University of Minnesota, Duluth

AgEcon Search: Research in Agricultural and Applied Economics
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    Characterizing Foreign Investment in U.S. Agricultural Land, 2022

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    In 2022 foreign investors, including long-term leaseholders, held an interest in 43.4 million acres of U.S. agricultural land. This represents 3.4 percent of all privately held agricultural land and nearly 2 percent of all land in the United States. This report compares foreign-owned and long-term foreign-leased U.S. agricultural land held in 2022 using data collected through mandatory reporting requirements set forth in the Agricultural Foreign Investment Disclosure Act of 1978 (AFIDA). Foreign-held, long-term leases (i.e., 10 years or more) accounted for roughly one-third (32.5 percent) of foreign-held U.S. agricultural land as of December 31, 2022, up from roughly 20 percent in 2017. This report also identifies important differences between foreign-owned and long-term foreign-leased agricultural land in the United States in terms of its use, location, size, and other characteristics. A much greater share of long-term foreign-leased agricultural land is associated with renewable energy development compared to foreign-owned land (85 percent versus 2 percent). A much smaller share of long-term foreign leaseholds (less than 10 percent) is associated with a change in the agricultural producer (operator) compared with foreign purchases of agricultural land. The findings in this report indicate that foreign leases of agricultural land are more likely to result in dual use (i.e., agriculture and renewable energy) thereby providing an additional income stream to owner-operators. The results also show that around 97 percent of foreign land leaseholders indicated they did not intend to take the land out of agricultural usag

    Ethanol Byproducts Offer Savings for Farmers and Industry

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    Excerpts: Distiller’s grains are the residual material from converting grain, such as corn or sorghum, into ethanol. Distiller’s grains are either wet (WDG) or dried (DDG). Adding back liquid solubles to distiller’s grains makes a coproduct known as “wet distillers grains with solubles” (WDGS). If dried, that mixture is known as “dried distiller’s grains with solubles” (DDGS). There are more than 20 forms of these coproducts, most of which are suitable as feed supplements for cattle, swine, and poultry. ARS scientists across the country are testing the coproducts of ethanol and biodiesel production on hundreds of livestock, including beef cattle, dairy cows, pigs, poultry, and fish. They want to see whether and how distiller’s grains fit into feed rations. Blending distiller’s grains into feed could lower costs for livestock producers and provide a market for recycling these ethanol coproducts, which are growing in supply as more and more ethanol is produced. In the Midwest alone, ethanol producers generate 10 million tons of DDG annually

    The conservation of agricultural biodiversity as a strategy to guarantee food security and sovereignty in Brazil

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    Hunger is a problem that covers several sectors, being mainly the product of a historical trajectory of disorganization of public policies. In this context, concerns arise with strategies that enable increased production, availability, and access to food, with emerging proposals that value the environment during this process, as well as food security and sovereignty. To guarantee these motions, traditional communities stand out, which adopt agroecological production systems, aiming for a sustainable approach that conserves the agrobiodiversity of the people and enhances sociocultural diversity through their “creole” varieties. Creole are commonly selected and cultivated in certain locations by different people, often for their own subsistence. Considering the conception that the epistemological crisis of conventional science is giving space to a new political and participatory epistemology to rise, the objective of this study is to discuss the contribution of agrobiodiversity preserved by traditional communities, represented especially by Creole seeds, under the agroecological perspective, as a strategy to guarantee food security and sovereignty. To this end, qualitative research was adopted as a methodology, to compare agricultural evolution and the food crisis. From this perspective, it is possible to discuss the premises, providing the characteristics of an agriculture on an agroecological basis and its relationship with conserved agrobiodiversity, mainly with native seeds. In the end, it was found that the maintenance of native seeds contributes to food security and sovereignty in line with the agroecological approach, highlighting the urgency of opting for one of the paths: maintaining the model driven by predatory agricultural production capitalism of own sources of resources on which it depends; or the consideration of “recalcitrant territories” sheltered by traditional peoples who position themselves intending to modify the paradoxical and autophagic character of the current scenario, providing strategies to solve problems such as the food crisis which, in itself, exposes other difficulties faced by different peoples

