The financial and management implications of bovine somatotropin on the Arizona dairy industry

This study examines how Bovine Somatotropin (BST) may impact Arizona dairy producers. The results of dairy scientists experimenting with BST are summarized in terms of reported milk yields and possible changes in feeding and herd management. Dairy enterprize budgets representative of Arizona are constructed to examine how income statements may change if BST is approved. The effects of increased milk supply on Arizona milk prices are estimated using the institutional structure of the Central Arizona Order and the United Dairyman of Arizona. Results of experiments with BST in Arizona are used to generate net returns at several rates of adoption under changing milk prices for three dairy farms in Arizona.

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