Intensive Goat Breeding Farm

Pre-Feasibility Study
INTENSIVE GOAT BREEDING FARM
Small and Medium Enterprises Development Authority

Ministry of Industries & Production
Government of Pakistan
www.smeda.org.pk
HEAD OFFICE
4th Floor, Building No. 3, Aiwan-e-Iqbal Complex, Egerton Road,
Lahore
Tel: (92 42) 111 111 456, Fax: (92 42) 36304926-7
helpdesk@smeda.org.pk
REGIONAL OFFICE REGIONAL OFFICE REGIONAL OFFICE REGIONAL OFFICE

PUNJAB SINDH KPK BALOCHISTAN
3rd Floor, Building No. 3, 5TH Floor, Bahria Ground Floor Bungalow No. 15-A
Aiwan-e-Iqbal Complex, Complex II, M.T. Khan Road, State Life Building Chaman Housing Scheme
Egerton Road Lahore, Karachi. The Mall, Peshawar. Airport Road, Quetta.
Tel: (042) 111-111-456 Tel: (021) 111-111-456 Tel: (091) 9213046-47 Tel: (081) 831623, 831702
Fax: (042) 36304926-7 Fax: (021) 5610572 Fax: (091) 286908 Fax: (081) 831922
helpdesk.punjab@smeda.org.pk helpdesk-khi@smeda.org.pk helpdesk-pew@smeda.org.pk helpdesk-qta@smeda.org.pk
December 2009
Pre-feasibility Study Intensive Goat Breeding Farm
DISCLAIMER
The purpose and scope of this information memorandum is to introduce the subject matter and
provide a general idea and information on the said area. All the material included in this
document is based on data/information gathered from various sources and is based on certain
assumptions. Although, due care and diligence has been taken to compile this document, the
contained information may vary due to any change in any of the concerned factors, and the
actual results may differ substantially from the presented information. SMEDA does not assume
any liability for any financial or other loss resulting from this memorandum in consequence of
undertaking this activity. Therefore, the content of this memorandum should not be relied upon
for making any decision, investment or otherwise. The prospective user of this memorandum is
encouraged to carry out his/her own due diligence and gather any information he/she considers
necessary for making an informed decision. The content of the information memorandum does
not bind SMEDA in any legal or other form.
DOCUMENT CONTROL
Document No. PREF-20
Prepared by SMEDA-Balochistan
Issue Date Dec, 2009
Issued by SMEDA-Balochistan
II
BAL-PREF-10/June, 2008
Table of Contents
1 Purpose of the document............................................................................... 2
2 Project Profile................................................................................................ 2
2.1 Project Brief ................................................................................................................2
2.2 Opportunity Rationale..................................................................................................2
2.3 Market Entry Timing ...................................................................................................3
2.4 Proposed Business Legal Status ...................................................................................3
2.5 Proposed Product Mix .................................................................................................3
2.6 Production Capacity.....................................................................................................4
2.7 Project Investment .......................................................................................................4
2.8 Recommended Project Parameters ...............................................................................4
2.9 Suitable Location.........................................................................................................4
2.10 Key Success Factors/Practical Tips for Success ...........................................................4
2.11 Strategic Recommendations.........................................................................................5
3 CURRENT INDUSTRY STRUCTURE ...................................................... 5
3.1 World ..........................................................................................................................5
3.2 Asia .............................................................................................................................7
3.3 Pakistan .......................................................................................................................7
3.3.1 Province-wise distribution of breeds...................................................................10
3.3.2 Important Goat Breeds of Pakistan. ....................................................................11
3.4 Balochistan................................................................................................................12
3.4.1 Prevalent system of Livestock production in Balochistan ...................................13
3.4.2 Characteristics of Some Breeds Recommended for Goat Farming: .....................13
3.4.3 Feed Resources ..................................................................................................14
3.4.4 Problems and Issues faced by the Livestock Sector of Balochistan .....................15
3.4.5 Balochistans Contribution to the Sector ............................................................17
4 Market analysis ............................................................................................20
4.1 Marketing Channels...................................................................................................20
4.2 Wholesale Market Locations......................................................................................23
4.2.1 Mode of Transportation:.....................................................................................23
4.2.2 Special occasions of marketing: .........................................................................24
5 FARM PRODUCTION SYSTEM...............................................................24
5.1 Fodder Farm ..............................................................................................................24
5.1.1 Farm Inputs........................................................................................................24
5.2 Goat Breeding............................................................................................................25
5.2.1 Area required for goat breeding farm .................................................................25
5.2.2 Human Resource required for goat breeding farm ..............................................25
5.2.3 Proposed Goat breeding practice ........................................................................25
5.2.4 Routine for feeding and milking .........................................................................26
III
5.2.5 Diseases and Treatments ....................................................................................27

6 MACHINERY AND EQUIPMENT REQUIREMENTS...........................28
7 LAND AND BUILDING REQUIREMENT ...............................................28

7.1 Recommended Mode .................................................................................................29
8 PROJECT ECONOMICS ...........................................................................30
8.1 Project Cost ...............................................................................................................30
8.2 Project Returns ..........................................................................................................30
9 FINANCIALANALYSIS .............................................................................31
9.1 Projected Income Statement.......................................................................................31
9.2 Projected Balance Sheet.............................................................................................32
9.3 Projected Cash Flow Statement..................................................................................33
10 Key Assumptions ......................................................................................34
10.1 Breed Plan .................................................................................................................34
10.2 Revenue Assumption Rs. .........................................................................................35
10.3 COGS........................................................................................................................35
IV
Introduction to SMEDA
The Small and Medium Enterprise Development Authority (SMEDA) was established with the
objective to provide fresh impetus to the economy through the launch of an aggressive SME
support program.1
Since its inception in October 1998, SMEDA had adopted a sectoral SME development
approach. A few priority sectors were selected on the criterion of SME presence. In depth
research was conducted and comprehensive development plans were formulated after
identification of impediments and retardants. The all-encompassing sectoral development
strategy involved recommending changes in the regulatory environment by taking into
consideration other important aspects including financial aspects, niche marketing, technology
upgradation and human resource development.
SMEDA has so far successfully formulated strategies for sectors including, fruits and vegetables,
marble and granite, gems and jewelry, marine fisheries, leather and footwear, textiles, surgical
instruments, urban transport and dairy. Whereas the task of SME development at a broader scale
still requires more coverage and enhanced reach in terms of SMEDAs areas of operation.
Along with the sectoral focus a broad spectrum of business development services is also offered
to the SMEs by SMEDA. These services include identification of viable business opportunities
for potential SME investors. In order to facilitate these investors, SMEDA provides business
guidance through its help desk services as well as development of project specific documents.
These documents consist of information required to make well-researched investment decisions.
Pre-feasibility studies and business plan development are some of the services provided to
enhance the capacity of individual SMEs to exploit viable business opportunities in a better way.
This document is in the continuation of this effort to enable potential investors to make well-
informed investment decisions.
1
For more information on services offered by SMEDA, please visit our website: www.smeda.org.pk
1
BAL-PREF-20/Dec, 2009
1 PURPOSE OF THE DOCUMENT

