BREEDING AIMS FROM THE POINT-OF-VIEW OF A GRICULTURAL POLICY AND FARM-MANAGEMENT

For defining the breeding aim, it is necessary to derive economic weig hting factors for relevant commercial attributes. The correct estimati on of future CAP conditions is of vital importance in order to accompl ish the necessary cost - revenue calculations. The markets of milk and beef are characterised by constant surpluses, declining producer pric es, undermining of milk quota system and decreasing influence of inter vention prices. On one side the importance of milk yield and milk prot ein will increase for future breeding aims. On the other side the econ omic importance of milk fat and beef performance will decline. Decreas ing prices of concentrates and milk quota lead to a rising marginal be nefit for the increase in milk performance. Today the ratio of margina l benefit between, milk fat and milk protein is 1 : 4 and is expected to increase. The consequences of the CAP-reform and the declining dema nd for beef will reduce the economic importance of beef performance fo r the breeding aim. The economic comparison of dual purpose versus dai ry cattle shows that the dairy cattle becomes slightly more competitiv e.