the adoption of precision agriculture technologies …

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THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES BY FLORIDA GROWERS Presentation at the 30th International Horticultural Congress Istanbul, Turkey August 16, 2018 Tara Wade Shirin Ghatrehsamani & Yiannis Ampatzidis

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Page 1: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES BY FLORIDA GROWERS

Presentation at the 30th International Horticultural CongressIstanbul, TurkeyAugust 16, 2018

Tara WadeShirin Ghatrehsamani & Yiannis Ampatzidis

Page 2: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

Motivation• Florida has fragile and diverse ecosystem

• Agriculture can play a larger role in sustaining and improving natural resources

• Technology adoption that is directly tied to positive ecological outcomes can help reduce agriculture’s effect on the environment

This survey serves as a needs assessment and are the most recent steps to understanding barriers to PA adoption

Increasing PA acreage requires an understanding of the socioeconomic factors affecting adoption

This can influence: Cost share program design Extension/education programming

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Recent LiteratureFarm size has a positive effect in PA adoption• E.g., Kutter et al., 2011; Walton et al., 2010; Isgin et al., 2008

Income or capital expenditure is positively correlated with PA adoption• Watcharaanantapong et al., 2014; Asare and Segarra, 2018

Education has a positive effect on PA adoption• E.g., Jenkins et al., 2011; ; Banerjee et al., 2008; Isgin et al., 2008;

Alvarez and Nuthall, 2006

Age has a negative effect on PA adoption• E.g., Castle, Lubben and Luck, 2016; Jenkins et al., 2011; Paxton et al.,

2011; Isgin et al., 2008

Computer literacy has a positive effect on adoption• E.g., Castle, Lubben and Luck, 2016; Watcharaanantapong et al., 2014;

Paxton et al., 2011; Walton et al., 2010

Page 4: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

Florida PA Technology Adoption Survey• Statewide electronic and in-

person survey

• Provides a comprehensive overview of PA adoption

• Provides insights into growers’ attitudes towards PA

• Examines barriers to adoption

• Preliminary results are from

Surveys: 72 Crops: 18 Response rate: 15%

Page 5: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

6.349

17.46

22.22

11.11

22.22

12.7

7.937

05

1015

2025

Perc

ent

20 40 60 80Respondent Age

Operator Age DistributionPreliminary Data

54%29%

17%

Crop Categories

Citrus Vegetable & Cucurbits Other

Number of Crops

Number of Growers

Percent of Growers

1 45 63%

2 16 22%

6 6 8%

4 4 6%

8 1 1%

Page 6: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

Preliminary Data: PA AdoptionThe majority of vegetable and cucurbit growers plan

to use PA

0

10

20

30

40

50

60

70

80

Citrus (N=51) Vegetable (N=14) All (N=70)

Perc

ent t

hat u

se P

A

No Plan Use

Page 7: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

Preliminary Data: Cost-Share ProgramsAbout half of those who plan to use PA are enrolled in cost share

programs

0

10

20

30

40

50

60

70

80

90

100

No(N=20)

Plan(N=23)

Use(N=13)

Total(N=56)

Perc

ent e

nrol

led

in c

ost s

hare

No Yes

Cost Share (ρ = 0.4714)Total Acres No Yes N

< 50 100 0 18

50-100 100 0 5

100-200 100 0 1

200-500 100 0 3

500-1000 40 60 5

1000-2000 80 20 5

> 2000 58 58 12

Total 82 18 49

Page 8: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

Preliminary Data: EducationThe majority of Florida's farm operators are

educated

0

10

20

30

40

50

60

No (N=23) Plan (N=31) Use (N=16) Total (N=70)

Educ

atio

n (%

)

High Sch. College Graduate

Page 9: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

Preliminary Data: Age

Farm operators who use or plan to use PA are on average 9 years younger than operators who do

not use PA

56

46

48

No (N=19)Plan (N=28)Yes (N=14)

Page 10: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

Preliminary Data: Adoption Timing

The majority of PA users wait before adopting

0 10 20 30 40 50 60 70 80

No (N=17)

Plan (N=26)

Use (N=12)

Total (N=55)

Adoption Timing (%)

Always First First Wait Last Never

Page 11: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

Preliminary Data: Information Sources

0 20 40 60 80

Citrus (N=33)

Vegetable(N=12)

Total (N=47)

PA Information (%)

None

Other

Crop Consultants

Custom ServiceProvidersAgriculture Retailers

Extension Agents

Producers who use or plan to use PA primarily get information from agriculture retailers

