Towards a Comparison of Chemical‐free and Conventional Farming in Australia

Abstract

The classes of benefits and costs, private and external, arising from a partial movement from conventional to chemical-free farming are considered. A report is provided on a comparison of physical and financial characteristics of chemical-free and conventional cereal/livestock farming in south-eastern Australia. A key finding is that private net returns were similar for the two types of farmers. A favourable change in net externalities could be expected from a movement towards chemical-free farming. Policy implications relating to the taxation of chemical use in agriculture, and to research, extension and marketing are discussed.

Strategic Opportunities

“…A range of public good benefits from organic horticulture, include decreased use of some chemicals, improved soil quality and decreases in land degradation costs, improved water quality, improved human health (Wynen and Edwards 1990), and energy inputs, biological diversity, landscape and social benefits (Fairweather and Campbell 2001).…”

A Comparison of Financial Returns During Early Transition from Conventional to Organic Vegetable Production

“…To date, most comparisons of organic and conventional farming have concentrated on field crops (e.g. Klepper et al 1977;Lockeretz 1987;Wynen and Edwards 1990;Smolik and Dobbs 1991;. No previous work has been published, to our knowledge, which compares the finanical returns from organic and conventional horticultural crop production.…”