Maximizing Agricultural Production with Limited Inputs and Fixed Cost

Sergio Drumond Ventura, Angel Ramon Sanchez Delgado

Abstract: We presented a computational procedure to maximize the production of a given agricultural crop with limited inputs (water-nitrogen), and where a fixed cost (or expense) of the inputs is imposed. Theoretically, the procedure is based on the duality theory of quadratic programming and the logarithmic barrier method of nonlinear programming. We tested the procedure in three different numerical scenarios defined in the literature, for the cultures: Lettuce, Oats, Onion and Melon. In each agricultural scenario considered, we verified that the procedure is a reliable alternative in making agribusiness economic decisions.

Keywords: water-nitrogen, duality, logarithmic barrier, agribusiness