Economics of milk production of local cows in Bhagalpur district of Bihar

Given that most Indians consume vegetarian food, their demand for dairy products has been growing gradually and is anticipated to do so in the future. A list was made based on the cumulative square root and the size group of milk producers, namely small, medium, and large, in order to distinguish between Dairy Cooperative Society (DCS and Non-DCS) populations. The sample size was calculated using the Taro Yamane method to be 278 samples from 912 milk producer populations in the chosen six villages of each block. The overall farm costs C were estimated to be 36.28 thousand, with the small farm 36.50 thousand spending the most, followed by the medium farm spending in 36.47 and the large farm spending of 33.86 thousand. The overall farm cost of milk production was estimated to be 29.17 per Kg, which varied from 33.25 per Kg of small farms to 32.15 per Kg of medium farms to 28.47 per Kg of large farms. The average gross return per cow for the overall farm was in 44.85 thousand per year, which varied from 44.23 thousand for small farms to 45.86 thousand for medium farms to 48.58 thousand for large farms.

⓿ As the size of the local cow raising increased, the cost of production of milk per liter of trended downward. The cash flow statement of BCR, NPV, and IRR showed a favourable correlation between operational costs and investment costs in the production of local cow milk.