    Factors affecting the exports of Hass avocado from Virú (La Libertad, Peru) to the US

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    The knowledge and application of marketing strategies by small and medium producers of avocado for exports in the La Libertad region of Peru is limited. Therefore, this article analyzes the business opportunity of Hass avocado (Persea americana) for the US market and aims to highlight the relevant factors that facilitate achieving profitability for the producer, through a descriptive and non-experimental quantitative study. 29 avocado producers were surveyed in Virú province, in the La Libertad region, an important producing area in Peru to identify and describe value-generating activities for exportable avocados. Authors investigated ways to develop market opportunities through communication channels and marketing. The main findings pointed out that the avocado from this region, with yields greater than 10 tons per hectare, have good fruit quality and productivity in small and medium-sized areas. Indeed, they are the best in the country to produce Hass avocado managed for export, and from its organization they could have a better productive offer. However, the traditional production system, seasonal production (March-August), farms with less than 5 hectares per producer, little knowledge about customers, their choice, use and acquisition of the product, among other factors, remain part of the benefits. Marketing strategies that adapt to the styles of the US market are necessary for organizations to grow and increase their profitability. In this case, implementing surveys by producers of the proposed marketing plan to increase profitability by expanding placement capacity and developing the avocado production chain to improve supply to the market at more competitive prices are recommended actions (i.e., marketing planning and market expansion that adapts to the needs of the target market). A net present value of US$ 3.1 million has been projected with an internal rate of return of 93%. Statistical verification of these results modeled the increase in exporters' profits through the implementation of marketing

    Evaluación multifuncional de sistemas agrícolas campesinos de caña panelera en cinco municipios paneleros de Cundinamarca, Colombia

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    This study evaluates, from the perspective of the multifunctionality of agriculture, the peasant agricultural systems surrounding the cultivation of panela cane in five producing municipalities in the department of Cundinamarca (Colombia). To achieve the objectives, a mixed-method approach was used, starting with the definition of a purposive sample of 15 farms located in the municipalities of La Peña, Caparrapí, Útica, Topaipí, and El Peñón, in the provinces of Río Negro and Gualivá. The socioeconomic conditions of the panela cane production systems were characterized and analyzed to understand and guide the sustainable development of this productive system in these territories, as well as its sociocultural impact on peasant families. These municipalities are distinguished by the fact that some receive assistance from the National Federation of Panela Producers, while others do not. However, all municipalities share the same agro-environmental conditions, where the same type of crops is grown. To obtain the results, the study establishes that municipalities with greater institutional presence have higher monetary incomes, whereas those without assistance experience a lower level of monetization. Additionally, factors such as price instability were identified, which increases the risk of losses due to production costs that affect the financial inclusion of peasant economies—without necessarily translating into a better quality of life. Finally, the study highlights the need to address other dimensions of development, enabling more active community participation in decision-making processes related to the development model that should guide rural Colombia

    Youth Labour Market Assessment: Sri Lanka - 2018

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    The Youth Labour Market Assessment takes an in-depth look at youth employment and unemployment in Sri Lanka. This report examines 4 gaps; skills gap, aspirations gap, information gap and the structural gap, which are used to explain the paradox of high youth unemployment in a country which has a large number of job opportunities available presently. Bridging these gaps, especially in the high growth sectors in Sri Lanka is a priority for policymakers. Analysis from a primary survey of 2,000 youth and 211 employers are the main data source for the report. The report provides detailed insights on unemployed youth, constrained youth, employed youth, gender and entrepreneurship training. An abridged version of the full report is also made available, and provides key findings and recommendations that are pertinent to the private sector, donor community and vocational training providers. The report was produced for YouLead, a USAID-funded youth employability and business startup programme working to improve youth employability outcomes by addressing bottlenecks in the technical and vocational education and training sector in Sri Lanka

    Production Capacity and Supply Response in Vietnam's Agriculture: An Application of an Economic Research Service Production-Distribution Model for Vietnam

