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We bring you the best quality meat REPORTED TO: MISS MARYAM REHMAT REPORTED BY: FAIZA RAHMAN HIRA AFZAL SEHRISH KHAN ZAINAB ZAMIR
INTRODUCTION
Export Livestock (Goats) Page 1
Goats have been serving our needs as early as 10,000 B.C., probably even before we have learned to domesticate cows and sheep. Because of their capability to survive on the most meager of herbs, bushes and scrubs, they are also ideal agricultural animals for countries with arid environments like those in Europe. Goat keeping is also a chief source of food and income in mountainous regions. This trait also makes them attractive to farmers from Third World countries because of their relative cost-effectiveness. In fact certain organizations donates herds of goats to charity organization and Orphans houses to help the people living in them and in this way they perform corporate social responsibility. Despite its scruffy appearance, the goat yields various products for consumption. Asides from being a good source of meat when keeping goats, its milk can be converted to yoghurt and cheese. If you are unfortunate enough to have cow's milk as allergens, you can find a great alternative in goat's milk. Certain breeds like the kaghani yield thick strands of hair. which can be used for the creation of textiles. There are however, shorter hairs found nearer to the skin of the animal which are common in lehri and kajli goats. Producing textiles out of these will give you more profit. There are many dimensions in goat keeping. First, you must identify the needs of your chief buyers. These needs will dictate which breed you will get as each one boasts different strengths on the areas of meat, milk, and hair. Therefore you will not use a goat of Nachi stock to produce hair specifically when Angoras are the more efficient breed for that. In the same respect, the former produces more milk than the latter which is why the Damani is ideal for dairy specifically operations and also Kohistani for meat specifically.
INTRODUCTION TO BUSINESS:
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As is given by our instructor the opportunity to develop a marketing plan for any kind of business, our group members decided to go for exporting Goats to Turkey and make joint venture with a Turkish firm to provide Halal meat of quality goats to the Muslims of Europe. For this purpose we gathered and analyzed data from various resources. First of all we conducted our research which includes our firms orientation, our primary goals, mission statement, our competitive edge. We then identify our consumer and business markets and objectives behind choosing this particular Halal Meat industry, market segmentation and choosing our target markets and positioning strategies. The plan also includes product descriptions, brand name, brand logo, companys URL, product life cycle strategies, distribution decisions, cost structure, promotion plans which include promotional objectives and theme, pricing strategies including our overall budget, cost, expenses and price setting strategies. The short summary is that
Company name is the first of its kind in Pakistan which expertise in exporting highly bred Goat to Europe through Turkish Company Name to provide Halal meat to European Muslims more easily and conveniently which is more economic in terms of health and monetary values.
The word QFLORA stands for natural products. The word "FLORA" is a biological term also considered to be equivalent to the English word "FLORA", which signifies HIGH QUALITY Livestock and Meat Products brought from traditional pastoral system as well as modern ranching. In line with this, the company is established to accomplish the following business purposes:
Develop the livestock industry by producing, through natural and improved practices, high quality live animals on its own ranches, feedlots.
Build-up a competent management and staff workmanship by constantly upgrading their skills and encouraging teamwork and a sense of belongingness.
OUR VISION:
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High quality products and sustained services to every customer and user.
OUR MISSION:
The puzzle of providing quality livestock (goats) is solved at QFLORA and thus trying to exceed the expectation of our customer, community. shareholder and the
OUR VALUES:
1. Customer Satisfaction 2. Quality and Excellence 3. Corporate Identity and Image 4. Integrity and Ethics 5. Balanced Life & Performance 6. Strength and Stability 7. Social Responsibility & Corporate Citizen 8. Profit and Growth 9. Respect and Trust 10. Teamwork and Cooperation.
