Creating Value Through Irrigation Black Sea Economic Forum 2013 Aaron Schapper VP & GM International Irrigation
Nov 30, 2014
Creating Value Through Irrigation
Black Sea Economic Forum 2013Aaron Schapper
VP & GM International Irrigation
Sustainability – Water Sources
Agriculture Uses 66% of Available Freshwater
Ice Caps
All Water
Industry and Domestic 33% of Available Freshwater
Available Freshwater 33%
Freshwater 3%
Water: The Limiting Resource
• 40% of the increase in global food production over the last 50 years came from irrigated farmland.
• The area of rainfed agriculture has been largely unchanged for the past 50 years. The area of irrigated farmland has increased over 100%.
• Increasing production intensity is critical to achieve food production levels needed to feed a growing global population.
• The ability to control the timing of water application makes precision irrigation an important component to more intensive agriculture.Source: UN FAO 2011
Irrigation vs. Rainfed
Dry land
Irrigated landFAO Irrigation and Drainage Paper #33, “Yield response to water.”
Irrigation Market Segments
DripGreen House
High Value Crops<30 Hectares
Irregular PlotsEfficiency: 75- 95%
MechanizedCereal Grains
Large Open Fields>30 Hectares
PotatoesEfficiency: 75 - 95%
Tree CropsVegetablesSugar Cane
USA – Irrigation Methods
6Valley IrrigationPresenter-Event-April 9, 2023
Pivot/Linear 35%
Flood 50%
Drip 4%
Side Roll 3%
Permanent 3%
Hand Move 3%Traveler 1%
1998 (20M Ha.)12% of Cropland
2012 (23M Ha.)15% of Cropland
Pivot/Linear 51%
Flood 33%
Drip 8%
Side Roll 3%Permanent 2%
Hand Move 2%Traveler 1%
Risk Mitigation
2011 Rain fed 2012 Rain fed 2011 Irrigated 2012 Irrigated0
20
40
60
80
100
120
140
160
180
200
132
59
180190
Corn Yield in Nebraska
Bu
shel
s p
er A
cre
Risk Mitigation
2011 Rain fed 2012 Rain fed 2011 Irrigated 2012 Irrigated0
10
20
30
40
50
60
70
47
25
61 60
Soybean Yield in Nebraska
Bu
shel
s p
er A
cre
2009 2010 2011 2012 2013 $-
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
$7,000
$8,000
Irrigated Land - Center PivotDryland with Irrigation Potential$
/ A
cre
Agricultural Land Values in Nebraska
CAGR = 24.7%
[$958]
[$2320]
University of Nebraska – Lincoln Extension, Institute of Agriculture and Natural Resources, March 20 2013
Ag Land Values Nebraska by Land Grade
2009 2012 2009 2012 2009 2012Low Grade Ave Grade High Grade
$-
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
$7,000
$8,000
$954
$1,668
$1,276
$2,151
$1,445
$2,786
Irrigated - Center Pivot
Dryland - Irriga-tion Potential
$/A
cre
“Nebraska Farm Real Estate Market Highlights”, 2011-2012 Bruce Johnson, University of Nebraska, Department of Agricultural Economics, June 2012, Report No.191
12
Source: Kansas State University, (2012)
Span 1—1.0 Ha
Span 3—4.8 Ha
Span 4—6.7 Ha
Span 5—8.6 Ha
Span 6—10.5 Ha
Span 7—12.4 Ha
Span 8—15.6 Ha
Span 9—17.9 Ha
Span 10—22.3 Ha
Overhang—9.2 Ha
Span 2—2.9 Ha
Irrigated Area per Span
13Source: Valmont
Cotton – North America
Oranges – South Africa
16
Soybeans – North America
17
Rice – North America
18
Potatoes – North America
19
Coffee – Brazil
20
Pasture Land – New Zealand
21
Sugar Cane - Mauritius
Multi-User Pivot – Kenya
23Valley IrrigationPresenter-Event-April 9, 2023
Thank you!