SEST Farm level contains three modules
Management Operational Tool (MOT) calculated the gross margin for each crop per hectare for base and alternative soil restoration strategies. Also, it calculates the break-even point – the point in which the income covers the cost, and the profit is zero. The break-even point could be calculated for each of the base and alternative soil restoration strategies. Regarding the break-even point calculation, it was applied simplified approachfor estimation of soil restoration technologies efficiency.
Cost-Benefit Analysis Tool (CBAT) calculates the partial budget and provides the ability to perform a comparative analysis of the changes in revenues and costs using the baseline and alternative soil restoration strategies. A dynamic cost-benefit analysis can also be carried out to evaluate the return on investment for each alternative soil restoration strategy.
Single period full CBA is simplified using the payback period. Both methods are commonly used by investors, financial professionals, and corporations to calculate investment returns. Payback Period is equal to Cost of Investment/Average Annual Cash Flow.
The dynamic CBA analysis simplification includes only a net present value approach. The forecast is simplified to one or several crops affected by soil restoration strategies for a 5-years period. The structure of the crop rotation will be the same for the planning period.
Simulation Environmental Tool (SET) optimizes profit, break-even point, and profitability to improve medium- and long-term results based on changes in average yields and crop prices. It is used sensitivity analysis for calculations. In addition, partial life cycle analysis based on information provided by FaST tool is available.
SEST Policy and stakeholders’ level will ensure analysis of average farm characteristics such as income, variable and fixed costs for different agriculture system – cereals, tree and pastures. Comparison analysis between the country and regions. In line with the simplification on farm level, the LCA is fully integrated with FaST.
Users can download all calculations in excel file which allows to be applied additional analysis.