Factors Affecting Productivity and Marketing Channel of Household Level Dairy Farming, Bangladesh

Aims: This study was conducted to explore the factors affecting dairy production and marketing value chain, value addition at a Household level in Mollahat upazila of Bagerhat District, Bangladesh.

Methodology: For the implication of the study cluster sampling technique was used and data was collected from 80 dairy households. A Cobb-Douglas production function was used to identify the factors affecting dairy production and marketing margin was used to measure value addition as well as deriving marketing channel.

Results: Marketing Channel of dairy farming showed that 50% of milk were channeled through by farmer-milkman-sweetshop-consumer and only 10% of milk directly channeled in both directly local market and home delivery. By analyzing data, the study got human labor, utilities, medicine have a positive correlation with milk yield of the milk cow. But it was found that straw and green grass have a negative correlation with the milk yield of the cow due to excessive use of it. The main observation was that all of the resources were not fully utilized by those households.

Conclusion: Despite being smallholder and subsistence, if the farmers increase the amount of resource use in dairy rearing then milk production will be increased and the smallholder’s socio-economic conditions will be better.