Dairy farm project report 4 cows part 2

Economics of dairy farming with 4 cows

Project cost and bank loanCost. In Rs.
Capital cost
Cow shed for 4 cows 40sq.ft/cow @250/sqft40000
Calf pen for 4 calves 20 sq.ft./calf @250/sq.ft.20000
Cost of 4 CB cows with minimum average 10 liter milk yield /day @30000with transportation120000
Cost of transportation @Rs1000/cow4000
Cost of one chaff cutter hand operated10000
Cost of dairy appliances @ 1000/cow4000
Cost of electrification of dairy farm with two electric fans12000
Total210000
Recurring cost to be capitalized
Cost of feed for first batch of  one cows for one month as per feed chart4980
Cost of insurance  4 animals @5% of animal cost6000
Cost of fodder cultivation in one acres of land

For one session

10000
Cost of medicine vaccine, electricity for the first two cows2000
Contingency7020
Total recurring expenditure30000

 

TOTAL PROJECT COST

 

240000
Margin money 15% of project cost36000
Bank loan 85% of project cost204000

CASH FLOW ANALYSIS.

ParticularsProject period
123456
Feeding during lactation period vide yearly lactation days and feed cost as per chart713808134076360697206972076360
Feeding during dry period vide dry days and feed cost as per feed chart enclosed74801564017680204002040017680
Medicine vaccine veterinary aid400040004000400040004000
Insurance @5% of animal cost /year600060006000600060006000
Cost of fodder cultivation200002000020000200002000020000
other miscellaneous expenditure500050005000500050005000
Total113860131980129040125120125120129040
INCOME
Sale  of milk @Rs.27/liter during lactation days with average milk yield /10  liter/day232200264600248400226800226800248400
Sale of gunny bags840520900840840880
Manure will be utilized in own farm
Value of closing stock of 4cows

(Depreciation on animal cost @10%/year)

48000
Value of building

(Depreciation on building@10%/year)

24000
Value of equipments

(Depreciation on equipments @15%/year)

2600
Total income233040265120249300227640227640323880
Gross profit119180133140120260102520102520194840
Calculation of BCR & IRR
123456
Capital Costs210000
Recurring Cost113860131980129040125120125120129040
Total Costs323860131980129040125120125120129040
Benefit233040265120249300227640227640323880
Net Benefit-90820133140120260102520102520194840
Sl noFinancial indicatorsEstimated valuePreferred value
1Net Present Worth (NPW)

@15%DF

294593.37

 

Should be+ve
2Benefit Cost Ratio(BCR)1.449:1>1
3Internal Rate of return (IRR)32.73>15%
4Debt Service Coverage Ratio2.53>1.5

LOAN AMOUNT 204000

GRACE PERIOD 6 MONTH

OAN AMOUNT AT THE END OF GRACE PERIOD=204000+12240=216240

S.NoMonthly InstallmentInterestPrincipal Balance
0216240
1422821622065214175
2422821422086212089
3422821212107209982
4422821002128207855
5422820792149205706
6422820572170203535
7422820352192201343
8422820132214199129
9422819912236196893
10422819692259194634
11422819462281192353
12422819242304190049
13422819002327187722
14422818772350185372
15422818542374182998
16422818302398180600
17422818062422178179
18422817822446175733
19422817572470173263
20422817332495170768
21422817082520168248
22422816822545165703
23422816572571163132
24422816312596160536
25422816052622157914
26422815792648155266
27422815532675152591
28422815262702149889
29422814992729147160
30422814722756144405
31422814442783141621
32422814162811138810
33422813882839135970
34422813602868133102
35422813312897130206
36422813022925127280
37422812732955124326
38422812432984121341
39422812133014118327
40422811833044115283
41422811533075112208
42422811223105109103
43422810913137105966
44422810603168102799
4542281028320099599
464228996323296367
474228964326493104
484228931329689807
494228898332986478
504228865336383115
514228831339679719
524228797343076288
534228763346572824
544228728349969324
554228693353465790
564228658357062220
574228622360558615
584228586364154974
594228550367851296
604228513371547581
614228476375243829
624228438378940040
634228400382736213
644228362386532348
654228323390428444
664228284394324501
674228245398320518
684228205402216496
694228165406312433
70422812441038330
7142288341444186
7242284241860

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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