Page 14 - Azerbaijan State University of Economics

XiaolinQu, M.S., Lal K. Almas: The water requirement and profitability analysis of corn using irrigation
management approaches including evapotranspiration and weather data

By equating MVPTW to MFC, the optimal levels of TW will be determined

in relation to the price of corn and natural gas (Equation 8). Table 3 shows the

optimal levels of TW by inserting the price range of corn and natural gas.

. 1 08 * P  . 5 66  10 . 755 * P
TW = NG corn (8)
 . 0 276 * P c orn

The maximized profit levels are obtained by subtracting the total cost from the

total revenue. The variable cost regarding the level of irrigation application is

obtained by subtracting the amount of average rainfall and soil water from the

optimum level of total available water in order to determine the amount of water

required from applying irrigation. The average amount of rainfall and soil water is

estimated to be 10 inches for corn production which is obtained by subtracting

average irrigation from average total available water in the project budget for corn

(table 1). The levels of corn profit at each optimum level of total available water

under the same ranges of natural gas and corn prices are shown in table 4.

Yield-Irrigation model

The corn yield-irrigation response function is developed by inserting the

coefficients generated in this model (table 1), which is shown in Equation 9.

Y corn= 15.809*I-0.287*I 2 (9)

MPP I and MVP I could be obtained based on the Equation 9 and MVP I is

shown in Equation 10. Then the profit maximizing levels of irrigation application

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