The objective of the pre-feasibility study is primarily to facilitate potential entrepreneurs in
project identification for investment. The project pre-feasibility may form the basis of an
important investment decision and in order to serve this objective, the document/study covers
various aspects of project concept development, start-up, and production, finance and business
management.
2 PROJECT PROFILE
The project is related to setting up a Fully Intensive Goat Breeding Farm in promising areas of
Balochistan. The document highlights all the marketing, management, and financial aspects
required for the establishment and successful running of the project.
2. 1 Project Brief
The farm will serve as breeding and rearing farm for goats. The project can be established in
promising areas for goat breeding where abundance of fresh water is available. The proposed
farm will ensure the breeding of disease free animal as it will overcome the disadvantage of
bringing the diseases from the animal markets (Mandi).
The project will attain a completely new breed through the cross of the female local goats with
the crossed male goats, like Kamori etc. By this, after two breeding cycles the project will
develop its own breed that is most suitable to the local environment.
The total project investment is Rs. 4.78 million with a Project Internal Rate of Return (IRR) of
28 %. The total project investment would be paid back in approximately 4.15 years.
2. 2 Opportunity Rationale
The widening demand and supply gap makes the goat farming to be a profitable venture. The
livestock owners having some fixed land base should be encouraged to undertake intensive
farming which in the beginning would be little expensive but with the current lucrative price
structure of meat throughout the country coupled with its developing exports potentials, would
prove profitable enterprise. With the switching over to fully-intensive farming which would
warrant availability of quality breed, stall/ supplementary feeding, non-conventional and
economical feeding techniques and improved genetic material, the livestock farming can become
a cost effective enterprise with its down stream positive effects in the farming community. The
country can thus also be benefited with increased productivity of animal protein.
The selection and development of proper breed is most suitable as per the environment of the
area whereas the nutrition is the most important factor to be considered. Though the people are
aware of the best breeds but still the conventional farm practices put constraints to the same.
Instead of looking for a best cross breed via continuous cycles, they do not give much attention
to utilizing only those animals for breeding that can provide the best results. Also nutrition is a
serous limiting factor in the livestock industry of Balochistan with the result that many animals
arrive at the market in less than optimal body condition with body weight on the lower end.
There is a dire need to ensure feed availability round the year with proper protein contents for
2
increasing livestock productivity rather then its numbers. Such a situation directs to adopt non
conventional feed preparation and feeding techniques like treatment of wheat/ rice straws and
other crop residues with urea or ammonia, molasses bocks, silage making ,concentrate mixtures
with low cost formulae, feed lots, semi intensive farming and ewe flushing etc. such techniques
have already been tested and demonstrated to the farmers under different projects.
Based on the above facts, this pre-feasibility for goat farm consisting of 377 goats using stall
feeding with intensive animal health coverage has been prepared for interested entrepreneurs as a
guidance tool.
2. 3 Market Entry Timing
Demand and supply fluctuates during the year depending upon Eid-ul Azha and winter season. If
the farmer is targeting Eid for sale of its young stock, It is suggested that female stock ready for
breeding is purchased at least 12 to 14 Months before the next Eid. Normally best time for the
impregnation of a goat is during the months of March, April, May and October. As it takes
around 5 Months for giving birth, therefore kids born have sufficient feed, and prove to be a
healthy stock.
Peak Season: supply and demand for goats and sheep are at peak before Eid-ul Azha, due to
mass slaughter for Qurbani. A large Number of middlemen come to markets from Punjab,
Quetta, Sindh and other areas to buy stocks and transport them to their areas.
Another season with higher supply and demand is the months of November and December. In
these months lambs and kids become adult, gain weight and no more depend on their mothers,
and producers bring them to market for sale. Thirdly, Nomad and other livestock breeders want
to sell their surplus stock because it is very difficult to breed them in winter.
Off-peak Season: June and July is off-peak season for livestock supply and demand because
February, March and April are reproductive season for goats and sheep and newly born lambs
and kids depend on mother. Moreover, consumption of meat decreases during summer. In this
season, goats and sheep are also used for milking purpose.
2. 4 Proposed Business Legal Status
The business can be started as sole proprietorship or partnership because of great potential
involved. Furthermore, comparatively fewer complications are involved in forming,
administering and running the sole proprietorship or partnership businesses.
2. 5 Proposed Product Mix
The farm would focus on the breeding and rearing of young male stock for marketing to the goat
fattening farms. The kids after attaining the age of 7 Months, will be sold to the farm owners and
domestic buyers interested in the fattening of goats. Additionally the raw materials produced
would be extra green fodder which would be sold in local markets to other livestock farmers.
Once the farm has been established surplus female stock of breeding age i.e after ten months
could also be sold in market since it brings a better price as compared to young females of non
breeding age.
3
2. 6 Production Capacity
The farm will start production with 110 adult females for production which will increase to 146
adult females. The over all farm size at this capacity would be around 377 animals including
Young Male and Female Progeny and Female stock of breeding age. The number of adult
breeding females has been kept limited because very large herd would be difficult to manage.
2. 7 Project Investment
The total project investment is Rs 4.78 Million which includes working capital of Rs. 0.17 and
capital cost of Rs 4.6 Million. It is assumed that the project would be totally equity financed.
2. 8 Recommended Project Parameters

Table No. 1
Human
Max Capacity Resource Technology/Machinery Location
146 Adult breeding Central and Southern
Females 3 Local Made Districts of
Balochistan
Financial Summary
Cost Of Capital
Total Cost IRR NPV Pay Back Period (WACC)
Rs. 4.78 M 28 % 3,175,236 4.15 Years 16%
2. 9 Suitable Location
The suitable areas to establish sheep farm are northern, Southern and central Balochistan.
2. 10 Key Success Factors/Practical Tips for Success

Livestock is one of the Major Strength of Balochistan. It is an integral part of the rural
Traditional Farming is in practice in the province for Centuries.
There is a great demand of livestock especially in Middle Eastern countries.
Northern and central Balochistan have the ideal climate for razing our local species of Goat
and Sheep.
Fully intensive farming is relatively economical with better results.
Fully intensive breeding farm has lesser chances of diseases in the animal, as only the
parent breed is purchased one time at the start of project.
Availability of Trained Labour for Farming
Local Availability of Raw material and own green fodder at almost 1/3 of the market rate
4
2. 11 Strategic Recommendations
Establishment of the farms in areas where cheap land is available, but still not very far from
the animal markets.
The farming should be done on scientific grounds taking care of Vaccination, Medicine etc.
Healthy and attractive local female without horn should be selected, as it has better
characteristics compatible with the local environment.
Healthy and quality male stock should be selected for breeding.
New feeding techniques including concentrate feeding and preparation of urea molasses
blocks, wheat straw treatment should be used for better results.
Well-trained/experienced staff adding in the efficiency of the farm.
3 CURRENT INDUSTRY STRUCTURE

3. 1 World
The income of people, meat prices, health consciousness, culture, and religious beliefs are the
factors that may shape the demand of meat within a specific country. Through out the world
ethnic groups mainly contribute to the demand of meat. For example a country with higher
number of immigrants will exhibit a society of mixed and diversified ethnic groups. Many of
these groups have some festivals during which the demand of meat is enormously affected. The
world average per capita consumption of meat is around 2.5 pounds. The following describes
information used by New Zealand in describing the types of products that they attempt to deliver
to international markets (M. Miller 1999, Pinkerton 1995):
Taiwan. Taiwanese consumers prefer skin-on carcasses with dress weights between 22 to 35
pounds. Goat meat in this market must be extremely lean with strong flavor. Demand in Taiwan
peaks between June and the Chinese new year when most religious celebrations are held (the
Chinese new year changes from year to year).
Malaysia. Consumers in Malaysia desire both skin-on and skin-off carcasses. Skin-on carcasses
must weigh between 30 and 35 pounds. Skin-off carcasses should weigh between 30 and 44
pounds. Malaysian consumers also require a lean meat. Skin-off product is used in wet dishes,
curries, and stews. Skin-on product is used in traditional Chinese recipes. Malaysian consumers
prefer intact male carcasses and prefer to slaughter their own animals.
Italy and Greece. The Italian and Greek markets prefer younger goats with carcass weights
between 15 and 20 pounds (kids between 8 and 16 weeks old). Depending on the time of season,
consumers may be more flexible in their weight preferences. Consumers from these areas buying
for Easter and Christmas prefer even lighter kids (In terms of liveweight the animal should weigh
between 18 to 28 pounds (carcass weight 9 to 14 pounds). Kids fitting this weight range will
normally be somewhere between 4 and 12 weeks of age).
Singapore. Consumers in Singapore prefer skin-off carcasses with heavier dressing weights (up
to 55 pounds). A lean product is preferred for use in wet dishes and curries.
5
Caribbean (West Africa). The Caribbean market is a sensitive market requiring skin-off, frozen
carcass between 24 and 40 pounds. Other products used include 4 to 6 pound packages of cubed,
bone-in pieces from older less conditioned goats. Given acceptable prices, there also seems to be
some demand for 6 way cuts (carcass divided into two legs, two loins, and two forequarters).
Specific information about position of cuts can be found in Millers The NSW Goat Meat
Industry (1999). Jamaicans are a main buyer of mature bucks.
Korea. Goat meat consumption in Korea is based on religious and medicinal beliefs concerning
the meat. Korean customers require a skin-on carcass, but specific characteristics (weight,
leanness, etc.) vary depending on the final purpose.
Latino. Latino consumers use larger goats with less condition throughout the year. Consumption
is extremely sensitive to price for these animals. In addition, Latino consumers demand Cabrito
(milk fed kids between the age of 4 and 10 weeks weighing between 15 and 25 pounds). Cabrito
is used for special occasions and as such is less sensitive to pricing.
Table 3. Religious Holidays, Significance and Meat Preferences

Holiday Religious Significance Meat Specification
Christian
Christmas Celeberate the birth of Hazrat Issa Milk fed kids, but hard to get
(Al.S.) because it required out of season
breeding. Quality control not as
important as is the case with Easter
Milk fed kids with relatively light
colored meat, 3 months old or
younger. Kids weighing less than 20
lbs are disappointing to buyers due
to low meat to bone ratios and high
carcass drying losses. Slight price
penalties for kids weighing over 40
lbs. acceptable weights generally
range from 20 to 50 lbs with 25 lbs
considered optimum by buyers
Easter Celeberate the Resurrection of

Hazrat Issa (Al.S.)
The Sunday preceding Easter

Palm Sunday Sunday. Palm Sunday is a day that
many christian churches
commemorate Jesus entry into
Jerosalem
Good Friday Also known as Easter Friday. A day

Christians remember as to be the
crucification (as per their point of
view) of Jesus
6
Jews
Passover An 8 day observance or celeberation Milk fed kids, but hard to get
commemorating the freedom of the because it required out of season
Israelites from Egypt. It is considered breeding. Quality control not as
a time of family gathering and lavish important as is the case with Easter
meals called Seders
Hanukkah Commemorates the rededication of

the Jerussalem temple by Judah
Maccabee in 165 B.C
Rosh Hashanah The Jewish new year. Rosh

