Project report for dairy farm with 20 cows

dairy project 20 cows

PROJECT REPORT FOR DAIRY FARM WITH 20 CB HF/CB JERSEY COWS

MODEL APICOL PROJECT

This model project report for dairy farm with 20 cows is based on the following assumption:

1. Freshly calved crossbred Jersey/HF   cows in 1st or 2nd lactation will be purchased in two batches of two animals each at an interval of 5 to 6 months.

2. Availability of  4 acres of  land is prerequisite for the project

4.Fodder cultivation considered in 4-acre land, Two crops considered per year.

5. Cow dung produced will be utilized as Manure for fodder cultivation.

6. Cost of rearing calves is not considered as it will be nullified by their sale value

7. In case of death  cow, the new cow will be purchased from insurance claim money

8. The scheme is workable on the above guidelines if run by the dairy farmer on scientific lines.

SUBSIDY AVAILABLE FOR THIS TYPE PROJECT: -Odisha farmer can avail subsidy for this type project under Mukhya Mantri Krushi Udyoga Yojana (MKUY) (APICOL). 50%  subsidy of capital expenditure with the limit of Rs six lakhs is available for 20 animal dairy farm for ST/SC and general women. 40% subsidy with limit of 4.8 lakhs is available for the male of general category.

Housing for cows

Floor –Pucca, strong concrete cemented, impervious to moisture, and have slope 1 in 60 towards the 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 hangover 3ft  beyond the wall to prevent rainwater from entering cow shade. The roof should be of asbestos, cement asbestos, or tile. the thatched roof can replace asbestos in low-cost housing.

ITEMSLENGTH IN METER
MANGER0.6M
STANDING PLACE1.5 M
GUTTER0.4 M
FEEDING PASSAGE1.2 M ON BOTH SIDE
MILKING PLACE1.2 M

Total lactation day and dry day for 20 cows  dairy farm is given in lactation chart for 20 cows

Details of techno economic parameters  of this project is given in  Parameters 20 cows

Daily feed requirement and feed chart for this project is given in DAILY FEEDING AND COST CHART FOR DAIRY COWS

  ECONOMICS OF DAIRY FARMING WITH 20 HF/CB JERSEY COWS

Project cost and bank loanCost. In Rs.
1.Capital cost
2.Cow shed for 20 cows 60sq.ft/cow @300/sqft360000
3.Calf pen for 20 calves 20 sq.ft./calf @300/sq.ft.120000
4.One room 10” x 10” for keeping implements. And feed @400/sq.ft40000
5.Office room of 10” x 10”@ 500/sqft40000
6.Electric connection  and electrical installation to the farm3000
7.Bore well with pump set90000
8.Cost of 1 Fodder Chaff Cutter with Motor25000
9.Cost of milking machine with two can cluster50000
10.Milk Cans 40 Liter 10 Nos20000
11.Cost of one refrigerator for storage of medicines vaccines with voltage stabilizer15000
12.Cost of 20 CB jersey / CB HF Cows with minimum  average 12 liter milk yield /day including transportation  and insurance  @ 40000/cow800000
Total1563000
Recurring cost to be capitalized
       I.Cost of feed for first batch of 10 cows for one month as per feed chart46500
    II.Cost of fodder cultivation in 4 acres of land For one season24000
 III.Salary of  one  labourer  for one month6000
IV.Cost of medicine vaccine, electricity for the first month  for first batch of  10 cows & Misc expenditure for one month4500
   V.Contingency6000
Total recurring expenditure87000
TOTAL PROJECT COST1650000
Margin Money  @15% of the project cost247500
Bank loan @ 85% of project costRs. 1402500
CASH FLOW ANALYSIS.Year
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Feeding during lactation period vide yearly lactation days and feed cost as per chart705250883500891250891250883500852500852500
 

Feeding during dry period vide dry days and feed cost as per feed chart enclosed

540009600093000930009600010800054000
Medicine vaccine veterinary aid30000300003000030000300003000030000
Insurance @5% of animal cost /year20000200002000020000200002000020000
Cost of fodder cultivation

For two session

48000480004800048000480004800048000
Labour salary72000720007200072000720007200072000
other miscellaneous expenditure including electricity 30000300003000030000300003000030000
Total959250117950011842501184250117950011605001106500
INCOME 
Sale  of milk @Rs.32/liter during lactation days with average milk  12 liter yield /cow  day1747200218880022080002208000218880021120001747200
Manure will be utilized in own farm 
Value of closing stock of 20 cows(Depreciation on animal cost @15%/year) -0
Value of building(Depreciation on building@10%/year) 168000
Value of equipment (Depreciation on equipment @15%/year) 0
Total income1747200218880022080002208000218880021120001915200
Gross profit7879501009300102375010237501009300951500808700

Calculation of BCR & IRR

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Capital Costs1565000
Recurring Cost959250117950011842501184250117950011605001106500
Total Costs2524250117950011842501184250117950011605001106500
Benefit1747200218880022080002208000218880021120001915200
Net Benefit-7770501009300102375010237501009300951500808700
Sl noFinancial indicatorsEstimated valuePreferred value
1Net Present Worth (NPW) @ 15% DF2563125.25Should be +ve
2Benefit Cost Ratio(BCR)1.42:1>1
3Internal Rate of return (IRR)53.11>15%
4DSCR3.16>1.5

Repayment of loan– Repayment of loan will start six month after the availing loan and will be completed within six to seven years. Details of loan repayment is given in Loan repayment schedule for 20 cows.

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.