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Economics of Precision Ag

Economics of Precision Ag . Tim Norris – Ag Info Tech, LLC. How much nitrogen should we put down at side dress?. I typically put 20 gals 28% as a carrier for the herbicide. 60 units of N. Not stabilized and it is spread on top of the ground. Starter – I am not using any.

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Economics of Precision Ag

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  1. Economics of Precision Ag Tim Norris – Ag Info Tech, LLC.

  2. How much nitrogen should we put down at side dress? • I typically put 20 gals 28% as a carrier for the herbicide. 60 units of N. • Not stabilized and it is spread on top of the ground. • Starter – I am not using any. • Map is variable rate spread with rates from Zero to 400 lbs. 0 to 44 lbs. of N • Organic Matter is 1.2% to 3.5%. Organic N is 24 – 70 lbs. • Total N before side dress is 84 to 174 lbs. to the acre.

  3. How much nitrogen should we put down at side dress? • How much denitrification has occurred? • Is there more organic N there than we think? • So what is the correct rate? • What would 10 extra gals of 28% cost me? • $340 @ ton, it would be $18.14 acre. • How much yield would I lose if I were 10 gals short? • Do you want to rely on a crap shoot?

  4. 2011 Test Parameters • 28% Nitrogen @ $340 ton • Corn @ $6.00 bu. • Applied in a band with Ag Leader OptRx and DirectCommand on a Case Sprayer • Applications were performed in the V6-V8 growth stages • 25 Gal 28% down at planting

  5. Hardscrabble Farms Delaware, Ohio • Schnipke Farm Test A • Straight Rate 34.45 Gal. = 203.10 bu./acre • OptRx 25.93 Ave Rate = 213.42 bu./acre • Saved 8.52 gals. 28% for a savings of $15.42 • Yielded 10.32 bu. more, an increase of $61.92 • Total Return Per Acre $77.34

  6. Yield Map Red Low Green High Straight Rate 35 GPA Here OptRx Used Here

  7. Hardscrabble Farms Delaware, Ohio • Home Farm Test A • Straight Rate 24.99 Gal. = 177.24 bu./acre • OptRx 27.29 Ave Rate = 193.49 bu./acre • Saved -2.3gals. 28% for a savings of -$4.16 • Yielded 16.2 bu. more for an increase of $97.20 • Total Return Per Acre $93.04

  8. Hardscrabble Farms Delaware, Ohio • Schnipke Farm Test B • Straight Rate 25.04 Gal. = 223.07 bu./acre • Straight Rate 29.81 Gal. = 230.02 bu./acre • Straight Rate 34.38 Gal. = 233.46 bu./acre • OptRx 23.59 Ave Rate = 234.61 bu./acre

  9. Hardscrabble Farms Delaware, Ohio • Schnipke Farm Test B • 28% Savings compared to OptRx 23.59 gal. average rate Rate Gal Over OptRx $ OptRx Adv. • 25.04 gal. 1.45 gal. $2.62 • 29.81 gal. 6.22 gal. $11.25 • 34.38 gal. 10.79 gal. $19.52

  10. Hardscrabble Farms Delaware, Ohio • Schnipke Farm Test B • Yield Advantage of OptRx 234.61 Bu. compared to straight rates Rate Yield dif. $ OptRx Adv. • 25.04 gal. 11.54 bu. $69.24 • 29.81 gal. 4.59 bu. $27.54 • 34.38 gal. 1.15 bu. $ 6.90

  11. Hardscrabble Farms Delaware, Ohio • Schnipke Farm Test B • Total OptRx Advantage Rate $ OptRx Adv. • 25.04 gal. $71.86 • 29.81 gal. $38.79 • 34.38 gal. $26.42

  12. Hardscrabble Farms Delaware, Ohio • Home Farm Test B • Straight Rate 25.99 Gal. = 224.45 bu./acre • Straight Rate 29.66 Gal. = 223.44 bu./acre • OptRx 30.49 Ave Rate = 237.84 bu./acre

  13. Hardscrabble Farms Delaware, Ohio • Home Farm Test B • 28% Savings compared to OptRx 30.49 gal. average rate Rate Gal Over OptRx $ OptRx Adv. • 25.05 gal. -5.44 gal. -$9.84 • 29.66 gal. -.83 gal. -$1.50

  14. Hardscrabble Farms Delaware, Ohio • Home Farm Test B • Yield Advantage of OptRx 237.84 Bu. compared to straight rates Rate Yield dif. $ OptRx Adv. • 25.05 gal. 13.39 bu. $80.34 • 29.66 gal. 14.40 bu. $86.40

  15. Hardscrabble Farms Delaware, Ohio • Schnipke Farm Test B • Total OptRx Advantage Rate $ OptRx Adv. • 25.05 gal. $70.51 • 29.66 gal. $84.90

  16. Hardscrabble Farms Delaware, Ohio • Average OptRx Advantage for 2011 • $66.12 per acre.

  17. With a $21,500 Investment What Is My ROI? • 500 acres of corn at $49.62 per acre = $24,810 annually payback in 1 year. • 500 acres of corn at a $20 per acre = $10,000 annually payback in 2.5 years. • If you already have a display and GPS you have half the cost.

  18. High Clearance Application Alternatives • High clearance coulter injector. • Dribble with high clearance sprayer. • Spread stabilized urea or other source on dry N with high clearance spreader.

  19. Take home message • The technology is here. • It has been proven to be an active prediction of plant stress. • That prediction when compared to a N rich strip will provide a fairly accurate prediction of what the crops nitrogen needs are. • Responses we have seen show that the sensors will pay for themselves quickly. • The two years I showed were wet springs.

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