Precision Agriculture – Methodologies for Cost benefit analysis

Variable rate application (VRA) and Controlled traffic systems (CTF)has a wide ranging potential such as improving the utilization of crop nutrients, improvement of crop quality, reduced overlaps and better production economy. VRA focus on the site-specific application of fertilizers, pesticides and water whereas CTF can allow farmers to reduce input costs (time, inputs and fuel) and increase crop yields. Although both concept has the potential to improve the profit on many farms the adoption of PA technologies remains still low in Europe. The reason could lie in a reduced perception of the benefits of certain PA technologies along with relative high investment costs. Therefore a comprehensive methodology approach that facilitates the understanding of initial investments, cost, and benefits can offer the chance to significantly improve the level of adoption of the most suitable PA technologies. The aim of this project is to design and test a comprehensive methodology to support cost benefit analysis related to PA. The methodology will embrace 3 sets of evaluation related to (1) the financial performance and risk (2) strategic impact, (3) effects on fields operations, (4) Environmental impact and other social benefits. The four sets will be combined in a single Key Performance Index.