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An optimization model of a New Zealand dairy farm
Graeme J Doole1, Alvaro J Romera2, Alfredo A Adler2
1Centre for Environmental Economics and Policy, School of Agricultural and Resource Economics, Faculty of Natural and Agricultural Sciences, University of Western Australia, Crawley, Western Australia 6009, Australia; Department of Economics, Waikato Management School, University of Waikato, Private Bag 3105, Hamilton, New Zealand.
Abstract:
Optimization models are a key tool for the analysis of emerging policies, prices, and technologies within grazing systems. A detailed, nonlinear optimization model of a New Zealand dairy farming system is described. This framework is notable for its inclusion of pasture residual mass, pasture utilization, and intake regulation as key management decisions. Validation of the model shows that the detailed representation of key biophysical relationships in the model provides an enhanced capacity to provide reasonable predictions outside of calibrated scenarios. Moreover, the flexibility of management plans in the model enhances its stability when faced with significant perturbations. In contrast, the inherent rigidity present in a less-detailed linear programming model is shown to limit its capacity to provide reasonable predictions away from the calibrated baseline. A sample application also demonstrates how the model can be used to identify pragmatic strategies to reduce greenhouse gas emissions.
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