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Economy of ICLS
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Integrated Crop-Livestock Systems are ecologically/environmentally sound because all byproducts are being recycled by crops and livestock within the farm and hence there is no waste or polluted materials flowing outside the system and no or very less emissions of greenhouse gases from these systems. They are socially acceptable especially in the rural areas with small farms and farming systems. They are economically profitable due to internal recycling of crop and tree residues and manures for use by crops and livestock within the systems. Biomass from crop, livestock, and tree will increase and products will have multiple purpose production. The increased availability and use of farm yard manure has an economic value, but is also an environmental benefit through better nutrient cycling leading to improved soil fertility (but be aware, a crop-livestock system, even if it is very well integrated, is not a perpetuum mobile). The close links between farming systems and livelihoods result in positive social benefits for the farm household.
Research in the Brazilian Cerrado has found that well-managed, highly productive integrated crop-livestock systems emerge as a tremendous promise toward the sustainability of farming systems. The increasing of the productivity with lowering cost production promotes a profitable system. In addition, ICLS increase the availability and quality of products. Socially, the increase in revenues improve living conditions in the field, consequently increased labor supply by encouraging people to remain in the field. In Brazil there is an emptying of the countryside with people migrating to cities. In integrated crop-livestock systems, nutrient use efficiency is potentially improved because of enhanced soil fertility (chemical, physical and biological), increased soil organic matter and a more efficient nutrient recycling and more effective soil and water conservation and use. Consequently, the risks associated with nutrient losses are minimized whilst bioeconomic performance might be sustained or even increased. The potential to reduce the business risk and to boost crop and pasture productivity are clearly associated with economic benefits. The better soil and water management on these systems and their huge sparing-land effect potential are key-points under an environmental perspective. The system has the potential to increase year-round demand for labor in comparison to only-crop regions; compared to only-pastures sites, especially when degraded pastures are an issue, the overall amount of jobs can be significantly increased. And, given the likely effect of increased labor productivity, wages can be augmented. Additionally, in this scenario, is expected that with adequate public policies and private/public investments, multiplier effects in rural areas – in terms of better income and job creation, on-farm and in local commerce and industry –, would potentially be boosted. |
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