:12301
    DOI: 10.22004/ag.econ.12301
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    References listed on IDEAS

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    4. Kingwell, Ross S. & Pannell, David J. & Robinson, Stephen, 1991. "Climatic Risk and the Value of Information," 1991 Conference (35th), February 11-14, 1991, Armidale, Australia 145916, Australian Agricultural and Resource Economics Society.
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    Cited by:

    1. Nelson, R. A. & Holzworth, D. P. & Hammer, G. L. & Hayman, P. T., 2002. "Infusing the use of seasonal climate forecasting into crop management practice in North East Australia using discussion support software," Agricultural Systems, Elsevier, vol. 74(3), pages 393-414, December.
    2. Jeff Bennett, 2005. "Australasian environmental economics: contributions, conflicts and ‘cop‐outs’," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 49(3), pages 243-261, September.
    3. Bathgate, Andrew D., 2002. "Economic and physical attributes of dryland salinity in NSW: A review," 2002 Conference (46th), February 13-15, 2002, Canberra, Australia 125055, Australian Agricultural and Resource Economics Society.
    4. Finlayson, John & Bathgate, Andrew & Nordblom, Tom & Theiveyanathan, Tivi & Farquharson, Bob & Crosbie, Russell & Mitchell, David & Hoque, Ziaul, 2010. "Balancing land use to manage river volume and salinity: Economic and hydrological consequences for the Little River catchment in Central West, New South Wales, Australia," Agricultural Systems, Elsevier, vol. 103(3), pages 161-170, March.
    5. Farquharson, Robert J. & Scott, J. Fiona, 2000. "Analysis of Farming Systems Issues in the Northern Cropping Region of NSW," 2000 Conference (44th), January 23-25, 2000, Sydney, Australia 123644, Australian Agricultural and Resource Economics Society.

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