Economic Aspects of Dairy Farming – The Case of Dummerstorf Estate

Gut Dummerstorf GmbH is the pilot estate of the Federal State Mecklenburg-Vorpommern and acts as “partner in practice” for several agroscientific research institutions. However, the company does not receive government grants but works profit-oriented. The respective partners cover the costs for the commissioned agricultural research completely. With a milkquota of 3,8 million kg and 860 ha land, profitable dairy farming is the vital branch of production of the company and essential for its commercial success. The article deals with the question, how milk farming can be profitable under the future conditions of the common agricultural policy (CAP) of the European Union. It describes measures and achievements at Dummerstorf Estate for meeting the dramatic decrease of milk producer prices on the one hand, and the increase of production costs in many items on the other hand. Factors like breeding, keeping conditions, feeding, reproduction, fertility, work organization, extension of production and cost management are examined in more detail. The achieved or expected effects are shown.

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