Can agricultural cooperatives improve livestock farm profitability? Evidence from the beef cattle sector in China

To examine and compare the technical efficiency of dairy sector and the beef sector, this research introduced the main indicators of milk and beef production in the world, EU and Hungarian aggregates. Based on the data it can be said that the milk and beef production of Hungary does not occupy any significant position in the world as well as in the European Union neither today nor even in the past. If Hungry must compete in the European counties and international market, their dairy sector must focus to increase of their production efficiency as the key breakthrough point. This paper we compared technical efficiency of both dairy and beef sectors in total, for the year 2014 and 2015 separately and based on the farm size. The specific objectives of the research are: comparing dairy and beef farms efficiency in Hungary. Based on the results, we can determine which sector in Hungary is more effective. The second objective is to compare the efficiencies of both the sectors in 2014 and 2015 separately and from the results we can determine which year was more effective in terms of production efficiency and the third objective of the research is technical efficiency comparison of certain economic sizes for both sectors. In the research, we used (KOVACS, 2009) deterministic (DEA) model adapted to the Hungarian dairy farms and beef farms. For the dairy farms milk and dairy products as well as meat (other income). The input factors originated from the domestic AKI - FADN database. Summarizing the results of the research it can be conclude that the dairy sector is more effective than the beef sector in Hungary. In terms of years compared 2014 was more effective for both sector as compared with 2015. In regards to the farm size almost the same result in evaluating the scale of efficiency, which means that large economies can in most cases, manage resources more efficiently than small farms. In the examined years, based on the results of the DEA model, the VRS technical efficiency of the test for these two years was 72.90% for the dairy farms and 63.60% for the beef farms, which means that the dairy sector is more efficient than the beef sector in Hungary. The VRS technical efficiency of the research was 82.10% in 2014 and 75.10% in 2015 for the dairy farms and 77.50% in 2014 and 68.90% in 2015 for the beef farms, which means that both the dairy sector and the beef sectors followed the same trend and were more efficient in 2014 compared to the efficiency in 2015. The large size dairy farms were most effective in Hungary in the examined period (90.90%). VRS technical efficiency for small farms is 88% and the total number of small, the technical efficiency medium farms was 72.80% For the beef sector VRS technical efficiency for small farms is 71.30% and the technical efficiency medium farms was 74.40% and 70% of the beef meat producing farms in Hungary are medium sized. So, the conclusion is the small size dairy farms have a higher VRS efficiency than the small size beef farms whereas medium sized beef farms had higher VRS efficiency than the medium size dairy farms. As a conclusion, both dairy and beef sectors in Hungary have the potential to overcome technology and knowledge constraints and attain the upmost attainable productivity level through improvements in; farmer volume of production i.e. output, beef cattle technologies, and advertising, and the efficiency of the technology transfer process.
 JEL Code: Q13

In New Zealand, surplus dairy-origin calves not needed as replacement or for beef cattle farms requirements for finishing are commercially slaughtered within two weeks of age. This system has perceived ethical issues which can potentially negatively affect the dairy industry. Therefore, a young beef cattle production system to maximize the use of excess calves within the land size constraint is considered as an alternative to a traditional 18 to 33-months slaughtering system. The current study examined the effects of young beef cattle production with slaughter ages at 8 to 14 months on pasture utilization, farm profitability and selling policy on class 5, intensive finishing sheep and beef cattle farms in New Zealand. A linear programming model that had previously been developed for this farm class (optimized traditional beef cattle system) was modified to include a young beef cattle slaughter system and identified the carrying capacity for young and traditional beef cattle and the selling policy required to optimize pasture utilization and farm profitability. Systems with young beef cattle slaughtered at 8, 10, 12 or 14-months of age were simulated without (Scenario I) or with (Scenario II) decreasing the number of traditional beef cattle. Daily per head energy demand for maintenance and live weight change was estimated and converted to kg DM/head on a bimonthly basis. Carcasses from young beef cattle were processed as one class under manufacturing beef price (NZ$4.50). The modified young and traditional beef cattle slaughtering system maintained an extra 6% and 35% beef cattle in Scenario I and Scenario II respectively, and finished 90% and 84% of traditional beef cattle before the second winter. Pasture supplied 98% of the feed demand for the beef cattle activities and 79–83% of that was consumed. Mixed young and traditional beef cattle finishing scenarios returned 2% less gross farm revenue per hectare (GFR/ha). However, earnings before tax per hectare (ETB/ha) in Scenario I and Scenario II were 15–25% greater than that of the optimized traditional beef cattle system, respectively. Young beef cattle production increased pasture utilization and farm profitability and increased selling options for finished beef cattle. Therefore, the young beef cattle system is a viable option for farmers and will help to reduce the need to slaughter calves within two weeks of age.

