Cost drivers: a comparative study between farms with automatic and conventional milking system in Brazil

Abstract

The aim of this study was to identify and analyse the main cost drivers on a dairy farm after the adoption of the Automatic Milking System (AMS) in comparison with two dairy farms of similar profile, but with the Conventional Milking System (CMS). Data collection was conducted from October to December 2015 through semi-structured interviews in the respective head office of dairy farms. Analysing the cost drivers explored on property that adopted the AMS, has been stated mainly to: a) there was a reduction of labour required for activities; b) reduced spending on veterinary care and, c) increased in herd productivity by increasing the number of milking per cow per day. The adoption of AMS in dairy farm studied impacted positively on cost control. However, there are no-economic factors responsible for acceptance and satisfaction in the adoption of this system, as social reasons (improved the life quality of employees and owner). In addition, it is noted that dairy farms with AMS in the initial stage achieve tolabour productivity levels similar to the dairy farms with CMS on a large scale. However, as the property with AMS expands the robotic units, to the point to get near of the animal scale in dairy farms with CMS, the labour productivity index with AMS dairy farms become higher.