BULLETIN 931 MAY 1959 51/7 . 5 5A ' Econon1ics of Water Management for ' Cotton and Grain Sorghum Production, ' High Plains in cooperation with the UNITED STATES DEPARTMENT OF AGRICULTURE TEXAS AGRICULTURAL EXPERIMENT STATION R. D. LEWIS, DIRECTOR. COLLEGE sTATlOiN, TEXAS SUMMARY Improved water management affords an al- ternative to the measures commonly used to off- set the effects of a declining water supply. In many situations, Where the continued decline in water levels has offset the increase in water sup- ply from new wells, lowered pumps and installa- tion of underground delivery systems, a changed water management program may be the only means of avoiding a return to dryland farming. Because of competition for water during the first 2 weeks of August‘, the independently de- veloped cotton and grain sorghum irrigation practices that maximize yields cannot be advan- tageously combined on the same farm. There- fore, the management program must be modified to minimize the effects of competing demands for r water. Four alternative water management systems may be followed if the operator prepares for them in advance. These alternatives, designated in this report as water management systems 1, 2, 3 and 4, differ only after August 1. With system 1, which uses the smallest amount of Wa- t'er, only cotton is irrigated after August 1. With system 2, which uses a little more water than system 1, a full-season hybrid sorghum is the only crop irrigated after August 1. System 3 combines the cotton irrigation program of sys- tem 1 with irrigation of sorghum hybrids plant'- ed about July 1. In system 4, the first water ap- plication on the full-season sorghum hybrids is made as in system 2, after which the water is shifted to the late-planted sorghum hybrids. Since systems 3 and 4 are heavy water users, they should not be used regularly. The cotton-grain sorghum planting ratio of 1 acre of cotton to 1.75 acres of grain sorghum (seven-eighths acre of full-season sorghum hy- " brids and seven-eighths acre of short-season sor- ghum hybrids) permits the use of the most ad- vantageous water management system on Au- gust 1. The cotton-grain sorghum planting ratio of 1:1.75 acres is about the same as the ratio of cotton to sorghum under the 1957 cotton acre- age allotment programs. For appraisal purposes, the cotton-sorghum planting ratio of 1:1.75 is converted to a man- agement unit of 2.75 acres. Grain sorghum pre- planting irrigation occurs at‘ a time when the water is not needed on cotton; grain sorghum re- ceives a postplanting irrigation only when it is more profitable to use the water on sorghum than on cotton. The management unit‘ approach permits a determination of the most economic water use, irrespective of the head of water ACKNOWLEDGMENTS This study includes the work of a number of agencies and individuals concerned with various phases of the hydrologic and agricultural prob- lems of the High Plains. The principal sources of information are listed under “Literature Ci- available. Thus, the water management sys ' that‘ is more profitable with a head of 135 y lons per minute also is most profitable with head of 540 gallons per minute, in that its i will return more or lose less than other alte I tives. * Based on the 1946-56.._a‘,verage prices ceived for cotton lint, cottonseed and grain c, ghum, water management system 2 is m profitable. At the yield levels used, system’ returned more or lost less than system 1 in 9 the 11 years, 1946-56. — With management‘ system 2 and 1946- average cotton and sorghum grain prices, t tenant’s annual residual return—the amo available to defray his portion of water cost" on a typical 320-acre fully irrigated farm wo be $22.15 per acre. This constitutes his over point for water costs; that is, his expe tures for water cannot exceed this annual amo, over a period of time without dissipating his I erating capital or reducing his income bel what he might obtain from comparable dryl p farming. Irrigated farming is more profita than dry farming, his principal alternative, the extent that his annual per acre water n»: are below the breakover point. ~ The annual residual return, under the sag conditions, to the landlord of this typical fa would be $14.40 per acre. This constitutes t landlord’s maximum feasible expenditure for W ter—-his breakover point. It is the amount ava able to defray the cost of providing and mail taining a well and pump, to pay interest on t cost of irrigation facilities, exclusive of the pu power unit and to provide a return on that p of his investment that exceeds the value of l. undeveloped land plus irrigation developme costs per acre. Like the tenant, the landown cannot exceed his breakover point for water a penditures without‘ reducing his net income i: low that from comparable dryland farming. The owner-operator’s breakover point I‘ water expenditures is slightly higher than thy total of the tenant and landlord at all price le els. He combines the receipts and, with one x‘ ception, the expense of both tenant and lan owner in one operation. The landlord has so t farm supervisory expenses that are not requir, or that. are taken care of in normal operatio by the owner-operator. With system 2, and wit cotton and sorghum grain prices at the 1946-5 average, the breakover price for water for a_ owner-operator of the typical 320-acre farm ' about $38 per acre. a ted.” Particular credit is due E. L. Langsfo and Max Tharp, Farm Economics Research vision, Agricultural Research Service, U. S. if partment of Agriculture, for their assistance. . ‘NTINUED CHANGE HAS BEEN characteristic of griculture in the High Plains. Some changes j been made gradually; others, such as f. anization and irrigation, developed rapidly they were underway. Irrigated agriculture arts of the High Plains now is faced with yer adjustment. The extent of this adjust- twill be governed largely by local water sup- conditions. In some parts of the area, rela- Y few adjustments may be required. In ’ s, where the water supply has deteriorated, wdjustment may require a return to dryland 111g. Irrigation began in the area about 1911 but fof little consequence until after the mid- ’-s. Technological improvements and higher for farm products during the years just 1e, during and immediately after World War imulated a substantial expansion of irri- 1 farming. By 1948, about 1.4 million acres ' being irrigated from 10,000 wells (1). Irri- _n development since 1948 has continued at '_ celerated rates of the late forties. The 1955 I s of Agriculture reports that in 1954 there _ slightly more than 2.5 million acres of irri- "é land in the 12 counties where most of the ted lands are located. This was an in- 1- of slightly more than 1 million acres over f= 949 acreage reported by the Census. The f recent, though unofficial, estimate is that 57 in the same 12 counties about 3.5 mil- gacres were irrigated from approximately fl wells (2). jThe expansion in irrigated acreage since has been accompanied by a sharp increase e rate of water use per acre. Water use ifrom an average of 11 acre-inches per acre 47-49 to 17 acre-inches during the drouth . of 1950-56 (3)9 This accelerated demand round water supplies, combined with less- frecharge during the drouth, has caused a de- i‘, in Water levels and a reduction in well ctively, agricultural economist, Farm Economics Division, Agricultural Research Service, U. S. i": ment of Agriculture; professor, Department of 'cultural Economics and Sociology, Texas Agricul- _ Expeiment Station; formerly superintendent and ierly assistant‘ irrigation engineer, Substation No. bbock, Texas. .0- on information compiled from various sources by . Broadhurst, chief hydrologist, High Plains Under- nd Water Conservation District No. 1, Lubbock. also “Use of Irrigation Water on the High Plains” Economics of Water Management for Cotton and l Grain Sorghum Production, H 1gb Plains WM. F. HUGHES, A. C. MAGEE, DON JONES and EARNEST L. THAXTON, J R.* A systematic water-level measuring program was started in 1937 by the State Board of Water Engineers and the U. S. Geological Survey. The changes in water levels recorded as a result of this measuring program are shown in Figure 1. Since 1937 there has been an average decline of approximately 42 feet in regional static water levels. The decline has not been distributed evenly over the area. It ranges from about 10 feet on the outer edges to over 80 feet in small areas near the east-central part of the ground water basin. Throughout most of the more heavily developed portions, the total decline ranges from 30 to 5_0 feet (4). CONTENTS Summary ...................................................................... .. 2 Acknowledgments ...................................................... .. 2 Introduction .................................................................. .. 3 Purpose ........................................................................ .. 4 Most Economic Water Use ...................................... .. 4 Basis for Crop-water-management Programs 5 Crop Growth Characteristics .......................... .. 5 Water Requirements .......................................... .. 5 Irrigation Programs .......................................... ._ 6 Planting Dates .................................................... .. 7 Crop Yields .......................................................... .. 7 Basic Crop-water-managemerrt Program .......... .. 7 Alternative Water-management Systems ...... _. 8 Evaluation of Alternative Management Systems .................................................................. .. 