Results from the MRDC-ANZ monitor farm programme in the Far North (Omatua Farm Ltd) have involved the adoption or continued use of onfarm technologies such as crossbreeding, yearling mating, regrassing, supplementary feeding, subdivision, fertiliser use, stock policy evaluation and monitoring animal growth rates. These results have substantially improved farm productivity and profitability. Farm business planning has been a significant part of the monitor farm process, leading to a 12% increase in yearly beef produced off the monitor farm. Small farms like Omatua Farm Ltd make up 63% of the beef cattle and sheep farms in the Far North District Council. The potential of the farm monitor-business planning approach on these farms is to improve gross annual income by $20 000. Without improvements in productivity and profitability an increasing amount of beef cattle farm land in the area is likely to end up in an alternative land use. Keywords: business planning, farm management technologies, monitor farm, small beef cattle farms

In Tajikistan, owning beef cattle is an important survival mechanism for smallholder farmers to alleviate poverty. Therefore, beef cattle farming enterprises should indeed strive to maximize profit to excel and flourish in a free economy. Nevertheless, smallholder beef cattle farmers are known for making little profit. Thus, this study was set to evaluate the profitability of beef cattle farming and its determinants to enhance profit maximization among smallholder beef cattle farmers in the Baljovan District of Khatlon region, Tajikistan. A total of 388 farming households were chosen at random and purposive for the study. The cross-sectional data collected using questionnaires was analyzed by using descriptive, gross margin (GM), and ordinary least squares (OLS) regression models. Based on the descriptive analyses, the mean age of beef cattle farmers was 52.73 years, with a household size of 7.07 members. The beef cattle farmers had an average of 18.23 cattle herd size with 8.54 years of farming experience. The average land area possessed by farmers was 10.59 hectares. Among farmers, men (98.2%) dominated beef cattle farming activities. Around 83.8% of farmers had a college grade (higher literacy). Besides, around 89.4% of farmers had access to farm credits. However, only 71.4% of farmers used farm credit points to produce beef cattle. Most of the farmers (89.7%) had access to accurate market information. Such market information enabled 75.8% of farmers to sell their beef cattle to open market (profitable) outlets rather than middlemen. About 89.4% had access to veterinary services. Additionally, about 82.7% of farmers acknowledged the availability of pasture for grazing, which motivated 87.6% of farmers to be involved in selling contracts. Furthermore, economic investigation results revealed that on average, farmers had a gross margin (GM-profit) of 353.77 US$ per cattle, with feed costs (58.6%) and medications costs (26.1%) accounting for the largest share of total variable costs. Meanwhile, the profitability of beef cattle farming among farmers was significantly influenced by education level, family size, farming experience, pasture availability, land size owned, selling contract, feed costs, medications expenses, access to credits, and sales costs (P < 0.05). This study concluded that beef cattle production is a feasible business. However, the potential for increased profitability is significant if existing resources are efficiently coordinated and production expenses, notably feed and healthcare costs, are minimized. Thus, the government should develop additional measures for addressing concerns such as capacity building, suitable and freely available pasture as well as health management, to boost beef cattle profitability among farmers in Tajikistan.