Hashanah begins the 10 day period
known as the High Holy Days
Islamic
Ramadan The ninth Month of Lunar Calender. Male and female kids with all of their
Eid al Fitr Muslims fast during the daylight milk teeth. Males can be whole or
hours of the this holy month. castrated. Optimum liveweight is
Celeberation at the end of Ramadan. about 60 lbs. Properly
slaughtered/Halal Yearling animals
with one set of teeth. Yearling
Eid al Adha The commemoration of Hazrat animals with one set of teeth.
Abrahim's Willingness to sacrifice
everything, even his son for God.
Source: www.auri.org
3. 2 Asia
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 products contribute over 56
million tons of edible protein and over 1 billion mega calories 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.
3. 3 Pakistan
Livestock is one of the Major Strength of Pakistan. It is an integral part of the rural economy and
contributed 51.8 percent of the Agricultural Value added, amounting to 11.3 percent in the
national GDP during the year 2008-2009. Gross Value addition of Livestock at current cost
factor has increased from Rs. 1,052 billion (2007-08) to Rs. 1,287 billion (2008-090, showing an
increase of 22.3%. the value of livestock is 6.1% more than the combined value of major and
minor crops. As per the statistics released by the Federal Bureau of Statistics, the exports of
7
meat and meat preparations increased to 2,824 Metric Ton with a value of $ 6.9 million in 2009,
as compared to 1,855 Metric Ton with a value of $ 4.5 million.
While involving a number of government and trade organizations, private enterprises, producers
and consumers as stakeholders, the sector provides precious components of foreign exchange
earnings through export of wool, carpets and leather products.
There are a number of systems for (sheep) and goat raising in Pakistan. These include nomadic,
transhumant and sedentary flocks and househeld goats. Nomadic flocks are constantly moving in
search of grazing, whereas transhumant flocks have a fixed base to which they return during
specific season of the year Grazing available to both types is usually set by tribal/local customs.
There are well-established migration routes usually based on water availability and grazing land.
Most kids are born during early spring when flocks are in the milder climates. All female progeny
are kept for flock replacement or build-up, but nearly all males are sold before one year of age.
Most of the feed for nomadic flocks is derived from rangelands, which is generally free.
Transhumant flocks have access to grazing of crop stubbles in their permanent bases, thus making
feed supply more reliable. Goats are generally milked for subsistence needs as goat milk is rarely
sold in the markets. Sedentary flocks derive most of their feed from grazing wasteland, crop
stubbles and nearby rangelands and return to the village/base each night Performance may be
similar to transhumant flocks. Female offsprings are kept as replacements and all males are sold
before the age of one year after weaning. Small units, of 4-5 animals, are kept by many rural
householders. They are kept in confinement near the house and fed on scraps and weeds although
some offspring are sold, most is kept for family consumption, especially for ceremonial sacrifice.
The population of goats in 2005-06 was 55.2 Million which increased to 58.3 Million in 2008-
09.
8
Figure No. 1
Goat Population in Pakistan
59
58.5 58.3
58
57.5
Population(Million)
57 56.7
56.5
Series1
56
55.5 55.2
55
54.5
54
53.5
2006-07 2007-08 2008-2009
Year
Source: Economic Survey of Pakistan 2008-2009
9
Figure No 2
Mutton Prodution in Pakistan
595,000
590,000
590,000
585,000
Prouction (Tons)
580,000 578,000
575,000
Series1
570,000
566,000
565,000
560,000
555,000
550,000
2006-07 2007-08 2008-09
Year
Note : The production is calculated by applying production paramaters to the projected population of 2006-2009 based on the inter-census growth
rate of livestock census growth rate of livestock census 1996-2006. Source: Economic Survey of Pakistan 2008-2009
3.3.1 Province-wise distribution of breeds.
Balochistan (3): Kajli, Khurrasani and Lehri.

NWFP (3): Damani, Gaddi and Kaghani.
Punjab (4): Beetal, Dera Din Panah, Nachi and Teddy.
Sindh (11): Barbari, Bugri, Chapper, Jattan, Kamori, Kurri, Lohri, Pateri, Sindh
Desi, Tapri and Tharki.

NAs (5): Baltistani, Jarakheil, Kohai Ghizer, Labri and Piamiri.
AJK (7): Beiari, Buchi, Jattal, Kail, Kooti, Pothohari and Shurri.
10
3.3.2 Important Goat Breeds of Pakistan.
Milk Breeds Meat Mohair Skin
Beetal Barbari Pak Angora Beetal
Dera Din Panah Chapper Bilkaneri Dera Din Panah
Kamori Teddy Kaghani Nachi
Khurasani
Main Characteristics of Goat Breeds of Pakistan

Goat Breed Principal Geographic Areas of Adult Weight Daily
Product Concentration Kg Milk
Yield
Max Min (L)
Baltistani Milk and Meat Baltistan in Northern Areas 28.8 25.6 1.1
Barbari/Bari Milk and Meat Dadu, Sukkur, Nawabshah, 40 25 1.00
and Mirpurkhas in Sindh.
Sahiwal, Lahore, Jhang,
Faisalabad, & Sargodha in
Punjab
Beetal Milk and Meat Multan, Sahiwal, Lahore, 55 45 1.8-2.7
Faisalabad, Sargodha,
Jhang, Okara, Jhelum,
Gujranwala, Gujrat and
Sialkot
Beiari Meat Kotli and Mirpur 25 20 0.9
Buchi Meat and Hair Neelam Valley and 30 22 0.6
Muzzafarabad
Bugi Toori Meat, and Hair Eastern Parts of Hyderabad 33 25 0.5-0.75
and Tando Allah Yar
Bujri Milk, Meat and Badin and Thatta 45 35.5 1-1.25
Hair
Chappar/Kohistani/Jab Meat Dadu, Jacobabad, 27 23 0.65-9
li Nawabshah, Tharparker,
Karachi, and Lasbela
Damani Milk, Meat, and Dera Ismail Khan and 35 30 1.1-1.4
Hair Peshawer
Dera Din Panah Milk, Meat And Muzzaffargarh, Leiah, and 55 50 1.3-2.2
Hair Multan
Gaddi Milk, Meat and Kaghan Valley 50 41 0.4-0.7
Hair
Jarakheil Milk and Meat Chilas in Diamir 51.5 42 1.39
Jattal Milk, Meat and Kotli and Mirpur 23 19 0.53
11
Hair
Jattan Milk and Meat mirpurkhas 78 50 1.5-3
Kachan/Kachiani Milk and Meat Hyderbad and Parts of 68 45 2-3
Badin. Also in Lasbela
Kail Meat and Hair Azad Kashmir 28.12 23.58 0.62
Kajli (Pahari) Meat, Hair and Loralai in Balochistan, and 30 25 0.9-1.3
Milk DG Khan in Punjab
Kaghani Hair and Meat Kaghan Valey (Abbottabad, 37 32 0.4-0.7
mansehra, Kohistan and
Swat)
Kamori Milk and Meat Hyderabad,Nawabshah, 60 50 1.8-2.2
Larkana
Khurassani Milk and Meat Quetta, Loralai, Zhob, 30 25 0.9-1.3
Chagi
Koh-I-Ghizer Meat Strip along Kohi-Ghizer 41 35.6 0.97
Kooti Milk and Meat Neelam Valley 20 15 0.71
Kurri Milk and Meat Kandhkot, Jacobabad, 50 35 1
Sukur, Nawabshah and
Kashmore
Labri Milk and Meat Muzzaffargarh and Poonch 45 35 1.12
Lehri Hair and Meat Lehri Town in Kachi area of 33 30 0.9
Sibi
Lohri Meat Kacha area of River Indus, 58 45 0.75
Dadu, Larkana, Khaipur,
Sukkur
Nachi Milk and Meat Bhawalpur, Multan, Sahiwal 38 32 0.6-0.9
Pamiri Meat Hunza near Khunjrab and 40.5 36 0.8
adjoining Pamir region
Potohari Meat Potohar area in Punjab and 28 22 0.73
Poonch
Shurri Meat and Hair Muzafarabad and Poonch 38 30 0.9
Sindh Desi Milk and Meat Dadu, Shikarpur, Sukkur, 27.2 22.2 0.9-1.8
Nawabshah
Tapri or Lappi Milk and Meat Khipro and Khairpur 33 25 0.5-1.0
District
Tharki or Tharri Meat Semi arid and arid parts of 32 24 0.5-0.75
Thar
Teddy Meat Gujrat, Jhelum, Sargodha, 34 23
and Rawalpindi
3. 4 Balochistan
Balochistan area wise is the largest province of Pakistan with a total land mass of 348,189 sq.km.
it has a variety of geographic features including mountains, deserts, rangelands, forests and
coastal line. Due to the low rainfall extensive crop culture operations are not possible in all the
12
areas. It is estimated that about 15 per cent of the rangeland are located in areas having more
than 250 mm annual rainfall, which can support perennial grasses and shrubs. Hence, barring
some portions of Loralai and Zhob districts, rest of the land surface does not even support
rearing of livestock throughout the year thus necessitating seasonal migration of nomadic and
transhumant grazers to find feed for their livestock, which include mostly sheep, goats and lesser
number of cattle and camels. In spite of difficult conditions for livestock industry, it occupies a
pivotal place in the economy of Balochistan due to being the mainstay of more than 75% of the
people inhabiting the countryside in the relative absence of other means of subsistence. Due to
recent drought particularly in Balochistan province which continued for almost 7 to 8 years the
livestock population dropped considerably. It also reduced the resistance of the remaining
livestock against diseases and other parasites.
3.4.1 Prevalent system of Livestock production in Balochistan
Being a range based livestock production system, it is mostly nomadic and pastoralists migrate
according to season, availability of feed for their flocks, opportunities for selling their own labor,
to and fro movement from summer and winter quarters adopting fixed migratory routes. Twice a
year, in spring and autumn, groups of nomads and transhumant livestock owners follow precise
itineraries to and from highlands of Balochistan. Two such itineraries can be distinguished as
under:-
i) The north-south migratory routes, usually followed by Pushtun nomads and transhumants.
ii) The east-west migratory routes, followed by Brahvi transhumants.
3. 4. 2 Characteristics of Some Breeds Recommended for Goat Farming:
Barbari/Bari
The Barbari is a meat type breed that is found in Tharparker, Nawabshah, Sukkur, Dadu districts
of Sindh, and Gujrat, Jehlum, Sargodha districts of Punjab. They are small sized with small
horns and hair. The color is white creamy to golden. Spotted animals also come across. Their
meat conformation is considered good. Triple kidding and early maturity are common features of
this goat. They give first breed within 14 to 18 Months, and the interval between offspring is 7 to
8 Months. Their hide is of good quality. In 110 days they produce 100 Kg milk.
Chappar/Kohistani/Jabal
Mostly this breed is found in Dadu, Jackobabad, Nawabshah, and Karachi of Sindh, and Lasbela
district of Balochistan. As the name reveals, they have the characteristics of Mountainous areas.
They are small sized with black body and fairly long hair coat, and small ear. The female gives
first offspring with in 15 to 18 Months. Milk period is 120 days with a total of around 91 kg
milk. The meat conformation is considered to be medium to good.
Desi/Kachan
13
This is a milk and meat breed reared in the Dadu, Shikarpur, Sukkur, and Nawabshah districts of
Sindh. This being a cross breed of Kamori and Desi have grayish black color. Their first
offspring comes with in 15 to 18 months and an offspring interval of 7-8 months. The single milk
period is 95 days with 136 Kg milk. The meat composition is considered to be good.
Kamori
The Kamori is a milk type found in Dadu, Larkana, Hyderabad, and Nawabshah districts of
Sindh. They are medium to large size with reddish brown or white and block spotted. They have
small horn and long ear. They have and long and developed body, and the udder and teats are
fairly developed. Average daily milk production is approximately 1.5 Liters.
3.4.3 Feed Resources
The feed can be classified into three types, namely, the Roughages, Green Forages, and
Concentrates. Further detail is as under:
Table 3. Classification of Feed Resources