9 Maximum Feasible Expenditures for Water ...... ..13 Tenant’s Breakover Point for Water Expenditures .......................................................... __l4 ' Gross Receipts .................................................... __14 Specified Operating Expenses ........................ ._14 Harvest and Associated Costs ........................ _.14 Miscellaneous Expenditures .............................. __14 Alternative Management Income ____________________ "14 Residual Returns to Water .............................. __14 Landowner’s Breakover Point for Water Expenditures .......................................................... __16 Owner-operator’s Breakover Point for Water Expenditures .......................................... __ 16 Other Situations ........................................................ ___16 Literature Cited .......................................................... __16 Appendix Tables ........................................................ _.16 + IO l- O 1.1.1 E ANNUAL FLUCTUAT/O/V \ z 193s + .05‘ "-|0- 1939 - .92‘ 1.11 1940 - 2.24‘ \ g 1941 + 3.61‘ 4 1942 + .3?‘ I 1943 -1.74‘ . 0-20- 1944 - .83‘ a 1945 - 1.86‘ E, 1946 - 1.62‘ \ 2 1941 - 2.60 \ 194a - 2.81‘ 5’ — 30" 1949 - .90‘ 2 1950 - 1.30‘ D w51 -2J0 0 1952 - 3.90‘ 2 w53 -490‘ —40" 1954 - 5.60‘ 1955 - 4.50‘ 1956 - 5.60‘ 195? - 2.33‘ - 5O I 1937 1941 1945 1949 1953 1957 YEARS Figure l. Accumulated and annual decline in regional static water levels, High Plains, 1937-57. (Data from U. S. Geological Survey and Board oi Water Engineers.) Before 1949, the decline in static water level was moderate and its effects, except in iso- lated areas, were economically insignificant. Since 1949, the decline has exhibited a progres- sive trend, and combined with a decrease in well yields, it is becoming economically significant. The principal physical effect of a lessened Water supply is reflected by a reduction in the amount of water that can be made available within the period of time that it can be used to best ad- vantage. Changes in the water level during the past 8 years suggests a possible physical exhaustion of the water supplies, particularly in those areas where the water bearing‘ formations are thin. The cost of meeting part of this decline, reported in TAES Bulletin 828, indicates that economic exhaustion is likely to precede physical exhaus- tion (5). Between 1950-54 the rate of water use in- creased 54 percent; static water levels declined 18 feet between 1950-54 and 12.4 feet between 1955-57. Heretofore, these declines have been offset by drilling new wells, lowering pumps, increasing the hours of pump operation, in- stalling closed delivery systems, land leveling and more intensive land preparation and farm- ing practices. These measures have been effec- tive, but expensive. The cost of such measures installed during 1950-54 averaged above $6,600 per farm; total water cost rose from an average of about $7 per acre during 1947-49 to about $15 in 1954 (6, 7). As water levels decline, the effectiveness of some of the measures previously used to offset 4 MOST ECONOMIC WATER us this condition likely will be short lived. If their effectiveness is lost, the operator has 1 alternatives of adding more expensive and r sibly short-lived measures, provided he has already exhausted this possibility, of redu irrigated acreage, or of applying less water Y acre. : Management programs involving combl tions of crops, varieties, planting dates and i gation schedules, and rates of water use aff an alternative to the measures heretofore re upon to meet reductions in water suppl Where these measures have been installed r their effectiveness has been lost or diminis‘ some modification of existing water manav ment programs may be the only alternative =_ return to dryland farming. ‘ PURPOSE This study evaluates some of the more pr ising alternative irrigation management p, grams and is reported in two parts. The f" part concerns the most economic use of water j der various crop-water management progra The second part deals with the determination the maximum expenditure for irrigation wa that is economically feasible. It is based on< evaluation of the results that might be expec i on an established irrigated farm assuming ( adaptations of the individually developed co i, and grain sorghum irrigation programs t have maximized cotton and grain sorghum yie in experimental work and general practice, ( the crop production practices and requiremep in common use during 1955, (3) the use of .- brid grain sorghum and (4) the crop yields 1- tained in station and off-station experimen work, adjusted to a level that might be expec i under general farm conditions. .. The possible effects of using fertilizers improved cultural practices are not included. _ future research results show that these measur are practicable, their contributions can be 1 praised separately. The study emphasizes t‘ short-run considerations of the farmer interest in improving his situation. The possible adve c, effects on regional water supplies are consider but not specifically evaluated. i Where water, rather than land, is the chi limiting factor, as in the High Plains, the p 1 mary management objective is the developme of a cropping and water-use program that provide maximum returns per unit of water ‘f rather than maximum yields per acre. The ma agement problem is complicated by changi cost-price relationships, acreage allotment p =Y grams and the lack of suitable alternative . crops. _ " Acreage allotments and the lack of suitab alternative cash crops may impair the operator’, ortunity to get the highest returns from wa- but they simplify his management problem _l. reducing the number of alternatives. Thus, w. problem of maximizing returns from water ‘Ives a determination of the most remunera- use of water applied in specified amounts at ific times on cotton or grain sorghum. The e of cotton and grain sorghum and the yield nse of each crop to a specific amount of i r applied at a particular time provide the is for selecting the most economic water-use gram. . = The quantity of water that can be made ‘ilable during a given period of time is gov- O by the yield of the well or wells providing '. farm water supply. Well yields differ among p. s and between wells; however, except for r effect on water costs, these differences do 1 affect the determination of the most eco- ic water use. {A The most economic water use program does necessarily mean a profitable irrigation en- rise. With irrigation already established, most economic use is the one that provides flargest return. It will contribute to the suc- of an irrigated enterprise, but water and iated costs may be such that the whole en- rise is unprofitable. ais for Crop-water-management Programs QVariations in weather before and after plant- as well as from year to year, preclude strict rence to any rigid timetable of planting irrigation schedules or rates of water ap- tion. Under High Plains conditions, any ‘ or water-management program must be ble; it must be designed to permit adjust- ' as dictated by weather or the price put- lAll crops have definite stages of develop- in which a shortage of water has a de- Iing effect on growth and subsequent yields. These stages of development also are the periods of peak water requirement. Although weather may vary the time by a few days, the period of peak water requirement can be expected to be- gin on cotton and grain sorghum about 60 and 45 days, respectively, after planting (Figure 2). The moisture provided by irrigation per- mits a wide choice in crop varieties and planting dates. Selection of varieties and adjustments in planting dates to minimize or to prevent the si- multaneous occurrence of peak water use periods by crops provides one method of coping with a limited water supply. All management programs involve some sac- rifice of the yield levels that might be realized with a water supply sufficient to meet simul- taneous peak water requirements. A knowledge of the probable effects of water shortages and of the yield response of individual crops irri- gated at particular stages of plant growth is basic in determining the most advantageous use of water. In addition, certain limitations im- posed by plant growth characteristics must be taken into account. A management system should be designed around : Crop growth characteristics. Cotton is in- determinate in its fruiting habits—it will con- tinue to grow and fruit until killed by frost. Be- cause of this, it can use water effectively over an extended period of time. Grain sorghum is terminal in its fruiting habits—it fruits only once. Because of this, it is extremely critical in its water requirements. Water requirements. The rate of water use by cotton and grain sorghum is shown in Figure 2. The daily rate of use by cotton increases just before the first bloom stage, which is approxi- mately 60 days after planting and continues at an accelerated rate until the bolls begin to ma- ture. The daily rate of water use by grain sor- ghum increases at a faster rate than cotton, A. DAILY RATE OFWATER USE AT VARIOUS STAGES OF PLANT GROWTH r l Firs! open bo/l i i; -AVERAGE DATE OF FIRST KlLLlNG FROST A. JAM FEB. Dolly consumptive valor use by g ‘A am” _ \l7ololfalod —— —- “Full sooson” sorghum hybrids if“ 55 \ ‘f, - -—- - i - —— “Short uoaon" sorghum hybrids \{/\.gf>m'ng , _ i \~\ f2 \ '\ l’ . ‘l —II —— in i i i — i- - - - - - - - - - - - - - - - - - - - - - - -~COTTON I l -- i i — » - - - - - - - - - - - - - - - Jruu SEASON“ SORGHUM HYBRIDS l - i --~ l» - -- - »}~ - - - - - 1L- - - - - - - - - - - "snow SEASON” soncnum nvapuus _ PREPLANVTING IRRIGATION POSTPLANTlNG IRRIGATION l < l i r B. BA$|C IRRIIGATION §CHEDULE ll | Hanfiw d," . MARCH APRIL MAY JUNE JULY AUG. sEPr oar NOV. 05c. A re 2. Basic irrigation schedules related to water requirements of cotton and grain sorghum at various stages of plant growth. 