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    Productive capacity of South Vietnam's agriculture was examined in terms of the quantity, and mix of agricultural commodities needed to maximize national agricultural income. The analysis started with the existing resource base and was extended to other plausible resource use situations, with emphasis on expanding the land resource. A linear programming model was tailored to the particular conditions and problems existing in South Vietnam. The model specifies resources and defines production relationships among resources, enterprises, and regions. It also explicitly reflects processing, marketing, transportation, and consumption phenomena and relationships. For two of the major resource bases, various assumptions relative to commodity prices and other variables were altered to determine the likely impact on income, supply mix, investment requirements, trade balances, and other phenomena. Various program alternatives related to South Vietnam's agricultural and economic development are implicitly suggested by the analysis. Information developed is being used by the Government of Vietnam in its 5-Year Economic Development Plan

    Participatory Mapping of the Local Ecological Knowledge of Agroforestry Farmers in Barangay Lalakay, Los Baños, Laguna, Philippines

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    Local ecological knowledge (LEK), cultivated through direct interactions of human communities with their environment, has the potential to utilize customary practices to implement sustainable forest management effectively. Documentation of LEK and farming practices of agroforestry farmers could provide an avenue for preserving forest resources without compromising their forest-dependent livelihoods. This research aimed to identify how the LEK of the Barangay Lalakay agroforestry farmers in Los Baños influences their farming practices in their portion of the Mt. Makiling Forest Reserve (MMFR). This was done through participatory mapping activities, which are integrated in household interviews and a focus group discussion, along with key informant interviews involving relevant stakeholders. The data gathered were then analyzed through thematic analysis, and a thematic LEK map was generated based on the findings. At the end of the study, findings show that the LEK of the agroforestry farmers in Barangay Lalakay is influenced by a multitude of factors, including Makiling Center for Mountain Ecosystems (MCME) technical training sessions, direct interaction with the environment, intergenerational transmission, economic optimization, local innovation, and the history of the community’s settlement in the area. They were also able to demonstrate their ability to adapt to the changing environment through the development of farming system innovations, such as the diversification of crop selections. These innovations are aided by the training sessions provided by MCME, which show the potential for the academic community to enhance LEK. These findings show that integrating LEK in forest land use planning demonstrates a participatory approach in integrated forest management

    Economic feasibility analysis of a Seed Processing Unit

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    The objective of this work is to determine the economic viability of installing a Seed Processing Unit (SPU) on a rural property located in the municipality of Brasília/DF. Before the project (scenario A), soybeans produced with seed quality were delivered to a large company in the sector, which handled the processing and marketing stages, remunerating the producer with a 9% bonus on the price of the soybeans. In a second phase (scenario B), it is considered that the producer will invest in the construction of a SPU on their property, carrying out the processing of the soybeans and being remunerated with a 40% bonus on the price of the product delivered to the company. Knowing the results generated in each scenario, it is possible to verify the variation in net operating revenue provided by the investment and calculate financial viability indicators such as Net Present Value (NPV), Internal Rate of Return (IRR), Discounted Payback Period (DPP), and Profitability Index (PI). In addition to these indicators, calculated under the assumption of using own resources, the work includes an analysis of the project's financing conditions. When considering obtaining credit, which has a negative real interest rate, it is observed that the NPV increases significantly, rising from R11,082,279.19(inthecaseofinvestmentwithownresources)toR 11,082,279.19 (in the case of investment with own resources) to R 14,716,511.27

    The Years Ahead

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    This brief review suggests that market needs—rather than production possibilities—will be the major determinant of the level of farm output in the United States over the next 25 to 50 years. That is, how many people will there be to feed and how well will they want to be fed. Graphs/Tables included: Farm Output and Population (Percentage of 1910-1958) --- Changes in Food Consumption (1935-1955) --- Factors in Farm Production per Unit of Farm Output --- Weekly Consumption of Selected Foods, per Person, Spring 1955 --- Money Value of Food, Farm Families (1923, 1935, 1941, 1951) --- Canned and Frozen Food by Farm Families, 1941 and 1954

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