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United States And Canadian Agricultural Herbicide Costs: Impacts On North Dakota Farmers

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  • Taylor, Richard D.
  • Koo, Won W.

Abstract

Pesticides have become a major farm production cost over the past 25 years. There are price and label differences for agricultural herbicides between the United States and Canada. Trade names are different in some cases, label restrictions vary, and weights and measures are different. The reasons for the price differences are unclear. Whether they are due to increased costs in labeling requirements, different levels of competition and use, or market segmentation is not determined. The largest total impact of using lower priced Canadian herbicide is on HRSW, followed by durum and corn. The largest per acre impact is for canola, corn, and HRSW. Herbicides with the largest total impact are Puma, followed by Roundup and Fargo. Net farm income for large, medium, and small size representative farms would increase 3.8%, 4.6%, and 5.2%, respectively, if Canadian priced herbicides could be used in the United States. The statewide impact is $1.46 per acre, but regional or individual impacts could be much greater depending on crops grown or the specific weed problem faced by the individual producer.

Suggested Citation

  • Taylor, Richard D. & Koo, Won W., 2001. "United States And Canadian Agricultural Herbicide Costs: Impacts On North Dakota Farmers," Agribusiness & Applied Economics Report 23634, North Dakota State University, Department of Agribusiness and Applied Economics.
    • Handle: RePEc:ags:nddaae:23634
    DOI: 10.22004/ag.econ.23634
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    Cited by:

    1. Joe Dewbre & Cameron Short, 2002. "Alternative Policy Instruments for Agriculture Support: Consequences for Trade, Farm Income and Competitiveness," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 50(4), pages 443-464, December.
    2. Short, Cameron & Freshwater, David, 2004. "Access To Pesticides As A Source Of Trade Dispute," Proceedings of the 8th Agricultural and Food Policy Systems Information Workshop, 2002: Keeping the Borders Open 16933, Farm Foundation, Agricultural and Food Policy Systems Information Workshops.
    3. Freshwater, David, 2003. "Free Trade, Pesticide Regulation and NAFTA Harmonization," Estey Centre Journal of International Law and Trade Policy, Estey Centre for Law and Economics in International Trade, vol. 4(1), pages 1-26.
    4. David Freshwater & Cameron Short, 2005. "Pesticide Regulation and Pesticide Prices," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 53(2‐3), pages 193-219, June.

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    Keywords

    Crop Production/Industries;

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