5 Wprovides about half the total water required to ing to cotton land produces a greater net I TABLE 1. AVERAGE YIELDS PER ACRE OF COTTON AND prgduge an irrigated Qgttgn Qr grain Sorg A GRAIN SORGHUM REI‘I%§§5€A¥I%N1YUMBER AND TIME OF crop; These studies also show that an irriga’ program which provides an average 1A; acre-i‘ Grain soigiium of available water per day during July and r gust for cotton, and during July, August :, M59555” P5555555 Cotton September _for grain sorghum meets the no 1"" hybrid hybiid water requirements of these crops (9, 10). _ _ _ _ Pounds _ _ _ _ Irrigation programs. Details of the irr' Diyiami (no irrigation) 190 900 720 tion program that maximizes cotton yields a Preplanting irrigation only 400 2,700 2,250 glVGIl III TAES 131111813111 838 Similar Inf Prgplflrlliirllq irrigation P1115 440 mation for grain sorghum is given in T 0:: I31; 23:19:22“ - Bulletin 846 (10). _ Essentially, the progrg Augusi ifrigation 49g consist of a preplanting irrigation for both c Qne August irrigation 3,300 2.750 followed by two postplanting irrigations ti v Tw° August "ngallms 3-799 3'15" to prevent water stress at critical stages of p i ‘Yields obtained at the Lubbock station and in outlying tield growth (Flgure 2)_ 5 i“ tests, adjusted to a levelthat might reasonably be expected The preplanting irrigation, preferably 5nd“ 9555"“ “m” °°“d“‘°“S' one application, provides enough Water to b moisture levels in the soil profile up to field ' reaching a peak of 0.33 inches a day about 45 pacity throughout the root zone. Six-foot u‘ days after planting? The estimates of daily use files of Amarillo fine sandy loam or Pull r, shown in Figure 2 reflect the average rate of clay loam, the predominant soil types, will hi water use between measurements. approximately 9 and 12 inches of available VI ter, respectively (9). The actual amount of ter that must be applied to bring these soils , to field capacity will depend on the amount water already stored in the soil. - . Because of its fruiting habits, cotton can withstand a short period of water stress without a heavy reduction in yield. Water stress at any stage of development reduces grain sorghum yields, particularly at the early bloom and soft The time of preplanting irrigation is _ dough stages. Water stress at these stages has necessarily critical. When cotton follows co n. reduced yields on the average by 48 and 25 per- in the crop rotation, 3 or 4 months are availa cent, respectively (8). for preplanting irrigation. When cotton folly.» The total water requirements of cotton and Zggiliglilliclfngbggéiiiggioiai? ivrgfteiffallable for grain sorghum vary from year to year depend- - ing on planting date, seasonal temperatures, rel- Irrigation water applied before planting p" ative humidity and wind movement. More vsia- vides a larger increase in yield per unit of ' ter is required in a hot season than in a re a- ter applied than Water applied after plant" tively cool one. Results of studies reported in (Table 1). Also, at 1946-56 average cotton a TAES Bulletins 838 and 846 show that rainfall grain sorghum prices, water applied before pla _ turn than water similarly applied on grain 2Data compiled by Morris Bloodworth, E. L. Thaxton, Jr. ghum (Table 2) - Because of the difference and others. (Unpublished data.) planting dates for cotton and sorghum, preplai TABLE 2. ESTIMATED ADDED RETURNS FROM DIFFERENT WATER APPLICATIONS Quantity- Return per acre-inch‘ i Number and type of watefi Per irrigation5 Average per acre-inch applied‘ I 0i iffigatbns Per int Accumu Full-season Short-season Full-season Short-set ation lafiv ' Cotton grain grain Cotton grain grain “ g e sorghum sorghum sorghum sorghu — — Acre-inch — —5- — — — — — — — — — —— —- Dollars — — — — — — — — — -—:-* Preplant irrigation 12 12 3.165 2.715 1.905 3.165 2.715 1.__i Plus 1 postplanting i irrigation 6 l8 1.79 2.07 1.72 2.70 2.50 1.84 j" Plus 2 postplanting § irrigations 6 24 2.25 1.04 1.35 2.59 2.28 1.72 ‘Added net return. before water, land and management expenses, at the 1946-56 average price received for cotton. cottons and grain sorghum. Irrigated over dryland production. zGross water requirements with 66.6 percent irrigation efficiency, net water requirements two-thirds that shown. “Added net return per acre-inch from individual irrigations. pl ‘Added net return per acre-inch from accumulated water application. That is, the first entry, all three columns, reflects the. erage added net return from 12 acre-inches of water, the second entry, the average return from the use of l8 acre-inchel; water, and the third the average return from 24 acre-inches of water. l “Net gain over average return from dryland farming. 6 g irrigation of both crops is possible ( Figure . Thus, preplanting irrigation is a basic prac- e in all water-management programs. _ The irrigation program that maximizes cot- _n and grain sorghum yields includes two irri- tions after planting. These applications are ' y ed to restore soil moisture levels and prevent ter stress at critical stages of plant develop- ent (Figure 2). As with preplanting irriga- .1 the amount of water required to restore il moisture levels depends on temperature and y the amount of precipitation received. For f»: results even in the driest season, the post- nting applications of water on cotton should ‘B exceed 4 acre-inches of available water per 're applied in a 14 to 18-day schedule. The st postplanting application should begin at e first bloom stage of plant development, ap- ximately 60 days after planting, and the sec- d should be applied immediately following the nclusion of the first postplanting application ). Postplanting irrigation on grain sorghum volves the same rate of water application as on, but because of the more critical nature Lsorghum water requirements, it should be ap- ed in a shorter schedule beginning about 45 ‘ys after planting (10). A 4-inch (net) water application will re- re soil moisture levels and meet the peak daily ter requirements of cotton and grain sorghum A about 9.5 and 12 days, respectively. It will et the normal daily water requirement on both ps for 16 days. Larger water applications ,ld lead to crop damage. Smaller amounts _ uld not provide an adequate water supply un- ;.the application was based on a shorter sched- ' g Also, water losses from drying soil take a portionately greater share of a small water plication. , Because of the relatively short cotton-grow- f: season, irrigation should be terminated about d-August. Withholding irrigation after this ' e may reduce yields, but it produces a con- _ ently higher quality of cotton. The growing - petition from synthetics and the wide dis- nts for short fibers and low grades empha- A the need for consideration of quality cotton all management programs. Irrigation of grain hum after late August or early September, i ept on late plantings, seldom benefits a prop- i irrigated crop (10). Planting dates. The usual planting season ,_ cotton ranges from late April through May, ending on the weather. The soil usually is .1 cool for rapid cottonseed germination before V- A-pril. Yields, Qf cotton planted in June gen- Nlly are low (11). Experience at the Lubbock station shows that the best stands and fast- § growth are obtained on cotton planted from 'y 10 to May 20. Cotton planted during this 70d has a better chance of survival because more likely to escape the damaging effects cool nights, cold winds, blowing sand and seedling diseases. Low yields on late-planted cotton and the relatively short cotton-growing season make it undesirable to delay cotton plant- ing; consequently, there is little or no room for adjustment in cotton-planting dates. The planting season for grain sorghum ranges from late April through June. The pre- ferred planting time, however, is between June 10 and June 20, approximately 30 days later than the most desirable cotton-planting time. Sorghum planted during this time enters its per- iod of peak water requirement when rainfall and temperature relations likely will be most favor- able. Sorghum planted earlier grows off slowly and enters the‘ period of peak ,water require- ment at a time when rainfall and temperature relations likely will be less favorable. Until recently, sorghum planted during the last part of June or early July did not produce a consistently satisfactory yield. Development of the higher yielding sorghum hybrids has changed this. Some of the sorghum hybrids, such as those in the 590 to 611 group, designated as “short-season hybrids,” are suitable for late-sea- son planting. Others, which outyield standard, varieties by 20 percent, require the full growing season to realize their potential. The latter group is designated “full-season hybrids.” Sor- ghum hybrids permit adjustment in planting dates to reduce the conflict in irrigation water requirements of cotton and sorghum that have restricted sorghum irrigation during the critical period, August 1-15. Crop yields. The average cotton and grain sorghum yields with an irrigation program as outlined are shown in Table 1. These yields re- flect the average production per acre that may be obtained from a preplanting irrigation, the average amount that may be added by one post- planting application of water and the average amount that may be added by two postplanting applications of water. The net value added by successive water