Overview

For 50 buffaloes

Unit size 50

Project Cost (Rs.) 2995000

Bank Loan (Rs.) 0

Margin Money (Rs.) 0

Repayment period (years) 0

Loan rate of interest (%) 0

B Techno-Economic Parameters

Cost of each Murrah buffalo (Rs.) 40000

Average daily milk yield of each 7

buffalo (lit)
Sale price of milk (Rs./lit) 25

Total Milk Production 84000

Income from Milk(Rs.) 2100000

Irrigated land required for fodder 10
production (acres)
Covered area required for each animal 80
under loose housing including storage
area (sq.ft.)
Cost of construction of livestock shed 200
and store room (Rs/sq.ft.)
Cost of production/purchase of green 0.2
fodder (Rs/kg)
Cost of production/purchase of dry 2
fodder (Rs/kg)
Cost of concentrate feed (Rs/kg) 13
Cost of veterinary aid per animal per 700
year (Rs.)
Cost of electricity and water per animal 200
per year (Rs.)
Rate of livestock insurance premium 4
(%)
Annual wages of each farm labourer 240000
(Rs.) (6 labourers are required)
Sale price of empty livestock feed 8
gunny bags (Rs.)
Income from sale of gunny bags(Rs.) 3200
 Lactation Chart
(buffaloes are purchased in 2 batches at an interval of 5-6 months)

Year 1 Year 2
No. of in milk dry in milk dry
Batch animals
First Batch 25 7500 1625 7000 2000
Second Batch 25 4500 0 5250 3750
Total (days) 12000 1625 12250 5750

Feed and Fodder

Daily Requirement
Rate(Rs.)/kg in milk dry
Green fodder 0.2 25 20
Dry fodder 2 4 5
Concentrates 13 3.8 1

Year 1 Year 2
in milk dry in milk dry
Green fodder 60000 6500 61250 23000
Dry fodder 96000 16250 98000 57500
Concentrates 592800 21125 605150 74750
Total (Rs) 748800 43875 764400 155250
 Year 3 Year 4 Year 5
in milk dry in milk dry in milk dry

6250 2750 5250 3750 5250 3750

5250 3750 5250 3750 5250 3750
11500 6500 10500 7500 10500 7500

Year 3 Year 4 Year 5

in milk dry in milk dry in milk dry
57500 26000 52500 30000 52500 30000
92000 65000 84000 75000 84000 75000
568100 84500 518700 97500 518700 97500
717600 175500 655200 202500 655200 202500
 Investment Cost

Specifications Phy. units Unit cost Total

Cost of animals 50 40000 2000000
Construction of buffalo shed
and storage area sq. ft. 4000 200 800000
Equipments (chains, ropes,
spades, baskets, milk pails,
power chaff cutter etc.) 50 1000 50000

Land Rent(Lease) acres 10 10000 100000

Initial fodder cultivation cost
acres 10 3000 30000
Misc. expenses 50 300 15000
2995000

Cash Flow Analysis

I II III IV
1 Costs
a) Capital cost 2995000
b) Recurring cost
Feeding during lactation 748800 764400 717600 655200
period
Feeding during dry period 43875 155250 175500 202500
Veterinary aid 35000 35000 35000 35000
Cost of electricity & water 5000 5000 5000 5000

Insurance 80000 80000 80000 80000

Labour wages 240000 240000 240000 240000
Total 4147675 1279650 1253100 1217700

2 Benefits
Sale of milk 2100000 2229500 2173500 2058000
Sale of gunny bags 3022 3610 3408 3363
Depreciated value of 0 0 0 0
buildings
Depreciated value of 0 0 0 0
equipments
Closing stock value 0 0 0 0
Total 2103022 2233110 2176908 2061363
 V

655200

202500
35000
5000

80000
240000
1217700

2131500
3542
0

0
2135042