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The European Committee for Standardization (CEN) set up a Working Group to analyse the feasibility of a European Standard on halal food. Brussels (26 November 2010). In the European Union, halal food generates sales of around 600 billion euro annually. For recall, halal food is food whose consumption is permitted for Muslims under Islamic law. This market 16 million Muslims live in the EU records strong growth. Some companies already included halal food in their commercial strategy such as the French fast-food chain Quick, which now offers specialised establishments where customers are offered only halal meat. Following Daniel Lucht, Senior Retail Analyst of London-based Verdict Research, there is therefore a need for a harmonised halal standard in Europe in order to ensure trust and safety both throughout the value creation chain and for the consumers. On 25 October 2010, the Austrian Standards Institute (ASI) convened the first meeting of the new Working Group Halal Food in Vienna. The members of this working group are experts from various countries, including Turkey as well as Bosnia and Herzegovina. Additionally, it includes representatives of European organisations, such as ANEC, the European consumer voice in standardization, and the European Livestock and Meat Trading Union. The task of the Working Group (CEN/BT WG 212) is to analyze the feasibility of a European Standard regulating the requirements for halal food. One standard for all the halal foods. All these efforts serve for preparing the development of a European Standard on halal food that is recognised by Muslims, whose requirements are in line with applicable legislation and that can also
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be implemented by the actors of the food chain. In Austria, the standard ONR 142000 Halal food Requirements for the food chain was already published in November 2009.
There is diversity of interpretations concerning Halal food concept by many Muslims in France, as well as in the other EU countries. Ethnicity is an important factor that determines purchasing decision and behavior. In France, Muslims are mainly immigrants from Algeria, Morocco and Tunisia, with almost equal proportion. In Germany, majority of Muslim immigrants came are from Turkey. This has an effect to purchasing behavior.
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In France, the proportion of Muslim population is about 10%. However, their total meat consumption reached 15% to the total countrys meat consumption. In general, Muslims in Europe consume meat and meat-based products 50% higher than Non-Muslims .
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TARGET MARKET:
We are performing as an exporter of livestock (Goats) from Pakistan to turkey and we will sign a contract with the importer of goats from Turkish, who will export halal meat to European country. Thus supplies of goats will fulfill the demand of halal meat for Muslim community of EU countries. So we have divided our customers into two main streams. Direct customers: 1. Business customer a. Prospect i. Stokom Ltd ii. Pinomer trading b. Sale lead i. Akredite ii. Atlas Dis Tic iii. Akvetmay, Tic ltd iv. Kula Gida Kombinalari Indirect customers: 1. Muslim Community of EU
SEGMENTATION:
We have available different kinds of goats among them some goats are used for specific purpose and product (Goats) are different on basis of characteristics and weight. So, on the basis of different characteristics different kinds of goats can be provided from our customers on their requirement. The detail of types and characteristics are being provided in product section.
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NEUTRAL ENVIRONMENT:
FINANCIAL ENVIRONMENT:
We are pioneer in this business in Pakistan. For the financial requirement, we have made portfolio having 60 % equity investment and 40 5 loans. The decision to take capital investment loan is based on the reason that the banks have currently dropped interest rate to their lowest level and other tradition lending institutions have vastly contracted new business and other capital investment loans. So it is an opportunity for us to mitigate risk associated with any new business. The rest of 60% equity is raised by four partners, 15 % each. So our business is financially supported by four partners and external financial environment.
MEDIA ENVIRONMENT:
Generally the most common used media for promotion are print media including newspaper, brouchers, catalogues, magazines and electronic media including TV, Radio and Internet. We intend to use catalogues and brouchers in print media and website in electronic media.
COMPETITIVE ENVIRONMENT:
We are pioneer in Pakistan as we are the only organization conducting this business. So in Pakistan currently we dont have competitors but in turkey Khalid Hijazi Jordanion Company is providing livestock from United States, Brazil, Argentine and Chilli.
SWOT ANALYSIS
STRENGTH:
We are pioneer in our business. It is core strength of our business. Free trade agreement between Pakistan and turkey named PTA is strength of our business. Pakistan being agriculture country is excellent place to grow quality rough livestock because Page 9
natural food can be available for livestock. The demand of halal food from quality livestock by Muslim society of EU. Our financial strength lies on portfolio construction as it is used to mitigate risk. Our customer focus strategy and sound marketing plan is also strength of our business.
WEAKNESS:
Initially to make our customer awareness and confidence on us is a tough job but with the help of our sound marketing strategy. We will be able to overcome this.
