Improving profit in dairy production by benchmarking-experiences from Southern Sweden

Biological and management factors influencing economic performance in dairy production were studied using information from farm book accounts, official Swedish milk recording, the dairy plant and from interviews with the dairy farmers. Sixty-eight dairy farms from the south of Sweden were included in this field investigation. Statistical analyses were made using correlation analysis and multiple regression analysis. There was a great variation in net return in milk production and feed costs were slightly more than one third of all costs (capital costs excluded). The use of beet pulp had a positive effect on net profit. Labour costs and variable costs were of the same magnitude. The feeding costs of dairy cows are focused by the advisory service but more attention should be paid to other factors, such as service to the dairy unit or management traits like herd replacement