Cattle feed market in Gujarat:

Specific to designated districts of Saurashtra region.

Kaira District Milk Cooperative Union (AMUL)

Kumar Sunny

Executive Summary
1. Objectives- Feeding pattern of the farmers
Competitors analysis
Demand estimation
Establish/ suggest logistics
A general overview of the farmers and their feeding pattern is analyzed through secondary data
collection. For primary data farmer and retailer/dealer surveys are conducted through
questionnaire.
To observe the feeding pattern farmers can be classified into 4 categories based on the livestock
they are rearing.( 2-3 cattle, 3-6 cattle, 7-15 cattle, more than 15 animals). The fodder can be
classified into three broad categories- dry and green grass, different types of cakes and agri.
byproducts like cotton, groundnut, bran, mustard etc. and the third is concentrate cattle feed.

Project Location

Agro-climatic condition of Saurashtra region

Districts North Saurashtra1. Whole of Jamnagar
2. Part of Rajkot disctrict Paddhari, Lodhika, Jasdan, Rajkot, Wankaner, Morvi, Jamkanandorna
and Kotda Sangani talukas)
3.

Part of Surendranagar (Wadhwan, Muli, Chotila and Sayla talukas)

4. Part of Bhavnagar district (Gadhada, Umrala and Botadtalukas)

South Saurashtra1. Whole of Junagadh
2. Part of Bhavnagar (Sihor, Ghogha, Gariadhar, Palitana, Talaja and Mahuatalukas)
3. Part of Amreli district (Dhari, Savarkundla, Rajula, Jafrabad, Khambha, Amreli, Babra, Lilia,
Lathi and Kunkavav Vadia talukas)
4. Part of Rajkot district (Jetpur, Dhoraji, Upleta and Gondal talukas)
5. Part of Junagadh district (Kodinar taluka)

Agro-climatic condition of Saurashtra region

Rainfall :- north- 400 to 700 mm ; south- 645 to 700 mm
Climate:- dry sub humid
Type of soil:- north- Shallow medium black ; south- Shallow medium black and
calcareous.
Soil Characteristics and Land Use Classification :north- Cultivated and grassland
south- Cultivated forest and grassland
Crops :north- Groundnut, cotton, pulses, wheat, sorghum, pearl millet and
sugarcane
south- Groundnut, cotton, wheat, bajra, sorghum and sugarcane
General Fertility :north- N - medium to high, P - low, K - low to medium

Cattle
The total cattle population in the State is 9.98 million
numbers in the State. There is an increase in number
of cattle with 25.18% during the inter censuses period
(2007-2012).
The Gir breed of cows are the prominent breed in the
region in Junagadh, Bhavnagar, Amreli, Porbandar and
Rajkot districts.

Cattle Population in Gujarat

District wise cattle population(000)

Indigenous breeds
Districts

Dangi

Gir

Kankrej

Nondescript

Total

Rajkot

0.2

262.4

98.4

68.8

429.9

211.5

74.6

42.5

328.6

269.9

105.4

91.4

467.0

Jamnagar

117.1

163.7

67.7

348.5

Amreli

176.4

71.4

12.7

260.5

Porbandar

21.5

42.6

17.1

81.1

Surendranagar

129.9

150.9

61.2

342.0

Bhavnagar
Junagarh

0.3

District wise cattle population (000)

Exotic breeds
District

Jersey

Holstein
Friesian

Other

Total

Rajkot

16.2

4.8

0.8

21.8

Bhavnagar

7.4

4.1

11.5

Junagarh

8.3

3.5

2.3

14.1

Jamnagar

0.8

0.5

0.2

1.5

Amreli

3.7

1.7

3.1

8.5

Porbandar

1.3

0.6

0.1

2.0

Surendranagar

2.3

0.2

2.3

4.8

Buffalo
The total buffalo population in the State is 10.38
million numbers in the state. There is an increase in
number of buffaloes with 18.37% during the inter
censuses period (2007-2012).
The prominent breed in this region is the indigenous
Jaffrabadi breed found in Junagadh, Amreli,
Bhavnagar, Porbandar and Rajkot districts of northern
Saurashtra.