Roughages Green Forages Concentrates
Summer Winter Energy Protein Sources

Forages Forages Sources
Wheat Straw Maize Berseem Maize Cotton Seed Cake
Rice Straw Sorghum Lucern Sorghum Rapeseed Cake
Oat Straw Millet Oats Wheat Canola Meal
Pulses Straw Mot Grass Rye Grass Oats Corn Gluten Feed
Maize/Sorghum Sada Bahar Turnips Barley Maize Oil Cake

Stubbles
Sugarcane Baggase Guara Sugarcane Mamni Soybean Meal

Tops
Corn Cobs Rice Polishing Urea
Cotton Seed Hulls Wheat Bran
Rice Bran
Molasses
14
Table 5. Production Brief of Some Feed Resources

Crops Seed rate Sowing time Method of Green fodder
Kg/ha sowing yield (t/ha)
Berseem 20-25 21st Sept- end Broadcast in 125-150

of Oct. standing water.
Lucerne 10-12 Mid Oct.- mid 45 cm apart in 110-125

Nov. lines.
Oats 75-100 21st Sept.- 30 cm apart in 60-80

lines.
Sorghum 75-80 March-Aug. -do- 50-60
S.S. hybrid 25-30 Mid Feb.- mid 45 cm apart 120-130

Mar. lines in good
moisture
Millet 12-15 April-Aug. 30 cm apart in 40-60

lines
Guar 40-50 April-July -do- 30-40
Cowpeas 30-35 March-July 45 cm apart 30-40
Source: Pakkissan
3.4.4 Problems and Issues faced by the Livestock Sector of Balochistan
Effect of Drought:
Drought was long recorded in Balochistan, but due to slow change and non-availability of
technical facilities drought was not noticed until its full effects were seen on the ground
especially on livestock. Drought has created a very big space in the population of livestock and
adversely affected the industry. Major share of local livestock is done by farmers in these areas.
This situation created great economic losses to the industry. The remaining Livestock has
declining growth, which is venerable to diseases. This situation decreases interest of the breeders
and industry is deteriorating slowly.
Issues related to production:

The most important issue in production is long-lasting drought that caused feed scarcity, scarcity
of feed, effected fertility, weight gain of animals, caused diseases and production losses. It also
increased cost of production and decreased breeders interest. Most of the local producers are
farmers residing in rural areas and drought badly affected their livestock.
15
Issues related to Diseases:

Like other animals goats also contract diseases and are affected by various viral infections, from
which they should be protected, otherwise it would lead to the loss of the production of meat and
milk. Therefore it is necessary to give them vaccines at specified times and also provide them
with other protective facilities. There are communicable and non-communicable diseases in
goats.
1. Communicable Diseases
Gul Ghoto (H.S.), Phurki, Sozish Huwana (Mastitis), Entrotoxaemia, Foot Rot, Blue
Tong, Thuri (Contagious Ecthyma), Contagious Caprine Pleuropneumonia
2. Non Communicable Diseases
Khansi (Bronchitis), Pneumonia, Impaction of Rumen, Colic, Khuni Ishaal (Dysentry),
Thun Sozish (Sore Teat), Rahm Sozish (Matranitis)
Issues related to Selling:

Monopoly of the middlemen is the most important issue in the markets; normally end users
consumers buy one or two heads and cannot buy whole flock, so sellers are bound to sell their
flocks to middlemen. Middlemen buy stocks on very low prices keep them for very few days and
sell on higher prices. Most of the sellers are nomads they are bound to sell their stocks to
middlemen before going to other area. This results in the low farm prices on the basis of half of
the live weight (Currently around Rs.150/Kg).
Another reason for the monopoly of middlemen is Local producer cannot stay in the market for a
long period; he is bound to sell his stock to middlemen. Yet another issue in selling is the
weakness of animals due to diseases and drought. Weak animals cannot be sold easily and on
good price.
Buying and selling activities are very low in the months of June and July which makes it difficult
for the small producers to sell their flocks.
Transportation of stock to other areas positively effects the sale and sale price. If local market is
not good, people take their flock to other markets nearby or to Punjab or Quetta. Now they are
becoming less and less dependent on middlemen. Transportation modes made the breeder
concern about their stocks, due to which they normally bring their sick stocks to hospital.
Issues affecting Sale Price:

Sale price is mostly affected by demand and supply; during peak season, i.e. Eid-ul- Azha prices
are very high due to higher demands. Other factors that affect prices are
Cost of rearing
Rainfall
Cultivation
Number of buyers from Punjab, Sindh and other areas
Season
Health of the stock
16
Issues affecting Meat and milk production:

Meat and milk production depends upon breeds. This is also affected by supply of feed, rainfall,
nutrition, cultivation and health of the animal.
Facilities in livestock markets:

There is none of the facility of water shelter, feed stores in any of the market of Loralai, Duki,
Nana sahib, Rakni, Muslim Bagh, Killa Saifullah and other markets in Balochistan. Only the
adjoining markets of Yusuf Goth and Sohrab Goth at Karachi are with relatively better sheds.
Some private shelters charge the seller Rs. 10 to 15 per head per day for keeping their animals.
However, feed houses are available there that sell feed of animal to seller or buyers. Veterinary
medical facilities are strongly needed, as sick animals come to these markets with out any check
up, causes diseases to other healthy animals.
3.4.5 Balochistans Contribution to the Sector

Table 4. Goats population Balochistan by Herd, Age, and Sex
Size of Herd Total Goats No of Goats One Year and Above Young Stock
Below One
Year
Household No of Goats Total Male Female
Reporting
001 to 005 Goats 60,440.00 204,323.00 130,750.00 32,785.00 97,968.00 73,572.00
006 to 015 Goats 104,275.00 1,027,602.00 695,438.00 167,384.00 528,052.00 332,169.00
016 to 030 Goats 75,284.00 1,667,741.00 1,151,588.00 267,073.00 884,520.00 516,152.00
031 to 050 Goats 39,038.00 1,533,571.00 1,080,883.00 247,155.00 833,721.00 452,694.00
051 to 075 Goats 20,135.00 1,235,118.00 871,674.00 175,363.00 696,314.00 363,440.00
076 to 100 Goats 9,959.00 872,778.00 638,026.00 115,147.00 522,882.00 234,754.00
101 to 150 Goats 10,328.00 1,263,452.00 920,414.00 177,747.00 742,664.00 343,038.00
151 to 200 Goats 4,743.00 826,501.00 621,179.00 146,274.00 474,902.00 205,319.00
201 to 350 Goats 4,199.00 1,111,427.00 802,578.00 185,223.00 617,356.00 308,851.00
351 Goats and 3,391.00 2,042,193.00 1,355,970.00 260,282.00 1,095,689.00 686,219.00

