dairy farm project report 2 cows page 2

Economics of dairy farming with 2indigenous dairy breed/ crossbred/cows
 Project costCost. In Rs.
1Capital cost 
2Cow shed for 2 cows 40sq.ft/cow @300/sqft24000
3Calf pen for 2 calves 20 sq.ft./calf @300/sq.ft.12000
4Cost of 2 CB cows with minimum average 10 liter milk yield /day @30000/cow (as per govt. norm @ 3500/ liter of milk yield/cow)70000
5Cost of transportation @1000/cow2000
6Cost of one chaff cutter hand operated10000
7Cost of dairy appliances @ 1500/cow3000
 Total121000
Recurring cost to be capitalized
aCost of feed for first batch of  one cows for one month as per feed chart3180
bCost of insurance  2 animals @5% of animal cost3500
cCost of fodder cultivation in 0.5 acres of land for first session6000
dCost of medicine vaccine, electricity for the first cow2000
eContingency4320
fTotal recurring expenditure19000
gTOTAL PROJECT COST140000
hMargin money 10% of project cost14000
iBank loan 90% of project cost126000

 

CASH FLOW ANALYSIS.
ItemParticularsProject period
  123456
 Feeding during lactation period vide yearly lactation days and feed cost as per chart468705341050140457804578050140
 Feeding during dry period vide dry days and feed cost as per feed chart enclosed55001150013000150001500013000
 Medicine vaccine veterinary aid400040004000400040004000
 Insurance @5% of animal cost /year350035003500350035003500
 Cost of fodder cultivation120001200012000120001200012000
 other miscellaneous expenditure400040004000400040004000
 Total758708841086640842808428086640
 INCOME      
 Sale  of milk @Rs.32/liter during lactation days with average milk yield /10  liter/day137600156800147200134400134400147200
 Sale of gunny bags420460450420420440
 Manure will be utilized in own farm      
 Value of closing stock of 2cows(Depreciation on animal cost @10%/year)     28000
 Value of building (Depreciation on building@10%/year)     14400
 Value of equipment

(Depreciation on equipment @15%/year)

     300
 Total income138020157260147650134820134820190340
 Gross profit6215068850610105054050540103700

 

Calculation of BCR & IRR
 123456
Capital Costs121000     
Recurring Cost758708841086640842808428086640
Total Costs1968708841086640842808428086640
Benefit138020157260147650134820134820190340
Net Benefit-5885068850610105054050540103700

 

Sl noFinancial indicatorsEstimated valuePreferred value
1.PW costs @ 15%DF422555.45 
2.PW benefits @ 15%DF562413.19 
3.Net Present Worth (NPW139857.74Should be+ve
4.Benefit Cost Ratio(BCR)1.33:1>1
5.Internal Rate of return (IRR)39.37>15%
6.Debt Service Coverage Ratio2.11>1.5

Bank loan 108000 grace period 6 months Loan amount at the end of grace period    =126000+7560=133560

S.NoMonthly InstallmentInterestPrincipal Balance
0   133560
1261113361276132284
2261113231288130996
3261113101301129695
4261112971314128381
5261112841327127054
6261112711341125713
7261112571354124359
8261112441368122991
9261112301381121610
10261112161395120215
11261112021409118806
12261111881423117383
13261111741437115946
14261111591452114494
15261111451466113028
16261111301481111547
17261111151496110052
18261111011511108541
19261110851526107015
20261110701541105474
21261110551556103918
22261110391572102346
23261110231588100758
2426111008160499155
252611992162097535
262611975163695899
272611959165294247
282611942166992579
292611926168590893
302611909170289191
312611892171987472
322611875173685735
332611857175483982
342611840177182210
352611822178980421
362611804180778614
372611786182576789
382611768184374946
392611749186273085
402611731188071204
412611712189969305
422611693191867387
432611674193765450
442611654195763493
452611635197661517
462611615199659521
472611595201657505
482611575203655469
492611555205653413
502611534207751336
512611513209849238
522611492211947119
532611471214044979
542611450216142818
552611428218340635
562611406220538430
572611384222736203
582611362224933954
592611340227231683
602611317229429388
612611294231727071
622611271234024731
632611247236422367
642611224238719979
652611200241117568
662611176243515133
672611151246012673
682611127248410189
69261110225097679
7026117725345145
7126115125602585
7226112625850

updated as per new DEDS unit cost 2018-19

DISCLAIMER:-The views expressed in this model project are advisory in nature. This website assumes no financial liability for anyone using this project report for any purpose.

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