China sees rising dairy farming costs, more demand for farming equipment
The feed cost for a cow is up 20% since 2010.
Both the feed cost and labor cost for dairy farming have witnessed substantial growth in recent years, reports Beijing Shennong Kexin Argibusiness Consulting Co., Ltd., Beijing.
The feed cost for a cow which can produce 5 tons of milk per year rose from 880 RMB/head/month in 2010 to the present 1,060 RMB/head/month, up 20%.
Currently many young people are not willing to go in for animal farming. The quantity of workers has been falling gradually but the cost is on the rise. In Beijing, the average salary for a worker in the front line of dairy farming was only 1,500 RMB/month in 2010, but it is 3,000 RMB/ton at present, double the sum,. Still, there is a shortage of workers.
While there is drastic growth of feed and labor cost, in order to reduce the quantity of workers and to solve the poor absorption ratio of man-blended coarse feed, there shall be sharp growing demand for TMR, milking machines and automatic feeding equipment.
The market scale of dairy farming equipment shall grow from 4 billion RMB in 2010 to nearly 6 billion RMB in 2012.
Contributed by Beijing Shennong Kexin Argibusiness Consulting Co., Ltd.
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