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Economic Analysis of Dairy Cattle Enterprises: The Case of Konya Province

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  • Oğuz Cennet

    (Selcuk University Konya, Faculty of Agriculture, Department of Agricultural Economics, Ardıçlı Mahallesi, İsmetpaşa Cad., 42250 Konya, Turkey)

  • Yener Aysun

    (Assistant, Selcuk University Konya, Faculty of Agriculture, Department of Agricultural Economics, Ardıçlı Mahallesi, İsmetpaşa Cad., 42250 Konya, Turkey)

Abstract

This study evaluates the economic activity results of dairy cattle enterprises in Konya Province. The data used in the research was obtained through questionnaire technique from 125 dairy cattle enterprises which were determined with stratified random sampling method on a voluntary basis. The total active captial of the enterprises are $845,330.85 and the share of animal capital is 26.27%. Average cattle number in the enterprises have been determined to be 104.95 heads, cow number is 61.22 heads per farm while average daily milk yield in the enterprises is determined as 27.45 lt/head for milker cows. The total average variable cost in dairy cattle enterprises is calculated to be $104,235.23 and the sum of all fixed cost is $40,496.15. The share of feed cost in variable costs is 84.33%. Gross Production Value (GPV) is $194,759.57 and 85.08% of this value is from milk and milk products. Gross profit per enterprise is $90,524.34 and net profit is $50,028.19. In the study, the milk cost is calculated at $0.31/lt. Sale price of milk of enterprises is $0.42/lt in 2015. In the research field, economic profitability of enterprises is calculated at 2.04% and financial profitability is calculated at 2.02%. As a result of the research, the greatest problems of dairy cattle enterprises are identified as supplying of roughage and concentrate feed, low levels of organization, low number of milked stocks, and taking individual actions against the market.

Suggested Citation

  • Oğuz Cennet & Yener Aysun, 2017. "Economic Analysis of Dairy Cattle Enterprises: The Case of Konya Province," European Countryside, Sciendo, vol. 9(2), pages 263-273, June.
    • Handle: RePEc:vrs:eurcou:v:9:y:2017:i:2:p:263-273:n:3
    DOI: 10.1515/euco-2017-0016
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    References listed on IDEAS

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    1. Gerosa, Stefano & Skoet, Jakob, 2012. "Milk availability: trends in production and demand and medium-term outlook," ESA Working Papers 289000, Food and Agriculture Organization of the United Nations, Agricultural Development Economics Division (ESA).
    2. Upton, Martin, 2004. "The Role of Livestock in Economic Development and Poverty Reduction," PPLPI Working Papers 23783, Food and Agriculture Organization of the United Nations, Pro-Poor Livestock Policy Initiative.
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