Economics of Dairy Products Industries in Monofia’ Governorate (Case Study of Baladi’ Laboratories)

The milk and dairy products are cheapest source of animal protein compared to other sources of animal protein. They are also an important source of the national income. The domestic production of milk and dairy products reached around 5.6 million tones, valued at around 23.9 billion pounds in 2013. The imports of milk and dairy products added around 1.1 million tons to the available consumption quantities, while their exports reaches 551 thousands tons. The total net consumption of milk and dairy products have amounted about 6.1 million tons in the same mentioned year. It is also illustrated that the average per capita consumption reached about 75.7 kg in 2013, which is much lower than the recommended average by the nutrition scientists (=180 kg). because milk is one of the quick perishable goods, so it must be converted from the form of fresh milk to processed products (such as cheese and yogurt), aiming to minimize the perishable quantities of the fresh milk, on one hand, and to increase the added value of the manufacturing, on the other hand. However, the dairy products industries (especially the small labartories) are facing many production and marketing problems that need the most suitable approaches to be resolved to ensure the continued flow of milk, cheese and yogurt along the year.
The obtained data from the questioners have shown that the value of the processed milk in the white soft cheese’ baladi laboratories represented 89.95% of the total manufacturing costs. Additional 9.46% of other variable costs made the total variable costs about 99.41% of the overall costs, while fixed costs represented only 0.59%. The indicators of the production and economic efficiency illustrated that the return of the white soft cheese laboratories have reached 0.16 pistares/pound/day. The average ratio of the total revenue to the total costs reaches in white soft cheese laboratories in the three areas 1.16 of the year, which means that the total revenue over the total costs rose by about 16%. This ratio varied between 18% in Sheebin El-kom and 15% in Tala. The value of the milk processed in the yougurt laboratories represented 70.04 of the total costs. Additional 28.21% of other variable costa made the total variable costs almost 98.21% of the total variable manufacturing costs, while fixed costs represented only 1.75%. The return of the invested pound in the laboratories of the yougurt industry reached about 42 pistares/pound/day.