In Tajikistan, owning beef cattle is an important survival mechanism for smallholder farmers to alleviate poverty. Therefore, beef cattle farming enterprises should indeed strive to maximize profit to excel and flourish in a free economy. Nevertheless, smallholder beef cattle farmers are known for making little profit. Thus, this study was set to evaluate the profitability of beef cattle farming and its determinants to enhance profit maximization among smallholder beef cattle farmers in the Baljovan District of Khatlon region, Tajikistan. A total of 388 farming households were chosen at random and purposive for the study. The cross-sectional data collected using questionnaires was analyzed by using descriptive, gross margin (GM), and ordinary least squares (OLS) regression models. Based on the descriptive analyses, the mean age of beef cattle farmers was 52.73 years, with a household size of 7.07 members. The beef cattle farmers had an average of 18.23 cattle herd size with 8.54 years of farming experience. The average land area possessed by farmers was 10.59 hectares. Among farmers, men (98.2%) dominated beef cattle farming activities. Around 83.8% of farmers had a college grade (higher literacy). Besides, around 89.4% of farmers had access to farm credits. However, only 71.4% of farmers used farm credit points to produce beef cattle. Most of the farmers (89.7%) had access to accurate market information. Such market information enabled 75.8% of farmers to sell their beef cattle to open market (profitable) outlets rather than middlemen. About 89.4% had access to veterinary services. Additionally, about 82.7% of farmers acknowledged the availability of pasture for grazing, which motivated 87.6% of farmers to be involved in selling contracts. Furthermore, economic investigation results revealed that on average, farmers had a gross margin (GM-profit) of 353.77 US$ per cattle, with feed costs (58.6%) and medications costs (26.1%) accounting for the largest share of total variable costs. Meanwhile, the profitability of beef cattle farming among farmers was significantly influenced by education level, family size, farming experience, pasture availability, land size owned, selling contract, feed costs, medications expenses, access to credits, and sales costs (P < 0.05). This study concluded that beef cattle production is a feasible business. However, the potential for increased profitability is significant if existing resources are efficiently coordinated and production expenses, notably feed and healthcare costs, are minimized. Thus, the government should develop additional measures for addressing concerns such as capacity building, suitable and freely available pasture as well as health management, to boost beef cattle profitability among farmers in Tajikistan.

Objective: The research aims to analyze the impact of all subsystems on farmer profits in the beef cattle agribusiness system in Minahasa Regency, Province of North Sulawesi, Indonesia. Theoretical Framework: Agribusinesses may engage in a various activities related to the production (agro-production), processing (agro-processing/agro-industry), marketing (agro-marketing), and distribution (agro-distribution) of food and fiber products. Agribusiness as a system, including livestock business, cannot be separated from various interrelated components or subsystems starting from upstream components (input sources) to downstream (post-harvest and marketing), as well as supporting institutional components (policies, funding, extension, etc.). Method: The research used a survey method, with a purposive sampling method. The research was carried out by collecting sample data through interviews and observations based on questionnaires. The data analysis model uses multiple regression analysis, the impact of each subsystem in the agribusiness system on beef cattle farming profit. Results and Discussion: The research showed that only the downstream subsystem, especially cattle marketing component, has a very significant impact on the beef cattle farming profit. Meanwhile, the upstream subsystem, on-farm subsystem, downstream subsystem and supporting subsystem each has non-significant impact on the beef cattle farming profit. The research results concluded that partially only the downstream beef cattle farming subsystem had a very significant influence on the profit of the beef cattle farming, due to the effectiveness of the blantik system of beef cattle market as local wisdom in Kawangkoan which is the beef cattle production center of Minahasa Regency. Research Implications: It is recommended for stakeholders and supporting intitutions of beef cattle agribusiness in Minahasa Regency to trans-orient from the traditional agribusiness system (cattle labor orientation) to an agribusiness system oriented, towards cattle as a source of meat to meet domestic demand which is still met by imports relatively high. Originality/Value: The marketing and processing sector (downstream subsystem), serious attention needs to be paid because it greatly affects the profits of cattle farming and farmers' income. Because this is the main incentive for farmers to increase the population and production of beef cattle to meet the increasing needs of consumers.

An important foundation of a strong agricultural country is the virtuous cycle of the agricultural production system, and the beef cattle industry is the pivotal industry that guarantees the virtuous cycle of China’s agricultural production system. Farmers are the main force of beef cattle breeding in China, and livelihood capital is an important basis for influencing farmers’ breeding decisions. The measurement and evaluation of the livelihood capital of beef cattle farmers in China can help to comprehensively grasp the current level and structural characteristics of the livelihood capital of beef cattle farmers in China. In this study, the entropy value method and Delphi method were used to determine the weights of each evaluation index, and on this basis, the level, structure, and coupling coordination of farmers’ livelihood capital were measured and classified. The study shows that the overall level of livelihood capital of beef cattle farmers is low; the level and structure of livelihood capital show an uneven phenomenon, and the level of livelihood capital of farmers in different regions and different modes differ significantly. The coupling coordination degree among various measurements of livelihood capital of beef cattle farmers in China is also low, which indicates that a good coordination relationship between various types of livelihood capital has not been formed, which may affect the efficiency of resource allocation. It is suggested to improve the livelihood capital level and coupling coordination among beef cattle farmers and improve the livelihood capital structure of farmers by innovating financial tools, developing forage resources, strengthening technical training and extension, and improving policy support for the beef cattle industry.

