The animal feed sector can substitute between (grass) land and animal feed from crops, and within animal feed from crops between different types of animal feed, including relevant by-products that change with biofuel production like DDGS, oilcake and molasses. The agricultural sectors can also substitute between land and fertiliser, while the ethanol sector can substitute between different feedstocks. In this study, we use a two-level nested structure to represent substitution possibilities between pasture land and compound feed for animal production (first level) and substitution between compound feed feedstocks (second level).