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Climatic trends dampened productivity growth on Wisconsin dairy farms

Monday, November 16, 2020

In 2019, Wisconsin’s production of fluid milk was second only to California’s. According to data from USDA’s National Agricultural Statistics Service, Wisconsin generated 30.6 billion pounds of milk that year, with milk sales totaling $5 billion. In recent years, Wisconsin dairy farms have been exposed to substantial weather volatility characterized by frequent droughts, storms, and temperature extremes (both hot and cold). This has resulted in considerable fluctuations in dairy productivity. Researchers from the Economic Research Service (ERS) among others, found that total factor productivity (TFP), which measures the rate of growth in total output (aggregate milk produced) relative to the rate of growth in total inputs (such as the number of cows, farm labor, feed, and machinery), increased at an average annual rate of 2.16 percent for Wisconsin dairy farms between 1996 and 2012. This increase was primarily driven, at an annual rate of 1.91 percent, by technological progress—such as improved herd genetics, advanced feed formulations, and improvements in milking and feed handling equipment. However, trends in rainfall and temperature variation were responsible for a 0.32 percent annual decline in the productivity of Wisconsin dairy farms during the same period. For example, an average increase in temperature of 1.5 degrees Fahrenheit reduced milk output for the average Wisconsin dairy farm by 20.1 metric tons per year. This is equivalent to reducing the herd size of the average farm by 1.6 cows every year. This chart appears in ERS’s October 2020 Amber Waves finding, “Climatic Trends Dampened Recent Productivity Growth on Wisconsin Dairy Farms.”

Households are the largest users of fossil fuels in the U.S. food system

Wednesday, August 12, 2020

Knowing where natural resource use accumulates is fundamental to understanding what factors influence resource-use decisions. A recent Economic Research Service (ERS) study estimated natural resource use by the U.S. food system in 2007 (2007 data were the latest available with the level of detail needed for the analysis). Farm production was the smallest user of fossil fuels (12 percent of fossil fuel use); households were the largest users (35 percent). Over 40 percent of greenhouse gas emissions in food production were from farms and ranches, followed by households, and then companies that distribute and market food. For forest products, the greatest use occurred during food processing and packaging, with paper-based packaging accounting for most of this use. Farm production was the dominant user of freshwater withdrawals due to irrigation, but slightly over a third of water use by the food system in 2007 occurred after the farm, including in household kitchens (20 percent) and in the energy industry (12 percent). This chart appears in the ERS report, Resource Requirements of Food Demand in the United States, and Amber Waves article, “A Shift to Healthier Diets Likely To Affect Use of Natural Resources,” May 2020.

U.S. food system accounted for between 7 to 28 percent of the Nation’s 2007 use of five natural resources

Thursday, May 28, 2020

Conserving natural resources starts with identifying where they are used. A recent Economic Research Service (ERS) study examined how much of 5 of the Nation’s natural resources were used in 2007 to feed Americans aged 2 and above. (2007 data were the latest available with the level of detail needed for the analysis.) The researchers looked at the entire U.S. food system from production of farm inputs—such as fertilizers and feed—through points of consumer purchases in grocery stores and eating-out places to home kitchens. Their estimates show that agricultural land use in the U.S. food system was 25.5 percent of the country’s 2.3 billion acres of total land. Although the study does not account for other food-related land use, such as by forestry and mining industries serving the food system, it does show that about half of agricultural land is dedicated to food production for the U.S. market, and the other half was devoted to nonfood crops, like cotton and corn for producing ethanol, and to export crops, like soybeans. The U.S. food system also accounted for an estimated 28 percent of 2007’s freshwater withdrawals, 11.5 percent of the fossil fuel budget, and 7.2 percent of marketed forest products. Air is a natural resource that is degraded by the addition of greenhouses gases. The food system accounted for an estimated 18.1 percent of U.S. greenhouse gas emissions in 2007. A version of this chart appears in the ERS report, Resource Requirements of Food Demand in the United States, May 2020 and the Amber Waves feature article, “A Shift to Healthier Diets Likely To Affect Use of Natural Resources.”