Buffalo Population in Gujarat

District and breed wise buffalo

(000) Mehsana
Districtspopulation
Banni
Jaffrabadi
Surti
Nondescri
Rajkot

17.6

Jamnagar

pt

Total
buffalo

245.3

34.3

1.6

63.2

362.0

190

6.7

4.2

55.4

256.8

Junagarh

7.9

275.8

9.6

6.4

77.9

377.5

Bhavnagar

1.9

276.0

10.8

4.1

41.3

334.1

193.1

12.5

1.0

4.0

200.6

83.0

0.8

20.9

105.3

89.1

77.5

67..9

290.11

Amreli
Porbandar

0.6

Surendranagr 55.6

District wise milk production(000MT)

District

Buffalo

Indigenous cattle

Crossbreed

Rajkot

277

144

46

Jamnagar

213

104

Junagarh

312

181

24

Bhavnagar

240

140

17

Amreli

181

99

12

Porbandar

101

30

Surendranagar

198

161

Feed Resources
As against the estimated animals requirements, feed resources available in
Gujarat are lower. In the last decade (2003 to 2011), shortage of Dry Matter
in the State reduced from 137 per cent of the requirement to 66 per cent;
Total Digestible Nutrients from 200 per cent to 73 per cent while the Crude
Protein availability increased from -98 per cent to a surplus of 19 per cent.
Eleven cattle feed factories, in the cooperative sector and spread across the
State, produced about 2.6 million tonnes of concentrated cattle feed for
bovines during 2012-13 and was sold at prices ranging from Rs. 11.9 to 14.3
a kg. The usage of concentrate increased from 2.1 kg to 2.7 kg per in-milk
cattle, while for buffaloes, it declined from 3.0 kg to 2.7 kg during the same
period.
Green fodder is a comparatively economical source of nutrients. However,
the availability of green fodder is lower than estimated requirement. In
Gujarat, the area under fodder crop has fallen from 10.5 to 7 per cent of the
gross sown area over the last eight years.

Area Under Fodder Crops

District

Area under fodder

crops(000ha)

Gross sown
area(000ha)

Percentage of
fodder crops

Rajkot

24

889

2.69%

Jamnagar

36

755

4.76%

Junagarh

24

796

3.01%

Bhavnagar

46

687

6.69%

Amreli

21

633

3.31%

Porbandar

169

4.73%

surendranagr

845

0.82%

Feed consumption- Buffalo

Cattle Green fodder

(kg/animal)

Dry fodder

Concentrate

Summ
er

Monsoo
n

Winter

All

Summer

Monsoo
n

Winter

All

Summer

Monsoo
n

Winter

all

In-milk

10.5

13.0

10.7

11.4

10.6

8.6

11.1

10.1

2.6

2.7

2.8

2.7

Dry
(not
calved
once)

7.4

10.1

8.0

8.5

8.9

6.7

9.0

8.2

2.2

3.9

2.1

2.7

Young

3.1

3.6

3.1

3.3

3.4

2.5

3.2

3.0

0.5

0.6

0.0

0.4

Adult
male

7.9

8.4

8.3

8.2

10.3

7.2

7.9

8.5

2.0

2.7

3.0

2.6

Feed consumption- Cattle

Cattle Green fodder

(kg/animal)

Dry fodder

Concentrate

Summ
er

Monsoo
n

Winter

All

Summer

Monsoo
n

Winter

All

Summer

Monsoo
n

Winter

all

In-milk

9.8

11.8

10.1

10.6

10.2

8.0

9.3

9.1

2.6

2.5

2.8

2.7

Dry
(not
calved
once)

7.2

9.5

7.3

8.0

8.7

6.6

8.6

8.0

2.0

2.3

3.1

2.4

Young

2.8

3.7

3.2

3.3

3.4

2.6

3.2

3.1

0.5

0.5

1.0

0.7

Adult
male

8.3

12.0

7.8

9.4

10.9

8.3

10.6

9.9

2.8

2.4

1.8

2.3

Crop Production in Rajkot

Amul cattle feed in Saurashtra : overview

Amul started its distribution channel in Saurashtra around two years back and
currently having 30 distributors in Saurashtra region .

