Introduction
Cattle raising is devoted chiefly to raising and breeding cattle, for beef or dairy products. Cattle have to be handled with a lot of care to avoid diseases. Cattle ‘provide beef, milk. Skin, hides, Cheese, decomposed manure (fertilizers) and others. This may normally cost US$ 47,849
Production Capacity, Technology and Processing Description
One acre should contain one animal when supplemented with additional feeds but 100 acres should contain an average of 60 animals.
One acre of land in rural area costs US$ 600 and in urban areas it costs approximately US$10,120 depending on whether it semi urban or urban. It is a small scale investment with capital investment of about US$ 47,850.
Capital Investment requirements in US$
Capital Investment item | Units | Qty | @ | Amount |
Firm House | No. | 2 | 1,500 | 3,000 |
Paddocks | No. | 5 | 1,200 | 6,000 |
Firm Equipments | No. | 1 | 861 | 861 |
Sub-total | 9,861 | |||
Land | Acres | 100 | 615 | 60,000 |
Total | 79,722 |
Direct Materials, Supplies and Costs in US$ Project Product Costs and Price Structure in US $
Cost item | Units | @ | Qty/ day | Cost/ day | Cost/ month | Cost/ 2year |
Direct Costs | ||||||
Animals | no | 200 | 100 | 0 | – | 20,000 |
Feeds (Additional feed) | Kg | 0.5 | 500 | 250 | 6,500 | 91,000 |
Drugs | 1.8 | 5 | 9 | 234 | 2,808 | |
Pesticides | ltrs | 2.5 | 5 | 1 | 90 | 2,160 |
Subtotal | 201 | 600 | 250 | 6,500 | 115,968 |
General Costs(Overheads) | ||
---|---|---|
Administration expenses | 350 | 8,400 |
Labour | 600 | 14,400 |
Utilities | 220 | 5,280 |
Depreciation | 205 | 2,465 |
Miscelleneous | 150 | 1,800 |
Subtotals | 1,525 | 32,345 |
Total operating Costs | 8,025 | 148,313 |
Item | Qty/day | Qty/year | @ | Prodn/year | UPx | Revenue |
Animals | 100 | 1,483 | 148,313 | 1600 | 160,000 | |
Totals | 160,000 |
Profitability Analysis
Profitability item | Per day | Per month | Per year |
---|---|---|---|
Revenue | 513 | 13,333 | 160,000 |
Less:Production & operating costs | 476 | 12,370 | 148,445 |
Profit | 37 | 963 | 11,555 |
Government Facilitates and Incentives Available
There are various Government programms from which this project could benefit and they include: NAADS. There are also extension workers such as veterinary officers that could provide support.