Developing agricultural pest management strategies with reduced-risks to surface water: An economic case study of California's Central Coast region.

Pesticides are critical for protecting agricultural crops, but the off-site transport of these materials via spray drift and runoff poses risks to surface waters and aquatic life. California's Central Coast region is a major agricultural hub in the United States characterized by year-round production and intensive use of pesticides and other chemical inputs. As a result, the quality of many waterbodies in the region has been degraded. A recent regulatory program enacted by the Central Coast Regional Water Quality Control Board set new pesticide limits for waterways and imposed enhanced enforcement mechanisms to help ensure that water quality targets are met by specific dates. This regulatory program, however, does not mandate specific changes to pest management programs. In this study, we evaluate the economic, environmental, and pest management impacts of adopting two alternative pest management programs with reduced risks to surface water: 1) replacing currently used insecticide active ingredients (AIs) that pose the greatest risk to surface water with lower-risk alternatives and 2) converting conventional arthropod pest management programs to organic ones. We utilize pesticide use and toxicity data from California's Department of Pesticide Regulation to develop our baseline and two alternative scenarios. We focus on three crop groups (cole crops, lettuce and strawberry) due to their economic importance to the Central Coast and use of high-risk AIs. For Scenario 1, we estimate that implementing the alternative program in the years 2017-2019 would have reduced annual net returns on average by $90.26 - $190.54/ha, depending on the crop. Increased material costs accounted for the greatest share of this effect (71.9%-95.6%). In contrast, Scenario 2 would have reduced annual net returns on average by $5,628.12 - $18,708.28/ha during the study period, with yield loss accounting for the greatest share (92.8-97.9%). Both alternative programs would have reduced the associated toxic units by at least 98.1% compared to the baseline scenario. Our analysis provides important guidance for policymakers and agricultural producers looking to achieve environmental protection goals while minimizing economic impacts.

Balancing Bees and Pest Management: Projected Costs of Proposed Bee-Protective Neonicotinoid Regulation in California.

Neonicotinoid insecticides are widely used in agriculture, including in many California specialty crops. With mounting evidence that these insecticides are harmful to bees, state and national governments have increasingly regulated their use. The European Union, Canada, and United States have imposed use restrictions on several neonicotinoids, such as on the timing of applications. In 2020, California proposed a draft regulation to mitigate harm to managed pollinators from four nitroguanidine-substituted neonicotinoids (NGNs): clothianidin, dinotefuran, imidacloprid, and thiamethoxam. We use data on California pesticide use from 2015 to 2017 to analyze the economic and pest management implications of the 2020 draft proposed regulation for seven crops: almond, cherry, citrus, cotton, grape, strawberry, and tomato. From 2015 to 2017, these crops accounted for approximately 85% of total hectares treated with NGNs and 87% of NGN use by kilograms of active ingredient applied in treatments that would have been affected by the proposed regulation. These insecticides often primarily target Hemipteran insect pests. In most cases there are alternatives; however, these are often more expensive per hectare and do not have the same residual effectiveness as the NGNs, which are systemic insecticides. Overall, we estimate that pest management costs for these crops would have increased an estimated $13.6 million in 2015, $12.8 million in 2016, and $11.1 million in 2017 if the 2020 draft proposed regulation had been in effect, representing a 61% to 72% increase in the cost of managing the target pests.

A Review of Control Options and Externalities for Verticillium Wilts.

