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Abstract
This paper explores some possible economic impacts of worsening salinity
severity and extent in the grains industry across Australia. It also looks
at the potential to increase agricultural profits through remediation. The
analysis is based on a spatial model of agricultural profits and salinity
related crop/pasture yield losses. It is estimated that grains industry
farming profits across Australia would rise by an upper limit $138 million
per year were salinity costlessly removed from the landscape. It is also
estimated that the present value of grains industry profit losses from
worsening salinity extent and severity over the next 20 years is $237
million. These amounts can be considered against the costs of repair.