Extension Notebook: Conservation practices can improve farm profitability

As input costs continue to rise and commodity prices remain volatile, many Illinois farmers are taking a closer look at every management decision that affects profitability. In uncertain economic conditions, adding conservation practices to a farming operation may not initially seem like a priority. However, several conservation practices recommended through the Illinois Nutrient Loss Reduction Strategy can both improve farm profitability and protect local water quality.

One of the biggest misconceptions in crop production is that the highest yields automatically result in the highest profits. While strong yields are important, profitability depends on the balance between production costs and returns. Chasing one additional bushel often requires additional fertilizer, fuel, equipment wear, or pesticide applications that may not provide an economic return. In many cases, reducing unnecessary input costs while maintaining strong yields can improve overall profitability more effectively than maximizing yield alone.

Nutrient management is one area where farmers can often improve efficiency without sacrificing production. Practices such as using the Maximum Return to Nitrogen approach help producers determine economically optimal nitrogen rates rather than applying fertilizer “just in case.” MRTN recommendations are designed to balance crop needs with fertilizer costs and commodity prices, helping farmers avoid overapplication while still supporting strong yields.

Similarly, soil testing for phosphorus allows producers to apply nutrients where they are needed rather than using blanket application rates across all acres. Applying fertilizer according to soil test recommendations can reduce unnecessary input costs while also lowering the risk of phosphorus loss to nearby waterways.

Conservation tillage practices, including no-till and strip till, can also provide both economic and environmental benefits. Reducing tillage passes lowers fuel use, labor requirements, and machinery wear and tear. Fewer trips across the field can significantly reduce operational costs over time, especially as fuel and equipment expenses continue to rise.

In addition to economic savings, conservation tillage helps keep soil in place and reduces erosion risk. Soil erosion is not only a threat to long-term soil productivity, but it also contributes to phosphorus loss from fields into streams, rivers, and lakes. Keeping soil on the field protects valuable topsoil while improving water quality downstream.

Cover crops are another conservation practice gaining attention for their agronomic and economic benefits. Cover crops help hold excess nutrients in the soil profile, particularly nitrogen that may otherwise be lost during the fall, winter, and spring months. They also protect soil from erosion and help reduce phosphorus movement from fields.

Beyond nutrient retention and erosion control, cover crops can improve soil health over time by increasing organic matter, improving soil structure, and enhancing water infiltration. Healthier soils are often more resilient during periods of heavy rainfall or drought, providing long-term benefits for productivity.

Some farmers are also finding opportunities to reduce fertilizer and pesticide inputs by using cover crops. Farmers can manage their cover crops to help suppress weeds, reduce compaction, and recycle nutrients within the soil system. Greg Thoren, an Illinois farmer and conservation advocate, encourages producers to think differently about how they budget for cover crops. Rather than viewing them solely as an added expense, he suggested at a recent virtual farmer panel discussion that cover crop costs be considered part of the operation’s fertility budget because of the nutrient retention and soil health benefits they provide.

Adopting conservation practices does require a management shift and a willingness to think differently about profitability. Cover crops, nutrient management, and reduced tillage all involve additional planning and decision-making. However, farmers do not have to make these transitions alone. Technical assistance, educational resources, and farmer networks are available throughout Illinois to help producers successfully integrate conservation into their operations.

As farm economics continue to tighten, conservation practices offer an opportunity to improve efficiency, reduce unnecessary costs, and build long-term resilience. High yields will always matter, but long-term profitability often depends more on managing costs, protecting soil resources, and making strategic decisions that support both the farm and the environment.

Rachel Curry is a University of Illinois Extension agricultural and agribusiness educator and is part of Extension’s Nutrient Loss Reduction Strategy implementation team.