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Michalickova M.,NAFC Research Institute for Animal Production Nitra | Michalickova M.,Czech University of Life Sciences | Krupova Z.,Institute of Animal Science | Krupa E.,Institute of Animal Science
Animal Science Papers and Reports | Year: 2015

Effects of basic production and economic variables on the economic outcome of cow-calf herds in Slovakia for the period 2008 to 2012 were quantified using a linear regression model. Total costs per cow per year, costs per calf sold and average daily gain of calf from birth to selling were identified as the major determinants (P<0.05) of variation in economic results among analysed herds. Annual profit per cow declined by 1.09 € and 0.80 €, respectively, per 1 € increase in the annual cost per cow and per sold calf, respectively. Among individual cost components, farm feed, depreciation of animals, other direct costs and overhead costs significantly impacted profits. A 1 g increase in average daily calf gain was associated with an increase in annual profit of 0.59 € per cow. This is related to the specific character of the cow-calf production system, in which economic outcomes are predominantly dependent upon calf production. Major determinants increasing profitability included higher weight of sold calves, lower costs per sold calf and lower costs of producing replacement heifers. Regular calculation and analysis of costs are necessary to maximise utilization of inputs and evaluate farm efficiency as objectively as possible. © 2015 Polish Academy of Sciences. All rights reserved.


Krupova Z.,Institute of Animal Science | Krupa E.,Institute of Animal Science | Wolfova M.,Institute of Animal Science | Michalickova M.,NAFC Research Institute for Animal Production Nitra
Spanish Journal of Agricultural Research | Year: 2014

The impact of variation in production traits, and inputs costs and product prices on economic efficiency of a multi- purpose sheep breed farmed in a marginal area of Slovakia was examined using a bio-economic simulation model of the program package ECOWEIGHT. Variations in the proportion of milk processed to cheese on farms, sheep product prices and production costs were based on values observed in Slovakia from 2004 to 2010, and variation in ewe performance traits (milk yield, conception rate, litter size, ewe productive lifetime) was based upon breed standards for the Improved Valachian breed. Revenue from government subsidies was not included in farm returns. Profitability ratios of farms were negative for most combinations of production and economic factors (–6 to –37%). Only farms processing milk to cheese, farms with the highest simulated milk yield (180 kg per ewe) and farms receiving the highest simulated milk and cheese prices (0.99 and 8.36 € kg–1) achieved positive profitability’s of 11, 21 and 3%, respectively. Farms reaching the performance level of animals characterised by the breed standard had 9% higher revenue, 3% lower cost and 11 percentage points higher profitability ratio (–6%) than farms with average animal performance, when compared at the same average level of all product prices and costs. To promote economic sustainability of multi-purpose sheep breed enterprises in marginal areas, selection and management to achieve the biological potential of those breeds and increasing the proportion of milk processed to cheese on farms are recommended.  © 2014 Ministerio de Agricultura Pesca y Alimentacion. All Rights Reserved.


Michalickova M.,NAFC Research Institute for Animal Production Nitra | Krupova Z.,Institute of Animal Science | Krupa E.,Institute of Animal Science
Animal Science Papers and Reports | Year: 2015

Methodology for a comprehensive evaluation of production and economic variables for suckler herd production in Slovakia were developed using herd records from 2008 through 2012. Major characteristics of the production system were considered. Among other conclusions, the number of weaned calves as the only product of the system depended mostly on cow fertility and affected both revenues and costs. Herds were characterized by low labour requirements and capital investments. Feed costs were an important component in the calculation formula. Strict adherence to traditional seasonal winter calving (mainly in January-March) was critical for the investigated cow-calf system, because it facilitates effective grazing management and thus reduces costs of feed for cows and calves during the spring season. To rationally model the suckler cow production system and to properly allocate revenues and costs, the accounting period should be based on the production year (October- September). At no time over the period under investigation was the average herd profitable, even when direct subsidies were included in annual revenues. The most favourable economic outcome across years (-208 € per cow per year in 2008) was achieved primarily thanks to lower costs per feeding day (-48%) and higher average daily gain of calves till weaning (+18%) than in the other years. © 2015, Polish Academy of Sciences. All rights reserved.

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