Model Project on Poultry Broiler Farming Model Project on Poultry Broiler Farming
1. Why do broiler farming ? 1. Why do broiler farming ?
Poultry meat is an important source of high quality proteins, minerals and vitamins to
Poultry meat is an important source of high quality proteins, minerals and vitamins to balance thebalance the human diet. Specially developed breeds
human diet. Specially developed breeds of chicken meat (broiler) are now available of chicken meat (broiler) are now available with thewith the ability of quick growth and high feed conversion efficiency. Depending on the farm size, broiler ability of quick growth and high feed conversion efficiency. Depending on the farm size, broiler farming can be a main
farming can be a main source of family income or can provide source of family income or can provide subsidiary income and gainfulsubsidiary income and gainful employment to farmers throughout the year. Poultry manure has high fertilizer value and can be employment to farmers throughout the year. Poultry manure has high fertilizer value and can be used for increasing yield of all crops.
used for increasing yield of all crops. i)
i) The The advantages advantages of of broiler broiler farming farming areare ii)
ii) Initial Initial investment investment is is a a little little lower lower than than layer layer farmingfarming iii)
iii) Rearing Rearing period period is is 6-7 6-7 weeks weeks onlyonly iv)
iv) More More number number of of flocks flocks can can be be taken taken in in the the same same shedshed v)
v) Broilers have Broilers have high high feed feed conversion conversion efficiency efficiency i.e. i.e. least least amount amount of of feed feed is is required required for for unit body weight gain in comparison to
unit body weight gain in comparison to other livestock.other livestock. vi)
vi) Faster Faster return return from from the the investmentinvestment vii)
vii) Demand Demand for for poultry poultry meat meat is is more more compared compared to to sheep/Goat sheep/Goat meatmeat 2. Scope for broiler farming and its national importance
2. Scope for broiler farming and its national importance India has made considerable progress in broiler produc
India has made considerable progress in broiler produc tion in the last two decades. High tion in the last two decades. High qualityquality chicks, equipments, vaccines and medicines are available. Technically and professionally
chicks, equipments, vaccines and medicines are available. Technically and professionally competent guidance is available to the farmers. The management practices have improved and competent guidance is available to the farmers. The management practices have improved and disease and mortality incidences are much reduced. Many institutions are providing training to disease and mortality incidences are much reduced. Many institutions are providing training to entrepreneurs. The broiler population has increased from 4 million in 1971 to 700 million in entrepreneurs. The broiler population has increased from 4 million in 1971 to 700 million in 1998. An average annual growth rate of 20% was estimated during the eighth five year plan 1998. An average annual growth rate of 20% was estimated during the eighth five year plan (1992-1997). Increasing assistance from the Central/ State governments and po
(1992-1997). Increasing assistance from the Central/ State governments and po ultry corporationsultry corporations is being given to create infrastructure facilities so that new entrepreneurs take
is being given to create infrastructure facilities so that new entrepreneurs take up this business.up this business. Broiler farming has been given considerable importance in the national policy and has a good Broiler farming has been given considerable importance in the national policy and has a good scope for further development in the
scope for further development in the years to come.years to come.
3. Financial assistance available from Banks/NABARD for broiler farming 3. Financial assistance available from Banks/NABARD for broiler farming
3.1 NABARD is an apex
3.1 NABARD is an apex institution for all matters relating to policy, planning and operations ininstitution for all matters relating to policy, planning and operations in the field of agricultural credit. It serves as an apex
the field of agricultural credit. It serves as an apex refinancing agency for the institutionsrefinancing agency for the institutions providing investment and production credit. It promotes de
providing investment and production credit. It promotes de velopment through formulation andvelopment through formulation and appraisal of projects through a well organised technical services department at the Head Office appraisal of projects through a well organised technical services department at the Head Office and technical cells at each of the Regional Offices.