Above
Total 331,789.00 11,784,711.00 8,268,497.00 1,774,431.00 6,494,065.00 3,516,213.00
http://www.statpak.gov.pk/depts/aco/publications/agricultural_census2006
17
Table 5. Goats population Balochistan by Breed, Age, and Sex
Breed Total Goats No of Goats One Year and Above Young Stock One year
Total Male Female and Above
Teddy 359,301.00 232,736.00 57,609.00 175,131.00 126,565.00
Beetal 210,324.00 176,924.00 53,060.00 123,865.00 33,399.00
Kamori 1,300,161.00 893,733.00 184,244.00 709,492.00 406,426.00
Kaghani 35,310.00 22,628.00 2,896.00 19,731.00 12,684.00
Damani 334,146.00 222,451.00 37,072.00 185,379.00 111,694.00
Daira Din Panah 6,769.00 5,012.00 696.00 4,317.00 1,757.00
Nachi 35,572.00 27,779.00 6,789.00 20,988.00 7,795.00
Jatan 42,189.00 28,231.00 4,101.00 24,132.00 13,956.00
Barbary 956,388.00 666,011.00 141,560.00 524,453.00 290,375.00
Pateri 20,027.00 14,229.00 6,326.00 7,904.00 5,801.00
Lehri 807,192.00 568,554.00 111,751.00 456,805.00 238,640.00
Chappar 36,432.00 28,450.00 4,120.00 24,329.00 7,983.00
Others 7,640,900.00 5,381,758.00 1,164,214.00 4,217,546.00 2,259,142.00
Total 11,784,711.00 8,268,497.00 1,774,431.00 6,494,065.00 3,516,213.00
http://www.statpak.gov.pk/depts/aco/publications/agricultural_census2006
18
Table 6. District wise Animal population in Balochistan

S. No. District Cattle Buffalos Sheep Goats Camel Poultry
1 Quetta 11,244 25,547 163,799 120,384 1,377 128,311
2 Pishin 91,433 994 837,233 504,510 745 5,310,751
3 Killa Abdullah 53,111 479 325,020 115,405 359 291,710
4 Chagi 6,576 20 205,725 299,363 17,543 92,931
5 Sibi 54,709 6,133 200,946 208,133 1,866 254,604
6 Kohlu 174,167 1,469 1,306,734 813,575 58,318 172,462
7 Dera Bugti 144,860 6,795 506,095 775,361 35,753 185,429
8 Ziarat 1,929 12 120,054 138,440 34 50,399
9 Loralai 131,806 4,628 784,961 331,737 716 252,903
10 Musa Kheil 197,318 1,650 977,748 464,126 17,639 227,770
11 Barkhan 117,286 2,005 413,840 155,581 3,930 155,917
12 Killa Saifullah 69,361 151 1,066,690 783,624 21,751 274,313
13 Zhob 178,658 5,524 1,174,735 875,922 1,010 229,782
14 Jafferabad 268,721 156,427 241,444 283,922 8,252 507,275
15 Nassirabad 165,765 84,226 148,501 213,294 1,871 292,209
16 Bolan 151,736 4,151 124,569 766,109 34,401 352,580
17 Jhal Magsi 78,294 4,275 61,295 298,687 3,898 157,762
18 Lasbela 101,084 7,980 367,262 794,296 32,202 226,710
19 Mastung 8,628 456 466,894 334,906 2,802 218,682
20 Kalat 31,896 592 1,239,499 807,608 10,264 331,891
21 Khuzdar 103,375 5,782 1,105,410 1,036,004 28,006 336,416
22 Awaran 18,485 40 125,772 344,318 5,335 111,486
23 Kharan 14,854 118 665,903 635,731 76,069 202,230
24 Kech (Turbat) 43,433 306 64,693 455,391 6,061 208,746
25 Gawadar 12,344 51 18,363 88,901 1,432 52,893
26 Panjgur 22,508 49 91,032 139,383 8,074 64,032
Total 2,253,581 319,854 12,804,217 11,784,711 379,528 5,911,304
19
4 MARKET ANALYSIS
4. 1 Marketing Channels
Historically animals have not been marketed on a regular basis for income as a commercial
endeavor but sold in times of need. Old females were sold in the spring to pay for supplies, and
adult males in the fall for the production of LANDHI, dried mutton, a winter staple food. When
purchases of clothing, tea, sugar, grain, animal feed, seed, fertilizer or other market items are
required, animals are sold to generate sufficient funds. However, around population centers i.e.
big towns and cities, producers have started to consider animal commercial ventures and targets
specific markets.
Annual Horse and Cattle Show held at Sibi also provides farmers an opportunity to market their
livestock within province as well as to other provinces; to Sindh and Punjab. Although livestock
marketing is not well established in Balochistan, however there are livestock markets usually
called "Pirri" scattered through out the province; but having very limited basic facilities both for
farmers and animals. Marketing; and distribution involves many stakeholders; producers (Agro
pastoralists), dealers (usually from villages or adjoining areas), wholesalers, butchers, and
consumers. It is difficult to be precise about their exact numbers and their role in the marketing
process. The marketing takes place on individual animal as well as on lot basis. The different
agents involved are described below:-
Producers
Livestock producers are widely dispersed and only very rarely coordinate with each other. They
sell their livestock principally at the village level. Since they sell small ruminants to meet urgent
cash demand, the producers are not in a position to bargain very effectively. In a few cases,
producers attempt to time the sale of animals to take advantage of seasonal fluctuation, but, in
general, the expected price is not a determinant of the decision to sell.
Village Dealers
Village dealers purchase animals from surrounding areas and sell them to wholesalers in town
markets. They pay the animal transportation costs, feeding costs and their own transportation and
food costs.
Wholesalers and Commission Agents

Wholesalers buy from village dealers in small towns and transport the livestock to Quetta and the
major consumption centers in other provinces such as Karachi and Lahore. Wholesalers also sell
livestock through commission agents in the consumption centers. These agents are considered as
an essential link with the buyers, and undertake the bargaining and arrangements of livestock
sales.
Butchers
Mutton, goat meat and beef are sold fresh and now even after refrigeration particularly in Quetta
and other warmer areas, in small shops after 8-10 hours of slaughtering in traditional type
20
slaughter houses which lack proper hygienic facilities. Little, if any, meat is carried over to the
following day. Most of the gross income returns to butchers come from meat sales, but a
substantial portion is received from by-products such a skin, head, trotters, stomach, lung and
liver.
Consumers
Non-graded meat is sold by the butchers in their shops where poor hygienic conditions do exist.
The Government regulates consumer prices of essential commodities, one of which is meat, but
does not guarantee minimum meat quality standards.
21
Market Mechanism
Consumer Butcher
Producer
Village
Village Mandi
Dealers
Wholesalers
Main
City/Town
Market
Commission
Agents
Consumer Butcher Slaughter Corporate

Houses Consumers
Exporters
22
4. 2 Wholesale Market Locations

Sheep and goats belonging to nomadic and transhumant graziers of Balochi and Brahvi tribes are
marketed, besides Quetta, in Sibi and Jacobabad. They come down from their summer pastures
in the highlands of Quetta, Mastung, Nushki, Kalat and Khuzdar districts to spend the winter in
the lower plains of Kachhi and Nasirabad. Graziers of the Bugti and Marri tribes also market
their surplus animals next to the local markets in Jacobabad and Sibi, alongside flock owners
from the Bolan, Sibi, Jaffarabad and Nasirabad districts.
Sheep and goats belonging to the sedentary and transhumant graziers of the Khetran tribes of
Barkhan, the Marri tribes of Kohlu agency and the Duki tehsil, the Pathan tribes of Musakhel
district, and the Bugti tribes of Dera Bugti agency (Baker and Phailawag) are marketed in Rakhni
(Barkhan district) a border check-post located on road to Punjab for further transport and
consumption in various towns of Punjab.
Table 7. Main Exit Markets wit Destination and Species of Livestock

Exit Market Destination Mode of Species Source of
Location Transport supply
South-East Karachi, Rail, Road Sheep and Balochi Tribes

Sibi and Hyderabad, Sukkur goats, Brahvi Tribes
Jacobabad and Parts of Punjab Cattle and Marri Tribes
(Sindh) camels,
Horses,
Donkeys
South-West Karachi (Sindh) Road, Sheep and Transhumant