The annual sales of Amul cattle feed all over Saurashtra in the year 2015 was 1659
metric ton while that of overall Gujarat it was 6850 metric ton.

Primary Data Collection : Methodologies

It was done in four districts of Saurashtra. These were Bhavnagar, Rajkot, Junagadh
and Jamnagar.

Distributors were the contact points in their respective districts and provided with
the primary information of sales of cattle feed in the villages.

Retailers or sub dealers were surveyed in every districts for the purpose of
gathering information about different types of feeds and fodder available in the
market and their respective prices and sales per month. This enabled us to get
some basic ideas about the competitors and substitutes of Amul cattle feed in the
market.

The dairy farmers were then surveyed based on a set of two questionnaires. The
first questionnaire consisted of evaluating the feeding practices of farmers to their
cattle during their lifetime starting from birth.

The second questionnaire dealt with gaining quantitative and qualitative

information of our product and its positioning.

Surveyed Areas

Bhavnagar

Kala talav
Navaratnapar
Lakhanka

Rajkot
Sardhar
Kharachiya
Haripar
tarauda
Pardi

Junagadh

Dhoraji
Majevadi
Dhandusar
Kodinar

Jamnagar

Dwarka
Ganesh Gadh
Bhansal

Major objectives of the survey - Snapshot

The main agenda of the questionnaire 2 i.e. the feeding
pattern of cattle by dairy farmers was need identification of
the customers with respect to cattle feed.
To understand the spending behavior of dairy farmers on
their cattle and the changes occurring in their dry and milking
spell.
To observe the seasonal fluctuations in the prices of
the feed and traditional fodder and estimate the changes in
farmers feeding practices due to this.
To gain insights on the probable reasons and nutritional
qualities of any food as perceived by the dairy farmers.

FEEDING PATTERN OF CATTLE AT DIFFERENT STAGES OF LIFE

PHASE

TIME PERIOD

FOOD PROVIDED( WITH REASONS)

Calf

Just after birth to 15 days

15 days to 2 months

4 months to 6 months

Young cow not calved

once
Pregnant cow/buffalo

Transition from calf to cow (in

heat)
First 6 months of pregnancy

Last 3 months of pregnancy

10 days immediate after calving

Till 2 months after calving

Milking cow

Less than 10 litre/day

More than 10 litre/day

Milking buffalo

Less than 10 litre/day

More than 10 litre/day

Dry cow

Dry buffalo

Major Findings
Calf

calves are fed with mothers milk for nearly 2 months. On an average a healthy cow
drinks up to 3-4 liters of milk everyday.

Less than I month 3-4 litre milk

1 to 2 month - 2 litre milk

More than 2 month - 0.5 litre milk

After the calf is able to digest some solid food, it is fed with around 5 kg of green
and dry fodder mixture/day. The quantity of milk is reduced day by day as the calf
starts eating more and more solid fodder.

Young cow not calved once

the calf turns to mature cow in around 2.5 years (25-30 months).

Up to 1 year 3-5 kg fodder

After 1 year 10 kg fodder

 Pregnant cow/buffalo

Last 3 months of pregnancy

suadana + jiggery + Asadhiya at the time of delivery (before to after). Provides heat +
slipperiness to the cows and helps in removing the toxicity.

10 days immediate after calving-

vegetable ghee+ mustard oil for removing toxicity from milk.

Jaggery increases calcium in calving animals, stability + good quality milk.

Sesame oil preventing mastitis.