increments—the part of the yields that is attributable to a single irrigation— provides the basis for selecting the most advan- tageous place of water use. Basic Crop-water-management Program A crop-water-management program incor- porating the most advantageous planting dates and the cotton and grain sorghum irrigation pro- gram that maximizes yields of both crops is used to determine the most economic use of water. Part of the details of this program are shown in Figure 2. This crop-water-management program in- cludes preplanting irrigation» as a standard prac- tice. Because of the relatively high return per acre-inch of water applied before planting, this practice must be included in any program de- signed to obtain the highest return from the use of water (Table 2). Since the amount of precipitation during the crop year cannot be determined in advance, a rate of water use near the maximum amount that may be required Was adopted. Using gross water requirements, the program would require for each crop a rate of 12 acre-inches per acre applied in one 0r two applications before plant- ing, and for postplanting irrigation, two appli- cations of 6 acre-inches per acre each. With an irrigation efficiency of 66.6 percent, the net pre- planting water requirements are 8 acre-inches per acre and the postplanting requirements are 4 acre-inches per acre for each application. The midpoints of the preferred planting per- iods, May 15 for cotton and June 15 for grain sorghum, were selected as dates for planting all of the cotton and half the grain sorghum acre- age. The other half of the grain sorghum acre- age would be planted to a short-season hybrid about July 1 (Figure 2). The postplanting irrigation on cotton would be applied in a 16-day schedule beginning ap- proximately 60 days after planting. With a May 15 planting date, the first application of water on cotton would begin about July 15. The second postplanting irrigation, also applied in a 16-day schedule would follow immediately after the first and terminate shortly after August 15. Postplanting irrigation on grain sorghum would be applied in a 14-day schedule beginning approximately 45 days after planting for the full-season hybrids and 40 days after planting for the short-season hybrids. With a June 15 planting date, the first irrigation on the full- season sorghum hybrids would begin on or about August 1. The second would start immediately after the first irrigation was concluded (Figure 2). With a July 1 planting date, the first post- Mplanting irrigation on the short-season hybrids would begin about August 10, followed immedi- ately by the second application, which would end during the first part of September. Figure 2 shows that serious conflicts in de- mand for water would be encountered about August 1, if the independently developed cotton and grain sorghum irrigation programs were combined. Because of these conflicting demands for water, it is not feasible to use the basic crop- water-management program entirely. The full basic program can be used only if (1) the water supply is doubled to meet the simultaneous Au- gust 1-15 demands, or (2) the acreage irrigated during the postplanting period is reduced ap- proximately 50 percent. Neither of these alternatives provides an economical approach. Increasing the farm wa- ter supply is an expensive way of reducing con- flicting water demands; moreover, the added drain on water resources would aggravate fur- ther the water supply situation. The approxi- mate cost of increasing and maintaining farm water supplies is given in TAES Bulletin 828 (5). Decreasing the irrigated acreage reduces 8 total operating costs some, but increases overhead Water cost per acre and materially. duces farm income. - Since it is not feasible to use the crop- ter-management program that maximizes , yields, the next best approach is to adopt a v‘ ation that incorporates the basic program " much as possible. This involves a modifica of the basic crop-water-manageriaent program ginning at the time of the first conflict in mand for water about August 1. a Alternative Water-management Systems There are five alternative Water-man ment programs that may be followed begin , about August 1, if the operator has prepared them in advance. For convenience, these wa management programs are designated w' management systems 1, 2, 3, 4 and 5. Sys 1 to 4 are based on restricted crop acreages der crop-control programs. System 5 is bas the unrestricted use of cotton acreage. ' For systems 1 to 4, a management unit i acre of cotton, seven-eighths acre of full-se’ sorghum hybrids and seven-eights acre of s '_ season sorghum hybrids was adopted. Bec‘ of the difference in irrigation schedules (16 o, on cotton, 14 days on grain sorghum) only eighths acre of grain sorghum can be irrig, for each acre of cotton, and the cotton-grain ghum planting ratio that permits the wi choice in use of water during August is 1 _ of cotton to seven-eighths acre of full-season . ghum hybrids and seven-eighths acre of sh season sorghum hybrids. This planting rati 1 acre of cotton to each 1.75 acres total :__ sorghum is approximately the average co , grain sorghum planting ratio under 1957 co acreage-allotment programs. For management system 5, which is ba on unrestricted cotton acreage, the manage J unit is 2 acres of cotton and three-fourths = of short-season sorghum hybrids. System 5 included to compare production situations a and without cotton acreage restrictions, and‘ appraise situations where cotton acreage a ment exceeds the acreage that can be irrig during the postplanting irrigation season. _ effects of each individual irrigation on a pa - ular crop can be appraised separately (Table About August 1, the date of first conflict in 1 ter use, the operator has the choice of irriga I cotton for the second time or of irrigating g full-season sorghum hybirds for the first t' Similarly, on or about August 15, if he has Q pared for these alternatives in advance, thei, erator has a further choice of irrigating the f_ season sorghum hybrid for the second time; of applying water to the short-season hybrid ,- the first time. '~ The section on crop growth characteriy shows that the benefits of the second postpl ing irrigation on grain sorghum, whether 3. RATIO OF COTTON TO GRAIN SORGHUM ACREAGE. IRRIGATION SCHEDULES. AND GROSS WATER USE PER MANAGEMENT UNIT ALTERNATIVE WATER MANAGEMENT SYSTEM‘ I I ater “g Manage_ Irrigations Gross water use .. g. nt Crops _ meat Pre- Post- Pre- Post- Totals i em um planting’ planting planting planting 3 Acres — -— — Number — — — — — — — — Acre-inches — — — — Cotton 1 1 2 12.0 12.0 24.0 Grain sorghum, full-season 7/3 1 0 10.5 0 10.5 Grain sorghum, short-season 7/8 1 0 10.5 0 10.5 f Total for management unit 23/4 1 33.0 12.0 45.0 v Cotton 1 1 1 12.0 6.0 18.0 Grain sorghum, full-season 7/3 1 2 10.5 10.5 21.0 j Grain sorghum. short-season 7g 1 0 10.5 0 10.5 7 Total for management unit 23/4 1 33.0 16.5 49.5 a Cotton 1 1 2 12.0 12.0 24.0 1 Grain sorghum. full-season 7/3 1 0 10.5 ,0 10.5 T- Grain sorghum. short-season 7/3 1 2 10.5 10.5 21.0 ‘ Total for management unit 23/4 1 33.0 22.5 55.5 ’ Cotton 1 l 1 12.0 6.0 18.0 A; Grain sorghum, full-season 7/3 1 1 10.5 5.3 15.9 ; Grain sorghum. short-season 7/8 1 2 10.5 10.5 21.0 Total for management unit 23/4 1 33.0 21.8 54.8 2 Cotton 1 I 2 12.0 12.0 24.0 ' Cotton 1 1 0 12.0 0 12.0 ¥ Grain sorghum. short-season 3/4 1 2 9.0 9.0 18.0 i‘; Total for management unit 23/4 1 33.0 21.0 54.0 on an irrigation efficiency of 66.6 percent. ganagement systems 1 through 5. respectively. n or short-season hybrids, cannot be re- ‘-.- unless the first postplanting irrigation has ‘ applied. The August 1-15 conflict in de- ds for water between cotton and the full- >- sorghum hybrids cannot be resolved in tr of cotton without sacrificing the yield in- Lents from both of the postplanting irriga- ‘s on sorghum. The last postplanting irriga- 3 on sorghum can be foregone, however, at a; expense of only that part of the yield at- g table to the last irrigation. i‘ These alternatives provide the basis for wa- management systems 1 to 4, any one of which f be followed after August 1, the date of first 3' use conflict. é In all management systems, water is applied ‘sorghum land before planting at a time that y. not conflict with irrigation of cotton land ‘r ain sorghum, after planting, when the price porghum grain makes it more profitable to ate sorghum. The return per management v of 2.75 acres, therefore, provides a basis determining the most profitable use of water rdless of the head of water available. For it ple, if one management unit in a particular agement system is more profitable than a gement unit in another, an increase in the gber of management units does not change ‘ relationship. ‘ I The planting ratios, irrigation schedules and 10f Water per management unit in the five ‘ms are shown in Table 3. The plan of wa- use after August 1 for the five systems is in Figure 3. - anting irrigation in one or two, preferably one, application. i: = reflect the gross amount of water applied to the individual crops in the management unit and the total amount, gross. management unit of 23/4 acres. Gross water use per acre would be 16.4, 18.0. 