Eco-n adoption patterns and strategies of South Island dairy farmers

Abstract

The most common form of pollution from New Zealand dairy farming is nitrogen, in the form of nitrates, being leached into aquifers and waterways resulting in increased nitrate levels and eutrophication of water bodies. The nitrate pollutants originate from cow urine and chemical nitrogen fertilisers which both contain ammonium nitrogen. The ammonium nitrogen is subsequently transformed into nitrates and nitrites by microbial behaviour in the soil profile. The transformation of nitrogen by soil microbes is called nitrification. In an attempt to reduce the negative environmental impact of New Zealand dairy production the nitrification inhibitor product eco-n™ was developed by scientists at Lincoln University and commercially released by the Ravensdown Fertiliser Cooperative in 2004. Despite the benefits of eco-n™ in both an environmental protection and a production sense there has been lower uptake of eco-n™ than expected by Ravensdown. The usage rate of econ ™ by Ravensdown’s dairy farmer shareholders across Canterbury, Otago and Southland was 17% in 2008 and 7% in 2009. This research seeks to investigate the factors influencing these eco-n™ adoption rates while also paying attention to published material about the diffusion and adoption of innovations. The research involved two separate research processes; the first was a quantitative analysis of the Ravensdown dairy customer database to identify the usage patterns of eco-n™. The second stage of the research was a mixed method approach that involved interviewing 108 dairy farmers about eco-n™. The resultant information created a qualitative case study that was then analysed using Microsoft Excel™ as well as more sophisticated statistical computer software. There were three obvious patterns to emerge from the usage analysis. The first pattern showed a decrease in eco-n™ usage between 2008 and 2009 across all sub-groups. The second pattern showed a consistently higher eco-n™ usage with large farms classified by Ravensdown as Key Accounts. The third pattern demonstrated a higher eco-n™ usage rate with farms located closest to and within Canterbury. The second stage of the research project found a range of mediums have helped the spread of eco-n™ information. The two most prominent influences of eco-n™ use have been the Ravensdown Account Managers and other dairy farmers. The 2009-Users of eco-n™ are more likely to have adopted the technology for its environmental benefits while the discontinuous users are more likely to have adopted eco-n™ for its potential production and economic benefits. It is evident that the restricted uptake of eco-n™ is a result of inconsistent research messages relating to eco-n™, the limited ability to quantify the on-farm benefits and the variability in the results of eco-n™ use experienced by those who have used the product. Cashflow and price were also given as reasons for restricted uptake of eco-n™ and there is a distinct relationship between 2008 to 2009 eco-n™ usage and the 2008 to 2009 Fonterra payout price. The application restrictions on eco-n™, the up-front costs involved and the lack of sitespecific trial results are other factors adding to the restricted use of the technology. Over 95% of the interviewed farmers believe they have received enough information about econ ™ to make a sound use decision.