An economic feasibility study of grain corn production in South Central Manitoba : a micro analysis

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Idowu, Evans Victor Olusola
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In this study, South-Central Manitoba was described as the area comprised of the municipalities of Morris, Roland, Thompson and Dufferin, where both the soil and climatIc factors are favourable for grain corn production. The purpose of the study was to investigate how grain corn competes wIth other crops in the context of maximizing farm income. The conceptual and computational tool employed by the study was linear progranming. A case farm was selected for the study. The case farm was an established crop producing unit, with the necessary complement of row-crop machinery for corn production. By studying the set of available resources on the case farm in 1971, a detailed analysis of the optimum combination of enterprises was performed. The results obtained show That grain corn competed with other crops and significantly contributed to maximization of farm income at a price of $l.60 per bushel for corn. At prices below $1.60 but, above $1.10 per bushel for corn, grain corn was found to be profitable in the cropping program. But, at a price of $1.10 and below, per bushel for corn it was found that grain corn was no longer profitable and should notE be included in the croppIng program. Grain corn provided an alternative crop for non-quota production of both cash and feed crops. The extent to which grain corn could be included in any cropping program was limited by the available supply of labor during the critical planting period.