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Abstract

With this stud, we aimed at comparing costs and productivity of dairy production of two production methods: the traditional system and the confinement system denominated freestall. The methodology used in this research is characterized as a study of compared cases, of descriptive nature and qualitative approach. The case studies were conducted in two rural dairy production properties, located at West Santa Catarina, Brazil, one in the traditional management system (pastures in the form of pickets) and the other in a confinement system (freestall). The data collection occurred in January of 2014, filling electronic spreadsheets with data regarding fixed assets, cash flow, sales revenue, production costs and productivity. With the data analysis, we verified that the freestall system provides a profit margin 8.55% superior for the liter of produced milk, due mainly to the higher productivity of approximately 78.8% of liters, compensating the cost difference of 13.57% higher than that of the property using the traditional production system. We conclude that the freestall management system provides a better economic result for the dairy activity, considering the similar production structures of the properties analyzed in this research.

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