Profitability in dairy farming

Deshevykh A.A., Skobel O.I., Glazko V.I. and Kosovsky G.Y.
Additional contact information
Deshevykh A.A.: Federal State Budget Scientific Institution Center of Experimental Embryology and Reproductive Biotechnologies
Skobel O.I.: Federal State Budget Scientific Institution Center of Experimental Embryology and Reproductive Biotechnologies
Glazko V.I.: Federal State Budget Scientific Institution Center of Experimental Embryology and Reproductive Biotechnologies
Kosovsky G.Y.: Federal State Budget Scientific Institution Center of Experimental Embryology and Reproductive Biotechnologies

Russian Journal of Agricultural and Socio-Economic Sciences, 2016, vol. 54, issue 6, 39-51

Abstract: The dairy cattle profitability as ratio of profit to expenses must be execute after sales of the final product, therefore assessment of this index is impossible. However, when considering profitability dynamics in time was found a function, according to which it is possible to predict profitability growth based on changes of production capacity. To identify the dairy cattle criteria entered the most significant contribution in profit assessment, considered the relationship of costs to profit. The ratio of implementation cost to the prime cost becomes more significant in case of big yield. Permissible deviation limits are determined, when function studied. Profitability reflects the real situation on production only in case of grants absence in its evaluation. It is discussing, that high productive cattle is purchased to increase the profitability level. But high productivity expressed in negative effect to reproductive function, productivity cycle, animal's health. To overcome these unpleasant consequences, when import high productivity cattle breeding, the crossing made between high specialized and local breeds. But by the general production for the life cycle the mongrel cattle cedes to local. The tipping point in population provision with the milk products is detecting after 10 years of the beginning of using high productivity breeds. Extensive methods of cattle breeding for providing people with the milk products had been changed to intensive, just like in Germany, Israel, USA, based on moving for using high productive cattle non adapted to Russian Federation environmental conditions. Need to create favorable conditions for this cattle breeds suggests the changing of hole dairy home technique and technology base to base developed for import high productivity cattle. Further orientation on non-adapted to Russian Federation environmental conditions high productivity cattle need to be provided with western technologies on target developed to import cattle. So, politics in imports phase-out lost its priority not only in import of high productivity cattle, but also in technique and technology providing area.

Keywords: PROFITABILITY; CATTLE; EXPENSES; PROFIT; PRODUCTIVITY (search for similar items in EconPapers)
Date: 2016
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