and technical cells at each of the Regional Offices. 3.2 Loan from banks with refinance
3.2 Loan from banks with refinance facility from NABARD is available for starting broiler facility from NABARD is available for starting broiler farming. For obtaining bank loan, the farmer should apply to the nearest branch of a commercial farming. For obtaining bank loan, the farmer should apply to the nearest branch of a commercial or cooperative or regional rural bank
or cooperative or regional rural bank in their area in the prescribed apin their area in the prescribed application form which isplication form which is available in the branches of financing bank. The technical officers attached to or the manager of available in the branches of financing bank. The technical officers attached to or the manager of the bank can help or give guidance to the farmers in preparing the project report to obtain bank the bank can help or give guidance to the farmers in preparing the project report to obtain bank loan.
loan.
3.3 For poultry farming schemes with very large outlays detailed project reports are
3.3 For poultry farming schemes with very large outlays detailed project reports are required torequired to be prepared. The items of finance would include construction of broiler sheds and purchase of be prepared. The items of finance would include construction of broiler sheds and purchase of
equipments. Cost of one day old
equipments. Cost of one day old chicks, feed, medicine and labour chicks, feed, medicine and labour cost for the first 7 weekscost for the first 7 weeks period for the first cycle, are also considered. Facilities such as land
period for the first cycle, are also considered. Facilities such as land development cost, fencing,development cost, fencing, water and electricity, essential servants quarters, godowns, transport vehicles, broiler dressing, water and electricity, essential servants quarters, godowns, transport vehicles, broiler dressing, processing and cold storage facilities can also be
processing and cold storage facilities can also be considered for providing loan. Cost of land considered for providing loan. Cost of land isis not considered for loan. However,
not considered for loan. However, if land is purchased for starting a broiler farm, its cost can if land is purchased for starting a broiler farm, its cost can bebe treated as party's margin money upto 10% of the
treated as party's margin money upto 10% of the total cost of project.total cost of project. 4. Scheme formulation for bank loan
4. Scheme formulation for bank loan
4.1 A scheme can be prepared by the beneficiary after consulting local technical persons of State 4.1 A scheme can be prepared by the beneficiary after consulting local technical persons of State veterinary department, poultry corporation or private commercial broiler hatcheries. If possible, veterinary department, poultry corporation or private commercial broiler hatcheries. If possible, they should also visit the progressive broiler farmers in the area and
they should also visit the progressive broiler farmers in the area and discuss the profitability of discuss the profitability of farming. A good practical training and experience on a broiler farm will be highly desirable, farming. A good practical training and experience on a broiler farm will be highly desirable, before starting a broiler farm. As broilers have to be
before starting a broiler farm. As broilers have to be sold after attaining 6-7 weeks of age, sold after attaining 6-7 weeks of age, aa regular and constant demand for
regular and constant demand for broiler meat and nearness of the farm to broiler meat and nearness of the farm to the market should bethe market should be ensured.
ensured.
4.2 The scheme should
4.2 The scheme should include information on land, water and include information on land, water and electricity facility, marketingelectricity facility, marketing aspects, training facilities and expertise of entrepreneurs and the type of assistance available aspects, training facilities and expertise of entrepreneurs and the type of assistance available from State government, poultry corporations, local hatcheries. It will also include data from State government, poultry corporations, local hatcheries. It will also include data onon proposed capacity of the farm, total cost of the project, margin money to be provided by proposed capacity of the farm, total cost of the project, margin money to be provided by
beneficiary and requirement of bank loans, estimated annual expenditure, income and profit and beneficiary and requirement of bank loans, estimated annual expenditure, income and profit and
the repayment of loan and interest. A format developed for formulation of broiler farming the repayment of loan and interest. A format developed for formulation of broiler farming schemes is appended as annexure I.