Agriculture contributed 10.5 percent of U.S. greenhouse gas emissions in 2018

Wednesday, April 22, 2020

The U.S. Environmental Protection Agency estimated that agriculture and forestry together accounted for 10.5 percent of U.S. greenhouse gas emissions in 2018. This includes carbon dioxide (CO2) emissions associated with agricultural electricity consumption. The greenhouse gases with the largest contributions to rising temperature are CO2, methane (CH4), and nitrous oxide (N2O). Globally, CO2 emissions are the largest contributor to climate change. However, the emissions profile for agriculture differs from that of the economy as a whole. U.S. agriculture emitted 698 million metric tons of carbon-dioxide equivalent in 2018: 12.3 percent as carbon dioxide, 36.2 percent as methane, and 51.3 percent as nitrous oxide. Increases in carbon storage (sinks) offset 11.6 percent of total U.S. greenhouse gas emissions in 2018. Carbon sinks include forest management to increase carbon in forests, increases in tree carbon stocks in settlements, conversion of agricultural to forest land (afforestation), and crop management practices that increase carbon in agricultural soils. This chart updates data that appears in the Economic Research Service data product Ag and Food Statistics: Charting the Essentials.

Potential effects of climate change on agricultural productivity likely to vary by region

Monday, September 9, 2019

U.S. farm output since 1948 has grown by 170 percent. Increases in total factor productivity (TFP), measured as total output per unit of total input, accounted for more than 90 percent of that output growth. However, TFP growth rates fluctuate considerably year-to-year, mostly in response to adverse weather, which can lower productivity estimates. Recent ERS research modeled a future climate-change scenario with an average temperature increase of 2 degrees Celsius (3.6 degrees Fahrenheit) and a 1-inch decrease in average annual precipitation. Results showed that the “TFP gap index”—the difference in total-factor productivity levels between the projected period (2030–40) and the reference period (2000–10)—varies by State. For some States, those climate changes fall within the range of what is historically observed, while for other States they do not, which accounts for regional variation. States in the latter category are projected to experience larger effects. The States experiencing the greatest impacts would include Louisiana and Mississippi in the Delta region; Rhode Island, Delaware, and Connecticut in the Northeast region; Missouri in the Corn Belt region; Florida in the Southeast region; North Dakota in the Northern Plains region; and Oklahoma in the Southern Plains region. This chart appears in the Amber Waves article, “Climate Change Likely to Have Uneven Impacts on Agricultural Productivity,” released August 2019.

Some manure nutrients produced in the Chesapeake Bay watershed can be captured for later use

Friday, September 30, 2016

In 2010, to help meet water quality goals, the U.S. Environmental Protection Agency (EPA) adopted a limit on the amount of pollutants that the Chesapeake Bay can receive. Nitrogen and phosphorus, in particular, can lead to adverse effects on public health, recreation, and ecosystems when present in excess amounts. The EPA estimates that applications of manure contribute 15 percent of nitrogen and 37 percent of phosphorus loadings to the Bay. Furthermore, ERS estimates that animal feeding operations (AFOs), which raise animals in confinement, account for 88 percent of manure nitrogen and 84 percent of manure phosphorus generation in that watershed. ERS also estimates that about a third of nitrogen and half of phosphorus produced at AFOs can be recovered for later use. That adds to about 234 million pounds of nitrogen and 106 million pounds of phosphorus recovered. These nutrients can then be redistributed regionally to fertilize agricultural land, thereby lessening nutrient run-off problems in the Bay. The remaining nutrients cannot be recovered. Both nitrogen and phosphorus may be lost during collection, storage, and transportation; nitrogen may also volatize into the atmosphere. This chart is based on the ERS report Comparing Participation in Nutrient Trading by Livestock Operations to Crop Producers in the Chesapeake Bay Watershed, released in September 2016.

Climate change is projected to cause declines and shifts in fieldcrop acreage across U.S. regions

Friday, September 9, 2016

Climate models predict U.S. agriculture will face changes in local patterns of precipitation and temperature over the next century. These climate changes will affect crop yields, crop-water demand, water-supply availability, farmer livelihoods, and consumer welfare. Using projections of temperature and precipitation under nine different scenarios, ERS research projects that climate change will result in a decline in national fieldcrop acreage in 2080 when measured relative to a scenario that assumes continuation of reference climate conditions (precipitation and temperature patterns averaged over 2001-08). Acreage trends show substantial variability across climate change scenarios and regions. When averaged over all climate scenarios, total acreage in the Mountain States, Pacific, and Southern Plains is projected to expand, while acreage in other regions--most notably the Corn Belt and Northern Plains--declines. Over half of all fieldcrop acreage in the U.S. is found in the Corn Belt and Northern Plains, and projected declines in these regions represent 2.1 percent of their combined acreage. Irrigated acreage for all regions is projected to decline, but in some regions increases in dryland acreage offset irrigated acreage losses. The acreage response reflects projected changes in regional irrigation supply as well as differential yield impacts and shifts in relative profitability across crops and production practices under the climate change scenarios. This chart is from the ERS report Climate Change, Water Scarcity, and Adaptation in the U.S. Fieldcrop Sector, November 2015.

