Economic analysis of contour tree buffer strips using present net value

ABSTRACT:

Agroforestry practices, such as alhey cropping, that blend production of crops and trees effectively, control erosion. An economic analysis compared contour tree buffer strips with rowcropping, terracing, conventional tillage, contour strip-cropping, and the Comervation Reserve Program. Four tree species were analyzed: Black Walnut, Red Oak, White Oak, and Ash. Sensitivity analyses were carried out on land values, real interest rates, and the projected costs and revenues associated with different scenarios. Without subsidies, contour tree buffer strips are economically competitive with all practices evaluated except tree plantations at $1,183 ha land value, with all but rowcropping at $2,223 ha land value, and with all but rowcropping and strip-cropping at $3,263 ha land value. With equal subsidies, contour tree buffer strips are economically competitive with all conservation practices and land values evaluated. These results supported the hypothesis that contour tree buffer strips are an economically feasible conservation practice for soil erosion control.