Economics of Livestock Production in Various Ecological Zones of Punjab -Survey 26-08-09

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    Economics of Livestock Production   L&DDD

    &!BLE /* +/'&E'

    #r% 0 +ontents Page 0

    01 Summary 03

    02 Introduction 04

    03 Objectives of Study 05

    04

    Methodology !riteriono "arget #reas

    o Methodology

    0$0$0%

    05

    &conomics of mil' (roduction )ujran*ala area

    +ha''ar area

    ,ehlum area

    -a'(attan

    .aisalabad area

    /ahore area

     

    10  11

    151%23234

    0$ +eef -roduction in -unjab 3

    0 -erirban !ommercial .arming Mar'eting !hain 3

    0 Mil' Mil' +y-roducts -rocessing #nd Mar'eting 40

    0% Sources of Mil' -roduction 41

    10 #verage nit -roductivity 42

    11 !ost of Mil' -roduction 44

    12 Mil' Su((ly !hannels !ost and Sale 45

    13 Salve alue of Mil' 4$

    14 Managemental -ractices 4

    15 Mil' +y-roducts 52

    1$ Major .indings 55

    1 6ecommendations 5

    14 6eferences 5

    &able ( +"art Inde,#r &able ID Descri$tion1 )1 .i7ed !ost its elements)ujran*ala

    3

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    2 )2 .i7ed !ost its elements)ujran*ala3 )3 .i7ed !ost its elements)ujran*ala4 )4 -rofitability)ujran*ala5 +1 .i7ed !ost its elements+ha''ar  $ +2 .i7ed !ost its elements +ha''ar   +3 .i7ed !ost its elements +ha''ar  

    +4 -rofitability +ha''ar  % ,1 .i7ed !ost its elements,helum10 ,2 .i7ed !ost its elements ,helum11 ,3 .i7ed !ost its elements ,helum12 ,4 -rofitability ,helum13 -1 .i7ed !ost its elements-a'(attan14 -2 .i7ed !ost its elements -a'(attan15 -3 .i7ed !ost its elements -a'(attan1$ -4 -rofitability -a'(attan1 .1 .i7ed !ost its elements.aisalabad1 .2 .i7ed !ost its elements .aisalabad

    1% .3 .i7ed !ost its elements .aisalabad20 .4 -rofitability .aisalabad21 /1 .i7ed !ost its elements/ahore22 /2 .i7ed !ost its elements /ahore23 /3 .i7ed !ost its elements /ahore24 /4 -rofitability /ahore25 +&1 +eef -roduction2$ 8M- 8orld Mutton (roduction 9Million "ons:2 S6-S- Small 6uminants -rod; Systems in -a'istan2 M-r Mutton -roduction 9000 tons:2% &OM &7(ort of Mutton

    30 M/1 Mortality /oss (er #nnum31 &I1 &ducation Im(act32

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    2 -r! -rofitability 9!om(arison :

    3 .!) .i7ed !ost )ujran*ala

    4 !) ariable !ost)ujran*ala

    5 "!) "otal !ost)ujran*ala

    $ -r) -rofitability)ujran*ala

    .!+ .i7ed !ost +ha''ar   !+ ariable !ost +ha''ar  

    % "!+ "otal !ost +ha''ar  

    10 -r+ -rofitability +ha''ar  

    11 .!, .i7ed !ost ,helum

    12 !, ariable !ost ,helum

    13 "!, "otal !ost ,helum

    14 -r, -rofitability ,helum

    15 .!- .i7ed !ost -a'(attan1$ !- ariable !ost -a'(attan

    1 "!- "otal !ost -a'(attan

    1 -r- -rofitability -a'(attan1% .!. .i7ed !ost .aisalabad

    20 !. ariable !ost .aisalabad

    21 "!. "otal !ost .aisalabad

    22 -r. -rofitability .aisalabad

    23 .!/ .i7ed !ost /ahore

    24 !/ ariable !ost /ahore

    25 "!/ "otal !ost /ahore

    2$ -r/ -rofitability /ahore

    2 M-/# Mortality /oss (er #nnum

    2 /#. /iteracy #mong .armers2% /#.C8 /iteracy #mong .armers 9Cone *ise:30

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    and earn revenue; "he (ublic sector 

    de(artments hold (rimary res(onsibility to guide

    the farmers and (lay their significant role in dairy

    sector develo(ment; "he research based

    decisions of (olicy ma'ers *ill have real im(act

    on *elfare of farmers and (rogress of all the

    sta'eholders of this sector;

