The dairy sector in Costa Rica has grown in importance in recent decades and has become an important economic activity in the country. Dairy farms offer a number of benefits to both small producers and large companies, but they also present certain risks that are important to consider. In this article you will discover some characteristics of dairy farms in Costa Rica.
Benefits of Dairy Farms in Costa Rica
Favorable climate and geographic conditions
Costa Rica’s climate and geography favor year-round dairy production. Areas such as Cartago, San Carlos and Alajuela are key regions for dairy production due to their temperate climate and abundant water resources.
Local development and job creation
Dairy farms contribute to rural employment and local economic development. This activity creates jobs in production, processing and distribution and helps to improve living conditions in agricultural areas.
Diversification of derivative products
Dairy farms offer the opportunity to diversify into products such as cheese, yogurt, butter and cream, which are in high demand in the Costa Rican market and abroad.
Access to international markets
The Costa Rican government promotes policies to develop the agricultural sector, including subsidies, training programs and loans for dairy farmers. In addition, free trade agreements have opened doors to international markets, allowing producers to export dairy products.
Before you start, what should you know?
Before investing in a property that is currently used for dairy production, you should consider the following characteristics:
- 1
Operational milk production: How many years has the dairy been in operation?
- 2
Condition of the land: Check the current condition of the paddocks, that they are in good condition, clean and with good grass.
- 3
Cattle herd: the type of cows used on this farm, the presence of calves, breed and replacement of producing cows. Since the presence of these animals can indicate the conditions and effectiveness of production and location.
- 4
Condition of the infrastructure: The condition of pens, parlors, milking equipment, including the order and cleanliness of the place.
- 5
Milk delivery: The operation performed to finalize milk production, sales contracts, and other market options (fluid milk, cheese, custard, or yogurt).
There is no formula for determining how large a piece of land must be to be successful in dairy production, as many factors can affect the profitability of production. Each case is unique and must be evaluated.
Alfonso Sancho, Nativu Farms
