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Record W24204330 · doi:10.3389/fnins.2013.00207

The Impact of Energy Markets on the Canadian Food Wheat Supply Chain

2013· article· en· W24204330 on OpenAlexaboutno aff
Bijon Brown

Bibliographic record

VenueFrontiers in neuroscience · 2013
Typearticle
Languageen
FieldEconomics, Econometrics and Finance
TopicEconomics of Agriculture and Food Markets
Canadian institutionsnot available
Fundersnot available
KeywordsFood supplyAgricultural economicsFood chainSupply chainBusinessFood energyChain (unit)Food processingCommerceEconomicsFood scienceMarketing

Abstract

fetched live from OpenAlex

Rising oil prices have been a concern for both developed and developing countries, especially in more recent years as it tends to have a crippling effect on production and transportation. Many countries have moved towards the development of fossil fuel alternatives as a means of achieving energy independence and achieving environmental targets (for example the Kyoto Protocol). Developments in both these types of energy markets (fossil fuel and renewable fuels) may impact Canadian Prairie agriculture. Most of Canadian prairie crops are exported. The Canadian prairies are land locked to some extent. The closest ocean access to the eastern portion of the prairies is the port of Churchill, but is closed during the winter season. Crops are therefore transported west through the Rocky Mountains or east through the Great Lakes to get to a port. This requires hundreds of kilometres of truck and rail transportation, which is fuel dependent. To a lesser extent, at the micro-level farmers depend on fossil fuels to operate machinery to facilitate efficient crop production. If oil prices continue on an upward trajectory, will farmers cropping behaviour change? Furthermore, the development of the bioethanol industry on the Canadian prairies has given wheat farmers another crop option. As oil prices increase, the price of ethanol increases as well. Also, demand is bolstered by renewable fuel standards and government tax exemptions or subsidies. This study seeks to put forward the notion that as oil prices increase, crop production and transportation costs also increase thereby reducing farmers’ gross margins. Also, ceteris paribus, as oil prices increase there will be an increased demand for, and an increase in the price of biofuels thereby increasing the price of biofuel feedstock. Higher feedstock prices are expected to increase the gross margins of farmers. Therefore higher oil prices drive increased crop competition between traditional cropping (cropping for food exports) and energy cropping. This thesis seeks to ascertain at what level of oil prices would farmers, in general, be willing to switch from producing wheat for traditional (hard/food wheat) purposes to bioenergy (soft/ biofuel wheat) cropping alternatives. Also under varying scenarios of oil price growth and government support to the biofuel industry, this thesis seeks to ascertain the impact of biofuel industry expansion on grain elevator pricing behaviour and the structure of the elevator industry, assuming elevators spatially compete with each other for farmers’ crops. An agent based model (ABM) is employed for this study. The model is selected over other types as the researcher wants to capture the increased complexity stemming from the competition between crops that belong to at least one distribution chain. Agent based networks allow for emergent behaviour that is obtained from the spatial competition of elevators. Finally, the agent based model allows for spatial heterogeneity in location of farmers in terms of soil quality and their proximity to an elevator, which affects crop productivity and transportation costs, respectively. The ABM (also called the FARMCHAIN model) is comprised of over 35000 farmer agents, 176 elevator agents, 6 canola crushing plant agents, 5 ethanol plant agents and 1 biodiesel plant agent located on the 20 census agricultural regions (CARs) of Saskatchewan. Farmers allocate land based on their expected gross margins. Farmers produce and truck crops to the designated distribution chain. Crops move through the chain and at every stage the associated costs are computed and apportioned to the farmer. At the end of the period, gross margins are computed and these gross margins are used in computing the expected gross margins for the subsequent period. It is found that real annual crude prices would have to be greater than $133 before farmers begin to switch to producing biofuel wheat (soft wheat) from food wheat (hard wheat). This would have to be approximately 30% higher than that of 2008 in which crude prices were at record levels. Also, if biofuel support is declining then it would take a considerably higher price to entice farmers, in aggregate, to switch.

Fetched live from OpenAlex and de-inverted. Abstracts are not stored in this database: the inverted indexes are 8.6 GB of the frame’s 9.3 GB of text, and the host has 13 GB free.

How this classification was reachedexpand

Full frame machine prediction

Teacher imitation

Not calibrated prevalence, not ground truth. Human validation pending. The Gemma side is a direct model label for every work in the frame, read from the title-only record. The Codex side is a classifier learned from the 10,348 direct Codex labels and calibrated to design-weighted sample rates; fields without enough sample support carry no Codex call. Candidate is the union of the two sides; consensus is their intersection. These outputs are machine_predicted_unvalidated and are not human labels.

metaresearch head score (Codex)0.000
metaresearch head score (Gemma)0.002
Version: metacan-v3-hybrid-931329e0061cValidation status: machine_predicted_unvalidated
Candidate categoriesnone
Consensus categoriesnone
DomainCandidate signal: none · Consensus signal: none
Study designCandidate signal: Simulation or modeling · Consensus signal: none
GenreCandidate signal: Empirical · Consensus signal: Empirical
Teacher disagreement score0.059
Threshold uncertainty score0.430

Distilled classifier scores by category (both heads)

CategoryCodexGemma
Metaresearch0.0000.002
Meta-epidemiology (narrow)0.0000.000
Meta-epidemiology (broad)0.0000.000
Bibliometrics0.0010.003
Science and technology studies0.0030.001
Scholarly communication0.0040.001
Open science0.0010.001
Research integrity0.0010.001
Insufficient payload (model declined to judge)0.0170.001

Machine scores (provisional)

The two teacher heads of the student model, read on this work. A score orders the frame for review; it never asserts a category, and the validation status ships verbatim with every row.

Baseline scores from an immature model (maturity gate not passed, 7 training rounds). Scores rank; they never assert a category.

Opus teacher head0.013
GPT teacher head0.178
Teacher spread0.166 · how far apart the two teachers sit on this one work
Validation statusscore_only:v0-immature-baseline · verbatim from the scoring run: score_only means the number may rank works, and no category label ships from it

Classification

machine, unvalidated

Machine predicted; a candidate call from one source (direct Gemma or distilled Codex), not a consensus.

The models applied no category: nothing in the taxonomy fit this work.
Study designSimulation or modeling
Domainnot available
GenreEmpirical

How this classification was reached, model by model and score by score, is at the end of the page under "How this classification was reached".

Quick stats

Citations1
Published2013
Admission routes1
Has abstractyes

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