Climate change in Western Australian agriculture: a bioeconomic and policy analysis

Modelling techniques were used to consider the impacts and policy aspects of climate change at the farm-level and the potential for carbon sequestration through the adoption of different land-management practices, using the Western Australian Wheatbelt region as a case-study. Benefits of adaptation were considerable. However, results suggest substantial reductions in profitability if the predicted warming and drying trend translates into large temperature increases and/or rainfall reductions. Production (crop yield) was less sensitive to climate change than profit. The potential for agriculture in the region to provide low-cost mitigation seems limited, particularly from soil carbon.