Milk cost per litre calculator.
Enter one month of costs and the milk your farm produced to see what each litre really costs you, and whether your selling price leaves a margin.
How the cost per litre is worked out.
Cost per litre = (total monthly costs − other income from the herd) ÷ litres of saleable milk produced in the month.
Count every animal the milking herd depends on, including dry cows, heifers and calves.
Use the milk you could actually sell, after wastage and milk fed to calves.
Include a monthly share of animal replacement and equipment wear, not just cash costs.
Subtract income from calves, manure and culled animals from the same month.
Milk cost questions.
How do you calculate the cost of milk production per litre?+
Add up everything the dairy spent in a month — feed, labour, veterinary and breeding, utilities, rent and repairs, and a monthly allowance for animal replacement and depreciation. Subtract other income from the same animals, such as calf or manure sales. Divide what is left by the litres of saleable milk produced that month.
Which cost is usually the largest?+
On most dairy farms feed and fodder is the biggest monthly cost, so it is the first place to look when the cost per litre is too high.
Should I include dry cows and heifers?+
Yes. Dry cows, heifers and calves are part of the cost of keeping a milking herd, so their feed and care belong in the monthly total even though they are not producing milk.
How often should I recalculate?+
Monthly is a good rhythm. Feed prices and yields change through the year, so a single annual figure can hide months where the farm sells milk below cost.