4.4.5.4 Analysis of the economic production with and without the use of neem pesticides

Leupolz (1995) investigated the economic relationship between the application of NKWE and synthetic pesticides in crops such as maize, millet, beans and cassava, and found that with the exception of cassava the short-term profit from application of synthetic pesticides was higher than with NKWE under the given conditions in 1994. At that time neem kernels were subsidised and supplied 50% cheaper than today.

A main advantage for the farmers applying NKWE was that they received additional permanent advice from the NGO and could optimise the total production system. It was also revealed that inputs and yields were optimised by the farmers applying less synthetic pesticides than recommended by rural development banks.

No information on trials is available concerning the actual price and cropping conditions and which compare IPM systems with and without pesticides. Therefore for a rough approach the mere cost for pesticides competing with neem are compared below (see Table 61). The following is discussing insecticides, which can be substituted by neem.

Nicaraguan neem pesticides can effectively control aphids, lepidopterous pests and white fly. There exist also a fair efficacy against heteropterous pests.

Table 61: Price comparison of pesticides competing with neem, and target pests