The measure is effective when the payment amount is at least 4 cents per litre. That way, M. Fourhooves produces a lot less milk (320000 L) and his income is slightly higher. He changes feeding type and opts for a “grass-based” diet for his dairy cows, which reduces productivity per cow.
Wheat production increases for he reduces the number of his cows : his maize needs go down and he can therefore decrease production of maize.
Under optimum conditions :
Price of milk | 0.27 | 0.27 | 0.27 | 0.27 |
Premium | 0 | 0.02 | 0.03 | 0.04 |
Dairy cow / « intensive » diet | 53.846 | 53.846 | 53.846 | 5.242 |
Heifer / « intensive » diet | 16.154 | 16.154 | 16.154 | 1.573 |
Calf (sold) / « intensive » diet | 32.308 | 32.308 | 32.308 | 3.145 |
Dairy cow / « grass-based » diet | 2.564 | 2.564 | 2.564 | 40.367 |
Heifer / « grass-based » | 0.769 | 0.769 | 0.769 | 12.110 |
Calf (sold) / « grass-based » diet | 1.538 | 1.538 | 1.538 | 24.220 |
Milk production | 402410 L | 402410 L | 402410 L | 320000 L |
Wheat | 19.977 ha | 19.977 ha | 19.977 ha | 25.377 ha |
Maize | 10.023 ha | 10.023 ha | 10.023 ha | 4.623 ha |
Prairies permanentes | 20 ha | 20 ha | 20 ha | 20 ha |
Income of the farmer | 36923.683 | 36923.683 | 36923.683 | 37037.889 |
The solution model is as follows : modelEco_fairyFarm_3.gms