An Economic Evaluation of Conservation Farming Practices for the Central West of NSW
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Economic benefits that arise from conservation farming practices need to be assessed over
several years to account for improvements in soil structure and nutrient levels. A gross margin
model was used to assess benefits over the eight-year period 1999-2006 for 12 regions in the
central west of NSW. The annual benefits from improved soil structure ranged from $2.46 to
$12.82 per hectare (ha). A reduction in tractor power produced annual savings in the range of
$0.60 to $4.05 per ha. The cost of soil compaction by livestock grazing on crop areas ranged
from $3.41 to $14.90 per ha. The break-even time to pay back costs for the conversion of
machinery for no-till seeding was two to three seasons.