The profitability and constraints of phosphogypsum application on sodic soils:

The case of Arys Turkestan in Southern Kazakhstan

Authors: V. Muhamedjanov, N. Gritsenko, V. Vishpolskiy, S.Ibatullin, A. Mirzabaev, A. Aw-Hassan, R. Paroda, M.Qadir, A. Noble, A.Karimov

Problem definition

Soils with high levels of magnesium have low
infiltration rates and hydraulic conductivities, these
soils form big clods when dry at post-irrigation phase,
which negatively impacts on the water infiltration.
Such sodic soils are predominant in Ukraine, Russia,
Kazakhstan, Eastern Europe, China, Canada, USA,
South Africa and Australia in the area of about 135
million hectares. The consequence is a gradual decline
in crop yields. This study evaluates the potential
impacts and identifies the constraints of using
phosphogypsum as a remedy in such soils. More than
30% of the irrigated area in Southern Kazakhstan has
soils with high levels of magnesium, which results in a
decline in cotton yields, thus, affecting the livelihoods of
many poor rural households who heavily rely on this crop.
Leaching of soils with excess water application at the
rates 2500-3500 m3/ha have been a common practice for
decades, resulting in the removal of excess soluble salts as
well as essential nutrients. The present insufficient use of
mineral fertilizers in the area further exacerbates the
problem.

The research site

ICARDA initiated the on-farm researches on PG application

in Arys Turkistan area, which represents the irrigated
systems of Central Asia. The research was funded by the
ADB project on Soil and Water Management, which was
conducted in six countries in Central Asia and the Caucasus.
During 1999 to 2005 the Kazakh National Water
Management Institute implemented the PG trials in the
study area. Since 2005, these trials have continued in
partnership with the same Institute under under a joint
IWMI-ICARDA-ICBA project on Saline Soils
Management also funded by the ADB. Southern
Kazakhstan, where the research site is located, is one of the
most important agricultural areas in Kazakhstan, where the
majority of the country's irrigated agricultural land is
situated, and has both the highest population density and the Figure 1. During a farmers’ field day on phosphogypsum
highest poverty incidence. application (Arys Turkestan, Kazakhstan)

Is phosphogypsum a feasible option?
This study examines whether Phosphogypsum (PG) can
be a viable solution for remediation of high magnesium
contaminated soils in Southern Kazakhstan. PG
efficiently improves the soil fertility by impacting
positively on the soil structure through recovering its
water permeability. The gypsum it contains also serves as
a valuable source for phosphate, calcium and other
elements needed by the plants. PG application in Southern
Kazakhstan was first initiated in early 1980s; however,
with the changes in the agriculture after the collapse of the
Soviet Union, PG application has completely
disappeared. Phosphogypsum can be applied in winter
before snowfall or after plowing the field for seed-bed
preparation. In low rainfall years, incorporation of the
applied phosphogypsum by harrowing the field is
recommended in order to reduce the risk of the material
being blown away due to strong winds that are common in
the region. The positive effect of phosphogypsum on crop
yields last for a minimum 4 years after application, though
starting from the third year it gradually begins to decline.

PG supply and costs

There appears to be abundant supply of PG in two fertilizer

factories in Taraz and Chimkent both located in South Total cost: 31.5 USD for t/ha
Kazakhstan, as these factories have accumulated several Procurement
of PG , 4.72
million tons of PG as an industrial by-product during their
operation for the last 50 years. Currently, PG is dumped in open-
air near the production sites of these factories that are a potential
environmental hazard. The cost of procurement either in Taraz or
Chimkent plus transportation and application are estimated at 31
USD/t. However, there are PG supply shortages due to other uses
Trans portation,
such as in construction, etc in Chimkent as well as concerns of 26.78
quality. Such concerns are not reported in Taraz. Figure 1 shows that
transportation accounts for the largest share (85%) of the total cost of
PG use, where as only 15% is the actual procurement and loading
cost. This makes transportation cost as the single most important Figure 1. Cost structure of PG application
factor affecting the large scale adoption of PG application. 1
 BOX: The positive affects of PG application in agriculture and the constraints to a large scale application.

