Factors affecting the profitability of different goat farm sizes in Hungary

Author: T. Németh, L. Branduse, M. Abraham and S. Kukovics
Year: 2004
Issue: 5
Volume: 34
Page: 126 - 129

The goat industry is the smallest among the so-called “big” domestic animal sectors in Hungary. At present the estimated size is about 60-70 thousand does, which are kept by approximately 7 000 holders. Not much information is available to evaluate the economic situation of the goat sector, thus a survey was carried out to find the answers to the following questions: What kinds of costs are relevant to the farms (such as feedstuffs, labour, insurance and animal health) and what is their ratio to the total expenditure? What incomes are earned on the different farms (by the selling of milk, milk products, kids for slaughter, meat, manure, feed and income from subsidies, etc.)? What yields for each product (milk, progeny) are obtained? Based on the data collected, farms were divided into the following size categories: numbers of does between 1-10; 11-30; 31-50; 51-100, 101-150; 151-200; 201-300 and above 300 head. There were 92 farms included in the survey having more than 8 000 head of goats in total. The level of production (milk and kids) was lower than expected in each farm size class. The average quantity of milk sold per doe did not reach 270 kg, and the average kidding rate was just above 150%. The most important income resource was the milk (and milk products) giving 75-80% of the total income of the farms. The income ratio from selling kids for slaughter did not exceed 18-20%. The biggest cost factors were feedstuff and labour. According to the balance ratios the goat breeding and production were only profitable in the smallest categories and above the 50-head classes. Between them only negative results could be expected providing the owner or the farmer produced for the market. If the production is meant only for family consumption the cost factors and the profitability were not as important. On the commercial goat farms increase in milk yield and improvement in kidding percentage could improve profitability.

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