Detailed Project report on Commercial Pig Breeding farm

 INDEX 

#	Description	Page No.
A	Project at a glance	3
B	Detailed description of the project report	4
1	Introduction	4
2	Economics for rearing 20+2 Adults & producing 250 Piglets per Year	5
3	Capital Cost	5
4	Working Expenditure	5
5	Cash Flow	6
6	Profit & Repayment of loans	7
7	Conclusion	8

A.   Project at a Glance

 

1	Project Name:	Commercial Pig Breeding Farm
2	Name of the beneficiary
3	Unit Capacity	20+2 Adult Breeding Pigs
4	Location
5	Cost of the Project	12,64,000/-
6	Bank Loan	10,50,000/-
7	Interest rate (%)	9.90 %
8	Repayment period	7 years

A.   Detailed Project Report

 

1. INTRODUCTION

 

Agriculture and allied sector is the backbone of Indian economy as this sector not only provides food and nutritional security but also creates job opportunity for two- thirds of the population. The agriculture and allied sector contribution in National GDP is about 17.32 percent with annual growth of 4.1 percent (Economic Survey, 2016-17). In agriculture and allied sector, Piggery sector is going to be the next major game changer as it commonly reared by economically weaker section of the society. Pig farming is not only a profitable business but also a very popular and lucrative business in Hassan, Chikkamangaluru and Kodgu districts. Pig is widely used to eat and pork. But it is not an easy tusk to farming. It takes a lot of time and money to make a profitable pig farm. The challenges faced by our country in securing the food as well as nutritional security to fast growing population need an integrated approach in livestock farming. Among the various livestock species, piggery is most potential source for meat production and pigs are more efficient feed converters after the broiler. Apart from providing meat, it is also a source of bristles and manure. Pig farming will provide employment opportunities to seasonally employed rural farmers and supplementary income to improve their living standards.

NORMS

 

(1)     Farrowing per sow 2.0 per year.

 

(2)     Litter size per sow average 10 per farrowing.

 

(3)     Mortality (0-2 months) -20 percent.

 

 

Economics for rearing 20+2 Adults & producing 250 Piglets per Year Capital Cost

 

Sl No.	Capital Cost	Amount
1	Land Required	1/2 acre (Available)
2	Land development charges	20,000/-
3	Fencing	20,000/-
4	Construction of Breeding cum Grower house (60 sq.ft/sow for 20 female@180/sq.ft)	2,16,000/-

5	Construction of Boar house   (75 sq.ft/sow for 2 female@180/sq.ft)	27,000/-
6	Construction of Piglet Grower house   (10 sq.ft/piglet for 100 piglet @180/sq.ft)	1,80,000/-
5	A borewell with pump	1,00,00/0-
6	Pipeline to shed, water tank	10,000/-
7	Electrification	10,000/-
8	Equipments	20,000/-
9	Female sow cost @10,000/animal	2,00,000/-
10	Cost of Adult Breeding Boar @15,000 / animal	30,000/-
	Total	8,33,000/-

 

 Working Capital for first year

 

1	Cost of concentrate feed @ 3kg/animal, for 22 animals @ Rs. 30/kg for one year	2,40,900
2	Kitchen waste @ 5000/- per month	60,0000/-
	Pig let feeding till they are marketed @0.2 kg /d /6 months @30Rs/kg	1,00,000/-
	Medicines & Vaccines	10,000/-
3	Miscellaneous expenditure	20,000/-
4	Total Working Capital per batch	4,30,900/-
5	Total Project Cost	12,63,900/-
6	Bank Loan	10,50,000/-

Cash Flow for first year 

1	Sale    of   Piglets    First    year    one    farrowing    (3% Mortality) @ Rs. 4000 / piglet No. of Piglet born 200 survived 180	Rs. 7,20,000/-   (Two farrowing in successive years, income will be 14,40,000)
2	Sale of manure	Rs. 25000/-
	Sale of gunny bags	Rs. 10,000/-
3	Total income	7,55,000/-

Profits & repayment of loan

 

		1 Year	2 Year	3 Year	4 Year	5 Year	6 Year	7 Year
1	Annual Income	7,55,000/-	14,75,000/-	14,75,000/-	14,75,000/-	14,75,000/-	14,75,000/-	14,75,000/-
2	Expenditure	4,30,900/-	4,30,900/--	4,30,900/-	4,30,900/-	4,30,900/-	4,30,900/-	4,30,900/-
3	Intrest on loan (per year)	1,03,950/-	93,659/-	78,809/-	63,959/-	49,109/-	34,259/-	19,409/-
4	Loan repayment (per year)	1,50,000/-	1,50,000/-	1,50,000/-	1,50,000/-	1,50,000/-	1,50,000/-	1,50,000/-
5	3+4	2,53,950/-	2,43,659/-	2,28,809/-	2,13,959/-	1,99,109/-	1,84,259/-	169409/-
6	Profit per year after paying loan	70,150/-	8,00,441/-	8,15,291/-	8,30,141/-	8,44,991/-	8,59,841	8,74,691/-

 

Every year some five female piglets and one male piglet will be retained as future breeding stock and after three year on male will be exchanged with other farmer or purchased for breeding purpose. Labour will be self and family members hence labour cost is not included. In future as part of the farm expansion additional building will be constructed and Small vehicle will be purchased for bringing feed and other materials.

Conclusion 

After first year farmer will be earning 7,62,100/- per year & he can scale up his farm by rearing additional animals or start fattening of his piglets and sale in the meat market. As the pig farmer is a share holder in H C Amrutha Pig Producer Comp. Ltd. Pig FPO getting required input and marketing will be easy. Hassan district also has Veterinary college situated at Chikkahonnenhalli which is not only training the pig farmers also supplying quality piglets to rear. Hence the success of Pig Breeding farm is almost certain.