Study on production and marketing pattern milk in district Naushahro Feroze

The state of Naushahro Feroze district, one of the major milk producing cities in Sindh, was chosen to assess possible developments in the Pakistan dairy sector and to broadly identify areas of interventions that favour small-scale dairy producers. Impacts of changes in milk prices, farm management and other market factors that affect small-scale milk production, In order to assess the production and marketing patterns of milk in Naushahro feroze district, a research study on major milk markets and milk producing farmers was carried out through survey method. A total of 135 selected respondents were interviewed personally, i.e. 30 from Naushahro Feroze, Moro 24, Bhiria City 12, Tharoshah 6, Padidan 15, Bhiria Road 9, Kandiaro 18, Mehrabpur 21. Three agencies i.e. dairy farmer, milk wholesaler and milk retailers were investigated on pretested questionnaire which are shown in appendix. In the areas under study, the farmer/producer was itself the wholesaler and in the area retailers are scattered. Out of total sample of 135 respondents 45 were producer, wholesalers and 45 remaining were retailers. Naushahro feroze was the major study area where about 700 diary farms are existed and reportedly 28500 buffalos and cattle are managed for production of milk. However, the population of cattle is not considerable. The study revealed that the literacy rate was 49 percent and 64 percent were married. The structure of dairy farms 13 percent katcha and 40 percent were semi pacca while 47 percent were pacca waras. The herd size was 1420 buffaloes and 348 buffaloes/ cattle out of 45 farms. The fixed cost incurred was Rs. 48627 per buffalo, Rs. 42586 per buffalo/ cattle per year. The recurring cost per year averaged Rs. 22769 per buffalo, Rs. 21778 per buffalo/ cattle. While the marketing cost spend per year averaged as whole Rs. 802 per buffalo, Rs. 695 per buffalo/ cattle. Averagely a total of 188114 liters and 143795 liters of milk was sold by per wholesaler and per retailer per year respectively. Total milk sold by farms was 120781 liters per farm per year at the rate of Rs.17 per liter. The net margin of farmers on sale of milk on per animal per year was 29042 for buffalo and 28351 for buffaloes/ cattle. Price received from the sale of milk per wholesaler and retailer was Rs. 37622 and Rs. 3163498 at the rate of Rs. 20 and Rs. 22 respectively. The share in breakdown of consumer rupee for milk was received by producer 66 percent, wholesaler 22 percent, and retailer 12 percent. The cost benefit ratio analysis demonstrated that Rs. 1.00 investment the farmer, wholesaler and final retailer earned 1:124, 1:011, and 1:07 respectively. It may be concluded that out of three agencies studied dairy farmers earned more return, followed by wholesaler, while retailer earned the lowest. Comparatively the greater share in the earnings by the farmer was mainly due to the initial ownership of the product, farmer (producer) being the principal functionary in the whole marketing chain. Cull animals, young calves, manure and empty bags of ration, etc also added to the profit of dairy farmer including labour and management by farmer and his family.