T he positive affects T he co nstraints

 Improves the soil quality b y increasing  F arm ers’ awareness of the technology is
water perm eability, thus increasing a nd still low.
stabilizing crop yields a nd increasing farm  F arm ers, in their majority, currently don’t
incom e. have sufficient financia l resources for
 C ontains m ineral fertilizers, which enrich phosphogypsu m application, w hich
the soil w hen dissolved, thus contributing necessitates active public financial
vitally im p ortant nutrient elem ents to th e support in dissem ination of this
soil. technology.
 H elps to alleviate the environm ental
hazards caused b y its op en-a ir du mp ing
near chem ical factories.

Economic evaluation of PG application

The profitability of PG application was evaluated using on-farm
trial data from farmers' fields in Arys Turkestan. The project
conducted on-farm trials on the application of phosphogypsum
(PG) on soils with high magnesium levels at Arys Turkestan site in
Kazakhstan where 5 different treatments were applied. These
treatments include control (or no PG application) and application
in autumn before snowfall at the rates of either 3.3 t ha-1 or 8.0 t ha-1
-1
and application in spring at the rates of either 3.3 or 8.0 t ha . The
valuation is based on cost benefit analyses of on-farm enterprise
budgets of each of the treatments. The cost benefit analysis is a
technique for evaluating the total costs of one or more technologies
with their total benefits. Technology is considered as profitable
when the cost benefit ratio is higher than 1. Rate of return (ROR) is
used to evaluate the return from investing in PG application. ROR
is the ratio of profits gained or lost on an investment relative to the
amount of money invested. We collected the production costs data
including variable (inputs) and fixed costs (taxes and depreciation)
through interviews with farmers participating in the trials.
Results
Figure 2 presents the net benefits per hectare during the fist year of
PG application on cotton under the five treatments. The analysis
shows that the application of PG in autumn before snowfall is
better than its application in spring, the average Benefit Cost Ratio
(BCR) for the first option is 1.2, and 1.05 for the second option.
The results revealed that, at least during the fist year, the
application of PG in spring did not generate any additional
revenues when compared to the no- PG control treatment. In
addition, under the treatments where 3.3 t/ha of PG was applied
more net benefits were generated than under those where 8.0 t/ha
of PG applied.
200
150
100
50
0
NO PG 3.3 t/ha PG 8.0 t/ha PG 3.3 t/ha PGin 8.0 t/ha PGin
-50 before snowfall before snowfall spring spring
-100
Figure 2. Net Accumulated benefits per hectare (USD/ha)
This is due to the fact that additional yield increases associated
with higher PG rates did not generate enough net benefits to
cover the increased PG application costs. Though, it
should be noted that as the PG's impact lasts about 4
years, even spring application of PG and its
application at the rate of 8.0 t/ha could eventually
become more profitable than no-PG treatment. During
the first year, the 3.3 t/ha of PG application was found
to be more beneficial than 8.0 t/ha of application, the
average BCR for 3.3 t/ha of PG application was 1.2, for
the 8.0 t/ha of application it was 1.0. The internal rate of
return from applying 3.3 t/ha of PG in autumn before
snowfall against the no-PG treatment was 55%.
The average ROR was 120% for 3.3 t/ha of application,
whereas for 8.0 t/ha of application it was negative (-
2%). The average ROR for PG application in autumn
was 90%, and for spring application it was 28%.

Constraints

Currently, PG is not marketed by fertilizer traders in Kazakhstan for agricultural users because there is no wide scale application of PG
in agriculture for remediation of soils in Southern Kazakhstan, thus economies of scale and stable demand for PG by farmers is
currently not present. Once, the application of PG becomes widespread, and the demand for PG increases, fertilizer traders may respond
by supplying PG as any other fertilizer. At the same time, PG is not listed as a fertilizer, thus farmers willing to apply PG are not able to
benefit from Government subsidies for fertilizers.

Conclusions

Phosphogypsum application has demonstrated a big potential for remediation of magnesium dominant soils in Southern
Kazakhstan. Profitability analysis shows that high PG application that produce the highest crop yields did not generate the
highest net incomes. Lower rate at 3.3 t/ha applied in autumn before snowfall was found to generate the highest economic
benefit. Subsidies for PG application rates in the initial period to promote adoption and develop the market supply system can be

Contacts: International Center for Agricultural Research in the Dry Areas (ICARDA), Central Asia and Caucasus
Regional Office, Murtazaeva 6, Tashkent, 700000, Uzbekistan. Tel: (998) 71 137 21 30/137 21 60
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E-mail: icarda-cac@cgiar.org