@article{Patton:132537,
      recid = {132537},
      author = {Patton, Dean A. and Brennan, John P.},
      title = {Changed Payment System for Wheat Grades: Consequences for  Farming Systems in the Central West of NSW},
      journal = {Australasian Agribusiness Review},
      address = {2003},
      number = {1673-2016-136820},
      series = {Volume 11},
      year = {2003},
      abstract = {The new AWB Ltd payment system for wheat grades has  changed the incentives for farmers to grow and market wheat  varieties in Australia. Based around standard quality  characteristics, the payment system provides incremental  premiums and discounts for deviations in protein and  screenings around this standard. The aim of this paper is  to compare the optimal crop-pasture rotation using the  previous cliff-face pricing structure with the new premiums  and discounts pricing structure. The optimal rotations are  analysed by applying a linear programming model of farming  systems in the Central West of NSW (PRISM Condobolin). To  assess the robustness of our results, optimal rotations are  also compared for a range of cereal and oilseed prices. It  was found that the new pricing structure favours increased  cereal production by reducing the relative economic  importance of beneficial rotation crops, particularly  canola. This is an important finding, given the need to  develop and promote more ecologically sustainable farming  systems that are not dominated by cereal production.},
      url = {http://ageconsearch.umn.edu/record/132537},
      doi = {https://doi.org/10.22004/ag.econ.132537},
}