20.2, 19.9 and 20.7 acre-inches, respectively. The quantity of water use per management unit for preplanting irrigation is the same in all five systems. Water use after planting differs between the various alternative systems, de- pending on the acreage covered in postplanting irrigation (Table 3 and Figure 3). The total water use per management unit in systems 3, 4 and 5 is approximately 22 percent greater than in system 1 and 10 percent greater than in sys- tem 2. Evaluation of Alternative Management Systems Production, irrigation practices and water requirements before August 1 are the same for all five systems. Since systems 1 to 4, the four alternative systems, stem from a common base, IRRIGATION SCHEDULE! PREPLANTING POSTPLANTING SYSTEM CROP IRRIGATIQNQNQ-U TIME OF APPLICATION Col/on _ _ n g I T 2 BASIC Sarg/n/m nybgdswsfzg, £31331” n 2 _ a Cairo/r 2 A 2 m | Snrgh/m nym/njj/tn/ seasoni 2 ..0.. n0... " " shall season 2 -- Ho" cum» o _J__ 9- "“ 2 “"3"” ”’3”""~IZ’.§J'.ZZ”JL.~ 5 Car/an I ~ 2 __|.i + p ~=~= ""¥"*-~:z:::'s::..~ a ";_=_ Carton 2 ' 0 m‘ 4 sorghum WW4" "gar/s $12,. “ 2 ‘i-lm-l-i Colfan 2 iii _z_ Cal/an 2 ....Q......._..Q..._ N0. 5 Sorghum IIyb/Msfsho/I snsnn” 2 l l, _L, __ l JULY AUGUST SEPTEMBER I/Maaumm runner of water applications Figure 3. Number and approximate time of irrigation in the basic and five alternative water management systems. TABLE 4. ESTIMATEI) CROP PRODUCTION AND GROSS VALUE PER MANAGEMENT UNIT ALTERNATIVE WATER MANAGEMENT SYSTEMS‘ water Cotton Grain sorghum Gmss man- value per age- Pro- manage- ment duction vslruoeszs 3 dfgtlaign $1215; ment system oi lint unit’ Pounds Dollars Pounds — — Dollars — — 1 490 181.30 4,331 95.71 277.01 2 440 162.80 5.276 116.60 279.40 3 490 181.30 5.119 113.13 294.43 4 440 162.80 5.644 124.73 287.53 5 890 329.30 2,362 52.20 381.50 ‘Management unit in systems 1 to 4 consists oi 1 acre cotton. 7/3 acre iull-season sorghum hybrids and 7/3 acre short-sea- son sorghum hybrids. Management unit in system 5 consists oi 2 acres cotton and 3/4 acre oi short-season sorghum hy- brids. , “Based on 1946-56 average prices received for cotton, cotton- seed and grain sorghum. “Includes value oi cottonseed. the choice of the system to follow at the time of the first water-demand conflict will be governed first by prospective added net returns per man- agement unit in the alternative systems, and sec- ond by the amount of water required to obtain these returns. TABLE 5. ESTIMATED NET RETURNS PER MANAGEMENT UNIT. ALTERNATIVE WATER MANAGEMENT SYSTEMS‘ Water management system Item 1 2 3 4 5 — — — — —-—Dollars———-——————— Gross Receipts 277.01 279.40 294.43 287.52 381.50 Specified expenses2 Power and machinery Materials“ 10.09 10.09 10.09 Labor. including water spreading 15.67 15.95 16.45 16.33 21.00 Harvest and as- sociated costs 51.17 47.32 51.64 47.54 82.35 Direct water costs‘ 16.92 18.80 21.06 20.68 20.30 29.44 29.44 29.44 29.44 40.62 10.09 17.64 Total specified expenses 123.29 121.60 128.68 124.08 181.91 Net returns to management and overhead Per management units 153.72 157.80 165.75 163.45 199.59 Per acre 55.89 57.37 60.26 59.42 72.57 Per acre-inch oi water applied“ " 3.42 3.19 2.99 2.98 3.70 ‘Based on 1955-56 costs and 1946-56 average prices received for cotton, cottonseed and grain sorghum. 2Based on production requirements and costs in Appendix Tables 2 and 3. adjusted ior requirements oi various man- agement systems. "Seed and insecticides. ‘Includes iuel, oil and repair costs on typical 540 gpm. engine equipped. butane iueled pumping plant. “Management units in systems 1 to 4 consist oi 1 acre cotton. 7/3 acre iull-season sorghum hybrids and 7/3 acre short-sea- son sorghum hybrids. Management unit in system 5 con- sists oi 2 acres cotton and 3/4 acre oi short-season sorghum hybrids. “Gross water use oi 45, 49.5, 55.5, 54.8, and 54 acre-inches ior systems l. 2. 3, 4 and 5. respectively. l0 Since the choice between alternative Wa management systems is not made until the f' conflict in demand for water occurs (about gust 1), almost all crop production expenses cept harvest costs, will be the same irrespec of the management system used. Table 1 sh that the output resulting from single appli tions of water can be appraised separately if y applications are consideredgiiiia proper sequen Also, the cost of making a single application water and the cost of harvesting the added yi, can be determined (Appendix Tables 2 and Y The prospective added net return per increm of water use, per irrigation in this instance, t can be determined by multiplying the added p duction by the prospective price and subtracti“ the added costs. Since the irrigation schedule is 16 days i cotton and 14 days on both types of grain s ghum, only seven-eighths acre of grain sorgh, can be irrigated during the postplanting sea’ for each 1 acre of cotton. This difference in i gation schedule is the basis for the cotton-gr sorghum planting ratio in the management a: Thus, where the choice lies between irrigat' cotton or grain sorghum on August 1, the co’ parison is based on the prospective added 1f returns from one irrigation on 1 acre of co A or two irrigations on seven-eighths acre of gr sorghum. £ The following comparison between syste‘_' 1 and 2 illustrates this point. On August 1, f place of water application should be selected: > may be on cotton, where an application of 6 ac ‘ inches of water will produce 50 pounds of lit cotton and 80 pounds of seed, or, on a full-s son hybrid, where 10.5 acre-inches of water j two applications on seven-eighths acre will p duce 945 pounds of grain (7/8 x [3780-2700, (Table 1). * Obviously, the prices of cotton and gra‘ sorghum have an important bearing on the p if pective added net returns from irrigating aft August 1. For instance, comparison based i3 1955-56 cost and the prices received for c0 ton lint, cottonseed, and grain sorghum durii 1945-56 shows that when 1 pound of lint and 1, pounds of seed are worth more than 20 poun of grain sorghum, it is more profitable to i ,9 gate cotton; when 1 pound of lint and 1.6 poun of seed are worth less than 20 pounds of gra' sorghum, it is more profitable to irrigate so ghum. Y If the added net returns from 50 pounds t cotton lint and 80 pounds of cottonseed exc, the added net returns from 945 pounds of grai sorghum, the low water-use system 1 in whic_ cotton receives 2 postplanting irrigations an‘ grain sorghum none, will provide a greater add net return than system 2. If, on the other han, 945 pounds of grain sorghum provide a great added net return, system 2, in which cotton { ceives one, and grain sorghum, two postplan‘ ings irrigations, will be more profitable. I ii 6. ADDED NET RETURNS PER ACRE-INCH OF » R USED AFTER AUGUST 1, ALTERNATIVE MANAGE- ' MENT SYSTEMS‘ 2 Added Water Added ' Added Aigfd reftfgns used costs returns returns per acre-inch Acre' ————-—Dollars————— inches 6.00 7.17 18.48 11.31 1.88 10.50 3.98 20.88 16.90 1.61 16.50 11.05 35.87 24.82 1.50 15.75 5.90 28.99 23.09 1.47 - on 1955-56 costs and 1946-56 average prices. I se oi the different cotton acreage in system 5. the re- r irom the use oi water aiter August 1 are not compara- "with those oi the other iour systems. IIn situations Where system 1 is more profit- ‘ than system 2, system 3 would be still more itable, but would involve a heavier use 0f r. System 3 differs from system 1 only in A beginning at the conclusion of the cotton- ating season, 10.5 acre-inches of Water in applications are made on seven-eighths acre ‘hort-season sorghum hybrids. In system 3, jexpenditure of 16.5 acre-inches of Water af- ‘ugust 1 produces 50 pounds of cotton lint, lunds of cottonseed and 790 pounds of grain um. fWhen system 2 is more profitable than sys- ;1, there also is an alternative, system 4, re- ng a heavier Water use. In system 4, like y wer-water-using counterpart system 2, cot- is not irrigated during August. A post- jfng application of 5.25 acre-inches of wa- I; applied on seven-eighths acre of full-sea- Zsorghum hybrids during the first 2 weeks ugust, after which 10.5 acre-inches of wa- d‘: two irrigations are made on seven-eighths 30f short-season sorghum hybrids. The 15.75 inches of water applied after August 1 pro- j1,315 pounds of sorghum grain (790 pounds l‘ 7. CROPLAND ORGANIZATION AND PRODUCTION PICAL 320-ACRE TENANT-OPERATED IRRIGATED a AND DRYLAND FARMS Irrigated iarm‘ Dryland iarm Production Production Acres Ten- Acres Ten- Total ant's Total ant's share share — — Pounds — — -- Pounds — — 112 49.280 36,960 112 21.280 15.960 ‘tum 196 590§950 394,164 196 176.400 117,659 ‘é ius 12 12 s20 s20 and production based on use oi water manage- ystem 2 ior 112 management units oi 2.75 acres each. le 4 ior cotton and grain sorghum yields per man- (Ant unit. as in system 3 plus 7/8 X [3300-2700l) (Table 1). The comparisons of alternative systems 1, 2, 3 and 4 pertain to differences in crop produc- tion and in Water use during August, the prin- cipal period of Wateruse conflict. Production and gross values per manage- ment unit in the five management systems are shown in Table 4. Gross values are based on TABLE 8. ESTIMATED RECEIPTS, EXPENSES AND RESI- DUAL RETURNS TO WATER, 320-ACRE IRRIGATED FARM OPERATED UNDER WATER MANAGEMENT SYSTEM 2 Type oi operator Item let: LancL Owner oper- lord ope!‘ ator (“or ————-Dollars—-——— Gross receipts. crop sales‘ Cotton, including seed 13.664 4.555 18.219 Sorghum grain 8.711 4.349 13.060 Total receipts 22.375 8,904 31,279 Expenses exclusive oi water costs Specified operating expenses ~ Labor’ 1,786 1,786 Power and machinery (ex- cluding pumping costs) 3.297 3.297 Materials (seed. in- secticides, etc.) 1,131 1.131 Harvest and associated costs 4.957 342 5.299 Miscellaneousa 558 558 Total 11.729 342 12.071 Specified iarm overhead expenses Taxes‘ 258 258 Maintenance, depreciation and insurance on iarm improvementss 1.500 1.500 Supervisory“ 445 Capital charge on land? 1,920 1.920 Total 11.729 4,465 15.749 Alternative management incomes 3.824 3.824 Total expenses excluding water 15,553 4.465 19.573 Residual returns to water” Per iarm 6.822 4.439 11.706 Per acre irrigated 22.15 14.41 38.00 Per acre-ioot oi water used 13.35 22.90 ‘At 1946-56 average prices received ior cotton, cottonseed and grain sorghum (Appendix Table 1). 