Economics And Marketing

Requirements of Good Project

A format prepared by NABARD for formulation of piggery development schemes can be referred. The bank's officers can assist in preparation of the scheme or filling in the prescribed application form. The bank will then examine the scheme for its technical feasibility and economic viability

A) Technical Feasibility - This would briefly include:

1. Nearness of the selected area to financing bank's branch.
2. Availability of good quality animals in nearby livestock markets/ breeding farms.
3. Source and availability of training facilities.
4. Availability of concentrate feeds and kitchen/ hotel/ vegetable market waste and broken grains from Food corporation godowns.
5. Availability of medicines, vaccines and veterinary services etc.
6. Availability of veterinary aid / breeding centres and marketing facilities near the scheme area.
7. Reasonability of various production and reproduction parameters.

B) Economic Viability - This would briefly include :

1. Unit cost
2. Input cost for feeds, veterinary aid, insurance, labour charges, etc.
3. Output costs i.e. sale price of fatteners, piglets and culled animals
4. Income-expenditure statement and annual gross surplus.
5. Cash flow analysis.

C. Bankability:

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 the scheme area is undertaken for conducting a techno- economic feasibility study for appraisal of the scheme.

Sanction of Bank Loan and its Disbursement

After ensuring technical feasibility and economic viability, the scheme is sanctioned by the bank. The loan is disbursed in stages against creation of specific assets such as construction of sheds, purchase of equipments and animals. The end use of the fund is verified and constant follow-up is done by the bank.

Management Practices Recommended for Commercial Pig Farming

Modern and well established scientific principles, practices and skills should be used to obtain maximum economic benefits from pig farming. Some of the major norms and recommended practices are given hereunder:

I. Housing management:

1. Construct shed on dry and properly raised ground.
2. Avoid water-logging, marshy and heavy rainfall areas.
3. The side walls of the sheds should be 4-5 ft. high and remaining height should be fitted with GI pipes or wooden poles.
4. The walls should be plastered to make them damp proof.
5. The roof should be atleast 8-10 ft. high.
6. The pig stys should be well ventilated.
7. The floor should be pucca/hard, even, non-slippery, impervious, well sloped (3 cm per metre) and properly drained to remain dry and clean.
8. A feed trough space of 6-12 inches per pig should be provided.
9. The corners of feed troughs, drains and walls should be rounded for easy cleaning.
10. Provide adequate open space for each animal i.e. double the covered area
11. Provide proper shade and cool drinking water in summer.
12. Dispose of dung and urine properly.
13. Individual pens for boars/lactating sows should be constructed.
14. The dry sows/fatteners can be housed in group pens.
15. Give adequate space for the animals.

II. Selection of breeding stock:

1. Immediately after release of the loan, purchase the stock from a reliable breeder or from nearest livestock market.
2. For commercial pig farming upgraded / cross bred or exotic stock in good health should be selected.
3. While selecting a gilt or sow primary aim should be to secure a female that will produce large survivable litter and which can attain marketable weight at an age of six months or less. This can be done with the help of pedigree records/Veterinarian / Bank's technical officer.
4. Purchase animals which are ready to be bred.
5. Identify the newly purchased animal by giving suitable identification mark (ear notching or tattooing).
6. Vaccinate the newly purchased animals against diseases.
7. Keep the newly purchased animal under observations for a period of about two weeks and then mix with the other animals.
8. Purchase a minimum economical unit as suggested.
9. Purchase animals in two batches at the interval of three months.
10. Follow judicious culling and replacement of animals in a herd.
11. Cull the old animals after 10-12 farrowings.

III. Feeding management:

1. Feed the animals with best feeds.
2. Give adequate concentrates in the ration.
3. Provide adequate vitamins and minerals.
4. Provide adequate clean water.
5. Give adequate exercise to the animals.
6. The feeding of the piglets is more critical and high quality and more fortified diets are needed for feeding them.
7. Feeding of the sows during pregnancy is utmost important for increased litter size.
8. The feed requirements of lactating sow varies with the size of the litter, weight, size and age of sow.
9. Commercial pig farming should aim at the exploitation of nonconventional feed resources viz., waste from Kitchen/hotel/ cold storage/warehouses, in replacing the balanced rations to minimise the cost of production.
10. The feeding regime adopted should take care of all the nutrient requirements of various categories of pigs.