Page 12: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

Economic Model: Random Utility ModelWe express utility as the unobserved difference between the utility for PA and

other practices, i.e.,

𝑦𝑦𝑖𝑖∗ = 𝑈𝑈𝑖𝑖𝑃𝑃𝑃𝑃 − 𝑈𝑈𝑖𝑖1−𝑃𝑃𝑃𝑃

• 𝑦𝑦𝑖𝑖∗ is the unobserved net utility of choosing PA over other practices • PA indicates precision agriculture is in use • i = 1,…, n indexes individual farmers

We write as 𝑦𝑦𝑖𝑖∗ = 𝛃𝛃′𝑿𝑿𝑖𝑖 + 𝜀𝜀𝑖𝑖

• β'Xi, represents the portion of net utility observed by researchers• εi is the random variable representing the producers’ unobserved

preference for PA.

However, we observe only the PA decision:𝑦𝑦𝑖𝑖 = 1 when 𝑦𝑦𝑖𝑖∗ > 0;𝑦𝑦𝑖𝑖 = 0 otherwise.

Page 13: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

Econometric Model: Ordered Logit Model

Respondent’s probability of not using PA(No), planning to use PA(Plan), or using PA(Use) will be estimated using the ordered logit

regression.

• Latent variable regression: 𝑦𝑦∗ = 𝛽𝛽′𝑋𝑋 + 𝜀𝜀

y = 1 if y* < τ1y = 2 if τ1 ≤ y* < τ2 y = 3 if y* ≥ τ2

Where β is a vector of parameters, ε is a random error term, and τ1 and τ2are cut-points.

The ordered logit model estimates the probability of choosing each stage of adoption.

NOTE:NO = 1

PLAN = 2USE = 3 τ1 τ2 y*

f(y*)

Pr(No)

Pr(Plan)

Pr(Use)

Page 14: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

Potential Model Specification

Factors that distinguish those who use, plan to use, and do not use PA can be incorporated into adoption program design and educational

programs.

Variable Variable Type Expected effecton Pr (PA)

Age Continuous -Education Discrete +Farm Size Discrete +

Cost-Share Program Binary +

Location-WMD Binary +Computer

literacy Binary +

Perceived yield benefit Binary +

Page 15: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

Discussion• Increasing PA use requires a better understanding of the economic

drivers of adoption.

• We are missing a clear connection between PA adoption and environmental (or public) benefits.

• Policy questions to consider:

Are current state programs encouraging the use of environmentally benign technologies?

What level of payments are needed to increase PA use?

Is the public willing to pay for agriculture incentive programs for technology adoption?

Could incentive programs have small farms, beginning farmers, and socially disadvantage farmers welfare effects?

Page 16: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

Conclusion There is interest in precision agriculture (PA) among FL

producers: more than 50% use or plan to use PA. With more data we can report specific technologies

producers are interested in.

Social factors, such as education and age, are important determinants in the decision to adopt PA.

It is unclear if cost-share is an important driver for PA adoption.

Cost-share program design may lend itself nicely to larger growers.

Extension information plays an important role in delivering PA information to growers.

Page 17: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

Questions

Feel free to contact us.

Tara [email protected]

Yiannis [email protected]

Source: www4.swfwmd.state.fl.us/alafia/birds.php

Page 18: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

Citrus Vegetable and Cucurbits Other

N = 54 N = 29 N = 17

Oranges Beans Blueberries

Grapefruit Cucumber Chestnuts

Satsuma Green beans Lychee Fruit

Onions Macadamia nuts

Pepper Mics

Sweet corn Olives

Tomato Pecans

Vegetable Pomegranate

Watermelon Sod

Stone Fruit

Timber

Tropical Fruit

Turf

Page 19: THE ADOPTION OF PRECISION AGRICULTURE TECHNOLOGIES …

PA Survey Technology ListYield Mapping (e.g., GOAT yield monitoring system)GPS Receiver (e.g., boundary mapping)Pest Scouting and Mapping (e.g., “EntoNet”)Weed Scouting and MappingSoil Variability Mapping (e.g., Veris mapping)Soil properties mapping (for N, P, K or soil organic matter, using e.g., precision soil sampling)

Sensor based variable applicator (e.g., “Tree-See”) Prescription Map based variable applicator (e.g., variable rate fertilization)Remote Sensing (e.g., UAV-drones, aerial of satellite imagery)Machinery Auto-Guidance Self-Steering Water Table Monitoring (e.g., moisture sensor used to automate irrigation scheduling) Harvesting Logistic (e.g., mapping brix, acid and sugar levels to determine peak harvest time)Plant tissue samplingEquipment for side dressing input applicationsEquipment for variable rate irrigation