Project Report

NABARD Model Project on Pig Breeding Farm (20 sows and 4 boars)
A. Project at a glance
1	Unit Size	20 sows and 4 boars
2	Type of Animal	Crossbred Sows and Exotic Boars
3	Total Financial Outlay /Unit cost (Rs.)	1247000
4	Margin Money- minimum 10% (Rs.)	125000
5	Bank Loan (@90% of TFO) (Rs.)	1122000
6	Repayment period (Years)	6 years including 1 year grace period
7	Interest rate (% p.a.)	12%
8	NPW @ 15% DF (Rs.)	रु 8,76,216
9	BCR @ 15% DF	1.29:1
10	IRR (%)	48.72%

B. Investment cost
S. No.	Item	Specifications	Physical Unit	Unit Cost (Rs./Unit)	Total Cost (Rs.)
1	Pig Sty
i	Boar Pens	70 sqft/ boar	280	250	70000
ii	Sow Pens	20 sqft/sow for 15 sows	300	250	75000
iii	Farrowing Shed	100 sqft/sow for 5 sows	500	250	125000
iv	Gorwers’ Shed	10 sqft/grower	820	250	205000
2	Equipment			LS	30000
3	Water Supply, Bio-security, etc.				30000
4	Cost of pigs
i	Sow	Improved	20	3500	70000
ii	Boar	Improved	4	5000	20000
5	Feed		Kg
i	Adult (Feed for one year)	3/kg/day/boar	4380
		3.5/kg/day/sow	25550
		40% conc. feed	11972	14	167608
		60% waste	17958	2	35916
ii	Growers (Feed for six months)	1.75 kg/fattener – 162 nos	34230
		30% conc. feed	10269	14	143766
		70% waste	23961	2	47922
6	Insurance	5% of value of animals		5%	4500
7	Labour	3 persons for 12 months	3	6000	216000

8	Cost of Medicines	@ Rs.100 per adult	24	100	2400
		@ Rs.25 per fattener	162	25	4050
	Total				1247162
	Total Investment Cost (Rounded)				1247000

C. Techno-Economic Parameters
1	Space requirement for shed (sft)	Specifications
i.	Boar	70 sqft for Rs.250/sft
ii.	Sow	20 sqft for Rs.250/sft
iii.	Farrowing pens	100 sqft for Rs.250/sft
iv.	Growers 3-8 months	10.0 sqft @ 250/sqft
2	Farrowing details
i.	Farrowing Interval (months)	8 (three farrowings in two years)
ii.	No. of piglets per sow	9
iii.	Mortality among piglets (%)	10%
iv.	Weaning period (days)	60
3	Feed requirement : kg/day
i.	Boar	3
ii.	Sow	3.5
iii.	Grower (Average)	1.75
iv.	Ratio of concentrate to total feed	40% to breeding stock
		30% to grower
v	Cost concentrate feed (Rs./kg)	14
vi.	Cost of waste (Rs./kg)	2
4	Cost of animals at purchase
i.	Sow – 6 months age (Rs.)	3500
ii.	Boar – 6 months age (Rs.)	5000
5	Insurance (% of value)	5
6	Labour	3 persons for 1st 12 months
7	Cost of medicine, vaccine etc.
	For adult (Rs./pig)	100
	For fattener (Rs./pig)	25
8	Sale price of 2 months old piglet for rearing	2500
	Sale of breeders	50%
9	Sale price of 8 months old pigs for breeding	6500
	Sale of breeding pigs	100%
10	Salvage Adult (Rs. Per pig)	5000
	Value Piglets (Rs. Per pig)	1000
11	Depreciation (%)
i	Civil Structures	5%
ii	Equipment	10%

Year	Loan Outstanding	Gross Surplus	Repayment			Net Surplus
			Interest	Principal	Total
1	1122000	-1041162	134640	0	0	0
2	1122000	793572	134640	195720	465000	328572
3	926280	120838	111154	8846	120000	838
4	917434	793572	110092	354908	465000	328572
5	562526	120838	67503	52497	120000	838
6	510029	793572	61203	510029	571232	222340
# one farrowing in first, third and fifth year and two farrowings in second, fourth and sixth year results in fluctuating flow of income.

Depreciated value of sheds and equipments
	Shed		Equipment
Depreciation	5.00%		10.00%
		Value
		475000		30000
Year 1	23750	451250	3000	27000
Year 2	22563	428688	2700	24300
Year 3	21434	407253	2430	21870
Year 4	20363	386890	2187	19683
Year 5	19345	367546	1968	17715
Year 6	18377	349169	1771	15943