Gross margin analysis in dairy cattle: A case study of Hatay Province, Turkey

Semerci A., Parlakay O., Çelik A. D.

Custos e Agronegocio, vol.10, no.4, pp.154-170, 2014 (SCI-Expanded) identifier identifier

  • Publication Type: Article / Article
  • Volume: 10 Issue: 4
  • Publication Date: 2014
  • Journal Name: Custos e Agronegocio
  • Journal Indexes: Science Citation Index Expanded (SCI-EXPANDED), Social Sciences Citation Index (SSCI), Scopus
  • Page Numbers: pp.154-170
  • Keywords: Dairy, Variable cost, Gross margin, Turkey
  • Çanakkale Onsekiz Mart University Affiliated: No


Main objective of this study is to calculate the gross margin for the dairy cattle enterprises in the Hatay Province in the Mediterranean Region of Turkey. Main material of the study consists of the primary data compiled by the surveys from 141 dairy cattle breeder enterprises which are determined by layered random sampling method. Data obtained from the research area in 2013 is reviewed according to the enterprises’ size groups and enterprises’ fair average on the basis of the number of suckling cow. According to the results of the study, in the enterprises reviewed, there is an average of 4.87 heads suckling cow and 7.85 Large Animal Unit (LAU) per enterprise. In the enterprises it is determined that an average of 27 tons of milk is produced in one lactation period. Milk yield per suckling cow is 5.6 ton/lactation. Among the enterprises surveyed, 59% of them had 1-4 head, 33% had 5-9 head and 8% had 10 head and above suckling cows. It has been also determined that the feed cost was the highest as 81.6% in the variable costs in the dairy cattle breeder enterprises according to the enterprise mean values. Following this, there were the veterinary-medicine costs (8.2%), electricity costs (2.4%), variable labour costs (1.8%), water and cleaning supplies (1.8%), artificial insemination costs (1.6%) and other costs (2.6%). When the dairy cattle breeder enterprises are examined according to their size groups, it is seen that large enterprises (10 head and above) have produced more milk per suckling cow and gained higher milk yield and more gross margin compared to the small (1-4 head) and middle (5-9 head) enterprises.