DOI: 10.36347/sjebm.2017.v04i08.009

Pages: 527-531

This research based on the surveyed data from 40 dairy farmers in Cu Chi district, Ho Chi Minh city of Vietnam in the first quarter of 2017 by semi-structure, standard questionnaires and a PRA method to find out the real situation of efficiency of dairy milk production in the region and suggest some recommendations for the dairy farming development in other regions in Vietnam. The findings showed that dairy farming created stable job and permanent income for family members and hired labor in the region. Most of farms’ receipt (93.7%) came from milk. Feed related costs took 43.8% and total variable cost occupied 49.1% total milk receipts. Margin over feed related costs, milk gross margin and farm gross margin were quite high, accounted for 56.2%, 50.9% and 57.7% of milk receipt, respectively. The average operating profit margin was 14.8% and return on assets of the surveyed dairy farms was 11.2%. The research suggests that even the weather conditions are not favorable, dairy farming could still have a chance to develop and it could create stable job and permanent income for the family members and hired labor. The farmers could reduce the purchase feed cost to increase their margin over feed related costs, milk gross margin and farm gross margin, operating profit margin and return on assets.