2All labor, including operator, unpaid iamily and hired labor ‘at $1.00 per hour. ‘Five percent oi specified operating expenses to cover trans- portation oi supplies and ‘general supervision. *Based on average total ad valorum taxes per acre in Lub- bock and Hale counties. 57.5 percent on $20,000 worth oi iarm improvements. excluding irrigation iacilities. 65.0 percent oi gross receipts to cover expenses associated with general management. 'Five percent interest charge on land with an undeveloped (preirrigation development) value oi $120 per acre. “Management income oi a 320-acre similarly organized dry- land iarm at the same cost-price levels. ”The maximum economically ieasible or breakover point ior water expenditures. 11 ~ ‘Based on use oi 112 management units of 2.75 acres each, with yields shown for management system 2 in Table 4. TABLE 9. TENANT'S3BREAKOVER POINT FOR WATER EXPENDITURES PER ACRE AT SPECIFIED COTTON LINT 3 GRAIN SORGHUM PRICES, 320-ACRE IRRIGATED FARM OPERATED UNDER WATER MANAGEMENT SYSTEM 2‘ ; Seasonal I ggiéaieer Seasonal average price per hundredweight oi grain sorghum pound of $3.25 $3.00 $2.75 $2.50 $2.25 $2.00 $1.75 $1.50 $1.25 $1.00 lint cotton3 Cents — — —- — — — — — — — — — — — — Dollars — — — — — — — — - -- -- - - - - 34 32.83 30.49 28.14 25.80 23.47 21.12 18.78 16.44 ~~-14:,10 11.76 "‘ 33 32.14 29.80 27.46 25.12 22.78 20.44 18.10 15.76 13.42 11.08 32 31.46 29.12 26.78 24.44 22.10 19.76 17.42 15.08 12.74 10.40 31 30.78 28.44 26.10 23.76 21.42 19.08 16.74 14.40 12.06 9.72 30 30.10 27.76 25.42 23.08 20.74 18.40 16.06 13.72 11.38 9.04 29 29.42 27.08 24.74 22.40 20.06 17.72 15.38 13.04 10.70 8.36 28 28.74 26.40 24.06 21.72 19.38 17.04 14.70 12.36 10.02 7.68 27 28.05 25.71 23.37 21.03 18.69 16.35 14.01 11.67 9.33 6.99 26 27.37 25.03 22.69 20.35 18.01 15.67 13.33 10.99 8.65 6.31 25 26.69 24.35 22.01 19.67 17.33 14.99 12.65 10.31 7.97 5.63 24 26.01 23.67 21.33 18.99 16.65 14.31 11.97 9.63 7.29 4.95 “Includes value of cottonseed at $60 per ton at all price levels. the 1946-56 average price received for cotton lint, ,cottonseed and grain sorghum. Since sys- tems 1 to 4 are identical up to August 1, differ- ences for these systems in the gross value per lowest water use of systems 1 to 4, provides lowest return per acre but the highest ret per acre-inch of water. a Since management systems 1 to 4 differ used in the various management systems. management unit shown in the last column of the table reflect the returns from alternative Water uses after August 1. in the place of water use after August 1, the p turn per acre-inch of water applied before " gust 1 will be the same in all of these man ment systems. The net returns to managem and crop overhead per acre-inch of water plied after August 1 are shown in Table 6. _ returns for management system 5 are not cluded in Table 6 because the cotton-grain w ghum planting ratio differs from that of n other systems. Systems 1 and 2 provide the highest net A turn per acre-inch of water applied after A3 gust 1 and are the principal alternatives. 3 Systems 3 and 4, the heavier water-using ii ternatives to systems 1 and 2, respectively, j virtually eliminated as a continued practice. f tal Water use per acre under systems 3 and § is 2O acre-inches per acre, approximately 3 ac ' Specified crop production expenses shown in Table 4 are based on the production require- ments and costs shown in Appendix Tables 2 and 3. Differences in specified production costs per management unit reflect (1) differences in the cost of labor required to spread Water, which is affected by the length of the irrigation sea- son, (2) differences in harvesting and associated costs which are associated with differences in yield and (3) differences in direct water costs, which are proportional to the amount of water Table 5 shows for all five water-manage- ment systems, net returns per acre and per acre- inch of Water applied. System 1, which has the TABLE 10. TENANT'S BREAKOVER POINT FOR WATER EXPENDITURES PER ACRE AT SPECIFIED COTTON LINT ' 3 GRAIN SORGHUM PRICES, 320-ACRE IRRIGATED FARM OPERATED UNDER WATER MANAGEMENT SYSTEM l‘ Seasonal ("P111929 Seasonal average price per hundredweight of grain sorghum pnce o . lint cotton $3.253 $3.003 $2.753 $2.503 $2.253 $2.003 $1.75 $1.50 $1.25 $1.00 $0.7 ‘ per pound’ . @ Cents — — — — — — Dollars — — — — — — 34 20.48 18.69 16.92 15.16 13. 33 19.65 17.87 16.11 14.34 12. ~ 32 3 17.05 15.29 13.52 117, 31 3 16.24 14.47 12.70 l0 1 g 30 3 15.42 13.65 11.88 10 c ' 29 3 3 14.60 12.83 11.07 9 y; 28 3 13.78 12.02 10.25 8 ; 27 3 3 11.20 9.43 7 F “ 26 3 3 10.38 8.61 6. '5‘ 25 3 3 9.56 7.79 P, . 24 3 3 8.74 6.98 5. g ‘Based on use of 112 management units oi 2.75 acres each with yields shown for management system 1 in Table 4. 3Inc1udes the value of seed with seed priced at $60 per ton, all price levels. 3At these price levels management system 2 provides a higher breakover point than management system 1. 12 b per acre greater than the 1950-54 average of water use? Figure 1 shows that the f- resources of the area will not support in- nitely an increase in the rate of water use. _~ the additional 10.5 acre-inches of water per agement unit required for system 3 over sys- 3 1 provide a net added return of only $1.29 3 acre-inch. Similarly, the additional 5.25 , inches of water required for system 4 over k m 2 provide a net added return of only $1.17 '3 acre-inch. Thus, the additional water re- , ed with systems 3 and 4 provides a net add- return per acre-inch that is about one-third i‘ than the added returns from systems 1 and heir respective alternatives, and only about third of the possible net return from water lied before planting (Table 2). ._ Systems 1 and 2 apparently afford the most 'rable alternatives under conditions of de- f sing water supplies and cotton acreage con- ‘ Lifting of cotton acreage controls could r the situation. Without controls, manage- rt system 5, which includes 2 acres of cotton _ management unit, affords a better short-run y, native than system 3 or system 4. Total f- use with system 5 is similar to that of ms 3 and 4, but the net return per acre-inch ‘ater and per management unit is the great- fof the five alternative management systems idered (Tables 3 and 5). j These comparisons of returns to the five agement systems are based on the 1946-56 age price received for cotton lint, cottonseed _ grain sorghum (Appendix Table 1). A ,5» in cotton or grain sorghum prices would rially affect prospective returns and would _1» t the selection of the alternative system to ollowed after August 1. on information compiled from various sources by i L. Broadhurst, chief hydrologist, High Plains Un- l: ound Water Conservation District No. 1, Lubbock, 5, I - nal Appendix Table 1 shows that at the yield levels assumed, system 2, which concentrates on grain sorghum production after August 1, would have provided a higher net added return in 9 of the 11 years between 1946-56. Therefore, sys- tem 2 is analyzed further. Considerations leading to the most advan- tageous irrigation management systems are the same irrespective of the head of water (gallons per minute) available. Because the postplant- ing irrigation program involves uniform quan- tities of water applied within definite time per- iods, differences in irrigation head affect the total acreage that can be irrigated seasonally but does not affect the most economic use of water. Therefore, although there are economies of scale with the larger irrigation heads, the most eco- nomic use of water with a head of 540 gallons per minute is, although on a reduced scale, also the most economic use with a head of 135 gal- lons per minute. See TAES Bulletin 851 (13). MAXIMUM FEASIBLE EXPENDITURES FOR WATER Determination of the most economic water-- management system was based on a partial analysis involving only the irrigation season af- ter August 1. Use of the most economic water management system contributes to the success of an irrigation enterprise by providing a greater return or a smaller loss than alternative systems that might be used under the same circum- stances. To determine the profitability of an irrigation enterprise, the entire irrigation-man- agement program, including costs of installation and operation, and its returns, must be consid- ered in light of its contribution to the farm as a unit. The second objective of this study was to determine the maximum feasible expenditure for water. Since costs are peculiar to a particular 11. LANDOWNER'S BREAKOVER POINT FOR WATER EXPENDITURES PER ACRE AT SPECIFIED COTTON LINT 1 GRAIN SORGHUM PRICES. 320-ACRE IRRIGATED FARM OPERATED UNDER WATER MANAGEMENT SYSTEM 2‘ 3'99 Seasonal average price per hundredweight of grain sorghum per J d of 2 $3.25 $3.00 $2.75 $2.50 $2.25 $2.00 $1.75 $1.50 $1.25 $1.00 $0.75 ‘ tton A. nts — — — — — — — — — — — — — — — Dollars — — — — — — — — — — — — — ~ — — — — 16.77 15.70 14.62 13.55 12.48 11.41 10.34 9.27 8.20 7.13 6.073 4 16.60 15.53 14.46 13.39 12.32 11.25 10.18 9.11 8.04 6.97 5.903 16.43 15.36 14.29 13.22 12.15 11.08 10.01 8.94 7.87 6.80 5.733 2 16.26 15.19 14.12 13.05 11.98 10.91 9.84 8.77 . 