The role of the level of intensification, productive orientation and self-reliance in extensive beef cattle farms

Cow-calf systems represent a significant research area in animal husbandry, with differences depending on the final product (meat or milk). This study aimed to apply text mining and topic analysis on literature describing cow-calf systems in European, American, and Brazilian beef and dairy sectors between 1998 and 2023. Additionally, cow-calf contact (CCC) literature data was manually extracted. Our findings revealed the presence of 11 research areas among literature on cow-calf systems, with different priorities identified in the beef and dairy sectors. Beef industry mainly focused on animal proficiency and nutrition, while dairy on animal welfare and CCC, which showed a growing trend as emerging research topic, mostly in the EU. Current debates around calf welfare and EU's planned animal welfare legislation revision appeared to be driving the increasing interest in this topic. Studies in the beef sector were mainly localized in Brazil, showing that research in different contexts and species is important for CCC implementation. Manual data extraction showed considerable variation in the retained CCC documents regarding sample size, type of contact, methods and CCC duration. Learning about the varied CCC approaches used in beef and dairy farms in different locations, concentrating on their strengths and weaknesses, will help to develop novel solutions to global challenges. Adopting validated and robust indicators would help scientists and policymakers to monitor the system's quality. To improve CCC feasibility, match consumer demands, and move towards One Welfare and One Health, future research should focus on a variety of situations to overcome the current shortcomings.

Causal gene networks model the flow of information within a cell. Reconstructing causal networks from omics data is challenging because correlation does not imply causation. When genomics and transcriptomics data from a segregating population are combined, genomic variants can be used to orient the direction of causality between gene expression traits. Instrumental variable methods use a local expression quantitative trait locus (eQTL) as a randomized instrument for a gene's expression level, and assign target genes based on distal eQTL associations. Mediation-based methods additionally require that distal eQTL associations are mediated by the source gene. A detailed comparison between these methods has not yet been conducted, due to the lack of a standardized implementation of different methods, the limited sample size of most multi-omics datasets, and the absence of ground-truth networks for most organisms. Here we used Findr, a software package providing uniform implementations of instrumental variable, mediation, and coexpression-based methods, a recent dataset of 1012 segregants from a cross between two budding yeast strains, and the Yeastract database of known transcriptional interactions to compare causal gene network inference methods. We found that causal inference methods result in a significant overlap with the ground-truth, whereas coexpression did not perform better than random. A subsampling analysis revealed that the performance of mediation saturates at large sample sizes, due to a loss of sensitivity when residual correlations become significant. Instrumental variable methods on the other hand contain false positive predictions, due to genomic linkage between eQTL instruments. Instrumental variable and mediation-based methods also have complementary roles for identifying causal genes underlying transcriptional hotspots. Instrumental variable methods correctly predicted STB5 targets for a hotspot centred on the transcription factor STB5, whereas mediation failed due to Stb5p auto-regulating its own expression. Mediation suggests a new candidate gene, DNM1, for a hotspot on Chr XII, whereas instrumental variable methods could not distinguish between multiple genes located within the hotspot. In conclusion, causal inference from genomics and transcriptomics data is a powerful approach for reconstructing causal gene networks, which could be further improved by the development of methods to control for residual correlations in mediation analyses, and for genomic linkage and pleiotropic effects from transcriptional hotspots in instrumental variable analyses.

Sustainable green development, cost saving, and efficiency improvement have become the main theme of the high-quality development of China’s animal husbandry and the problem of overuse of feed should be paid more attention. Based on the 3-year input–output data of 169 beef cattle farmers, a trans-logarithmic stochastic frontier function was used to study the relationship between feed utilization efficiency and beef cattle breeding scale. The results showed that the average technical efficiency of feed utilization was 0.56, and the technical efficiency of feed utilization increased year by year. Simultaneously, it showed that Chinese beef cattle farmers pay more attention to feed utilization efficiency at this stage; the feed utilization efficiency of retail and medium-sized beef cattle farmers was in the best state in 2015 and 2016. In 2017, the feed utilization efficiency of small-scale beef cattle farmers was the best; the technical efficiency of beef cattle breeding will increase with the expansion of scale. The technical efficiency of beef cattle breeding will increase with the expansion of the scale, and the feed utilization efficiency of large-scale farmers is also better than that of retail farmers, and the scale of beef cattle breeding can bring better benefits. However, from the perspective of feed utilization efficiency, it is not the largest scale that represents the best efficiency, and from the perspective of breeding technology efficiency, the gap between various scales is gradually narrowing. This should also prove that under the condition of hard resource constraints, the large-scale development of beef cattle breeding is in line with the basic national conditions of China at this stage.