OPPORTUNITIES:
In Pakistan import of livestock is free
through turkey we can target other markets including middle east, North Africa and other countries. On the second stage of our business development we can have our opportunities to have franchise in turkey. In future in EU or other countries with considerable muslim community have free trade agreement we can directly provide them halal food.
THREAT
The govt. policies of both countries during unfavorable conditions can be thread for us. The natural disaster including flood , earthquake , and other contingencies factor can be threat of us. In turkey livestock is imported for different countries and strong competition can be serve as a threat for us .
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Pakistan Horticulture Development and Export Company have been created due to the enormous potential of Pakistans horticulture products in the global market. In the absence of a single ministry or institution responsible for development at all levels of the horticulture value chain it was considered important to set-up PHDEC to uplift this sector, especially in light of the impact of globalization and WTO regime.
OBJECTIVES
The primary objective of PHDEC is to address and resolve problems and issues of the Pakistan horticulture sector through long term and timely interventions aimed at improving quality at key areas of the horticulture value chain, ultimately leading to a substantial increase in exports from Pakistan. Some of the main areas of intervention include:
Encourage and facilitate the growers to grow for exports. Impart new technologies and techniques to growers and processors. Develop/implement export marketing strategies. Create an export orientated environment facilitated through procedures and quality standards through regulations and incentive schemes.
Attract local and foreign investment. Facilitate in setting up of necessary material and quality infrastructure including inter alia cool chain system all over the country.
Develop linkages and networking with relevant institutions i.e. R&D, banks, training/HRD, joint venture arrangements/commercial linkages with international companies, technology transfer, sub-contracting.
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Important sequence for export of livestock is as follows: 1. Register your business name (i.e. company formation) and get NTN, Sales Tax number/certificate 2. Open a bank account 3. Register with Chamber of Commerce & Industry 4. Register with concerned Association (Optional) 5. Select a product for export 6. Identify potential market 7. Do market specific research including size of the potential market, product preference, unit price, import regulations, certifications required, etc 8. Quote a price including packing cost, processing cost, insurance, credit, agents commission, octroi duties, documentation fee, marking charges, transportation charges, export duties, etc 9. Packaging should be strong and as per clients requirements. 10. Select a mode of transport keeping in view the perishability of the product 11. For financing pre-shipment or post-shipment credits are also available 12. Insurance to recover cost in case of loss (optional) 13. Sign a contract with the prospective Buyer including names of exporter/importer, unit price, total quantity, terms of delivery (FOB, C&F etc), currency and terms of payment (Cash Against Documents or through Letter of Credit), mode of shipment, etc 14. Select a suitable clearing & forwarding agent 15. Prepare shipping documents
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MARKETING MIX
PRODUCT:
Asia and Pacific have a goat population of about 271 million, representing 58% of the total world population. These contribute 62% meat, 49% milk and 62% skin. There are 22 goat indigenous breeds are found in various parts of the world. Animal product contributes over 56 million tons of edible protein and over 1 billion megacalories of energy annually. This protein is equivalent to more than 50% of protein produced from all cereals. The heaviest concentrations are found in China, India, Pakistan, Indonesia and Bangladesh, which is together 78% of the total population in Asia. In Pakistan Damani and Kamori are popular, while in other countries breeds are: Barbari, Beetal, Jamnapari, Malabar and Black Bengal.
Low quality of breeding stock. Poor feeding, neglect housing and herd management and health program. Inefficient marketing of goat meat, milk and skin without auction markets. Poor transportation and handling methods of meat and milk. Lack of technologies for proper goat farming system.
To overcome all these problems the efficiency of goat production depends to the type of feeding system, level of feeding management and availability of nutrients for high production. Routine for feeding and milking It is described as under:
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06.45 a.m. feed, water and milking. 12.00 noon; Hay, roots or any seasonal crop. 6.00 p.m: Feed and water. 7.00 p.m: Milking.
Water: 86.2% Fat: 4.5% Sugar: 4.8% Casine: 2.47% Other Proteins: 0.43% Ash: 0.79%
THE NUTRIENT REQUIREMENT OF GOAT DEPEND UPON: 1) The quantity of nutrients and dietary proportion has to be considered properly.