Bella, Doreji, on hoof goats, grazier from
Kanraj. Cattle Khuzdar,
Awaran
and Lasbela
North-East Lahore (Punjab) Road, Sheep and Khetran Tribe
Rakhni Faisalabad on hoof goats Bugti and Marri
(Punjab) tribes
Multan (Punjab) Pathan tribes
Musa Khel
Source: SMEDA Survey
4. 2. 1 Mode of Transportation:
Earlier the flocks used to move on hoof to and fro from the markets. Due to expansion of cities
and increase of vehicular traffic all around it is no longer possible to bring the animals to markets
on hoofs. Animals are usually transported on small trucks carrying about 70 sheep and goats or 8
to 10 beef animals.
23
4. 2. 2 Special occasions of marketing:

Eid-ul-Azha is one special occasion when fattened animals especially goats and bullocks are in
heavy demand and find good market in Karachi and other big cities like Lahore, Faisal Abad and
Sialkot fetching handsome prices to the owners or middlemen.
5 FARM PRODUCTION SYSTEM
This project will mainly focus on goat breeding and on the farm selling on live weight basis. But
in future it may expand its operation to the goat fattening, and direct market. For the proposed
project it is recommended that the entrepreneur should grow fodder at his own farm. Thus the
project is divided into two main activities as under:
5. 1 Fodder Farm
5 Acre of land grows sufficient green fodder for 100 Goats. So, the minimum feasible land
required for this project is, 25 Acre. As this project will include the kids which have lesser feed
requirement during initial few months, so some extra fodder will also be available for selling.
5.1.1 Farm Inputs
Table 8. Farm Inputs

Description Cost/Unit (Rs.) No of No. of No of No of Total
Crops Labor Acre Month Cost
Cycle (Rs.)
Land 5,000/Crop/Acre 4.56 - 25 - 570,000
Development Crops
Seed 2,000/Crop/Acre 4.56 - 25 - 228,000
Crops
Fertilizer 1,600/Crop/Acre 4.56 - 25 - 182,400
Crops
Labor 4,500/Person 4 - 12 216,000
Person
Irrigation 4000/Month - - - 12 48,000
Miscellaneous - - - - - 60,000
Total Cost 1,304,400
Note: The costs are given for an idea of the fodder cultivation. The cost of green fodder for this
report is calculated on the basis of this and already included in the financials section. Therefore
the cost given here doesnt need to be included in the financials, so that to avoid double entry
24
5. 2 Goat Breeding
Though the total required area for the proposed project is 25,948 Sq. Ft. (Around Half Acre), but
the entrepreneur will have to consider 1 Acre. This is because of the fact that agricultural land is
sold with standard units of Acres.
5.2.1 Area required for goat breeding farm
Table 9. Area required and costs associated

Description Area/Goat No of Total Area Required
(Sq.Ft) Goats (Sq.Ft)
Shed 12 377 + 40 4,521 + 480
Open Space 40 377 + 40 15,071 + 1600
5.2.2 Human Resource required for goat breeding farm

Goat farming is not a labour intensive project. Traditionally family is involved in grazing and
feeding of Goat. For this particular project Two attendants (Shepard) are required in the first
year, which will increase to four attendants in the second year. For a fodder farm spread over 25
Acre, four person can easily manage and handle the fodder growing ,irrigation, and sowing.
Table 10. Farm Labor

No of Labors Salary/Person/Month No of Total (Rs.)
(Rs.) Months
02 4,500 12 108,000
Total Annual Cost 108,000
Table 11 Farm Supervisor

No of Labor Salary/Person/Month No of Total (Rs.)
(Rs.) Months
1 7,500 12 90,000
Total Annual Cost 90,000
5.2.3 Proposed Goat breeding practice
Before the procurement of animals, it should be ensured that the green fodder is ready, and
concentrate is available at farm. The following facts should be considered.
Selection of female/She-goats for reproduction:

This is suggested to buy the local female goat, e.g., kachani, khurasani, lehri or jabli goats from
the local market. The reason is that, the local breed has the best characteristics to survive in the
25
local environment where the project is intended to be established. Goats should be young
(approximately 8 months old), and should be of similar breed. Their physical condition should be
good, their eyes, jaws, teeth and udder should be in healthy condition.
Selection of male/He- goats:

He-goat is the backbone of the herd and the development of coming generation is dependent
upon it. It should be healthy and energetic. He-goat should be purchased from the government
owned livestock farms. Extra he-goats should be kept in herd so that if one suffers from any kind
of disease or accident it should be replaced by another quickly. Normally 1 he goat is enough for
cohabitation with 40 she-goats. The mating with good quality male goat will result in the best
possible cross breed.
Quarantine system:
A system for isolating the newly purchased goats, and treating them to eliminate internal
parasites before introduction to the farm should be adopted. There is significant risk of
introducing anthelmentic resistant stains of parasites whenever stock are moved between farms
so this practice should be applied to all species of livestock farmed. So a separate quarantine
place should be available with in the farm.
Mating :
The best months for the cohabitation of goats are March, April, May, and October. Pregnancy
period is 5 Months or 150 days. Before mating it should be kept in mind that these goats should
not give birth at the time of extreme cold. Specially in Pakistan, the best months for mating are
September and October are supposed to be the best mating seasons for goats, because heating
periods of goats are longer in these months. If mating would be done in these months then the
birth of the kids will take place in spring and in these months there will be an ample amount of
hay available and they are saved from the cold weather of January and December.
Complete cross breed :

The breed after two cycles will be considered to be the completely crossed breed. After the
completely crossed breed is available, the local female parent breed will be sold out.
Separation of Kids from goats :

Kids should be separated from goats after a period of 120 days.
5.2.4 Routine for feeding and milking
It is described as under:
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.
26
5.2.5 Diseases and Treatments
The best practice to minimize the losses from diseases is the timely check up and cure of goats and
protective measures before the problem arise.
Table 12. Diseases and Treatments

Disease Vaccine Qty of Time for Time for Protective
Vaccine Vaccination Immunity Measures
Foot Rot Foot & Mouth 5 ml Start of 4 Months Should be given
Vaccine Spring 4 months prior to
the symptoms of
disease.
Anthrax Anthrax spore 0.5 ml March or One Year Every year
vaccine April or injection should
Monsoon be given but
season areas where this
disease is
commonly
occurred,
injection should
be given up to 10
years on yearly
basis
Bowla Pun Anti Rebek 10 ml According to One Year Vaccine should
vaccine need be used right
after preparation
Goat Pox Tep Pox vaccine 0.1 ml In October 4 months, Dont give
but if the vaccine in
injection is pregnancy
given again period. Prepared
after 4 vaccine should
months be given with in
then its 2 hours
effects
remains up
to 1 Year
Enterotoxaemia Introta Casimia 3 ml January Two Thorough
vaccine months, but examination is
if the required for the
injection is identification of
given again this disease.
after 2 Inject should not
weeks then be given prior to
effect the age of 3
27
remains up Months
to 1 year
Virus Dirmititus Tep Virus 5 ml According to Up to 4 Where the
Dirmititus need months disease is
Vaccine occurred
injection should
be given their
Caprine Caprine 1 ml May, June & Up to 4 Great care should
Pleuropneumonia Pleuropneumonia November, Months be needed for the
vaccine December identification of
this disease
6 MACHINERY AND EQUIPMENT REQUIREMENTS
Goat Farming is very simple activity and does not require very sophisticated machinery and
equipment. Following are the basic requirements for Goat Farm.
Table 13. Machinery and Equipment Requirement
Description Qty Price/Unit Total Cost (Rs.)

Hand Pump or 1 2,500 2,500
Motor Pump
Tubs for Water 6 500 3,000
Feed Mangers 50 500 25,000
Balti (Small Water 4 200 800
Drum)
Wheel Barrow 1 4,000 4,000
Weight scale 1 6,000 6,000
Chalf Cutter 1 18,000 18,000
Total Rs. 59,300
Table 14. Farm Infrastructure

Description No Total Cost (Rs.)
Tube Well 01 800,000
7 LAND AND BUILDING REQUIREMENT

A total of around 26 Acre land would be required for the Farm, of which 25 Acre will be utilized
for fodder growing and 1 Acre for Goats shed. Open Space requirement for goat is 40
Sq.ft./Goat while Shade requirement is 12 Sq.ft./Goat.
28
Table 15. Land Cost

Description Cost/Acre Area in Acre Total Cost (Rs.)
Land 50,000 26 1,300,000
Year 1.
Table 16. Building / Shed Construction Cost
No. of Space / Total Area Cost/sqft Total cost. Rs.