schemes is appended as annexure I. 5. Requirements of good project 5. Requirements of good project
The bank officers also can assist in preparation
The bank officers also can assist in preparation of the scheme or filling in the prescribedof the scheme or filling in the prescribed application form. The scheme so formulated should
application form. The scheme so formulated should be submitted to the nearest branch be submitted to the nearest branch of bank.of bank. The bank will then examine
A.Technical feasibility - this would briefly include : (a) Suitability of climate and potentiality of the area
(b) Technical norms including schedule for replacement of flocks
(c) Facilities and infrastructure available for supply of inputs, veterinary aid,marketing, training/experience of the beneficiary
B. Financial viability - this would briefly include : (a) Unit cost and loan requirement
(b) Input costs for chicks, feed, veterinary aid, labour and other overheads
(c) Output costs i.e. sale of broiler for meat, manure and other miscellaneous items. (d) Calculation of annual gross surplus (income-expenditure)
(e) Cash flow analysis
(f) Repayment schedule i.e. repayment of principal loan amount and interest
Other documents such as loan application forms, security aspects, margin money requirements etc. are also examined. A field visit to scheme area is undertaken for conducting
techno-economic feasibility study for appraisal of the scheme. The model techno-economics of Broiler farming unit of 4000 birds is given in Annexure IIa to IIf.
6. Sanction of Bank loan and its disbursement
After ensuring technical feasibility and financial viability, the scheme is sanctioned by the bank. The loan is disbursed in kind in 2 or 3 stages, such as against the creation of specific assets, construction of sheds, purchase of equipment and machinery, recurring cost on purchase of chicks, feeds, medicines, etc. The end use of the loan is verified and constant follow up is done by the bank.
7. Lending terms - General: 7.1 Unit cost :
Each Regional Office (RO) of NABARD has constituted a State Level Unit Cost Committee under the chairmanship of RO-in-charge and with the members from developmental agencies, commercial banks and co-operative banks to review the unit cost of various investments once in six months. The same is circulated among the banks for their guidance. These costs are only indicative in nature and banks are free to finance any amount depending upon the quality of investment.
7.2 Margin Money :
NABARD has defined farmers into three different categories and where subsidy is not available the minimum down payment as shown below is collected from the beneficiaries.
No.
a) Small farmers 5%
b) Medium farmers 10%
c) Large farmers 15%
7.3 Interest Rate:
Banks are free to decide the interest rates within overall RBIguidelines. However, for working out financial viability and bankability of model project, we have assumed rate of interest as 12% p.a.
7.4 Security:
Security will be as per NABARD/RBI guidelines issued from time to time. 7.5 Repayment of loan :
The loan repayment is determined, on the basis of gross surplus generated in the scheme. Usually the repayment period of loan for broiler farming is 5-6 years.
7.6 Insurance :
The birds and other assets (poultry sheds, equipment) may be insured.Whereever necessary Risk/Mortality fund may be considered in lieu of poultry insurance.
8. Package of Common Management Practices recommended for poultry farmers
Modern and well established scientific practices should be used to obtain maximum economic benefits from poultry farming. Some of the major norms and recommended practices are given below :
Poultry Housing :
1. Select well raised land for poultry sheds. Land with hard rock or murram is more suitable. Avoid water logging and flooding near the sheds.
2. Ensure adequate facility for water, electricity, approach road, supply of chicks, feed, veterinary aid and nearness to market for sale of live birds and dressed chicken.
3. Obtain training/experience in broiler farming before starting a farm. You should be prepared to stay on the farm and have constant supervision.
4. Provide adequate floor space, feeding space and watering space per bird (see details in Annexure III). BIS specifications for construction of poultry sheds are available.
5. Construct sheds in such a way that the end walls face East-West direction and the side walls face North-South direction, so that rain water will not enter the sheds.
6. Provide strong roof and hard flooring. Raise plinth of the shed at least one feet above the outside ground level.
7. Provide 3 to 4 feet overhang of the roof to avoid entry of rainwater inside the shed. 8. Provide at least 50 feet distance between two sheds.
9. Provide adequate light and ventilation and comfortable housing conditions during all seasons (cool in summer and warm in winter).
