An economic analysis of the financial viability of switchgrass as a raw material for pulp production in eastern Ontario

This paper examines the economic viability of producing switchgrass (Panicum virgatum) to be used as pulp in fine paper production. Pulp mills in eastern Ontario and western Quebec are considered to be the potential market for switchgrass. The potential size of the market for switchgrass pulp is assessed. Budgets for switchgrass are constructed and various measures of the potential market value of switchgrass are calculated. Based on these preliminary findings, it appears that switchgrass could be an attractive crop for farmers in eastern Ontario and western Quebec. The total land area required to satisfy the potential demand for switchgrass fibre for pulping in eastern Ontario is estimated to be between 22,000 and 48,000 hectares. Further agronomic research to examine the productivity of switchgrass on economically marginal and erosion prone lands is indicated.