Based on the data of China’s Household Finance Survey (CHFS) in 2017 consisting of 38230 samples across China, this paper uses the instrument variable (IV) regression method and the propensity score matching (PSM) technique to study the influence of access to the Internet on the household consumption structure. The conclusions are as follows: first, access to the Internet is conducive to the upgrading of the consumption structure of the residents. Increase of the income, assets and education level could upgrade the consumption structure. Second, people who do not use the Internet will upgrade the consumption structure if they use the Internet, but the upgrading degree of the consumption structure is limited by the income level. Third, from the regional perspective, the Internet can promote the upgrading of consumption structure in the eastern and western regions of China, but it has no significant effect on the consumption structure in the central and northeast regions.

IntroductionContract farming is seen as a tool to create new market opportunities that can address market imperfections in many developing countries and thus increase smallholder income.MethodsThis study examines the impact of contract farming on farm household income using survey data from 610 rural households in China. The propensity score matching method addresses the sample selection bias of participation in contract farming.ResultsContract farming can significantly increase farmers’ income, and both marketing contracts and production-management contracts can substantially increase farmers’ income levels, with production-management contracts having a greater degree of impact. Additional analysis reveals that breeding years, farm size, and training time can significantly affect how contract farming enhances farmers’ income. At the same time, contract farming can also considerably improve farmers’ technical efficiency in agricultural production. Participation in contract farming enhances the tendency to centralize the technical efficiency of agricultural production. Further analysis shows that the technical efficiency of agricultural production partially mediates the effects of contract farming on farm household income.DiscussionContract farming can be an effective institutional arrangement for improving the technical efficiency of farm household production and revenue. We also point out that farmers should strengthen their comprehensive ability levels and actively participate in training to acquire new knowledge and improve their cognitive ability. Simultaneously, according to the characteristics of farmers’ resource endowments, small farmers are encouraged to cooperate with companies in depth and develop contractual contracts in a targeted manner. Promote win-win cooperation and benefit-sharing among various business entities to promote the sustainable and high-quality development of China’s beef cattle industry.

Objectives: Whether Internet use improves older people's health is an open question. This study empirically investigated the impact of Internet use on older people's mental health with a focus on the heterogeneity among subgroups. Method: Data come from the 2018 China Health Retirement Longitudinal Study (n = 8,505). An instrumental variable quantile regression method (IVQR) combines the instrumental variable and quantile regression to resolve the endogeneity and heterogeneity generally challenged in ordinary least squares (OLS). Results: Although Internet use generally improves older people's mental health, there is enormous heterogeneity in the effects on older adults with different mental health conditions. Specifically, Internet use only has a mitigating impact on older adults with poor mental health. Those heterogeneities are also found between rural and urban residents but not between genders. Conclusion: Our findings shed light on active and healthy aging strategies. Two policy priorities include, on the one hand, the Internet user environment should be improved in parallel with Internet technology; on the other hand, multiple measurements are urgent to be developed to deal with the heterogeneity and unevenness of the impact of Internet technology on older people.

The paper focuses on estimation of returns to schooling in the Bangladesh context. Earlier studies which tried to quantify the returns were constrained by a number of factors including the limitations of the measurement techniques that were deployed. This paper revisits the issue and makes an attempt to build on earlier scholarly works through application of quantile regression and instrumental variable quantile regression methods. The paper finds that endogeneity problem leads to underestimation of the returns to schooling, and that the returns tend to vary along the wage distribution, which mean regression models fail to capture. The analysis shows that average returns to schooling for female is higher than that of male. The analysis also shows that returns to schooling tends to be higher as one moves along higher percentiles of wage distribution. This is found to be true both for male and female, as also for rural and urban labour markets.