7.70 6.63 5.563 1 16.09 15.02 13.95 12.88 11.81 10.74 9.67 8.60 7.53 6.46 5.393 0 15.92 14.85 13.78 12.71 11.64 10.57 9.50 8.43 7.36 6.29 5.223 -' 15.75 -, . g 14.68 13.61 12.54 11.47 10.40 9.33 8.26 7.19 6.12 5.05 f i 15.58 .._“ '3 14.51 13.44 12.37 11.30 10.23 9.16 8.09 7.02 5.95 4.88 15.41 3' 14.34 13.27 12.20 11.13 10.06 8.99 7.92 6.85 5.78 4.71 15.24 14.17 13.10 12.03 10.96 9.89 8.82 7.75 6.68 5.61 4.54 15.07 14.00 12.93 11.86 10.79 9.72 8.65 7.58 6.51 5.44 4.37 14.90 13.83 12.76 11.69 10.62 9.55 8.48 7.41 6.34 5.27 4.20 , - on use oi 112 management units of 2.75 acres each, with yields shown for management system 2 in Table 4. des value oi cottonseed at $60 per ton at all price levels. ese price levels. water management system 1 would provide a slightly higher breakover point. set of conditions, and returns are related closely to prices received, determination of the maxi- mum feasible expenditure for water involves a comparison of costs for a particular set of con- ditions with a number of cotton and grain sor- ghum price combinations. The analysis is based on estimated returns on a 320-acre, fully irrigated farm using man- agement system 2. Assumptions regarding labor, power, machinery and material requirements and costs are based on the data presented in Ap- pendix Tables 2 and 3, adjusted to reflect the labor requirements and harvesting costs associ- ated with yield levels of management system 2. Cotton and grain sorghum prices are the aver- age prices received in 1946-56 (Appendix Table 1). Water costs fall in two broad groups—oper- ating and overhead. Operating costs include expenditures for fuel or energy, oil, repairs and maintenance. Overhead costs include interest on investment, taxes, depreciation and risk or in- surance. This division of water costs parallels with some exceptions the usual distribution of water costs between tenant and landlord under typical third and fourth crop-share leases (12). Under the typical crop-share lease agreement, the tenant furnishes and maintains the pump power unit and all fuel and oil costs. The land- lord provides and maintains the well and pump. The maximum feasible expenditure for wa- ter is the maximum amount that a farm operator could pay for water without reducing his net in- come below what he would receive from dryland farming. This is the breakover point above which irrigation is no longer a profitable under- taking for the tenant operator or the landowner. With an established irrigated farm, the over- -- head portion of water costs is considered only when it becomes necessary to replace equipment. The investment in irrigation facilities and equip- ment has been made, and the landowner’s only alternative to continued irrigation is to pull his pump for salvage and return to dryland farming. Used equipment brings only a fraction of its new cost and a return to dryland farming results in a severe reduction in land values. Therefore, in most situations where the cost-price squeeze has reduced the landowner’s return, it probably will be advantageous to continue irrigation until replacement of equipment becomes necessary. Tenant’s Breakover Point for Water Expenditures Land use, cropland organization and pro- duction on typical 320-acre irrigated and dry- land farms are shown in Table 7. The cropland used is equivalent to 112 management units of 2.75 acres each (Tables 3, 4 and 5). The tenant’s breakover point for water ex- penditure under a typical third and fourth crop- share lease at average 1946-56 prices is shown 14 in Table 8. It is determined by deducting- tenant’s share of all costs, except water . management, from his share of gross recei This residual, less an allowance for alterna management return (see discussion to follo defrays the tenant’s water costs. The chief w} and return items summarized in Table 8 W derived as follows: A Gross receipts. Gross°'=r'eceipts are retu from the volume of production shown in -, 7 at 1946-56 average prices given in Appen, Table 1 prorated according to the division’ crop receipts in a typical third and fourth c g share lease (12). ' Specified operating expenses. Labor, p0 and machinery and material costs are based i, production requirements and costs for a typi 320-acre farm shown in Appendix Tables 2 I 3, adjusted for operations under water mana ment system 2. - Harvest and associated costs. Harvest l, associated costs are costs to the first mar place. They are based on the 1955 costs a practices reported in TAES Bulletin 851 (1 Briefly, cotton harvesting costs are based on A percent handsnapping and 20 percent machi stripping of irrigated cotton at a handsnappi rate of $1.75 and a machine-stripping rate of t cents per 100 pounds of seed cotton. Ginni costs are computed at 50 cents per 100 pou i of seed cotton for a season average of 1,9,‘ pounds of handsnapped and 2,400 pounds of L chine-stripped seed cotton per standard bale v lint. A further charge of $3.50 per bale for n, and ties, plus 50 cents per bale for hauling a ._ is included. Sorghum-harvesting costs are bas on a custom rate of $3 per acre, plus a grai hauling charge of 6 cents per 100 pounds. it Miscellaneous expenditures. Miscellaneo expenditures are an allowance of 5 percent e. the specified operating expenses to cover tran portation of supplies, labor recruitment and oth necessary farm service activities. Alternative management income. Altern tive management income is the income that mig i_ be obtained on a dryland farm of similar .{ and organization at the same price levels. T Y; concept is employed in lieu of a family living a, lowance, which would otherwise be required. Th alternative management income reflects the fa operator’s income from his chief alternative short of leaving the farm, and as such it repr sents the amount that would be available f0’ family expenses and risk-bearing. I Residual returns to water. Residual retur to water is the amount remaining after produfi tion costs, including farm overhead and manag ment returns, have been subtracted. The ten; ant’s portion of this is the amount that he ca spend for water without depleting his operatin capital or reducing his income below the incom‘ he would receive from dryland farming, his chie f- ative. Under the conditions assumed in e 8, the tenant’s breakover point for water nditures is $6,822 for the farm, and about gand $13, respectively, per acre irrigated and racre-foot of gross water use. He will profit e extent that his share of total farm water I; can be held below $6,822. ; In Table 8, the breakover points for water nditure are based 0n the 1946-56 average received for cotton lint, cottonseed and sor- 1 grain. The tenant’s breakover point for or expenditures per acre at other prices for _n lint and grain sorghum are shown in Table The entries in Table 9 have been derived gh the same process as the breakover point cre presented in Table 8. The price received ttonseed is held constant at $60 per ton at lotton lint price levels. Specified farm op- ng expenses and farm overhead expenses, , the exception of the alternative manage- . income, are held constant at the 1955-56 s used in Table 8. As the alternative man- ent income is based on the operator’s alter- e income on a similar dryland farm, it has 1 adjusted at each respective price level to it the effects of similar price changes on ‘gement income on a dryland farm. ygVariations in cotton or grain sorghum prices v an important bearing on the prospective lreturn to the alternative management sys- . Tables 9 and 10 show the tenant’s break- “ point when the typical farm described in 2- 7 is operated under management systems d 1, respectively. In general, with grain _= um prices at or below $1.50 per hundred- ht, management system 1 provides a higher j over point for water expenditures than A system 2 (Table 10). With management system 2, where irriga- ‘ water is used on grain sorghum after Au- p 1, a change in the price of grain sorghum u» cents per 100 pounds reduces the break- v point on the farm by $2.35 per acre. With ggement system 1, where irrigation water is ‘p on cotton after August 1, a similar change i, price of grain sorghum reduces the break- point by $1.77 per acre (Table 10). 6A 1-cent per pound change in the price of n lint changes the breakover point 69 and nts per acre for management systems 2 and jpectively (Tables 9 and 10). jLandl0rd’s Breakover Point for Water i Expenditures The landowner’s receipts and expenditures Pthe residual favailable to defray his portion rrigation costs under a typical third and A h crop-share lease are shown also in Table 2). "The landowner’s receipts reflect the sale of ‘part of the crop—the difference between l production” and “tenant’s share” in Table 7—at 1946-56 average prices (Appendix Table 1). The landowner’s “specified operation expen- ses” consist of the ginning cost on his one-fourth share of the cotton crop, based on the previously discussed ginning costs. Specified farm overhead expenses of the landowner are explained in the footnotes to Table 8. ’ At 1946-56 average prices received for cot- ton lint, cottonseed and sorghum grain, the land- owner’s residual return amounts to $14.41 per acre. This is the amount per acre that would be available to cover depreciation and maintenance costs on the irrigation facilities, exclusive of the pump power unit, and to provide a capital re- turn on the landowner’s total investment in irri- gation developments (Table 8, footnote 8). If the landowner’s total annual irrigation and add- ed capital costs exceed $14.41 per acre, the land- owner’s breakover point for water expenditures, his net income is reduced below that estimated for a comparable dryland farming operation. The landowner’s breakover point for water expenditures at the prices of cotton and sorghum grain used in Tables 9 and 1O are shown in Table 11. The entries in Table 11 are computed as in Table 8. Owner-operator’s Breakover Point for Water Expenditures