Agriculture accounted for 10 percent of U.S. greenhouse gas emissions in 2014

Wednesday, May 11, 2016

Agriculture accounted for an estimated 10 percent of U.S. greenhouse gas (GHG) emissions in 2014. In agriculture, crop and livestock activities are important sources of nitrous oxide and methane emissions, notably from fertilizer application, enteric fermentation (a normal digestive process in animals that produces methane), and manure storage and management. GHG emissions from agriculture have increased by approximately 10 percent since 1990. During this time period, total U.S. GHG emissions increased approximately 7 percent. This chart is from the Land and Natural Resources section of ERS’s Ag and Food Statistics: Charting the Essentials data product.

Climate change is projected to cause declines and shifts in fieldcrop acreage across the United States

Wednesday, February 17, 2016

ERS research projects that climate change will result in a decline in national fieldcrop acreage over analysis years 2020, 2040, 2060, and 2080, when measured relative to a scenario that assumes continuation of reference climate conditions (precipitation and temperature patterns averaged over 2001-08). Acreage trends are explored for nine climate change scenarios, and substantial variability exists across climate change scenarios and crop sectors. When averaged over all climate scenarios, U.S. acreage in rice, hay, and cotton is projected to expand, while acreage in corn, soybeans, sorghum, wheat, and silage declines. Acreage response varies across crops as a function of the sensitivity of crop yields to changes in precipitation, temperature, and atmospheric carbon dioxide; the resulting changes in relative crop profitability; the coincidence of climatic shifts with geographic patterns of crop production; and variables related to the extent of crop reliance on irrigation. This chart is from the ERS report Climate Change, Water Scarcity, and Adaptation in the U.S. Fieldcrop Sector, November 2015.

More efficient irrigation methods are being adopted on farmland in the Western United States

Wednesday, January 6, 2016

About 75 percent of irrigated cropland in the United States is located in the 17 western-most contiguous States, based on USDA’s 2013 Farm and Ranch Irrigation Survey (the most recent available). Between 1984 and 2013, while the amount of irrigated land in the West has remained fairly stable (at about 40 million acres) and the amount of water applied has been mostly flat (between 70 and 76 million acre-feet per year), the use of more efficient irrigation systems to deliver the water has increased. In 1984, 71 percent of Western crop irrigation water was applied using gravity irrigation systems that tend to use water inefficiently. By 2013, operators used gravity systems to apply just 41 percent of water for crop production, while pressure-sprinkler irrigation systems (including drip, low-pressure sprinkler, or low-energy precision application systems), which can apply water more efficiently, accounted for 59 percent of irrigation water use and about 60 percent of irrigated acres. This chart is found in the ERS topic page on Irrigation & Water Use, updated October 2015.

U.S. irrigated fieldcrop acreage projected to decline under climate change

Friday, November 27, 2015

Climate models predict U.S. agriculture will face significant changes in local patterns of precipitation and temperature over the next century. These climate changes will affect crop yields, crop-water demand, water-supply availability, farmer livelihoods, and consumer welfare. Irrigation is an important strategy for adapting to shifting production conditions under climate change. Using projections of temperature and precipitation under nine climate change scenarios for 2020, 2040, 2060, and 2080, ERS analysis finds that on average, irrigated fieldcrop acreage would decline relative to a reference scenario that assumes continuation of climate conditions (precipitation and temperature patterns averaged over 2001-08). Before midcentury, the decline in irrigated acreage is largely driven by regional constraints on surface-water availability for irrigation. Beyond midcentury, the decline reflects a combination of increasing surface-water shortages and declining relative profitability of irrigated production. This chart is from the ERS report, Climate Change, Water Scarcity, and Adaptation in the U.S. Fieldcrop Sector, ERR-201, November 2015.

