Cost Management in the Milk Sector

participative research in a small property

Abstract

Among the activities played by the agricultural business in Brazil there is milk production. With the purpose of analysing how the cost management can contribute to improve the family income in diary farming of a croft, the study was conducted in a family rural property from Guaraniaçu, a city in the state of Paraná, Brazil. The participative research, of descriptive nature and with a qualitative approach, happened between 2021 September and 2022 May. An electronic sheet containing income and cost statements was elaborated month by month. The data collection allowed analysing the costs, what proved the importance of verifying it in order to take better decisions and, as a consequence, measure the family income. The results were positive, because it presented profit, although the ideal profitability is above 25% for new investments to maintain the activity. It is pivotal to keep the concern regarding the cost control of the production, through cost management, so the activity presents positive financial result to their owners.