Relationship between cost and sustainability indicators in milk farms

This study analyzes the relationship between cost and sustainability indicators in milk farms. The data used came from 20 dairy farms located in the Zona da Mata region, Minas Gerais, Brazil. The farm information was collected through a questionnaire. The analysis period was from May 2018 to April 2019. The farms were evaluated using technical, economic, social and environmental indicators. The indicators were analyzed by descriptive and Pearson correlation analyzes. The total unit cost of milk (IE_5; r = 0.46) and the spent concentrated milk production for raw milk income (IE_4; r = 0.72) have positive correlations with the nitrogen balance (IA_3). The total unit cost of milk directly influences the farm's profit by area (IE_11; r = -0.49). Profit by area (IE_11) is associated with training and professional development (IS_21) for farmers and employees. The result of this research points out that cost management improves the economic, technical, social and environmental indicators, with increased capacity and training of the team. Environmentally, cost management can reduce the nitrogen balance, by optimizing the use of nutrients on the farm. The cost management of the dairy farm is an essential condition for the activity to be sustainable.