Analysis of cost and returns of milk production in Rajasthan

Abstract

The present study was undertaken to find out the cost and returns of milk production. Milk production in India is mainly concentrated on small farms in rural areas as a subsidiary occupation to agriculture. In addition to this, there are a number of organized dairy farms under the cooperatives milk producers’ union. In this country, the low genetic potential of the animals results in the high cost and low milk production. The profit margin can be increased, by decreasing the cost of production. The average cost of production per litre milk was 14.27 and the average net return per litre of milk was 8.28. The input-output ratio was worked out 1.58 at overall level. The cost C was 1867599.61 per dairy farm and 333449.99 per milch animal and the net income was 1053011.60 per dairy farm and 18803.77 per animal. The average dairy milk yield of local cow was 8.20litre. It was 10.50 litres, 11.53 and 15.80 litres for buffalo, Jersey cow and Holstein Friesian cow, respectively.