Simulating Returns to Alternative Crop Mixes in Northeastern Louisiana

Rising production costs and volatility in commodity prices have forced agricultural producers to diversify their farm acreage as a means of increasing farm profitability. A financial farm-level simulation model is constructed to examine net returns over total variable production costs per rotational acre for a representative corn, cotton, and soybean farming operation located in the Mississippi River delta region of Louisiana. Results indicate that a predominant corn followed by a corn-soybean crop mix generates the highest net returns above variable costs to the producer when harvest month futures prices are considered with respect to simulated input parameters and expected yields.

Issue Date:
Jun 11 2013
Publication Type:
Journal Article
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PURL Identifier:
Published in:
Journal of the ASFMRA (American Society of Farm Managers and Rural Appraisers), 2013
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 Record created 2017-04-01, last modified 2018-01-22

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