Project Report to set u a Broiler Poultry Farm to raise 1, 00,000 birds per batch

FOR MR. SATISH SHANTARAM REVANKAR OF TILAKWADI BELGAUM.

As per poultry guidelines:

1. Space required for adult birds 1Sq.ft/bird.

2. Shed should in East to West direction.

A) Fixed costs: - Amount Rs.

1. Land (4 acre) : 15, 00,000/- per Acre 60, 00,000.00

2. Cost of construction (1 Sq. ft = Rs. 130/-) : 1, 00,000 Sq. ft X 130 1, 30, 00,000.00

3. Chicks feeder (1 per 50 birds) : 2000 nos. @ Rs. 120 each 2, 40,000.00

4. Adult feeder (1 per 50 birds) : 2000 nos. @ Rs. 220 each 4, 40,000.00

5. Chicks Drinker (1 per 75 birds) : 1334 nos. @ Rs. 120 each 1, 60,000.00

6. Adult automatic drinker (1 per 70 birds) : 1430 nos. @ Rs. 240 each 3, 43,200.00

7. Brooders (1 nos. for 1500 birds) : 67 nos. @ Rs. 3000 each 2, 01,000.00

8. Other expenditures like : Electricity connection & 50,000.00

Bore well facility

Total Fixed cost: - Rs. 2, 04, 34,200.00

B) Current cost (for 45 days)

1. Chicks of 1 day old. : 1, 00, 000 nos. @ Rs. 26 each 26, 00,000.00

2. Feed for birds. (1bag of 50kgs) : 7000 bags @ Rs. 825/bag 57, 75,000.00

3. Vaccine and medicine : As per requirements 50,000.00

Total Current cost: - Rs. 84, 25,000.00

Total expenditures: - Fixed cost + Current cost = Rs. 2, 88, 59,200.00

C) Financing: -

10% Entrepreneurs contribution = Rs. 28, 85,920.00

90% Borrowed funds = Rs. 2, 59, 73,280.00

D) Income (For 1 year)
1. Seven batches in a year. (1 batch of 45 days)
45 days are required in maintains in year

2. 1, 00,000 birds average weight of 2.50kgs

3. Charges of Rs. 50 per kg (for live weight)

Charges may varies from Rs. 50 to Rs. 60 per Kgs (for live weight)
Depending on market.

4. 7 batches X 1, 00,000 birds X 2.50 Kgs X Rs.50 = Rs. 8, 75, 00,000.00

Amount required for buying husk for poultry per batch is gained from selling pervious batch husk in from of
poultry manure to regular farmers and so on. Hence in this case expenses for husk are nullified (for this reason
amount required to buy husk is not considered in expenses.) Note: - amount of 30000/- is required to buy husk
for fist time for newly construction shed and amount will be paid by farmer from his pocket.

E) Expenses: (for 1 year)

1. Power and fuel @ Rs. 0.75/chicks X 7, 00,000 chicks = Rs. 5, 25,000.00

2. 12 Labours X Rs. 3000/- per month X 12 months = Rs. 4, 32,000.00

3. 3% Mortality on chick (0.03 X 7, 00,000chicks X 26 Rs.) = Rs. 5, 46,000.00

4. As well 3% Mortality on feed (7batches X 192bags X 825Rs.) = Rs. 11, 08,800.00

5. Cost of chicks = (6, 79,000 chicks X 26 Rs. Per chicks) = Rs. 1, 76, 54,000.00

6. Feed for birds = (7batches X 5,656bags X 825 Rs. Per bag) = Rs. 3, 26, 63,400.00

Total expenses: - Rs. 5, 29,

29,200.00

F) Saving over Expenses: -(for 1 year)

= Income (for 1 year) – Expenses (for 1 year)

= Rs. 8, 75, 00,000.00 - Rs. 5, 29, 29,200.00 = Rs. 3, 45, 70,800.00

Therefore earning per month is = Rs. 28, 80,900.00

G) Feasibility:

Interest on borrowed capital of Rs. 2, 59, 73,280.00 @ 7%/Year

Repayment per year (spread over 10 year time)

Monthly installment comes out to be = Rs. 3, 01,571.80

Net income per month is = 28, 80,900.00 – 3, 01,571.80 = Rs. 25, 79,328.20

Sufficient margins are left with the entrepreneurs even after paying for interest on borrowed
capital and repayment of lone availed. Hence, project is feasible.