Dairy systems in Bahía Blanca and Coronel Rosales, Argentina. 3. Gross Margins
Abstract
The objective of this phase of the project was to determine gross margins (GM) for crops, livestock operations, and the total enterprise of clusters of dairy farms in the two countries. Means of these GM were: Bahía Blanca, 69.1, 32.8, and $40.5/ha; Coronel Rosales, 138.8, 39.8, and $63.3/ha, respectively. The differences between counties were due primarily to the technological levels employed. MB were discussed as a function of the components net income (NI) and direct costs (DC). The hypothesis that a considerable number of these enterprises are unstable due to low NI was confirmed. It was evident that technological restrictions played the decisive role in determining GM. NI varied more than DC among clusters and between counties, mean differences for the latter being 40.5 and 28.1%, respectively. These results demonstrated that GM of the dairy enterprises studied could be improved by incorporating processes and inputs based on known technology. One way of contributing to this objective would be to develop technologically and economically improved sustainable models.
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Copyright (c) 1998 Alfredo Osvaldo Gargano, Miguel A. Adúriz, María C. Saldungaray

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