Etableringsstrategier för spannmål : en studie av investeringsbeslut i maskinsystem

University essay from SLU/Dept. of Economics

Abstract: In order to produce grain in an economically rational manner numerous decisions have to be made. One of these decisions is what tillage system to use. The cost of the tillage system is a large part of the total cost in grain production. Different tillage systems result in different distribution of fixed costs, operating costs and timeliness costs. The price of the produced grain and cost of inputs also affect the best way to produce grain. The purpose of this thesis is to examine how and why grain producers select a specific tillage system. In order to make a proper machinery selection it is crucial how information is collected and processed. This thesis will focus on how decisions are made when investing in a new tillage system. Eight case farms were studied. The farms are seated in the south and the middle of Sweden. They are consciously chosen to enable a comparison between two farms with similar conditions regarding geographical and soil conditions as well as crop rotation. Qualitative interviews were conducted in order to reveal farm specific conditions, how decisions were made and factors crucial to the investment. The results of the interviews demonstrate that maximum yield is only one of the factors considered when investing in a new tillage system. Often factors like cooperation with other farms and a desire to save time are of more importance when investing. Extensive changes in tillage system are often due to major changes in outside factors, for example the end of a cooperation agreement with other farmers. In the same way, farmers that do not face new outside factors do not tend to change their strategy to the same extent. The decision is often made based on the farmers personal experience. The farmers included in the study are all experienced and therefore assumed to have an extensive knowledge when it comes to choosing tillage system. No substantial differences in tillage cost between the different systems were detected. The study also reveals that in order to reduce machinery costs it is important to consider machinery selection and crop rotation together.

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