Construct sheds in such a way that predators (cats/dogs/snakes) will not enter the shed. Avoid entry of rats by constructing rat proof civil structures.
10. Keep the shed clean and free from flies/mosquitoes etc.
11. After disposal of every batch of birds the dirty litter material and manure should be removed, walls and floors should be cleaned, white washed with lime and disinfected with 0.5% malathion or DDT insecticide spray.
12. If deep litter system is followed, always use dry and clean litter material (sawdust, paddy husk, etc.). Spread 4" layer of litter on the floor, keep clean/disinfect brooding, feeding and watering equipment and then introduce chicks in the house.
13. The litter material should be always kept loose and dry. Stir the litter twice a week. Any wet litter/droppings etc. should be removed and replaced with fresh/clean dry litter. Poultry Equipment :
15. Use scientifically designed cages and equipment for brooding, feeding and watering purposes. BIS specifications for equipment are available. A good design can be shown and
manufactured locally, so that cost can be reduced. Chicks :
16. Purchase of improved strain of one day old healthy broiler type chicks from a reputed hatchery. Usually 2-5% extra chicks are supplied.
17. Clean, wash and disinfect all equipments with 0.5% malathion spray after every batch of birds is disposed off.
18. Use high quality balanced feeds. With proper knowledge/experience, the feed can be prepared at the farm. Feed requirements of birds are shown in Annexure IV. BIS feed formulae
and specifications are available. Composition of some of the practical broiler diets is given in annexure V.
19. Store the feed in clean, dry, well ventilated room. A wet feed may bring fungus infection. 20. Use properly designed feeders and control the rats to avoid feed wastage.
21. Keep proper records on feed consumption per bird for each batch. Compare with the standard feed consumption pattern. Too low feed consumption may be due to disease condition, low quality/unpalatability of feed, high temperature in poultry shed.
Watering of Birds :
22. Always give fresh and clean drinking water. Water should be always available at birds. 23. Use properly designed watering equipment. Provide adequate watering space per bird (for details see Annexure - III).
24. Always keep water-pots clean. Avoid birds entering inside pots.
25. Provide cool water during summer. Store the water in tanks that are not exposed to hot sun in summer.
Disease Prevention/Control :
26. Clean sanitary conditions of poultry sheds and equipment, balanced feed, fresh clean water, healthy chicks are essential to prevent diseases.
27. Avoid entry of visitors to farm, especially inside the sheds. If visitors come, ask them to dip their feet in a disinfectant solution, wash and clean hands and to wear apron/boots provided by the farm.
28. Use proper vaccination schedule (for details see Annexure-VI)
29. Use high quality vaccines purchased from reputed manufacturers. Keep vaccines in cool, dry conditions away from sunlight.
30. Any left-over vaccine should be properly disposed off. Vaccines should not be used after their expiry date is over.
31. Any dead bird should be immediately removed from the shed and sent to laboratory for post-mortem or buried/burnt suitably away from the poultry sheds.
32. The waste of farm should be suitably disposed off.
33. Any bird showing advanced signs of a disease, should be removed from the shed and culled. It can be sent to laboratory for diagnosis.
34. Birds showing advanced signs of a disease should be shown to a qualified veterinarian and suitable medication/treatment be given as per his/drug manufacturers recommendations.
35. Poultry manure, if infected, can spread disease, from one batch to another. Keep the litter dry, remove it after flock is sold and dispose the manure properly and quickly.
36. Keep proper records on mortality and its causes and the treatment given to birds. Dates of vaccination for each flock should be properly recorded.
37. Rats are important carriers of poultry disease. Avoid rats. Use suitable rat poisons/rat traps. 38. Many poultry medicines can be given in drinking water. When medication is to be given, remove the waterers in poultry sheds on the previous evening. Next morning give medicine in measured quantity of water, so that entire medicine will be quickly consumed and there will be
no wastage of medicines.