Animals Animal Sqft.
Sqft.
Shed for animals 377 12 4,521 250 1,130,323
Open paddock for 377 40 15,071 20 301,419
lambs
Quarantine Pen for 40 12 480 250 120,000
lambs
open paddock for 40 40 1,600 20 32,000
lambs
Stores for Raw 224 500 112,000
Material
Attendants Room 224 500 112,000
Office 168 600 100,800

Total cost 1,908,542
7. 1 Recommended Mode
It is recommended to acquire/buy the total land required while the building would be expanded
as the need arises in future.
29
8 PROJECT ECONOMICS
8. 1 Project Cost
Capital Investment Rs. in actual

Land
1,300,000
Building/Infrastructure 1,908,542
Machinery & equipment 859,300
Farm Animals 495,000
Office equipment 30,000
Pre-operating costs 16,500
Total Capital Costs 4,609,342
Working Capital Rs. in actual

Equipment spare part inventory 1,667
Raw material inventory 27,988
Cash 150,000
Total Working Capital 179,654
Total Investment 4,705,641
8. 2 Project Returns
Description Equity
IRR 28%
MIRR 17%
Payback Period (yrs) 4.16
Net Present Value (NPV) 3,186,371
9.3 Project Financing
Description Percentage Amount in Rs

Debt Financing
Equity Financing 100% 4,705,641
Total 4,705,641
30
9 FINANCIALANALYSIS
9. 1 Projected Income Statement
Statement Summaries SMEDA

Income Statement
Rs. in actuals
Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10
Revenue 701,744 1,387,983 1,526,782 1,679,460 1,847,406 2,032,146 2,235,361 2,458,897 2,704,787 2,975,265
Cost of goods sold 783,704 1,175,591 1,288,209 1,411,245 1,546,182 1,694,183 1,856,522 2,034,603 2,229,964 2,444,298
Gross Profit (81,961) 212,392 238,573 268,215 301,223 337,964 378,839 424,294 474,822 530,967
General administration & selling expenses

Administration expense 94,500 101,115 108,193 115,767 123,870 132,541 141,819 151,746 162,369 173,734
Rental expense - - - - - - - - - -
Utilities expense 60,000 64,200 68,694 73,503 78,648 84,153 90,044 96,347 103,091 110,308
Travelling & Comm. expense (phone, fax, etc.) 18,000 19,260 20,608 22,051 23,594 25,246 27,013 28,904 30,927 33,092
Office expenses (stationary, etc.) 4,500 4,815 5,152 5,513 5,899 6,311 6,753 7,226 7,732 8,273
Professional fees (veterinary) - - - - - - - - - -
Depreciation expense 182,857 182,857 185,243 187,628 190,014 192,400 194,785 197,171 199,557 201,943
Amortization expense 3,300 3,300 3,300 3,300 3,300 - - - - -
Property tax expense - - - - - - - - - -
Miscellaneous expense - - - - - - - - - -
Subtotal 363,157 375,547 391,190 407,761 425,325 440,651 460,415 481,394 503,676 527,350
Operating Income (445,118) (163,155) (152,617) (139,546) (124,102) (102,688) (81,576) (57,100) (28,854) 3,617
Other income (Sale of extra fodder) 1,086,069 1,081,771 1,221,244 1,373,496 1,540,358 1,722,836 1,922,532 2,141,213 2,380,819 2,646,887
Gain / (loss) on sale of assets - - - - - - - - - -
Earnings Before Interest & Taxes 640,952 918,616 1,068,627 1,233,950 1,416,256 1,620,148 1,840,956 2,084,112 2,351,966 2,650,504
Interest expense 3,084 - - - - - - - - -

Earnings Before Tax 637,868 918,616 1,068,627 1,233,950 1,416,256 1,620,148 1,840,956 2,084,112 2,351,966 2,650,504
Tax - - - - - - - - - -
NET PROFIT/(LOSS) AFTER TAX 637,868 918,616 1,068,627 1,233,950 1,416,256 1,620,148 1,840,956 2,084,112 2,351,966 2,650,504
Balance brought forward 574,081 1,343,428 2,170,849 3,064,319 4,032,517 5,087,398 6,235,519 7,487,668 8,855,670
Total profit available for appropriation 637,868 1,492,697 2,412,054 3,404,799 4,480,575 5,652,665 6,928,354 8,319,631 9,839,634 11,506,175
Dividend 63,787 149,270 241,205 340,480 448,057 565,266 692,835 831,963 983,963 1,150,617
Balance carried forward 574,081 1,343,428 2,170,849 3,064,319 4,032,517 5,087,398 6,235,519 7,487,668 8,855,670 10,355,557
31
9. 2 Projected Balance Sheet

Balance Sheet
Rs. in actuals
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10
Assets
Current assets
Cash & Bank - 895,384 1,794,668 2,729,153 3,753,451 4,853,013 6,036,208 7,312,560 8,692,476 10,187,335 11,979,740
Accounts receivable - 57,678 85,879 119,785 131,763 144,940 159,434 175,377 192,915 212,206 233,427
Finished goods inventory - - - - - - - - - - -
Equipment spare part inventory 1,667 2,107 2,578 2,896 3,254 3,656 4,108 4,616 5,187 5,828 -
Raw material inventory 277,988 44,055 51,369 59,896 69,839 81,432 94,949 110,711 129,089 150,518 -
Pre-paid lease interest - - - - - - - - - - -
Total Current Assets 279,654 999,224 1,934,493 2,911,730 3,958,307 5,083,041 6,294,699 7,603,264 9,019,666 10,555,886 12,213,167
Fixed assets
Land 1,300,000 1,300,000 1,300,000 1,300,000 1,300,000 1,300,000 1,300,000 1,300,000 1,300,000 1,300,000 1,300,000
Building/Infrastructure 1,908,542 1,813,115 1,765,401 1,715,302 1,662,817 1,607,947 1,550,690 1,491,048 1,429,021 1,364,608 1,297,809
Machinery & equipment 859,300 773,370 687,440 601,510 515,580 429,650 343,720 257,790 171,860 85,930 -
Furniture
Livestock& fixtures 495,000 495,000 495,000 495,000 495,000 495,000 495,000 495,000 495,000 495,000 495,000
Office equipment 30,000 28,500 27,000 25,500 24,000 22,500 21,000 19,500 18,000 16,500 15,000
Total Fixed Assets 4,592,842 4,409,985 4,274,841 4,137,312 3,997,397 3,855,097 3,710,410 3,563,338 3,413,881 3,262,038 3,107,809
Intangible assets
Pre-operation costs 16,500 13,200 9,900 6,600 3,300 - - - - - -
Total Intangible Assets 16,500 13,200 9,900 6,600 3,300 - - - - - -
TOTAL ASSETS 4,888,996 5,422,409 6,219,235 7,055,642 7,959,004 8,938,137 10,005,109 11,166,602 12,433,547 13,817,924 15,320,975
Liabilities & Shareholders' Equity

Current liabilities
Accounts payable - 59,332 86,811 95,797 105,689 116,624 128,715 142,087 156,883 173,257 176,422
Short term debt 100,000 - - - - - - - - - -
Total Current Liabilities 100,000 59,332 86,811 95,797 105,689 116,624 128,715 142,087 156,883 173,257 176,422
Other liabilities
Total Long Term Liabilities - - - - - - - - - - -
Shareholders' equity
Paid-up capital 4,788,996 4,788,996 4,788,996 4,788,996 4,788,996 4,788,996 4,788,996 4,788,996 4,788,996 4,788,996 4,788,996
Retained earnings - 574,081 1,343,428 2,170,849 3,064,319 4,032,517 5,087,398 6,235,519 7,487,668 8,855,670 10,355,557
Total Equity 4,788,996 5,363,077 6,132,424 6,959,845 7,853,315 8,821,513 9,876,395 11,024,515 12,276,664 13,644,666 15,144,553
TOTAL CAPITAL AND LIABILITIES 4,888,996 5,422,409 6,219,235 7,055,642 7,959,004 8,938,137 10,005,109 11,166,602 12,433,547 13,817,924 15,320,975
Note: Total assets value will differ from project cost due to first installment of leases paid at the start of year 0
- - - - - - - (0) (0) (0) (0)
32
9. 3 Projected Cash Flow Statement

- - - - - - - (0) (0) (0) (0)

