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Formation features of the production costs in dairy farming

Author(s) Movchanyuk A.V., Postgraduate, , Uman National University of Horticulture, Ukraine
Category Economics
year 2013 issue Issue number 82. Part 2
pages 217-225 index UDK 338.512:636.2
DOI
Abstract Analysis of the elements of production costs as ways to improve the formation processes of dairy farming in order to increase the efficiency of its development are revealed in the given research. The basis of the agricultural sector of Ukraine is agriculture. Since the mid 90’s farming Ukraine has undergone great changes. Free market economy replaced the planned economy. The country suffered a severe economic crisis, which led to a decline in production in all sectors of agriculture, especially in livestock industry. An integrated approach of research aspects of production costs of agriculture, especially dairy industry will improve the efficiency of production, will introduce a reasonable offer on the operational management of production costs. Generalized practice of dairy farming allows to draw conclusions that the main prospects in Ukraine dairy farming in the context of the integration of this sector into the global economy is implementing of dairy farming based on economy with further processing of big industrial enterprises. The main task at this stage is to develop and implement the necessary measures to increase milk production, reducing its cost. The main factor to achieve these goals in the first place is to increase the productivity of dairy cattle. The main task at this stage is to develop and implement the necessary measures to increase milk production, reducing its cost. The main factor to achieve these goals in the first place is to increase the productivity of dairy cattle. It should be noted that for the organization of production processes in dairy farming an important decision is to develop technical and organizational level of the production process, such as the scale of production – production capacity, the form of the technological process — the kind and type of production. Through their production costs, namely the questions of production technology, it affects the outcome of management — profit. Economic mechanism of production costs is a systematic account of the influence of elements and their combination with a purpose of producing products with minimum costs to maximize efficient of production.
Key words production costs, dairy farming, food security.
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