Performance and economic incentives of cow-calf operation crossbred in the smallholder cattle in Yogyakarta-Indonesia

Cow farmers in Indonesia have adopted artificial insemination technology for the Simmental and Limousin breed with the local cows (PO), which creates Cow-Calf operation (CCO). This paper aims to identify the performance of PO, SimPO and LimPO breed in the local livestock in Yogyakarta and to determine the economic incentive for CCO from PO, SimPO, and LimPO. We use multistage sample and select 270 cows that consist of PO, SimPO, and LimPO from several sub-districts. We use direct interview with a semi-structured questionnaire to collect the data. In addition, direct observation to the sample cattle is conducted. Our study reveals that SimPO and LimPO Crossbred significantly result in high input-high output, while PO significantly generates low-inputlow output. Moreover, economic incentive in the form of PO net farm income of is the highest one and significantly different to others. Furthermore, we can identify the potential sub-districts to promote CCO. We recommend to terminate the utilization of the SimPO and LimPO for CCO business and focus on PO to improve the welfare of smallholder cattle