Calf Fattening Farm [Rs. 3.81 million]

Calf Fattening Farm [Rs. 3.81 million]
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09 August 2019
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In calf fattening business, calves are raised on nutritionally balanced feed to get targeted weight gain in a specified time. These calves are grown in groups and each batch stays on farm for a period of 120 days. The expected live body weight gain ranges between 700 - 850 grams/day. Higher yields are achievable with better farm management and by selecting better quality breeds.

Calves are raised in rural and semi-urban areas and sold in urban markets normally in livestock markets (Mandies). A farm of 360 calves per annum in three batches (each batch having 120 calves) is suggested in this pre-feasibility study; Farm will start its production at 100% capacity from very first year of production.

Two batches would be sold in regular markets however; one batch would be fattened with special focus on Eid-Ul-Azha market. An estimated investment of Rs 3.81 million is required, out of which capital investment is Rs. 0.51 million and working capital is Rs. 3.30 million. The Internal Rate of Return (IRR), Net Present Value (NPV) & payback period of the project are 32%, Rs. 6.44 million and 3.56 years respectively. The project is proposed to operate as a sole-proprietorship.

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