Analysis of risk in irrigated sugarcane at Mackay

In this paper, yield responses from irrigation at Mackay are evaluated using the AUSCANE simulation model to generate income distributions for alternative production strategies, ranging from no irrigation, through moderately and fully irrigated strategies. The income distributions associated with these alternatives were compared using stochastic dominance analysis to determine whether any of them were of no interest to the decision-maker. The paper presents a procedure for dealing with risk and uncertainty in sugarcane production.