Comparative Economics of Milk and Milk Products

The investigation was conducted with the objectives to study economics of milk and milk products, marketing of milk and milk products and to analyse strengths and weaknesses of private and cooperative marketing systems.A random sample of 60 farmers comprising of 30 milk producers selling milk to private and 30 milk producers selling milk to cooperative sectors was drawn for the study purpose. In case of cooperative milk product production, Dugdh Utpadak Sahkari Sangh, Khatima was selected Then a random sample of 10 private milk product producers was drawn from Rudrapur and Khatima blocks of district Udham Singh Nagar. The important policy implications of the study are Development of efficient milk collection centres with proper cooling facilities and transportation networks at farmers level by the cooperatives could reduce the cost of transportation and thus help in maintaining quality of milk and milk products. Steps may be taken by dairy cooperatives to consider the cost of milk production besides fat and SNF, in fixing the procurement price of milk.The private milk product producers should enhance their scale of production in order to reduce manufacturing cost.