39. Mild infection of disease may not cause mortality but it will reduce growth. Keep sample record of body weight and mortality rate. Study the possible causes, if weight is low take steps to improve the management of the subsequent batches. A Constant vigil and analysis of
records/results is necessary to keep up the efficiency in farming. Processing/Marketing :
40. Ensure the constant and steady demand for broiler meat is available and the market is nearer to the farm.
41. Study the market demand for particular live weight of the birds.
42. Birds should not be kept on the farm beyond 6-7 weeks of age, as their feed efficiency will go down considerably.
43. If birds are sold after dressing (processing) use clean dressing hall and processing
equipment. Dressed birds should be chilled in the ice-cold water for 3-4 hours and excess water removed. Birds should then be packed in clean plastic bags and the mouth of bag sealed.
44. Processed birds should be marketed as early as possible. If they have to be preserved, deep freezing equipment (-10 to -200C) be used. Refrigerated vans may be required for long distance transportation.
Annexure I
Format for submission of schemes Scheme: Poultry - Broiler Farming 1. General
i) Name of the sponsoring bank
ii) Address of the controlling office sponsoring the scheme iii) Nature and objectives of the proposed scheme
iv) Details of proposed investments: Sr.No. Investment No. of units
a) b) c)
v) Specification of the scheme area (Name of District & Block/s)
vi) Names of the financing bank's branches:
vii) Status of beneficiary/ies' (Individual)/Partnership/Company/Corporation/Co-operative/Others
viii) In case of area based schemes, coverage of borrowers
in weaker sections (landless labourers, small, medium & large farmers as per NABARD's norms, SC/ST, etc.)
ix) Details of borrowers profile (Not applicable to area based schemes) (a) Capability
(b) Experience
(c) Financial soundness
(d) Technical/Other special Qualifications
(e) Technical/Managerial Staff and adequacy thereof 2.TECHNICAL ASPECTS:
a) Location, Land and Land Development: i) Location details of the project
ii) Total Area of land and it's cost iii) Site map
iv) Particulars of land development, fencing, gates etc. b) Civil Structures:
Detailed cost estimates along with measurements of various civil structures - Broiler Sheds
- Store room - Dressing room - Office room - Quarters for staff - Others
c) Equipment/Plant and machinery: (i) Feeders
(ii) Waterers (iii) Generator
(iv) Feed grinder and mixer (v) Debeaker
(vi) Vaccinator
(vii) Fridge/Deep Freezer
(viii) Dressing equipment if necessary (ix) Truck/van/Jeep
d) Housing:
i) Type of housing Deep Litter/Slat/Environment controlled ii) Area required (sft./bird)
e) Birds:
i) Proposed strain
ii) No.of birds to be purchased iii) Source of purchase
iv) Cost of birds (Rs. per bird) v) Vaccination of purchased birds
vi) Proposed programmeof replacement f) Production parameters:
i) Average body weight (kg.)
ii) Feed efficiency (kg. of feed/ kg.body weight g ain) iii) Mortality (%)
g) Flock Projection Chart: h) Feeding:
i) Source of availability - Purchased or own feed manufacturing ii) If purchased a) Place of purchase b) Brand c) Cost (Rs./kg) - Starter - Finisher
iii) If manufactured on farm
a) Capacity of feed grinder and mixer b) Source of raw materials
c) Feed formula
d) Cost of production (Rs./kg) - Starter
- Finisher
- Starter - Finisher i) Veterinary aid i) Source ii) Location iii) Distance (km.) iv) Availability of staff
v) Type of facilities available vi) If own arrangements are made
a) Employed a verterinary doctor/stock man /consultant b) Periodicity of visit
c) Amount paid (Rs.)
