Financial evaluation of agroforestry systems in Friedan and Chadegan cities of Isfahan province

Although the ecological and social benefits of agroforestry systems are well known, the acceptance of these systems amongst farmers is emerging slowly. Introduction of the most profitable agroforestry systems and proving their advantages compared to traditional farming systems, may increase the social acceptance of these integrated trees and crop cultivations. This study aims at evaluating evalute the agroforestry systems financially developed in Chadegan anf Frieden cities of Isfahan province. Aroforestry systems and practices developed in the study area were first identified and recorded. Then, planting, growing and harvesting activities (type and amount) of agroforestry systems were examined over a periode of 10 years through survey method. Average cost and revenue of agroforestry activities and inflation-related data were extracted from the annual reports of Agriculture – Jahad Organization of Isfahan Province and Statistical Center of Iran, respectively. Financail calculations were performed using Land expectation value (LEV) and Equivalent Annual Value (EAV) criteria and nominal discount rate (the sum of the real discount rate of 3 to 5% and the average of inflation rate during the study period). Results showed that alley cropping of alfalfa and fruit trees has the highest financial return amongst the agroforestry systems of the region while windbreak (shelterbelt) and trees for soil conservation were ranked second and third, respectively. Further research is necessary to know how farmers decide amongst agroforestry systems and how to encourage them to apply the optimal one.