2) The animal nutritional requirement depend upon the maintenance, growth, milk production and also the level of production based on live weight again or milk production. 3) Diet formula includes locally available crop residues, agro-industrial by-products and nonconventional feed stuffs. 4) The diet selected must be nutritionally and economically cheap to afford. 5) The leucaena (L. leucocephala) supplied metabolic energy, protein and minerals
High phosphate diet consists of cereal and oil cake. The vitamin-A present in green leaves, yellow colour matter of carrots, roots and yellow maize. Some cereals and pulses supply vitamin-B complex. The goat makes vitamin C out of constituents of the blood. The source of vitamin D is sunlight on the substance in the skin. The source of vitamin E is bran or wheat-germ meat.
QUALITY ASSURANCE:
Our company makes sure that it provides the best quality of livestock. There is a team of persons who will be responsible for taking the feedback either through telephone or through E-Commerce. In order to ensure the safety of the order and delivery and that the livestock has reached safe and sound, we provide our customer to send their complaints on our website 24 hours a day.
GOAT FEED
It can contain following feed items to ensure quality of the breed: a) Tree leaves: Elm, horse chestnut, mixed leaves, oak, poplar and willow. b) Leaves of non-legume plants: Artichoke tops, beet-top, mangold-top, nettles, potato haulm, and turnip tops. c) Fresh legumes: Alfalfa (Lucerene), alsike, beans, clove, kidney vetch, peas, sainfoin, trefoil. d) Flowering, cereals and grasses: Barley, back wheat, maize, millet, oats, rye, rye-grass, timothy, pasture grass and rotationally grasses. Export Livestock (Goats) Page 16
The milk of goat is sweet, nourishing and medicinal it is not opt to curdle on the stomach as that of cow. Acetonaemia, Anemia, blindness (contigious opthalmia) coccidia, coccidia, colic, dermatitis, diarrhoea, eczema, enterotoxaemia, ergot, fluke, foot and mouth disease, gas gangrene, goat pox, Johnes disease, lactation tetany, lice, louping III, pneumonia, pregnancy toxaemia, ring worm, tetanus, ticks, tympany, and worms.
BACTERIAL DISEASES
Anthrax, brucellosis, contagious caprine pleuropneumonia, caseous lymphadenitis, enterotoxemia (pulpy kidney), malignant edema (gas gangrene), mastitis, pasteurellosis, tetanus, clostridum tetan, Johnes disease (paratuberculosis) and tuberculosis.
VIRAL DISEASES
Bluetongue, contagious ecthyma, goat pox, foot and mouth disease, rinder pest, psuedo-rinderpest of goat, leptospirosis, caprine arthritis encephalitis and toxoplasmosis. We will try to overcome these diseases by hiring doctors. Doctor will regularly examine the goats so that livestock may not dead or may cause some disease
.
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PROMOTION
We have intended to use following channels. Personal selling Website Catalogues
PERSONAL SELLING:
We are performing as B2B business organization and we have decided to use personal selling as it is best promotional strategy for B2B kind of business.
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PRE APPROACH:
We will make telephone calls initially to approach our customer. For stokom LTD we will made telephone call to EME HANGOKEY, who is the contact person of stokom LTD. We will have appointment to present our demonstration at their company according to suitable time provided by them.
POINT OF SELLING:
Ambitious to provide we are the quality livestock to our customer.
WEBSITE
Our website will provides all details regarding each product item. Buyer can place online orders by registering on our website. Our website will provide whole documentary of our core competencies. Our website will be placed on various portals for advertisement like Yahoo and MSN. Our website will be connected to paypall that will insure complete security of payment system
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ELECTRONIC MEDIA We will run advertisements on electronic media (that is Television and Radio) so that our information reaches to each and every loop and corner of the country. AFTER SALE SERVICES
We take the privilege of giving after sale services to our respected customers. The company will be responsible to replace the product according to the demand and liking of the customers.