Cash Flow Statement
Rs. in actuals
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10
Operating activities
Net profit - 637,868 918,616 1,068,627 1,233,950 1,416,256 1,620,148 1,840,956 2,084,112 2,351,966 2,650,504
Add: depreciation expense - 182,857 182,857 185,243 187,628 190,014 192,400 194,785 197,171 199,557 201,943
amortization expense - 3,300 3,300 3,300 3,300 3,300 - - - - -
Deferred income tax - - - - - - - - - - -
Accounts receivable - (57,678) (28,202) (33,906) (11,978) (13,176) (14,494) (15,943) (17,538) (19,291) (21,221)
Finished good inventory - - - - - - - - - - -
Equipment inventory (1,667) (440) (471) (319) (358) (402) (452) (508) (571) (641) 5,828
Raw material inventory (277,988) 233,932 (7,313) (8,527) (9,943) (11,593) (13,518) (15,762) (18,378) (21,429) 150,518
Pre-paid lease interest - - - - - - - - - - -
Accounts payable - 59,332 27,479 8,986 9,892 10,935 12,091 13,373 14,795 16,374 3,165
Other liabilities - - - - - - - - - - -
Cash provided by operations (279,654) 1,059,171 1,096,267 1,223,404 1,412,491 1,595,333 1,796,175 2,016,901 2,259,593 2,526,536 2,990,736
Financing activities
Change in long term debt - - - - - - - - - - -
Change in short term debt 100,000 (100,000) - - - - - - - - -
Issuance of shares 4,788,996 - - - - - - - - - -
Cash provided by / (used for) financing activities
4,888,996 (100,000) - - - - - - - - -
Investing activities
Capital expenditure (4,609,342) - (47,714) (47,714) (47,714) (47,714) (47,714) (47,714) (47,714) (47,714) (47,714)
Cash (used for) / provided by investing activities
(4,609,342) - (47,714) (47,714) (47,714) (47,714) (47,714) (47,714) (47,714) (47,714) (47,714)
NET CASH - 959,171 1,048,554 1,175,690 1,364,778 1,547,620 1,748,461 1,969,188 2,211,879 2,478,822 2,943,023
Cash balance brought forward - 895,384 1,794,668 2,729,153 3,753,451 4,853,013 6,036,208 7,312,560 8,692,476 10,187,335
Cash available for appropriation - 959,171 1,943,938 2,970,358 4,093,931 5,301,070 6,601,474 8,005,395 9,524,439 11,171,298 13,130,358
Dividend - 63,787 149,270 241,205 340,480 448,057 565,266 692,835 831,963 983,963 1,150,617
Cash carried forward - 895,384 1,794,668 2,729,153 3,753,451 4,853,013 6,036,208 7,312,560 8,692,476 10,187,335 11,979,740
33
10 KEY ASSUMPTIONS
10. 1 Breed Plan
Year 1 2 3 4 5 6 7 8
Total Adult Female 110 110 192 259 259 259 259 259 259
Extra Females sold 0 43 110 110 110 110 110 110
Adult Females retained at farm 110 110 149 149 149 149 149 149 149
Adult Mortality 2% 2 3 3 3 3 3 3 3
Female Population after mortalitiy 108 146 146 146 146 146 146 146
Adult Male Required 3% 3 4 4 4 4 4 4 4
166% 183 247 247 247 247 247 247 247
Progeny Mortality 8% 15 20 20 20 20 20 20 20
Progeny after Mortality 168 227 227 227 227 227 227 227
Female Progeny 50% 84 113 113 113 113 113 113 113
Male Progeny 50% 84 113 113 113 113 113 113 113
Young Male sold 7 Months 84 113 113 113 113 113 113 113
Extra Females sold 7 Months and Adult 43 110 110 110 110 110 110 110
Total Heads (Adults and Progeny at farm) 279 377 377 377 377 377 377 377
34
10. 2 Revenue Assumption
Rs.
Pirce / Animal for Young Male (7 months) 4,760
Price/animal for extra female (7 Months and adult) 5,500
10. 3 COGS
Costs Assumptions Price (Rs.)
Cost of a female Goat 4,500

Cost of fodder and Concentrate /Animal/Day 11.25
Cost of fodder and Concentrate / Young Animal/Day 8.00
Cost of Vaccine/Medicine/Animal/Year 80
35
Annexure I
Farm layout
Covered Shed for She-Goats Covered Shed for Kids
Open Space for She Goats

Store
Room for
Labor with
Wash room
Gate
Covered Open Space for He

Shed for He- Goats Quarantine Area
Goats
Note : The doted line represents fencing. The Layout may be changed as per the location or will
of the Entrepreneur
36
Annexure
Kamori
37
38
Goat Feed
It can contain following feed items:
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.
e) Roots: Artichokes, carrot, fodder beet, kohlrabi, mangold, parsnips, potatoes, swedes and turnip.
f) Silage: Grass, lucrene, maize, oat, pea haulms and pods, rye, vetch and oats.
g) Natural roughage: Brush wood, gorse, heather-tip, treebark, and sweet chestnut.
h) Hays: Barley, clover, couch grass, lucrerne, meadow, oat, rye, rye grass, clover, vetches, oat, wheat.
i) Dried leaves: Artichoke, beech, chicory, elm, grasses, horse-chestnut, lucerne, oak, poplar, willow.
j) Fruits: Apples, cleavers, elm fruit dry, and rose hips.
k) Legume seeds: Beans, lupins and peas.
l) Oil cake: Cotton seed, ground nut, linseed, palm kernel, sesamum, soybean and sun flower.
39
USEFUL TERMINOLOGY
Buck: preferred term for a male goat (Other acceptable terms include: Ram)
Doe: preferred term for a female goat
Kid: young goat
Halal: religious term used to describe food that is lawful or acceptable for individuals of the
Islamic faith to eat.
Haram: religious term used to describe food that is "unlawful" or "unacceptable" for individuals
of the Islamic faith to eat.
Mashbooh: religious term used to describe food that is "questionable" for individuals of the
Islamic faith to eat.
Cabrito: Spanish term for gourmet meat derived from young kids.
Goat cheeses: Many cheeses, some of which include: blue caerphilly, camembert, cheddar,
chevre, feta, shepherd's tomme, and capriano.
Chevre: French word for goat. Used as a generic term applying to all goat cheeses, but more
specifically to mild fresh cheeses.
Capretto: Term used to describe milk fed kids with carcass weights of up to 26.5 pounds.
Kashrut: The body of Jewish law dealing with foods that can and cannot be consumed. In
addition the law dictates how the food must be prepared and eaten.
Kosher: Jewish word describing food that meets the standards of the laws of Kashrut.
Glatt Kosher: Kosher without question.
Treyf: Food that is not kosher. Root meaning torn, based on the commandment not to eat animals
that have been torn by other animals.
40

Intensive Goat Breeding Farm

Загружено:

Сведения о документе

Авторское право

Доступные форматы

Поделиться этим документом

Поделиться или встроить документ

Параметры публикации

Этот документ был вам полезен?

Это неприемлемый материал?

Авторское право:

Доступные форматы

Intensive Goat Breeding Farm

Загружено:

Авторское право:

Доступные форматы

Pre-Feasibility Study

INTENSIVE GOAT BREEDING FARM

Small and Medium Enterprises Development Authority

REGIONAL OFFICE REGIONAL OFFICE REGIONAL OFFICE REGIONAL OFFICE

not bind SMEDA in any legal or other form.

1 Purpose of the document............................................................................... 2

5.2.5 Diseases and Treatments ....................................................................................27

7 LAND AND BUILDING REQUIREMENT ...............................................28

1 PURPOSE OF THE DOCUMENT

2. 8 Recommended Project Parameters

2. 10 Key Success Factors/Practical Tips for Success

3 CURRENT INDUSTRY STRUCTURE

Table 3. Religious Holidays, Significance and Meat Preferences

Easter Celeberate the Resurrection of

The Sunday preceding Easter

Good Friday Also known as Easter Friday. A day

Hanukkah Commemorates the rededication of

Rosh Hashanah The Jewish new year. Rosh

Goat Population in Pakistan

Source: Economic Survey of Pakistan 2008-2009

Mutton Prodution in Pakistan

3.3.1 Province-wise distribution of breeds.

Balochistan (3): Kajli, Khurrasani and Lehri.

Desi, Tapri and Tharki.

3.3.2 Important Goat Breeds of Pakistan.

Milk Breeds Meat Mohair Skin

Beetal Barbari Pak Angora Beetal

Dera Din Panah Chapper Bilkaneri Dera Din Panah

Kamori Teddy Kaghani Nachi

Main Characteristics of Goat Breeds of Pakistan

3.4.1 Prevalent system of Livestock production in Balochistan

3. 4. 2 Characteristics of Some Breeds Recommended for Goat Farming:

3.4.3 Feed Resources

Table 3. Classification of Feed Resources

Summer Winter Energy Protein Sources

Wheat Straw Maize Berseem Maize Cotton Seed Cake

Rice Straw Sorghum Lucern Sorghum Rapeseed Cake

Oat Straw Millet Oats Wheat Canola Meal

Maize/Sorghum Sada Bahar Turnips Barley Maize Oil Cake

Sugarcane Baggase Guara Sugarcane Mamni Soybean Meal

Corn Cobs Rice Polishing Urea

Cotton Seed Hulls Wheat Bran

Table 5. Production Brief of Some Feed Resources

Berseem 20-25 21st Sept- end Broadcast in 125-150

Lucerne 10-12 Mid Oct.- mid 45 cm apart in 110-125

Oats 75-100 21st Sept.- 30 cm apart in 60-80

Sorghum 75-80 March-Aug. -do- 50-60

S.S. hybrid 25-30 Mid Feb.- mid 45 cm apart 120-130

Millet 12-15 April-Aug. 30 cm apart in 40-60

Guar 40-50 April-July -do- 30-40

Cowpeas 30-35 March-July 45 cm apart 30-40

3.4.4 Problems and Issues faced by the Livestock Sector of Balochistan

Issues related to production:

Issues related to Diseases:

Issues related to Selling:

Issues affecting Sale Price:

Issues affecting Meat and milk production:

Facilities in livestock markets:

3.4.5 Balochistans Contribution to the Sector

001 to 005 Goats 60,440.00 204,323.00 130,750.00 32,785.00 97,968.00 73,572.00

006 to 015 Goats 104,275.00 1,027,602.00 695,438.00 167,384.00 528,052.00 332,169.00

016 to 030 Goats 75,284.00 1,667,741.00 1,151,588.00 267,073.00 884,520.00 516,152.00

031 to 050 Goats 39,038.00 1,533,571.00 1,080,883.00 247,155.00 833,721.00 452,694.00

051 to 075 Goats 20,135.00 1,235,118.00 871,674.00 175,363.00 696,314.00 363,440.00