Influences of production circumstances on the economic revenue of cattle breeding programmes

Abstract

ABSTRACT The economic values of cattle production traits differ with different production circumstances. This sensitivity implies that (1) production circumstances influence the revenue of breeding programmes, and (2) losses in revenue of breeding programmes occur when circumstances used in defining breeding goals are incorrect with regard to actual production circumstances at the moments of expression of genetic superiorities. In this study, these effects are quantified for a set of genotype and index traits, including milk production traits, food intake capacity and live weight. Twenty-four situations of production circumstances were studied, including alternative output limitations, milk production levels, roughage qualities and product (milk, beef) and production-factor (food) prices. Results indicate that type of output limitation is the most important factor in determining revenue. Also, incorrect prediction of type of limitation leads to highest losses in revenue found (proportionately 0·01 to 0·06 of revenue). Losses in revenue due to incorrect prediction of production circumstances seem too low to justify complete diversification of cattle breeding goals within a breeding organization, except for different types of output limitations.