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Dairy Farm Business Summary: Western Plateau Region of New York 1981

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Abstract

Dairyfarmers throughout New York State submit business records for summarization and analysis through Cooperative Extension's Farm Business Management Program. Each participating farmer receives an individual farm report containing all the management information found in this publication. Averages from a compilation of the individual farm reports are published in ten regional summaries like this one and in one statewide summary. These publications are used by extension personnel, dairy farmers, and agribusiness people working in many segments of the dairy industry. Primary objectives of the dairy farm business management program are to (1) assist farmers in developing and maintaining more complete farm business data for use in management decisions and (2) help farmers improve their management skills through appropriate use of farm record data and application of modern decision-making techniques. This report is prepared in workbook form for use in the systematic study of individual farm business operations. The increasing size of New York Dairy farms and the dynamic nature of the economic environment within which they operate make farm incomes increasingly dependent upon the accuracy of management decisions. An assessment of past business performance combined with careful analysis of future economic conditions and goals of the farm business will greatly enhance the operator's profit potential. The year ahead will not provide improved economic conditions for the dairy farming industry. Milk prices are expected to be down one-half to one percent while production costs may increase six to eight percent. To prevent a serious cost/price squeeze, dairyfarmers must place renewed emphasis on cost control and operating efficiency. The analysis section of this publication, beginning on page 10, is designed to help one determine the strength of productivity, efficiency and cost control on any individual dairy farm business. With careful determination of the business strengths and weaknesses and careful planning of next year's business operations, a dairyfarmer will be in a better position to manage through the challenges of the 1980's. Business records for 80 farms in the Western Plateau region are summarized in this publication. This year the region contains three counties: Allegany, Cattaraugus, and Chautauqua.

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A.E. Ext. 82-14

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1982-04

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Charles H. Dyson School of Applied Economics and Management, Cornell University

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