Dairy production is concentrated in climates that expose animals to less heat stress

Wednesday, July 8, 2015

Above a temperature threshold, an animal may experience heat stress resulting in changes in its respiration, blood chemistry, hormones, metabolism, and feed intake. Dairy cattle are particularly sensitive to heat stress; high temperatures lower milk output and reduce the percentages of fat, solids, lactose, and protein in milk. In the United States, dairy production is largely concentrated in climates that expose animals to less heat stress. The Temperature Humidity Index (THI) load provides a measure of the amount of heat stress an animal is under. The annual THI load is similar to “cooling degree days,” a concept often used to convey the amount of energy needed to cool a building in the summer. The map shows concentrations of dairy cows in regions with relatively low levels of heat stress: California’s Central Valley, Idaho, Wisconsin, New York, and Pennsylvania. Relatively few dairies are located in the very warm Gulf Coast region (which includes southern Texas, Louisiana, Mississippi, Alabama, and Florida). This map is drawn from Climate Change, Heat Stress, and Dairy Production, ERR-175, September 2014.

U.S. public sector plays a key role in collecting, conserving, and distributing crop genetic resources

Monday, June 22, 2015

As agriculture adapts to climate change, crop genetic resources can be used to develop new plant varieties that are more tolerant of changing environmental conditions. Crop genetic resources (or germplasm) consist of seeds, plants, or plant parts that can be used in crop breeding, research, or conservation. The public sector plays an important role in collecting, conserving, and distributing crop genetic resources because private-sector incentives for crucial parts of these activities are limited. The U.S. National Plant Germplasm System (NPGS) is the primary network that manages publicly held crop germplasm in the United States. Since 2003, demand for crop genetic resources from the NPGS has increased rapidly even as the NPGS budget has declined in real dollars. By way of comparison, the NPGS budget of approximately $47 million in 2012 was well under one-half of 1 percent of the U.S. seed market (measured as the value of farmers’ purchased seed) which exceeded $20 billion for the same year. This chart updates ones found in the June 2015 Amber Waves feature, Crop Genetic Resources May Play an Increasing Role in Agricultural Adaptation to Climate Change.

Maintaining and restoring wetlands could remove nitrogen cost effectively over much of the Upper Mississippi and Ohio River watersheds

Monday, June 1, 2015

Every year, agriculture contributes an estimated 60-80 percent of delivered nitrogen and 49-60 percent of delivered phosphorous in the Gulf of Mexico. Nitrogen in waters can cause rapid and dense growth of algae and aquatic plants, leading to degradation in water quality as found in the hypoxic zone of the Gulf of Mexico, where excess nutrients have depleted oxygen needed to support marine life. Nitrogen removal is one of the many benefits of wetlands. An ERS analysis found that on an annual basis, the amount of nitrogen removed per dollar spent to restore and preserve a new wetland ranged from 0.15 to 34 pounds within the area of study (the Upper Mississippi/Ohio River watershed), or a range of $0.03 to $7.00 per pound of nitrogen removed. Restoring and protecting wetlands in the very productive corn-producing areas of Illinois, Indiana, and Ohio tends to be more cost effective than elsewhere in the study area. The study suggests that if nitrogen reduction was the only environmental goal, these corn-producing areas would be a good place to restore wetlands. Hydrologic conditions in the Upper Mississippi and Ohio River watersheds are unique, so the cost effectiveness of wetlands elsewhere is uncertain. This map is found in the ERS report, Targeting Investments To Cost Effectively Restore and Protect Wetland Ecosystems: Some Economic Insights, ERR-183, February 2015.

Agriculture accounts for 10 percent of U.S. greenhouse gas emissions

Wednesday, May 27, 2015

Agriculture accounted for about 10 percent of U.S. greenhouse gas (GHG) emissions in 2013. Since agricultural production accounts for only about 1 percent of U.S. gross domestic product (GDP), it is a disproportionately GHG-intensive activity. In agriculture, crop and livestock activities are unique sources of nitrous oxide and methane emissions, notably from soil nutrient management, enteric fermentation (a normal digestive process in animals that produces methane), and manure management. GHG emissions from agriculture have increased by approximately 17 percent since 1990. During this time period, total U.S. GHG emissions increased approximately 6 percent. This chart is from the Land and Natural Resources section of ERS’s Ag and Food Statistics: Charting the Essentials data product.

Costs of restoring and preserving wetlands vary across the United States

Friday, April 10, 2015

USDA’s costs of restoring and preserving new wetlands across the contiguous United States range from about $170 to $6,100 per acre, with some of the lowest costs in western North Dakota and eastern Montana and the highest in major corn-producing areas and western Washington and Oregon. To analyze conservation program expenditures, ERS researchers generated county-level estimates of wetland costs for each of the major wetland regions as designated by USDA’s Natural Resources Conservation Service (outlined in black in the map), using primarily NRCS Wetland Reserve Program contract data. Variations in costs are driven by differences in land values and the complexity of restoring hydrology and wetland ecosystems. Information about how the costs of restoring and preserving wetlands vary spatially (together with the relative benefits) can inform wetland targeting policies within States/regions and across the U.S. This map is found in the ERS report, Targeting Investments to Cost Effectively Restore and Protect Wetland Ecosystems: Some Economic Insights, ERR-183, February 2015.