Coconut khod provides essential oils to milking cattle ,increases strength and gives protein
(1.5 kg daily)

Kala jeera

Calcium powder -

Milking cow groundnut cake and cottonseed cake , increases milk productivity

Milking buffalo arhar and urad chunni body maintenance

Dry cow/ Dry buffalo 25-30 kg/ 30-40 kg dry fodder

Consumer Segmentation
Up to 5 cattle
6 to 15 cattle
FOCUS
AREA

16 to 30 cattle
More than 30
cattle

22.96
%

Crop residue as fodder, no

dairy business orientation

32.38
%

Fence sitters, need guidance

and assistance

12.14
%

Semi developed
management practices

18.22
%

TMR and Good Nutrition &

Management Practices

Cattle Census
Total
Cattle
Surveyed

cattle population

22%

1%

dry cattle

41%

in milk
calves

37%

bullocks

1,818

Dry

In Milk

Buffaloes

708

328

380

Cows
Work
bullocks

703

337

366

Calves

391

16

Demand Estimation
balanced cattle feed

How frequently do you require cattle feed?

24%

29. 35%

7-10 days
15 days
20 days

55. 65%
76%

30 days

Demand Estimation

Total milk produced - 3,743.50 litre per day

Ideal use of cattle feed - 3743.50/2 = 1871.75 kg per day

But only 55.65% people use concentrate cattle feed so estimated demand
comes to 1041.63 kg per day for the sample size.

Cattle Feed Use

How much quantity of feed required per month?

2. 2%
23. 27%

30 kg

32. 38%

50 kg
100 kg
200 kg

27. 32%

Quantity of cattle feed used per milch animal

Quantity given per day per milking buffalo

19%

15%

19%
3%

Quantity given per day per milking cow

20%

1 KG
2 KG

1 KG 2 KG

3 KG
3 KG 4 KG

59%

39%

25%

4 KG

Non usage of Amul Cattle Feed

Reasons for discontinuing Amul Cattle Feed? If cattle feed is not used, reasons for the same?

5%

43%

52%

Not discontinued
Animal not hbituated
Non Availability
Costly
Poor Quality

40%
60%

Non supply by societies

irregular supply
not knowing the
benefits
price is more than
natural fodder
any other

Usage with Indigenous Products

Using cattle feed alone or mixed with any other ingredient

Ingredients added

bran

10%
36%

cotton seed cake

NO

fodder

YES

groundnut cake

64%

others

90%

Changes noticed after using cattle feed?

Increase in mil prod.
Increase in fat%

9%

Decrease in fat%

20%

Increase in milk production but decrease in fat %

57%
14%

Decrease in milk production but increase in fat %

Keeps animal healthy
No change

Attributes Should bePresent

100.00

70.24

70.24

42.86

20.24

Word Cloud

STRENGTH
Brand Name
Strong investment capacity and financial
position
Skilled employees
40 well equipped production units
More product range in product line.
60 Years of experience

WEAKNESS

Rise in ingredient price

Unpredictable climate condition

SWOT
ANALYSIS

OPPORTUNITIES
Growth in livestock population
Growing Human population
Increase consumption of Animal Milk protein
Untapped market potential

THREATS

Lower cost of competitors product

Maturing products
Product substitution
Fluctuation in Milk Prices

Market Overview

Advertising
Customer knowledge about cattle feed

100

100

70.24

17.86
0

Marketing Strategy
Our Mission
Amul wants to be a partner in Rural Economy of India in order to uplift
socio economic status of the marginal and landless farmers through
increase in milk production.

Goal
To fulfil nutritional requirements of milch animals and increase quality
milk production of the country by providing quality Compound Cattle
Feeds.

Threat of new
entrant

COMPETITORS
ANALYSIS
Bargaining Power of
Suppliers
Low
Many supplier for raw
material

High
Customer can switch
Government regulation is
less
Low production cost
Rivalry among
Competitors
Existing Competitors:
Godrej, Rajdaan and local
players like Surya,
aggrawal, arravali etc.
More competition from
rivalry.
Threat of Substitute
products
High
More alternative products
available (cakes)
Customer can purchase low
cost products

Porters Five Force

Analysis
Bargaining Power of
Buyers
High
Many alternative product
available
Switching cost for buyer is
less

Perceptual map and Product positioning

Chart Title
3.69
3.46
2.75
2.06
4
4.33
4.31
2.37
2.69
3.94
2.67
2.6
1.87
2.76
3.24
3.51
3.26
2.6