Plant pathogens migrate to new regions through human activities such as trade, where they may establish themselves and cause disease on agriculturally important crops. Verticillium wilt of lettuce, caused by Verticillium dahliae, is a soilborne fungus that was introduced to coastal California via infested spinach seeds. It has caused significant losses for lettuce growers. Once introduced, Verticillium wilt could be managed by fumigating with methyl bromide and chloropicrin, but this option is no longer available. Growers can also manage the disease by planting broccoli or not planting spinach. These control options require long-term investments for future gain. Verticillium wilt can also be prevented or controlled by testing and providing spinach seeds with little or no V. dahliae infestation. However, seed companies have been reluctant to test or clean spinach seeds, as spinach crops are not affected by Verticillium wilt. Thus, available control options are affected by externalities. Renters and other producers with short time horizons will not undertake long-term investments and seed companies do not take into account the effect of their decision not to test on lettuce producers. We review the literature on the economics of managing crop disease; discuss the economics of managing Verticillium wilt; and review the recent research on the externalities that arise with short-term growers, and between seed companies and growers due to Verticillium wilt. An externality arises whenever the actions of one individual or firm affects the payoffs to another individual or firm not involved in a specific transaction. These externalities have important implications for the management of Verticillium wilt and, more broadly, for the management of migratory pathogens and the diseases they cause in agriculture in general. This review is of interest to policy-makers, the producers, marketers, seed companies, and researchers.

Economic analysis of revenue losses and control costs associated with the spotted wing drosophila, Drosophila suzukii (Matsumura), in the California raspberry industry.

BACKGROUND: The spotted wing drosophila (SWD), Drosophila suzukii (Matsumura), is an invasive vinegar fly with a preference for infesting commercially viable berries and stone fruits. SWD infestations can reduce yields significantly, necessitating additional management activities. This analysis estimates economic losses in the California raspberry industry that have resulted from the SWD invasion. RESULTS: California raspberry producers experienced considerable revenue losses and management costs in the first years following SWD's invasion of North America. Conventional producers have since developed effective chemical management programs, virtually eliminating revenue losses due to SWD and reducing the cost of management to that of purchasing and applying insecticides more often. Organic raspberry producers, who do not have access to the same chemical controls, continue to confront substantial SWD-related revenue losses. These losses can be mitigated only by applying expensive insecticides registered for organic use and by performing labor-intensive field sanitation. CONCLUSION: SWD's invasion into North America has caused extensive crop losses to berry and cherry crops in California and elsewhere. Agricultural producers and researchers have responded quickly to this pest by developing management programs that significantly reduce revenue losses. Economic losses are expected to continue to fall as producers learn to manage SWD more efficiently and as new control tactics become available. © 2016 Society of Chemical Industry.

Spotted wing drosophila infestation of California strawberries and raspberries: economic analysis of potential revenue losses and control costs.

BACKGROUND: Economic costs of spotted wing drosophila (SWD) include yield and associated revenue losses, labor and material costs for monitoring and management and revenue losses due to the closure of export markets should fruit from SWD-infested regions be banned by trading partners. This analysis focuses on two types of loss in the California raspberry and strawberry industries: yield losses in the absence of management, and insecticide material costs on a per treatment basis. It computes the cost of a specific management program for raspberries in California's Central Coast region. RESULTS: Insecticide material and application costs per treatment and the cost of the management program are small relative to the yield losses in the absence of management that are observed by growers, researchers and others in initial infestations. CONCLUSION: It is difficult to evaluate precisely the share of pest management program costs due to SWD because insecticides are sometimes used to manage multiple pests, and because labor-intensive field sanitation efforts to control SWD are recommended practices already. Given these considerations, this analysis finds that the benefits to SWD management well outweigh the costs examined here. Evaluating the efficacy of managing SWD is essential in assessing the risks that SWD poses and the benefits of pest management programs.

Population dynamics and the economics of invasive species management: the greenhouse whitefly in California-grown strawberries.

In agriculture, relatively few efficacious control measures may be available for an invasive pest. In the case of a new insect pest, insecticide use decisions are affected by regulations associated with its registration, insect population dynamics, and seasonal market price cycles. We assess the costs and benefits of environmental regulations designed to regulate insecticide applications on an invasive species. We construct a bioeconomic model, based on detailed scientific data, of management decisions for a specific invasion: greenhouse whiteflies in California-grown strawberries. The empirical model integrates whitefly population dynamics, the effect of whitefly feeding on strawberry yields, and weekly strawberry price. We use the model to assess the optimality of alternative treatment programs on a simulated greenhouse whitefly population. Our results show that regulations may lead growers to "under-spray" when placed in an economic context, and provide some general lessons about the design of optimal invasive species control policies.