Project Report for a goat rearing Unit

(200+10)

Proprietor:
A Project at glance

1 Name and address of the proprietor Vikas dharigoud

athani belagavi 591304
2 Constitution Individual
3 Category Livestock farming
4 Purpose Goats for meat

B Finance Parameters
1 Project Cost 4,281,458.00
2 Total Fixed Cost 32,65,750.00
3 Working Capital 1,015,708.00
4 Financial Assistance from loan 3,211,093.5
5 Promoters Capital 1,070,364.5

C Economic Parameters
1 NPW @ 15% 4,564,426.00

2 IRR @ 15% 57%

3 BCR @ 15% 1.52
A Project at glance

ECONOMICS OF GOAT FARMING - TECHNO-ECONOMIC PARAMETERS

A. Production Traits
1 No. of Bucks (Initial unit) 10
2 No. of Does (Initial unit) 200
Zero grazing-
3 Rearing system
stall feeding
4 Avg Age at Maturity (Months) 12
5 Avg Kidding interval (Months) 8
6 Avg Kidding percentage 85%
7 Avg Twinning percentage 65%
8 No. of kiddings per year 1.5
9 Sex ratio 20:01
10 Mortality percentage (Adults) 5%
11 Mortality percentage (Kids) 10%
12 Saleable age of kids (months) 10
13 Culling of does (per year) from second year onwards 20%
14 Female kids are retained to maintain the flock strength of 200
Replacement of does per year (after desired flock strength is
15 20%
reached) from own stock
16 Replacement of buck (every 2nd year) from purchase 100%
17 Avg Body wt of Buck (Kgs) 40
18 Avg Body wt of Doe (Kgs) 32
19 Avg Body wt of Kids at sale (Kgs) 30
20 Breed of Buck Osmanabadi
21 Breed of Does Osmanabadi
B Expenditure norms
I Construction of buildings
1 Space requirement for Buck (sq. ft/ buck) covered area 20
2 Space requirement for Does (sq. ft/ doe) covered area 10
3 Space requirement for Kids (sq. ft/ kid) covered area 3.5
4 Space requirement (sq. ft) for adult in open area 20
5 Space requirement (sq. ft) for kid in open area 8
6 Cost of construction of shed for parent stock (Rs/ sq. ft) 400
7 Cost of construction of kid shed and sick pen (Rs/ sq. ft) 200
8 Space requirement for Store 200
9 Space requirement for office 100
10 Space required for feed mill (sq. ft) 100
11 Cost of construction of feed mill, store, office (Rs/ sq. ft) 200
II Equipment and Machinery
1 Cost of equipment (Rs/ adult) 100
2 Feed grinder and Mixer 75000
3 Chaff cutter 25000
4 Diesel run fodder cutting machine 12000
5 Integrated silage making machine (1 No) 0
III Feeding of animals
1 Avg. Dry matter intake for Adults 3%
 Avg. Dry matter intake for Does (last month of pregnancy and first
2 4%
month of lactation)
3 Avg. Dry matter intake for Kids 4%
4 Feeding of Bucks
a Dry fodder (Kg/ buck/ day) 0.50
b Green fodder/ Silage (Kg/ buck/ day) 1.50
c Concentrates (Kg/ buck/ day) 0.40
5 Feeding of Does (dry period)
a Dry fodder (Kg/ doe/ day) 0.30
b Green fodder/ Silage (Kg/ doe/ day) 1.25
c Concentrates (Kg/ doe/ day) 0.32
Feeding of Does (last month of pregnancy and first month of
6
lactation)
a Dry fodder (Kg/ doe/ day) 0.40
b Green fodder/ Silage (Kg/ doe/ day) 1.75
c Concentrates (Kg/ doe/ day) 0.43
7 Feeding of Kids (0 - 3month)
a Avg. Creep feed (Kg/ day/ kid) 0.10
b Green fodder/ silage ad. Lib 0.50
8 Feeding of Kids (3 - 9month)
a Avg. Concentrate feed (Kg/ day/ kid) 0.15
b Avg. Green fodder/ silage (Kg/ day/ kid) 0.75
c Avg. Dry fodder (Kg/day/ kid) 0.25
10 Cost of dry fodder (Rs/ Kg) - residue from own agriculture 0
11 Cost of green fodder cultivation (Rs/acre/yr) 100,000
12 Cost of green fodder/Kg (yield @ 15 ton/ acre) 0.667
13 Cost of conc. Feed (Rs/kg) prepared in farm 18
14 Creep feed cost (Rs/kg) prepared in farm 20
IV Purchase of Animals
1 Purchase of pregnant doe (Osmanabadi) 8000
2 Purchase of breeding Bucks (Osmanabadi) 13000
3 Transportation cost (Rs/ goat) 100
V Miscellaneous
1 Labour (No's) 2
2 Labour wages (Rs/yr/labour) 60000
3 Insurance charge 7.5%
4 Veterinary aid (Rs/adult/year) 120
Water, electricity, repairs and other misc. expenses
5 50
(Rs/adult/year)
C Income norms :
1 Sale price of Bucklings (Rs/kid) 10000
2 Sale price of Doelings (Rs/kid) 9000
3 Sale of culled does (Rs/doe) 8000
4 Sale price of culled Buck (Rs/buck) 13000
5 Annual production of manure (ton /adult) 0.5
 6 Sale price of manure (Rs/ ton) 1300
7 Sale of Gunny bags @ 13.3 bags / tonne (Rs/bag) 20
8 Depreciation rate for buildings/ yr 10%
9 Life span of buildings (yrs) 10
10 Depreciation rate for Goat sheds 12.5%
11 Life span of Goat sheds 8
12 Depreciation rate for equipment and machineries/ yr 12.5%
13 Life span of equipment and machineries(yrs) 8
D Repayment norms:
1 Repayment period (years) 6
2 Grace Period (years) 1
3 Loan 90%
4 Margin money 10%
5 Interest on loan 9%
6 Repayment holiday (Year) 1