Per-cow milk production is lower in hot climates

Thursday, November 20, 2014

Above a temperature threshold, an animal may experience heat stress, which results in changes in its respiration, blood chemistry, hormones, metabolism, and feed intake. Depending on the species, high temperatures can reduce meat and milk production and lower animal reproduction rates. Dairy cattle are particularly sensitive to heat stress; experiments have shown that high temperatures lower milk output and reduce the percentages of fat, solids, lactose, and protein in milk. A 2010 USDA survey of dairy farmers shows how climate influences milk production in practice. For small, medium and large dairies, milk output per cow was lower in areas with high heat stress compared to areas with low or medium heat stress. In much of the United States, climate change is likely to result in higher average temperatures, hotter daily maximum temperatures, and more frequent heat waves. Such changes could increase heat stress and lower milk production, unless new technologies are developed and adopted that counteract the effects of a warner climate. This chart is based on data found in the ERS report, Climate Change, Heat Stress, and Dairy Production, ERR-175, September 2014.

The agricultural sector can adapt to uncertainty in future productivity growth

Tuesday, September 23, 2014

If future agricultural productivity growth is less than anticipated, how will farmers and consumers respond? Using the ERS Future Agricultural Resources Model, researchers simulated the world in 2050 assuming productivity growth similar to past trends, and then simulated the world with a lower rate of agricultural productivity (20 percent lower than anticipated) in 2050. These scenarios reflect considerable uncertainty about future growth in agricultural productivity in the face of global climate change, unpredictable public and private agricultural research and development investments, and myriad other factors that could affect productivity trends. ERS researchers find that reduced productivity growth could lead to a decline in average crop yields, more area planted in crops, and shifts in the location of production, with only a small decline in world average production and consumption of major field crops in 2050. International trade allows worldwide crop consumption to adjust to geographic variation in crop production. Actual yield does not fall as much as land productivity because other inputs increase as crop prices increase. The productivity shock is largely absorbed through intensification of agricultural production and an increase in harvested area. This chart is found in the ERS report, Global Drivers of Agricultural Demand and Supply, ERR-174, September 2014.

Agriculture's greenhouse gas emissions disproportionately high relative to share of economy

Monday, June 2, 2014

The agricultural sector accounted for about 10 percent of U.S. greenhouse gas (GHG) emissions in 2012. Given that agricultural production accounts for only about 1 percent of U.S. gross domestic product, it is a disproportionately GHG-intensive activity. In agriculture, crop and livestock activities are unique sources of nitrous oxide and methane emissions, notably from soil nutrient management, enteric fermentation (a digestive process in animals that produces methane), and manure management. GHG emissions from agriculture have increased by approximately 17 percent since 1990. During this time period, total U.S. GHG emissions increased approximately 5 percent. This chart is found in ERS’ Ag and Food Statistics: Charting the Essentials, updated May 2014.

Agriculture's role in climate change: greenhouse gas emissions and carbon sequestration

Tuesday, April 22, 2014

The greenhouse gas (GHG) profile of the agricultural and forestry sector differs substantially from the profile of other sectors. Agriculture is an emission-intensive sector; it accounted for less than 1 percent of U.S. production (in real gross value-added terms), but emitted 10.4 percent of U.S. GHGs in 2012. Energy-related CO2 emission sources—which dominate GHG emissions in most other production sectors—are dwarfed in agriculture by unique crop and livestock emissions of nitrous oxide and methane. Crop and pasture soil management are the activities that generate the most emissions, due largely to the use of nitrogen-based fertilizers and other nutrients. The next largest sources are enteric fermentation (digestion in ruminant livestock) and manure management. Agriculture and forestry are unique in providing opportunities for withdrawing carbon from the atmosphere through biological sequestration in soil and biomass carbon sinks. The carbon sinks, which are largely due to land use change from agricultural to forest land (afforestation) and forest management on continuing forest, offset 13.5 percent of total U.S. GHG emissions in 2012. ERS is currently involved in research on the economic incentives farm operators have, or could be provided with, to take steps to both mitigate GHG emissions and adapt to climate change. This chart is from the topic on Climate Change on the ERS website.