Using Climatic Data and ET Requirements to Estimate Corn Production Profitability with Optimal Irrigation Levels in the Texas Panhandle

The performance of the agricultural sector in the Texas Panhandle is dependent on irrigation. The declining availability of irrigation water from the Ogallala aquifer combined with increasing energy costs make irrigation strategies much more critical. Economic viability and resource conservation are not mutually exclusive. Selecting an irrigation level maximizes profits both increases profits and conserves the water resource as compared with a strategies of maximizing yield per acre. Under average precipitation, a management strategy that irrigates to maximize yield reduces profit by between $22 and $158 per acre and increases water consumption by 2.21 and 11.20 acre inches depending on the combination of corn and natural gas prices. Adopting a profit maximizing strategy is a win-win situation both economically and for water resource conversation.