The paper analyzes the development of milk prices as well as the effectiveness and economy of enterprises included in the particular production category called 411 Milk. The influence of prices on profitability, production elasticity, labour productivity dynamics, effectiveness of long-term assets and resulting cost changes are discussed in particular. Milk profitability was not significantly influenced by different prices in the individual states. The variation of prices in time was more important. The production is supposed to grow with delay. Milk yield (per cow and year) and number of cows per worker are the main determinants of labour productivity growth in the in-kind expression. The influence of prices on labour productivity in monetary expression among individual states is not as important as it was supposed.