PLACEMENT
We will export (goats) livestocks to turkey by Turkish airline flight Airbus 8330 that will carry 300 goats in one lotte, which will further export halal meet to European Union countries. We will be into contract with import organization of livestock in turkey which will export halal food of quality livestock to European countries mainly France and Germany. So the demand of halal food by European countries is aimed to fulfill at the end The reason of making joint venture with Turkish company is that Pakistan and turkey are enjoying free trade agreement named PTA (preferred trade agreement) which is an opportunity for us. A country that offers 100 % and more tax deduction on Research and Development expenditure access to Europe Caucasus, Central Asia, Middle East and North Africa. Sixteenth largest economy of the world and six largest economy as compared to EU companies in 2009(IMF-WEO). Fifteenth most attractive FBI destination for 2008-2010(UNCTAD WORLD INVSTMENT PROSPECT SURVEY). Average annual real GDP growth of six % between 2003 and 2008.
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On the other hand turkey and European union are cheering free trade agreement which is named as CUA (customer union agreement) with each other which is providing opportunities for export. So Q-FLORA is ambitious to exploit all direct or indirect opportunities to enjoy maximum benefits. Initially we are targeting Istanbul based livestock import organization named stokom limited and pinomer trading. We will export 1000 goats monthly by Air in one consignment. Because this is cost effective and demand is covered. We will be making cattle farm house having feedlots to place and nourish goats. The supplies of younger goats will be received monthly as well and after 6 months of nourishment that herd will be ready to export and thus this cycle will move. During this period of 6 months the goats will be properly cared and feed with qualitative food and vaccinated. So that at the end a qualitative goats would be ready to export to our business customers. Our warehouse will be especially constructed for goats consisting of 20 canals at Qasim bela, so that they can be cared and kept properly. Initially from the day starting our business, after 6 months we will be delivered our first consignment and then it would be after each month.
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PRICING:
The finance department will handle all financial matters in terms of billing, settlement of invoices,
negotiating and finalizing deals, effectively managing the huge amount of cash that a business like this generates, managing administrative expenses, etc. Payment recovery and preparation of accounts in terms of quarterly, half yearly and annual reports in line with audit requirements will be other important responsibilities of the Finance Department. The personnel required will include a Senior Finance Manager assisted by Accountants and Assistant Accountants.
Funds have been provided for the setting up of a modern goat breeding facility in Gharo near Karachi, in addition the project will include a modern slaughter house with meat processing facilities. LAND
The plot of land having an area of around 150 acres in Gharo near Karachi has been proposed, justification for location of plant has been established. The present value of land with access to the National Highway connecting Karchi with the rest of the country is estimated at Rs. 0.15 million per acre.
house and meat processing and storage facility. The total cost of the building and civil works has been estimated at Rs. 90.0 million.
OTHER VEHICLES
This will include other support vehicles like transport vans for carrying live animals from the markets as well as the processed meat to the airport, for transporting of the workers, as well as cars for executives. It is estimated that these will cost Rs. 20.0 million.
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CONTINGENCIES
Contingencies for the first year of operation have been estimated at Rs. 15.0 million.
CONCLUSION
Agriculture is the largest sector of Pakistans economy, contributing nearly 22% of the total output (GDP) and employing around 45% of the total labor force. Livestock contributes nearly 50% to the value addition in the agricultural sector and almost 11% to Pakistans GDP. Pakistan, because of its location and climate is well suited for entering international meat trade, especially halal meat trade which in 2003 was estimated at US$150 billion and its expected to grow to US$500 billion in near future. Moreover, European countries are the emerging markets in the world. There is an increased consumption of halal meat among the European countries inhabitants as many Muslim immigrants are migrating there for fulfilling their employment needs and many others, and therefore there is a need of more and more supply of halal meat in those countries. They are also a good tourist destination.
Consumers from different geographical boundaries come there, therefore the demand of halal meat has risen there. Therefore, the investment in the field of meat marketing will be beneficial not only to the investor but it will also help in meeting the demand for the meat of the country as well as help
Export Livestock (Goats) Page 27
in generating foreign exchange revenue for the country through export of the live animal and meat.
REFERENCES
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