Except for the small charge of $445 for supervision expenses for the landlord (Table 8), the estimated receipts and expenses for an own- er-operator represent the sum of those for the tenant and landlord. Because of this, at all price levels, the owner-operator’s breakover point for Water expenditures is slightly greater than the total of the tenant’s and the landowner’s break- over points. At 1946-56 average prices received for cotton lint, cottonseed and grain sorghum, the owner-operator’s breakover point for water expenditures is $38 per acre. At the same price levels, the combined tenant’s and landowner’s breakover points total $36.56 per acre ($22.15 for the tenant + $14.41 for the landowner). At 1946-56 average prices, the owner-oper- ator could spend $38 per acre per year without reducing his net income below comparable dry- farm levels. This is the amount that would be available to defray the combined fuel, oil and en- gine costs and the interest, maintenance and de- preciation costs on irrigation facilities and add- ed capital costs of the landowner. The owner-operator’s breakover point at other price levels is not computed; however, it always will be slightly greater than the total of the breakover points for the tenant and land- owner shown in Tables 9 and 11, respectively. The calculations that lead to a determina- tion of the breakover point per acre for water 15 expenditures do n'ot include an allowance to cover the risks involved in the production of an irrigated crop. Mortgage indebtedness, interest rates and appraisal of risk are peculiar to indi- vidual situations; consequently, no attempt is made to determine their effects. OTHER SITUATIONS The study reported here is based on a par- ticular set of conditions including farm size, crop acreages, production requirements, production costs and crop yields. The results, however, can be adjusted to other situations. The production requirement and cost data in Appendix Tables 2 and 3 and the entries in Table 8 can be adjusted to individual situations. Adjustments to fit sit- uations involving different farm organizations, I crop yields, price levels, interest rates, or capital investments will give different residual returns or breakover prices for water. Where an indi- vidual cost or return item differs from that used, the entries in Tables 9 and 11 can be adjusted by the amount of this difference to reflect the breakover price for water. LITERATURE CITED 1. Hughes, Wm. F. and Motheral, Joe R., “Irri- gated Agriculture in Texas,” TAES Miscel- laneous Publication 59, September 1950. 2. Sherrill, O. W., “High Plains Irrigation Sur- vey,” Texas Agricultural Extension Service. 3. Bonnen, C. A., et al, “Use of Irrigation Wa- ter on the High Plains,” TAES Bulletin 756, December 1952. 4. Map entitled “Approximate Decline of the Water Table 1938-56,” High Plains Under- ground Water Conservation District No. 1, Lubbock, Texas. I I 5. Hughes, Wm. F., and Magee, A. C., “Changes in Investment and Irrigation Water Costs, Texas High Plains, 1950-54,” TAES Bulletin 828, March 1956. 6. Magee, A. C., et al., “Cost of Water for Irri- gation on the High Plains,” TAES Bulletin 745, February 1952. 7. Summary of Water Level Measurements Conducted by the U. S. Geological Survey and State'Board of Water Engineers, Aus- tin, Texas. 16 8. Thaxton, E. L., J r., “When to Irrigate G, ‘ Sorghum,” The Cross Section, a mon publication of the High Plains Undergri Water Conservation District No. 1, ’ bock, Texas. 9. Thaxton, E. L., Jr. and Swanson, N. “Guides in Cotton Irrigation on the i, Plains,” TAES Bulletin 838, Septe, 1956. f. I 10. Swanson, Norris P., and Thaxton, E. L.,‘ “Requirements for Grain Sorghum Ir tion on the High Plains,” TAES Bull 846, January 1957. i 11. Jones, Don S., et al, “Cotton Production” the Texas High Plains,” TAES Bulletin :~ April 1956. l 12. Adkins, William G., and Cecil A. Par “Farm Leases on Irrigated Farms on High Plains of Texas,” TAES Progress port 1434, February 1952. 13. Hughes, Wm. F., and A. C. Magee, “W and Associated Costs in the Production; Cotton and Grain Sorghum, Texas H Plains, 1955,” TAES Bulletin 851, Ma 1957. i APPENDIX TABLES APPENDIX TABLE 1. PRICES RECEIVED FOR CO I AND GRAIN SORGHUM, HIGH PLAINS. 1946-56‘ ' Cotton Grain sorg a Year Lint pound wet Cents — — — Dollars — —:, 194s 29.55 97.50 2. 1947 91.90 94.00 9. 1 1949 29.20 70.50 2.1 . 1949 25.10 41.25 1.7 1950 99.90 90.00 1. 1951 99.95 74.50 2. . 1952 90.40 72.50 2 W 1959 29.20 52.50 2. F 1954 91.05 59.50 2.1 1955 29.70 45.50 1.5 . 195s 29.70 59.00 2., Average 91.40 99.70 2.2 f, "Agricultural Prices." U. S. Department of Agriculture. =1 IX TABLE 2. PREHARVEST REQUIREMENTS FOR PRODUCING IRRIGATED AND DRYLAND COTTON AND GRAIN I SORGHUM, BY MAIOR SOIL TYPES, HIGH PLAINS. 1955‘ Ma- _ Insect- ; chine Man-labor requirements per acre Tractor Seed icide Ilillffirzéle type and type require- Tractor _ fuel per appli- this _,-~ mg operation ments Opel“ Hoe Irriga- Total per2 acrea cations per < per ("or tron acre per season acre acre — — — — — — -- — Hours — — — — — — — Gallons Pounds — Number — gy soils ‘gated cotton 4.16 4.16 5.20 2.08 11.44 16.6 48.0‘ 3.55 3.5 gland cotton 1.55 1.55 3.20 4.75 6.2 30.0‘ 6 gated grain sorghum 2.90 2.90 1.86 4.76 11.6 8.5 3.0 i‘ land grain sorghum 1.55 1.55 1.55 6.2 6.0 ' » soils - 'ated cotton 4.75 4.75 5.40 1.62 11.77 19.0 48.0‘ 3.55 3.0 gated grain sorghum 3.02 3.02 2.00 1.73 6.75 _ 12.1 8.5 3.3 ted from TAES Bulletin 851 (13). e~ ’,-~ rates per planting: irrigated cotton, 32 pounds; dryland cotton, 20 pounds; irrigated grain sorghum, 7 pounds: dryland - sorghum. 4 pounds. “ht ol seed before delinting. _ erage rate of 2 early applications and 11/2 late-season applications. A’ nds on rainfall. With rainfall. 1 or 2 early applications; without rainfall. no application. DIX TABLE 3. PREHARVEST COSTS PER ACRE FOR LABOR, POWER AND MATERIALS OTHER THAN WATER USED 1955 PRICES‘ 2 Labor costs - PW“ Ins cti 'r m1 type and size and ma- Machine In-igm Seed .2 ' OT d - e of farm chinery open Hoeing flan T°lal cost“ c1 s, specltlf 1 °°5l ation labor labor cos cos s “~ — — — — — — — — — — — -— — Dollars — — — — — — — — — — — -- -- _' soils: 320-acre farm Q land cotton 4.88 1.47 2.08 3.55 1.95 10.38 )ated cotton 17.82 3.95 3.38 1.98 9.31 3.12 4.75 35.00 land grain sorghum 3.22 1.47 1.47 .42 5.11 _ated grain sorghum 6.64 2.75 1.77 4.52 .60 11.76 ~ e farm ated cotton 21.62 3.95 3.38 1.98 9.31 3.12 4.75 38.80 vated grain sorghum 8.34 2.75 1.77 4.52 .60 13.46 g soils: 320-acre farm ated cotton 17.08 4.51 3.51 1.54 9.56 3.12 4.75 34.51 ated grain sorghum 7.39 2.87 1.30 1.64 5.81 .60 13.80 ' e larm ,-ated cotton 19.78 4.51 3.51 1.54 9.56 3.12 4.75 37.21 ated grain sorghum 9.19 2.87 1.30 1.64 5.81 .60 15.60 ed from Table 3, TAES Bulletin 851 (13). f on requirements presented in Appendix Table 2. l, ted and treated cottonseed at 6.5 cents per pound; grain sorghum seed at 7 cents per pound. fol early application included in machine and machine operator costs. See footnote 5. Appendix Table 2. cost of machinery. fuel, oil. grease repair, labor, seed and insecticides. 17 ODUCE COTTON AND GRAIN SORGHUM, HIGH PLAINS, AT SPECIFIED TYPES OF FARMS BY MAIOR SOIL TYPES._.. i‘ 'al cost of 50 cents per acre for early application, $2.50 per acre custom rate for late application. Machine labor and fuel- [Blank Page in Original Bulletin] [Blank Page in Original Bulletin] Location oi field research units oi the Texas Agricultural Experiment Station and cooperating agencies QRGANIZATION OPERATION Research results are carried to Texas farmers, ranchmen and homemakers by county agents and specialists of the Texas Agricultural Ex- tension Service joclay ,6 wedearck ~95 YOITLOPPOLU {'5 POgP256 State-wide Research i l‘, ‘k The Texas Agricultural Experiment Station is the public agricultural research agency oi the State oi Texas, and is one oi ten 1 parts oi the Texas A6=M College System » IN THE MAIN STATION, with headquarters at College Station, are 16 sulf matter departments, 2 service departments, 3 regulatory services and administrative staff. Located out in the major agricultural areas of Texas‘ 21 substations and 9 field laboratories. In addition, there are 14 cooper stations owned by other agencies. Cooperating agencies include the T_ Forest Service, Game and Fish Commission of Texas, Texas Prison U. S. Department of Agriculture, University of Texas, Texas Technolo l College, Texas College of Arts and Industries and the King Ranch. , experiments are conducted on farms and ranches and in rural homes. THE TEXAS STATION is conducting about 400 active research projects, grou in 25 programs, which include all phases of agriculture in Texas. Am these are: l Conservation and improvement oi soil Conservation and use of water Grasses and legumes Grain crops "Cotton and other fiber crops Vegetable crops Citrus and other subtropical fruits Fruits and nuts Oil seed crops Ornamental plants Brush and weeds Insects Beef cattle Dairy cattle Sheep and goats Swine Chickens and turkeys Animal diseases and parasites Fish and game Farm and ranch engineering Farm and ranch business Marketing agricultural products Rural home economics Rural agricultural economics Plant diseases Two additional programs are maintenance and upkeep, and central servi‘ AGRICULTURAL RESEARCH seeks the WHATS. the WHYS. the WHENS, the WHERES and the HOWS oi hundreds oi problems which confront operators oi iarms and ranches, and the many industries depending on or serving agriculture. Workers oi the Main Station and the iield units oi the Texas Agricultural Experiment Station seek diligently to iind solutions to these problems.