Profitability of dairy farming in relation to the type of feeding system
2011
Frelich, J.,Jihoceska Univ., Ceske Budejovice (Czech Republic). Zemedelska Fakulta | Slachta, M.,Jihoceska Univ., Ceske Budejovice (Czech Republic). Zemedelska Fakulta | Strelecek, F.,Jihoceska Univ., Ceske Budejovice (Czech Republic). Ekonomicka Fakulta | Lososova, J.,Jihoceska Univ., Ceske Budejovice (Czech Republic). Ekonomicka Fakulta
We investigated the profitability of dairy farms in relation to the type of feeding system (seasonal pasture vs. permanent housing). An economic analysis about the structure and financial health of 50 farms was carried out in 2007 using questionnaires filled in by the farmers. The Principal Component Analysis (PCA) was applied to reveal causal relationships between a number of characteristics of the farms. The two axis of PCA explained 40.48% and 16.13% of the variability among the selected farm characteristics. Profitability related more to the number of subsidies, the area of arable land, the number of livestock and to the milk and plant production than to the area of meadows and pastures. Although a better cow performance was achieved on farms with confined herds, the profit per agricultural area and profit rate did not differ significantly between the two feeding strategies. The average profit was 3,259 and 3,655 CZK/ha, the profit rate 7.9% and 5.6% on farms with pastured herds and on farms with confined herds, respectively.
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