ECONOMICS OF GOAT FARMING - INVESTMENT COST

Sr Physical Unit Cost
Items Specifications Total (Rs.)
. Units No. (Rs./Unit)

1 Land Covered area (sq. ft) 3600 own

(for expansion upto Open area (sq. ft) 7400
200+10 unit) Office, store, feed unit (sq. ft) 1000
Fodder cultivation (acre) 2
Roads and other (sq. ft) 2000
Total land (acres) 2.35 -

levelling, roads, borewell,

2 Land development 50000.00
pipeline, electricity etc
3 Shed with fencing Does 2000 400 800,000.00
Buck 200 400 80,000.00
Kid shed and sick pen 1400 200 280,000.00
4 Other buildings Store 100 200 20,000.00
Office room 100
Feed plant 100
5 Equipment -- 210 100 21,000.00
Chaff cutter 1 25000 25,000.00
Feed mill and mixer unit 1 75000 75,000.00
Diesel run fodder cutting
1 12000 12,000.00
machine
Ingegrated silage making
1 0 0
machine
6 Cost of Animals Does (Osmanabadi) 200 8000 1,600,000.00
Buck (Osmanabadi) 10 13000 260,000.00
Transportation cost 210 100 21000.00
7 Insurance Does 200 7.5% 120000.00
Buck 10 9750.00

Total Fixed Cost 32,65,750.00

1 Veterinary aid 210 100 21000.00
Cost of fodder
2 2.00 100,000 200,000.00
cultivation
3 Concentrate feeding Does 25920 18 466,560.00
Buck 1460 18 26,280.00
Kids 5546 18 99,828.00
Creep feeding 3598 20 71,960.00
4 Labour wages 2 60000 120,000.00
Water, electricity
5 and other misc. 210 48 10,080.00
expenses
Working Capital 1,015,708.00

Total Project Outlay 4,281,458.00

Margin Money @25% of total cost 1,070,364.5
Bank loan @75% of total cost 3,211,093.5
 Flock Growth Chart

Years
I II III IV V VI VII
Bucks
Purchased 10 10 11 10 11 10 11
Sold 0 10 10 11 10 11 10
Total 10 10 11 10 11 10 11

Does
Purchased 200 0 0 0 0 0 0
Mortality 10 12 13 12 13 12 13
Culled 0 24 25 26 30 26 25
Reared 0 42 45 39 40 38 40
Total 190 196 203 204 201 200 202

Bucklings
Born 200 210 205 203 204 202 205
Mortality 20 22 21 22 21 21 21
Sold 85 185 185 184 184 180 182
Total 95 98 97 95 94 95 97