vii) Expenditure per bird per cycle (Rs.) j) Electricity
i) Source SEB/Other
ii) Approval from electricity board iii) Connected load
iv) Problems of power failure v) Arrangements for generator k) Water
i) Source
ii) Quality of water
iii) Availability of sufficient quantity for drinking and cleaning iv) If investment has to be made type of strcture design and cost l) Marketing of broilers
i) Source of sale ii) Place of disposal iii) Distance (km)
iv) Basis of payment (number or weight)
v) Price realised - (Rs. per kg live weight or live bird) vi) Periodicity of payment
m) Marketing of other products
i) Manure - Qty./bird, price per unit (Rs./Ql) ii) Empty gunny bags - Number and cost/bag n) Beneficiary's experience
o) Comments on technical feasibility p) Government restrictions, if any
3. FINANCIAL ASPECTS : i) Unit Cost :
Sr.No. Name of Investment Physical unit and specification Unit cost with component wise break-up (Rs.) Whether approved by state level unit cost committee Total
ii) Down payment/margin/subsidy (Indicate source & extent of subsidy) iii) Year - wise physical & financial programme.
Year Invest-ment Physical units (Rs.) Unit cost (Rs.) Total outlay (Rs.) Margin/ subsidy (Rs.) Bank Loan (Rs.) Refinance assistance (Rs.) 1 2 3 4 4 5 6 7 Total
iv) Financial viability ( comment on the cash flow projection on a farm model / unit and enclose the same ) Particulars :
a) Internal Rate of Return (IRR): b) Benefit Cost Ratio (BCR) :
c) Net Present Worth (NPW) :
v) Financial position of the borrowers (to be furnished in case of corporate bodies/partnership firms)
a) Profitability ratio i) Gross Profit ratio ii) Net Profit ratio b) Debt equity ratio
c)Whether Income tax & other tax obligations are paid upto date
d) Whether audit is upto date (enclose copies of audited financial statements for the last three years)
vi) Lending Terms : i) Rate of interest ii) Grace period iii)Repayment period iv) Nature of Security
v) Availability of Government guarantee wherever necessary 4. INFRASTRUCTURAL FACILITIES:
a) Availability of technical staff with bank/implementing authority for monitoring
b) Details of
i) technical guidance ii) training facilities
iii) Govt support/ extention support
c) Tie-up arrangements with marketing agencies for loan recovery : d) Insurance :
Type of policy Periodicity
Rate of premium Annexure IIa
Economics of Broiler Farming - at a Glance 1. Unit Size : 500 broiler birds per week
2. System of rearing : Deep litter system 3. State : Karnataka
4. Unit cost (Rs.) : 754926 5. Bank loan (Rs.) : 566195 6. Margin money (Rs.) :188732
7. Repayment period : 6 years with six months grace period 8. Interest rate (%) : 12 9. BCR at 15% DF : 1.823 10. NPW at 15% DF (Rs.) : 2616766 11. IRR (%) : × 40 Annexure - II b
ECONOMICS OF BROILER FARMING - INVESTMENT COST Sr.
No
Particulars Specifications Physical Units Unit cost(Rs./ Unit) Total cost (Rs.)
