Economic analysis of dairy production under the prevailing technological conditions in Fayoum Governorate | ||||
Fayoum Journal of Agricultural Research and Development | ||||
Volume 37, Issue 3, July 2023, Page 569-581 PDF (219.88 K) | ||||
Document Type: Research articles. | ||||
DOI: 10.21608/fjard.2023.311917 | ||||
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Authors | ||||
Sayed S. Salah; Hoda Abd Elhaleem Meshref; Fatma Mohamed Abdelkawy* | ||||
Agric.EconomicDept.,Fac.Agric., FayoumUniv. | ||||
Abstract | ||||
Dairy and its products are considered basic food sources, which play an important role in food security because they contain high levels of the main nutrients that the body needs in building it from proteins, fats, sugars, minerals and vitamins. It is also an important source of animal protein on which many food industries are based. The amount of dairy production in Egypt is about 5675 tons, and its value is estimated at about 297.94 billion pounds, representing about 23.8% of the value of animal production, as an average for the period (2008-2021), and the total amount of dairy production in Fayoum governorate was about 12869.7 Tons, with an estimated value of about 33.787 thousand pounds, as an average for the period (2010-2021). Despite the importance of milk, it was noted that there was a lack of use of modern technology in the field of production and a large reliance on traditional production methods. The study aimed to shed light on the current situation of milk production and consumption, and to estimate the economic efficiency of milk under the prevailing technological conditions in Fayoum Governorate, the standard estimate of the production and cost functions of dairy farms to determine the productive and economic efficiency in milk production in Fayoum Governorate. The research method of the study relied on the use of descriptive and quantitative statistical analysis methods in order to reach the objectives of the study. We study concluded that dairy production in Egypt depends in Egypt in general and Fayoum Governorate in particular on cows and buffaloes. And through the indicators of efficiency for milk production, the advantage of the first category of technological farms emerged, as it achieved the highest return on the invested pound and the highest relative profitability, compared to the three categories (lean cow category in the sample of traditional farms, the category of buffalo milk in the sample of traditional farms, the first category of technological farms). By examining the most important indicators of the economic efficiency of producing aton of milK for the first category of technological farms, it turns out that the total margin per ton of milk amounted to about 6456.5 pounds, while the average net return per ton of milk is estimated at 5724 pounds, and with regard to the average return on the invested pound, it is clear from the table It amounts to about 1.085 pounds, while the ratio of total variable costs to total revenue amounted to 41.3%, while the added value of a ton of milk annually amounts to about 6035.4 pounds. As for the most important indicators of the economic efficiency of the resources used in the production of a ton of milk for the second category of technology farms, it was found that the total margin per ton of milk amounted to about 5202.5 pounds, while the average net return per ton of milk was estimated at 4497.9 pounds, and with regard to the average return on the invested pound It appears from the table that it amounts to about 0.817 pounds. While the ratio of the total variable costs to the total revenue amounted to 47.9%, while the added value of a ton of milk annually amounted to about 5095.4 pounds. | ||||
Keywords | ||||
Dairy Farms; Milk Gap; Self-Sufficiency Ratio; Consumption; Economic Efficiency of Milk; Production And Cost Functions for Milk | ||||
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