Conceptual Framework to Integrate Economic Drivers of Decision Making for Technology Adoption in Agriculture

This study evaluates how much technology adoption could cost in a variety of crop-production scenarios. Cost-reduction simulations consider scenarios of higher input use efficiency such as reducing the usage of diesel, labor, irrigation, fertilizer, herbicide, and seed, among others. The scenarios aim to increase yields by integrating the effect of each input-reduction on the total operating costs. Agricultural production estimates for Nebraska in the US indicates that a technology that saves 1% of diesel is cost-effective, costing between USD 0.15/ha and USD 0.32/ha (for corn). Improvements on input use efficiency should be prioritized to incentivize technology development and adoption. This study balances input costs and crop production, allowing the identification of adoption cost thresholds tailored to specific farming scenarios. It also enabled interpretations regarding optimal scenarios for technology adoption. In addition, this study indicates that irrigated systems foster the adoption of technologies more than in dryland cropping systems.