1 Sheds and other structures
a) Broiler sheds (8 sheds)1 sft. per bird(DL) 4000 sft. 90 360,000
b) Store room 200 sft 100 20,000
c)Labour quarter 150 sft 100 15,000
d) Slaughter room 100 sft 90 9,000
e) Fencing Barbed wire 750 rft 20 15000 2 Water supply system
a) Digging and construction of well
13'dia x33'depth 1 Ls
20000 20,000
b) Water tank 5000 litres 2 10,000
c) 3 HP electric
motor/pumpset and other accessories and pipeline etc. 1 Ls 12000 12,000 d) Electrical installation/equipment 4% of civil costs 16160 3 Equipments
a) Feeders and waterers 4000 birds 12 48000
b) Dressing equipment Ls 10,000
4 Capitalisation of recurring expenses for first 8 batches
a) Chick cost 4000 DOCs 13 52,000 b) Feed cost for 4080
birds
3.2 kg/bird 13056 kg 11 143616 c) Overheads such as
cost of, Medicines,
vaccine, insurance, litter
Rs.5.00/bird 4080 birds 5 20,400
d) Labour cost 3 months 1250 3 3750 5 Total financial outlay
(TFO)
754926 6 Margin money @ 25% of
TFO
Say 188732 7 Bank loan @ 75% of
TFO
Say 566195
Annexure - II c
ECONOMICS OF BROILER FARMING - TECHNO - ECONOMIC PARAMETERS 1 No. of birds (per week) 500
2 Rearing period (weeks)
3 No. of batches per cycle 8 4 No. of batches introduced:
I year (on considering 3 months construction period)
40
IIyear onwards 52
5 No. of batches sold:
I year (on considering construction period + rearing period)
33
IIyear onwards 52
6 Space requirement per bird (s.ft.) 1 7 Cost of construction of shed (Rs./s.ft.) 90
8 Store room (s.ft.) 200
9 Cost of construction of store room (Rs./s.ft.) 100 10 Labour quarters (s.ft.) 150 11 Cost of construction of labour room (Rs./s.ft.) 100
12 Slaughter room (s.ft.) 100
13 Cost of construction of slaughter room (Rs. s.ft.) 100 14 Barbed wire fencing (Rs.rft.) 750 15 Cost of fencing (Rs./rft) 20 16 Cost of electrification (as % of civil costs) 4
17 Equipment cost (Rs./bird) 15 18 Mortality in 6-7 weeks (%) 4 19 Cost of DOCs (Rs./chick) 13 20 Supply of free chicks (%) 4 21 Feed requirement (kg./bird) 3.2
22 Feed cost (Rs./kg) 11
23 Expenditure on labour (Rs. per month) one labourer)
1250 24 Over heads cost (Cost of medicines,
vaccine, insurance litter etc.) (Rs./bird)
8 25 Average body wt. of birds (Kg./bird) 1.5 26 Price of broilers (Rs./kg. body weight) 40 27 Sale price of bird (Rs./bird) 60 28 Income from manure (Rs. per bird) 1 29 No. of gunny bags (per ton of feed) 13.3 30 Income from gunny bags (Rs./bag) 10 31 Depreciation on sheds (%) 5 32 Depreciation on equipment (%) 10
33 Margin money (%) 25
34 Interest rate (%) 12
35 Repayment period (years) 6
36 Grace period (years) 0.5
37 Construction period ((months) 3 38 Rest period for broiler sheds (days) 7-10
Annexure - II d
ECONOMICS OF BROILER FARMING - FLOCK PROJECTION CHART Year No. of batches introduced No. of batches sold
I 40 33 II 52 52 III 52 52 IV 52 52 V 52 52 VI 52 52 Note:
1) Initial period for three months, is considered as construction period and accordingly only 40 batches will be introduced in first year.
2) Closing stock of 7 batches with an average age of 4 weeks will be there at the end of sixth year and the value of the same is taken into account for cash flow analysis.
3) The average value of the closing stock is considered at Rs. 35/- per bird. Annexure - II e
ECONOMICS OF BROILER FARMING - CASH FLOW ANALYSIS Sr. No Particulars I II-V VI I Costs: 1 Capital cost:* 535160 0 0 0 2 Recurring costs: a) Cost of chicks 260,000 3380000 3380000 b) Cost of feed 718080 933504 933504 c) Misc. expenses 95,110 132000 132,000 d) Labour cost 15000 15000 15000 Total Costs 1623350 1418504 1418504 II Benefits 1 Sale of birds 990000 1560000 1560000 2 Sale of manure 16500 26000 13,000 3 Sale of gunny bags 8122 11286 11286 4 Depreciated value of a) Sheds 0 0 296977 b) Equipment (including water supply equipment) 0 0 59074
5 Value of closing stock 0 0 122500 6 Total Benefits 1014622 1597286 2075838
Net Benefits -608728 178782 178782
a) Cost 5546430.80
b) Benifits 5745128.16
c) NPW 198718
8 BCR 01: 01.1
9 IRR >27%
* Excluding the capitalised amount on chicks, feed, Misc. exp. and labour cost Annexure - II f
ECONOMICS OF BROILER FARMING -REPAYMENT SCHEDULE
Bank loan (Rs.) : 566195 Interest rate :12 %
(Rupees) YearIncome Expenses Gross
surplus Loan Balance Interest Repayment Int. Repayment Pri. Net surplus I 1014622 868424 * 146198 566195 67944 67944 0 78255 II 1597286 1418504 178872 566195 67944 67944 66195 44642 III 1597286 1418504 178872 500000 60000 60000 75000 43782 IV 1597286 1418504 178872 425000 51000 51000 80000 47782 V 1597286 1418504 178872 345000 41400 41400 100000 37382 VI 1597286 1418504 178872 245000 29400 29400 125000 24382 VII 1597286 1418504 178872 120000 14400 14400 120000 44382
* During the first year it is the difference between the total costs and total project cost
Note : Average loan period in first year is considered as 10 months for working out interest amount.