Doelings
Born 200 210 205 203 204 202 205
Mortality 20 22 21 22 21 21 21
Sold 0 135 135 140 141 145 142
Retained 0 42 45 39 40 38 40
Total 180 190 194 196 198 196 198
 Cash Flow Analysis

Year

1 2 3 4 5 6 7

1 Costs
a Capital Cost 4,281,458.00 - - - - - -

b
Purchase of bucks
- 15600 15600 16875 16785 18475 17584
Feeding of bucks
- 609915 610874 615756 620156 621478 625687
Feeding of does
- 2,80,680 2,80,680 2,80,680 2,80,680 2,80,680 2,80,680
Feeding of kidss
- 155250 145678 160784 158460 174561 180456
Veterinary aid
- 120000 120000 130000 130000 130000 130000
Labour wages
- 130,000 130,000 150,000 150,000 150,000 150,000
Insurance
- 95455 88645 82125 102785 87455 78451
Expansion of Shed and Repairs
- 140785 65780 70680 68412 74502 54263
Miscellaneous Expenses
- 25600 25600 25600 25600 25600 25600
Purchase of bucks

Total 4,281,458 1573285 1374857 1484105 1552878 1562751 1542721

2 Benefits
 950,000 2,600,000 2,716,000 2,714,000 2,722,000 2,714,000 2,752,000
Sale of kidss
- 192,000 200,000 208,000 240,000 208,000 200,000
Sale of culled does
- 130,000 130,000 146,000 130,000 146,000 130,000
Sale of bucks
136000 175,406 174,250 176,545 175,655 175,800 17250
Sale of manure
9715 16,088 15,650 16,580 16,458 15,750 16,554
Sale of gunny bags
80000 96,000 104 ,000 96,000 104,000 96,000 104,000
Insurance claim on Ewes
145000
Depreciated value of sheds
2500
Depreciated value of buildings
4,785
Depreciated value of equipment
3,372,089.0
Closing value of stock
1,175,715 3,209,494 3,339,900 3,357,125 3,388,113 3,355,550 6,727,639
Total
0.87 0.76 0.66 0.57 0.50 0.43 0.38
3 Discount Factor @15%
3724868 1195696 907405 845940 776439 671983 586233 8,708,564
4 Discounted Costs @15%
1022872 2439215 2204334 1913125 1694056 1442886 2556502 13,272,990
5 Discounted Benefits@15%
4564426
6 NPW @15%
1.52
7 BCR @15%

8 Net Benefits
-3,105,743 1,636,209 1,965,043 1,873,020 1,835,235 1,792,779 51,84,918 11,131,461
 57%
9 IRR
Repayment Schedule
Bank Loan: 4,281458.00 Interest: 9%

Repayment Net Surplus

Year Income Expenses Gross Surplus Loan Balance Interest
Principal Interest
1 1,175,715 4,281,458 -3,105,743 3,211,093.5 288,998.4 - - -3,105,743.00
2 3,209,494 1,573,285 1,636,209 3,500,092.0 315,008.30 315,008.30 6,00,000.00 721,200.7
3 3,339,900 1,374,857 1,965,043 2,900,092.00 261,008.28 261,008.28 6,00,000.00 1,104,034.72
4 3,357,125 1,484,105 1,873,020 2,300,092.00 207,008.28 207,008.28 6,00,000.00 1,066,011.72
5 3,388,113 1,552,878 1,835,235 1,700,092.00 153,008.28 153,008.28 6,00,000.00 1,082,226.72
6 3,355,550 1,562,751 1,792,779 1,100,092.00 99,008.28 99,008.28 6,00,000.00 1,093,771.72
7 3,219,804 1,542,721 1,677,083 500,092.00 45,008.28 45,008.28 500092.00 1,131,983.72
 Certificate

The Project Appraisal Report prepared for Sri Vikas dharigoud

R/o sankonatti Tq.athani Dist: belagavi, Karnataka reflects a true and
fair view of the potential of goat rearing unit, subjected to
1) The limitations of information and data supplied by the promoter.
2) The condition that implementation of the suggestions made, and its results will
be completely dependent on the efforts made by the promoter and favorable agro-
climatic and marketing conditions prevailing during the course of project period.
This appraisal report and its contents are confidential. This is not intended to provide
the sole basis for any credit decision.

Date:

Place:

Signature