Dairy farm project report 10 cows

cow dairy farm

Project report for dairy farm  ten  cows

Indigenous dairy breed/ cross-bred cow dairy farm

Dairy farming provides an excellent opportunity for self-employment of unemployed youth. It is also an important source of income generation to small/marginal farmers and agricultural labourers. Since agriculture is mostly seasonal, there is a possibility of finding employment throughout the year for many persons through dairy farming. Landless labourers. The white revolution of 70 s had made spectacular landmarks in the Indian milk production scenario. India is the largest milk producer of the world The increasing cost of feed ingredients and its seasonal variability can be reduced by undertaking fodder cultivation. This project report is based on the following assumption:-

The entrepreneur must check the following points before starting a dairy farm.

  1. Availability of good quality dairy breed cows in the nearby livestock market
  2. Nearness of the Farm to Veterinary Hospital, Artificial Insemination Center/livestock Aid Centers, MPCS
  3. Marketing facility of milk and milk product in the locality4.Availability of concentrates, fodder & medicine in that locality.

Before starting a dairy farm the entrepreneurs/ farmers are advised to undergo training on dairy farming. They can contact Local Animal Husbandry Department staffs/Veterinary College/agriculture University etc. for the purpose.

Government subsidy available for these types of project– Back ended capital subsidy 25% for general category (33.33% for SC/ST beneficiaries) is available under the government of India scheme Dairy Entrepreneurship Development Scheme (DEDS.). Subsidy ceiling is Rs175000/ for general category & Rs233000 for ST/SC category for dairy farm with ten animals.The farmer from Odisha can avail back-ended capital subsidy 25% for general category  (33.33% for SC/ST beneficiaries) under the government of Odisha scheme Promotion Of Dairy Entrepreneurship (PDE).Subsidy ceiling is Rs175000/ for general category & Rs233000/ for ST/SC category for dairy farm with 10 animals for PDE scheme.Odisha farmer can avail subsidy either under scheme PDE or DEDS.

Avail Bank loan and subsidy– In order to avail bank loan & subsidy under DEDS/PDE the entrepreneur/farmers are advised to contact local animal husbandry/veterinary officers. Animal resources development department is the facilitator deportment for the above schemes.

Techno economic parameters and assumptions for  the project is given in  assumptions in 10 cows dairy farm

Housing for cows

Floor –Pucca, strong concrete cemented, impervious to moisture ,and have slope 1 in 60 towards gutter. Plinth should be 2ft. higher than ground.

 Walls-3ft. high lengthwise brick wall on sides, End wall should be solid made of bricks.

Roof– 14-16ft. high at the center and 8ft. high on the side wall .there should be   hang over 3ft  beyond the wall to prevent rain water from entering cow shade. Roof should be of asbestos, cement asbestos, or tile. the thatched  roof can replace asbestos in low cost housing

dairy farm house

tail to tail cow house



Feed chart and  lactation chart  for this 10 cows dairy farm is given in Feed and lactation chart  link

Economics of dairy farming with 10 indigenous dairy breed/ crossbred cows
Project costCost. In Rs.
Capital cost
Cow shed for 10 cows 40sq.ft/cow @300/sqft120000
Calf pen for 10 calves 20 sq.ft./calf @300/sq.ft.60000
Cost of 10 CB cows with minimum average 10 liter milk yield /day @35000/cow ( @ 3500/ liter of milk yield/cow)350000
Cost of transportation @1000/cow10000
Cost of one chaff cutter electric25000
Cost of  electrification15000
Cost of single bucket milking machine30000
Cost of dairy appliances @ 1500/cow15000
Recurring cost to be capitalized
Cost of feed for first batch of  one cows for one month as per feed chart15900
Cost of insurance  first five  animals @5% of animal cost8750
Cost of fodder cultivation in 2.5 acres of land for first session30000
Total recurring expenditure75000
Margin money 10% of project cost70000
Bank loan 90% of project cost630000
ParticularsProject period
Feeding during lactation period vide yearly lactation days and feed cost as per chart227900259700243800222600222600243800
Feeding during dry period vide dry days and feed cost as per feed chart enclosed275005750065000750007500065000
Medicine vaccine veterinary aid200002000020000200002000020000
Insurance @5% of animal cost /year175001750017500175001750017500
Cost of fodder cultivation600006000060000600006000060000
Cost of labour720007200072000720007200072000
other miscellaneous expenditure100001000010000100001000010000
Sale  of milk @Rs.32/liter during lactation days with average milk yield /cow  liter/day688000784000736000672000672000736000
Sale of gunny bags210023002250210021002200
Manure will be utilized in own farm
Value of closing stock of 10 cows(Depreciation on animal cost @10%/year)
Value of building(Depreciation on building@10%/year)72000
Value of equipments (Depreciation on equipments @15%/year)7500
Total income690100786300738250674100674100957700
Gross profit255200289600249950197000197000469400
Sl noFinancial indicatorsEstimated valuePreferred value
1.PW costs @ 15%DF2339385.97
2.PW benefits @ 15%DF2814659.92
3.Net Present Worth (NPW475273.95Should be+ve
4.Benefit Cost Ratio(BCR)1.20:1>1
5.Internal Rate of return (IRR)30.047>15%
6.Debt Service Coverage Ratio1.763>1.5

Repayment of loan:- Repayment of loan will start after grace period of six months. Total loan repayment period is 6-7 years. Details of  monthly installment, interest payment, principal payment and balance  is given in repayment schedule for 10 cows

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