Milk Powder production cost estimation - MILK POWDER PRODUCERS
Input into the yellow cells: Complete ALL inputs and click submit button at the base of the column
This spreadsheet should be used to visualise the effect of volume, SNF, Fat content, milk price, selling price and solids recovery etc
Entering accurate data will give you a good indication for profit / loss on skimmed milk powder and cream manufacturing
This calculator is for indication only and you should establish your own costs and yields
If you see any errors or ommissions we would be pleased to have your feedback
Profit  / loss
Margin on operation
Raw Milk KG per annum (eg 100,000,000kg)
Raw Milk Fat % (eg 3.92%)
% Fat
Raw Milk Solids Not Fat % (eg 8.65%)
Raw milk price / kg milk (eg 30.12 euro cents)
Skim Milk Powder Market Price eg €3000 / tonne
Cream market price/kg (eg €1.01 /kg at Fat % entered below as Target Cream Fat %)
% Fat  
Skimmed Milk Powder moisture (eg 3.5%)
Process losses estimate (e.g. Excellent 0.5% Bad 5%)
Est Total Solids Recovery / Yield
Cream total kg recovered
% Fat  
Cream Selling Price / 1% fat
Liquid Skimmed milk Fat % (e.g. 0.05)
% Fat
Target Cream Fat %
% Fat
Liquid Skimmed Milk kg recovered
Total solids available;
Total Skimmed Milk Powder produced
% Moisture  
TOTAL Skimmed milk powder sales value
TOTAL cream sales value
Total Sales Value of SMP + Cream
TOTAL Raw Milk cost
  Milk cost as % of sales value
Margin on milk
  Margin on milk cost
Fixed Cost (enter annual overhead est eg €2,500,000)
Variable cost % (enter % based on activity level, eg. 5% to 10% of annual sales value)
% The higher the activity generally the lower the variable cost expressed as a % of Total Sales
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