BI1836 Production Economics - 05 Precision Agriculture V4

A focus on producing pigs that yield the highest value as efficiently as possible is the core of precision agriculture.

In general terms, precision agriculture is the practice of using fewer resources by delivering them only to where they have the greatest impact. This efficient use of resources and emphasis on output ultimately leads to new, higher levels of average profitability. In the case of crop production, precision agriculture is made possible largely due to available technologies. In the case of swine production, precision agriculture is primarily a data driven process to identify individual pig performance and then to describe how the inputs lead to that outcome so the production process can be adjusted to improve output.

Adoption of Precision Practices

Simple

Mass Marketing

Means Based Analysis

Cost Focus

Batch Marketing

Profit Focus

Individual Pig Data

Variation Based Analysis

Optimized Marketing

Targeted Interventions

Production Chain Optimization

Artificial Intelligence

Precision

Figure 1

Farm stakeholders that decide to adopt precision agriculture practices and methods must first realize that it is not a single event that once achieved brings it to a conclusion. Rather, it is a long-term process of adopting new methods and practices. Figure 1 illustrates how a farm might proceed from simple production practices to precision ones over time. The first step in this process is a focus on profit as being the most important variable in determining farm performance. While certain sub-systems on a farm might be focused on other variables such as cost or a production metric, these sub‑systems must be guided by higher levels of production that are profit oriented. This will ensure that the farm is not being trapped at lower average profits because efforts are put into improving a sub-optimal variable.

BI1836 Production Economics - 05 Precision Agriculture V4.indd 2

28/06/2024 9:37:04 AM

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