An economic evaluation of an intensive silvo-pastoral system in San Martín, Peru

cg.authorship.typesCGIAR single centreen
cg.contributor.affiliationInternational Center for Tropical Agricultureen
cg.contributor.initiativeLivestock and Climate
cg.coverage.countryPeru
cg.coverage.iso3166-alpha2PE
cg.coverage.regionAmericas
cg.coverage.regionSouth America
cg.coverage.regionLatin America and the Caribbean
cg.creator.identifierJohn Jairo Junca Paredes: 0009-0008-9519-0068en
cg.creator.identifierSandra Durango: 0000-0002-0026-5530en
cg.creator.identifierStefan Burkart: 0000-0001-5297-2184en
cg.identifier.doihttps://doi.org/10.3390/grasses4020021en
cg.issn2813-3463en
cg.issue2en
cg.journalGrassesen
cg.reviewStatusPeer Reviewen
cg.subject.actionAreaResilient Agrifood Systems
cg.subject.alliancebiovciatECONOMICSen
cg.subject.alliancebiovciatLIVESTOCKen
cg.subject.alliancebiovciatSUSTAINABILITYen
cg.subject.alliancebiovciatTROPICAL FORAGESen
cg.subject.impactAreaClimate adaptation and mitigation
cg.subject.sdgSDG 1 - No povertyen
cg.subject.sdgSDG 2 - Zero hungeren
cg.subject.sdgSDG 11 - Sustainable cities and communitiesen
cg.subject.sdgSDG 13 - Climate actionen
cg.subject.sdgSDG 15 - Life on landen
cg.volume4en
dc.contributor.authorJunca Paredes, John Jairoen
dc.contributor.authorDurango Morales, Sandra Guiselaen
dc.contributor.authorBurkart, Stefanen
dc.date.accessioned2025-05-26T13:32:47Z
dc.date.available2025-05-26T13:32:47Z
dc.identifier.urihttps://hdl.handle.net/10568/174835
dc.titleAn economic evaluation of an intensive silvo-pastoral system in San Martín, Peruen
dcterms.abstractThe cattle sector plays a critical role in Peru’s agricultural economy, yet it faces challenges related to low productivity and environmental degradation. Sustainable alternatives like silvo-pastoral systems (SPSs) offer promising solutions to enhance both economic returns and ecological outcomes in cattle farming. This study examines the economic viability of an intensive SPS (SPSi) compared to traditional monoculture grass systems in San Martín, Peru. The SPSi under study is in the evaluation phase, integrates grasses, legumes, shrubs, and trees, and has the potential to enhance cattle farming profitability while simultaneously offering environmental benefits such as improved soil health and reduced greenhouse gas emissions. Through a discounted cash flow model over an eight-year period, key profitability indicators—Net Present Value (NPV), Internal Rate of Return (IRR), Benefit–Cost Ratio (BC), and payback period—were estimated for four dual-purpose cattle production scenarios: a traditional system and three SPSi scenarios (pessimistic, moderate, and optimistic). Monte Carlo simulations were conducted to assess risk, ensuring robust results. The results show that the NPV for the traditional system was a modest USD 61, while SPSi scenarios ranged from USD 9564 to USD 20,465. The IRR improved from 8.17% in the traditional system to between 26.63% and 30.33% in SPSi scenarios, with a shorter payback period of 4.5 to 5.8 years, compared to 7.98 years in the traditional system. Additionally, the SPSi demonstrated a 30% increase in milk production and a 50% to 250% rise in stocking rates per hectare. The study recommends, subject to pending validations through field trials, promoting SPSi adoption through improved access to credit, technical assistance, and policy frameworks that compensate farmers for ecosystem services. Policymakers should also implement monitoring mechanisms to mitigate unintended consequences, such as deforestation, ensuring that SPSi expansion aligns with sustainable land management practices. Overall, the SPSi presents a viable solution for achieving economic resilience and environmental sustainability in Peru’s cattle sector.en
dcterms.accessRightsOpen Access
dcterms.bibliographicCitationJunca Paredes, J.J.; Durango Morales, S.G.; Burkart, S. (2025) An economic evaluation of an intensive silvo-pastoral system in San Martín, Peru. Grasses 4(2): 21. ISSN: 2813-3463en
dcterms.extent21en
dcterms.issued2025-05-20en
dcterms.languageen
dcterms.licenseCC-BY-4.0
dcterms.publisherMultidisciplinary Digital Publishing Instituteen
dcterms.subjectprofitabilityen
dcterms.subjectalimentación de ganado vacunoen
dcterms.subjectcattle feedingen
dcterms.subjectsistema silvopascícola-sistemas silvopastoralesen
dcterms.subjectmonte carlo methoden
dcterms.subjectmultipurpose breeds-dual purpose breedsen
dcterms.subjectmétodo de monte carloen
dcterms.subjectraza mixta-ganado de doble propósitoen
dcterms.subjectgananciaen
dcterms.subjectsilvopastoral systems-silvopastureen
dcterms.typeJournal Article

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