Intensive or extensive milk production?

The term "intensity" refers on one side to the height of production costs of each area unit or each animal, and, in this connection will be described as agricultural intensity or special intensity. On the other side the term organizational intensity describes the part of production procedures within the agricultural management with high, respectively low farming intensity. In the past decades the farming intensity did not change significantly, in spite of altered price/cost relations, contrary to fluctuation in the organizational intensity. As a result of the relatively high cost level in Germany, it was the correct intention until now to aim for a higher efficiency level to achieve lower unit costs. Until now there is no change in this proposition. As an alternative one could consider ecological agriculture, when on one side the market could yield higher prices and on the other hand one could reduce costs through corresponding premiums (incentives) for certain areas. The variation "extensive" can only lead to competition advantages under special managerial conditions. In this connection one can mention: long pasture periods, low building- and/or area costs, as well as environmental efforts, which under certain conditions will be awarded with corresponding area premiums (incentives).