IV. Protection against Diseases:

1. Be on the alert for signs of illness such as reduced feed intake, fever, abnormal discharge or unusual behaviour.
2. Consult the nearest veterinary aid centre for help if illness is suspected.
3. Protect the animals against common diseases.
4. In case of outbreak of contagious diseases, immediately segregate the sick and the healthy animals and take necessary disease control measures.
5. Deworm the animals regularly.
6. Examine the faeces of adult animals to detect eggs of internal parasites and treat the animals with suitable drugs.
7. Wash the animals from time to time to promote sanitation.
8. Strictly follow the recommended vaccine schedule

V. Breeding care:

1. Pigs are highly prolific in nature and two farrowings in a year should be planned by adopting optimal management conditions
2. For every 10 sows one boar must be maintained for maximum fertility.
3. Breed the animals when it is in peak heat period (i.e. 12 to 24 hours of heat).

VI. Care during Pregnancy:

Give special attention to pregnant sows one week before farrowing by providing adequate space, feed, water etc. The sows as well as farrowing pens should be disinfected 3-4 days before the expected date of farrowing and the sows should be placed in the farrowing pen after bedding it properly

VII. Care of Piglets:

1. Take care of new born piglets by providing guard rails.
2. Treat / disinfect the navel cord with tincture of iodine as soon as it is cut with a sharp knife.
3. Feed on mothers milk for first 6-8 weeks along with creep feed.
4. Protect the piglets against extreme weather conditions, particularly during the first two months.
5. Needle teeth should be clipped shortly after birth.
6. Vaccinate the piglets as per recommended vaccination schedule.
7. Supplementation of Iron to prevent piglet anaemia is necessary.
8. The piglets meant for sale as breeder stock must be reared properly.
9. Male piglets not selected for breeding should be castrated preferably at the age of 3-4 weeks which will prevent the boar odour in the cooked meat thus it enables production of quality meat.
10. Additional feed requirements of lactating sow must be ensured for proper nursing of all the piglets born.

Market management

• The recommended weight to sell barrows (castrated male pig) and gilts is 90-100 kgs.
• The average weight of hogs is 120 to 135 kgs.
• Decisions to market pigs at heavier weights should be based on feed costs and the gaining ability of the pigs.
• Prices for slaughter pigs can vary among markets. A single market is seldom the best market.
• Meat production and supply of meat for local consumption is the most neglected sector in the country. The traditional production systems and the unhygienic practices have ruined and flawed the image of the Indian meat industry.
• Development of adequate market infrastructure with basic requirements is must for marketing.
• Because of the unorganized nature of the sector farmer is not getting good price.

Economics of pig farming - At a glance

Economics of pig farming - Investment cost (10 Sows + 1 Boar)

ECONOMICS OF PIG FARMING - TECHNOLOGY ECONOMIC PARAMETERS

Financial Assistance Available from Banks / NABARD for Pig Farming

• NABARD is an apex institution for all matters relating to policy, planning, and operations in the field of agriculture credit. It serves as refinance agency for the ground level institutions / banks providing investment and production credit for various activities under agriculture and allied sectors for ensuring integrated rural development.
• For undertaking the pig farming on scientific lines, loan from banks with refinance facility from NABARD is available. For obtaining bank loan the farmers / entrepreneurs should apply to the nearest branch of a Commercial, Co-operative or Regional Rural Bank in the prescribed application form, which is available in the branches of financing bank.
• Necessary help or guidance can be obtained from the technical officer attached to or the manager of the bank in preparing the project report, which is a prerequisite for sanction of the loan.
• For piggery development schemes with very large outlays, detailed project reports has to be prepared. The items such as land development, construction of sheds and other civil structures, purchase of the breeding stock, equipment, feed cost upto the point of income generation are normally considered under bank loan.
• Other items of investment will be considered on need basis after providing the satisfactory information justifying the need for such items.
• The cost of land is not considered for loan. However, if land is purchased for setting up the piggery farm exclusively, it can be considered as beneficiaries margin money.

Setting up of State of Art- Abattoir cum meat processing plants:

In India, there are very few modern state of art mechanized abattoir cum meat processing plants in various states for slaughtering of Pigs. So, we need more scientifically designed abottairs and meat processing plants in the country.

Setting up cold storages:

Meat is nutrient dense food which makes it perishable commodity. In order to improve keeping quality of meat, cold chain is important during transport as well as storage till it reaches to consumers.