Annexure - III
Floor space, Feeding space and watering space data for Broiler Chicks
Sq.ft./Chick inches/chick inches/chick 1 0.2 1.5 0.5 2 0.2 2.0 0.7 3 0.3 2.0 0.7 4 0.4 2.5 0.8 5 0.6 2.5 0.8 6 0.8 3.0 1.0 7 0.9 3.0 1.0 Annexure - IV
Body weight, feed consumption and feed conversion of broiler chicks Age Body weight &
gain (kgs)
Feed
consumption(kgs)
Feed conversion Weeks Days Average
weight
Weekly gain
Weekly CummulativeWeekly Cummulative
1 7 0.17 - 0.1 0.1 0.81 0.81 2 14 0.28 0.15 0.23 0.34 1.53 1.21 3 21 0.48 0.2 0.34 0.67 1.64 1.4 4 28 0.73 0.25 0.47 1.14 1.93 1.50 5 35 1.00 0.29 0.63 1.77 2.16 1.77 6 42 1.32 0.33 0.74 2.51 2.26 1.89 7 49 1.66 0.33 0.82 3.32 2.47 2.01 Annexure V
Composition of Broiler diets Formulations Ingredients 1 2 3 4 Maize 51 58.5 47.5 53.25 Wheat bran 10 2.5 7.75 --Groundnut cake 25.2 25 29.4 29.4 Fish Meal 10.8 11 12.6 12.6 Dicalcium Phosphate 1 1 1 1 Lime Stone 0.5 0.5 0.5 0.25
Salt 0.5 0.5 0.5 0.5 Premix* 1 1 1 1 100 100 100 100 Crude protein % 22.1 22 24 24 ME. ICal/Kg.diet 2,800 3,000 2,800 3,000
* Premix added per 100 kg feed.
Vitamin (gm) Vitabland (A1B2D3) 25
Folic acid 0.1
Vit.E 4
Niacin 10
Pyridoxine 1
Choline Chloride 30 Mineral (gm) Ferrous sulphate 20 Zinc Sulphate 25 Copper sulphate 25 Manganese Sulphate 25 Potassium iodate 0.1 Amino acid (gm) L-lysine hydrochloride 220 DL - Methionine 160 Annexure VI
Vaccination Schedule for Broilers Name of disease Name of Vaccination Days/weeks of vaccination Route of inoculation Remarks Marek's disease Herpes virus turkey vaccination
1 day old Sub cutaneous Life long immunity
disease
(Lasota 'F` strain)
Intra-ocular to 10 weeks old
Fowl pox Chick embryo adopted fowl 6-8 weeks of age Wing web method If the disease is prevalent in the area. Once vaccinated gives life long immunity.
During chick rearing the disease most likely to occu r is coccidiosis. Its organisms thrive on wet litter and so keep the litter dry. The feed mixed with coccidiosis should be used. In case of an outbreak, the Coccidiocidal drug in drinking water should be used at recommended level.
