The Economic and Socio-Economic Analysis of Integration for Production and Industry in Dairy Industry Enterprises in Kars Province

The aim of this study was to investigate the socio-economic structures and results of yearly activities of milk factories and mandira enterprises, and to determine measures which taken for improvement of profitability and productivity. The data used in the study obtained from an interview survey from randomly selected 35 milk factories and mandira enterprises, in the province in years 2006-2007. The average capacity usage ratios in milk factories and mandira enterprises were calculated 31.4% in 2006; 31.3% in 2007 respectively. The proportions of cost of raw milk, labour, transport, depreciation-repair-maintenance and miscellaneous expenses in the total cost accounted for 71.1%; 5.1%; 5.9%; 5.0% and 12.9% respectively. The financial rantability ratio and rantability factor of all enterprises calculated as 16.23% and 24.10% respectively. There are a lots of problem in the area such as, vary majority of the dairy industry enterprises use traditional methods for producing, low processing capacity of raw milk, lack of capital and money problem, etc.