    "he livestoc' sector (lays a vital role in

    the economies of many develo(ing countries; It

    (rovides food orB more s(ecificallyB animal

    (rotein in human dietB incomeB em(loyment and

    (ossibly foreign e7change; .or lo*income

    (roducersB livestoc' also serves as a store of 

    *ealthB (rovides draught (o*erB and organic

    fertiliDer for cro( (roduction and can even be a

    means of trans(ort; Mil' (rovides relatively =uic'

    returns for smallscale livestoc' 'ee(ers andsmallholders (roduce the vast majority of mil' in

    most develo(ing countries; It is a balanced

    nutritious food and is a 'ey element in

    household food security;

    In -a'istanB the livestoc' sector as a

    *hole (lays a crucial role in the countryEs rural

    economy and *ithin this sector mil' is the

    largest and single most im(ortant commodity;

    -a'istan is the fourth largest mil' (roducer in the

    *orld and the im(ortance of the countryEs dairysector can be judged from the fact that in terms

    of mar'et valueB its contribution to )ross

    (rocessing industries comes from small herd

    families; "hese farmers can usually sell either to

    middlemen such as gawalas 9local mil'

    collectionB trans(ortationB and distribution

    (eo(le:B to sho(sB or direct to the 9usually rural:

    consumer; "he farm gate (rice of mil' ranges

    from -H6s1% to -H6s40 (er liter; "his variationis not lin'ed to the =uality of the mil' but is rather 

    determined by the financial arrangement

    bet*een the buyer and seller and geogra(hical

    location; !urrentlyB there are no (olicies to

    regulate mil' (rices at the farm level; In

    conse=uenceB the mar'et forces o(erating in a

    totally unregulated environment are e7(loiting

    the (oor farmers by offering lo* (rices for their 

    (roduce;

    "he (ur(ose of the study *as togenerate (olicyrelevant research and to identify

    the cost structure in various ecological area and

    mar'eting (ractices of in(ut and out(ut using

    =ualitative research techni=ues; # team of three

    researchers *as trained in =ualitative data

    gathering techni=ues and su(ervised by a senior 

    researcher 9-rof;

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    *as 6s 14;% the "! turns out to be 6s 5;5;

    "he (rofit *as 6s 3;53; .armers having 1120

    have "! (er day (er animal 6s 50;1 their ".!

    *as 6s 15;1 the "! turns out to be 6s $5;2 ;

    "he (rofit *as 6s 13;4;.inallyB farmers having

    21 above have "! (er day (er animal 6s

    50;2 their ".! *as 6s 1; the "! turns outto be 6s 0;0; "he (rofit *as 6s 24;$; Major 

    reasons for these lo* valuesB as described

    aboveB are lac' of irrigation *aterB dee( subsoil

    *aterB lac' of dairy breedsB nonavailability of 

    fodder lac' of so*ing of berseem fodder;

    In #out"ern Punjab Livestock

    Production #ystem  9ie -a'(attan:B farmers

    having 15 animals having total variable cost

    9"!: (er day (er animal 6s %;$ their total

    fi7ed cost 9".!: *as 6s 1%;$ the total cost9"!: turns out to be 6s; 11;3 ;"he (rofit *as

    6s 11;$2; .armers having $10 have "! (er 

    day (er animal 6s 4;0 their ".! *as 6s 1;

    the "! turns out to be 6s %1;%5; "he (rofit

    *as 6s %;$; .armers having 1120 have "!

    (er day (er animal 6s $%; their ".! *as 6s

    1%; the "! turns out to be 6s %;5%; "he

    (rofit *as 6s 14;52;.inallyB farmers having 21

    above have "! (er day (er animal 6s 0;33

    their ".! *as 6s 22;12 the "! turns out to be

    6s %2;44; "he (rofit *as 6s 15;%;

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    %2;3; "he (rofit *as 6s 12;21;"he major 

    edges (resent in this areaB as listed aboveB are

    fertile landB subsoil fit *aterB availability of canal

    *ater for fodder irrigationB a*areness among

    farmers convenient (rovision of veterinary

    services;

     #s a matter of factB 2J mil' is

    contributed by buffaloes *ith averagely 1

    buffaloes *ith one formerB *hile 4 co*s are

    averagely o*ned by one farmer *ith 1J share

    in the mil' industry;

    )6#-KI

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    by day and our farmer is highly under em(loyed

    in disguised labor (roductivity; !ro( (roduction

    is stagnant and only daily cash flo* source is

    meat and mil' and a good source of livelihood

    and life sustenance;

     )ovt; of -unjab is striving through its

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    Estimation of cost and return in milk) business in different

    ecological 4ones of Punjab%

    "he follo*ing areasLdistricts *ere selected;

    5% &"all Livestock Production Zone B"akkar  

    6% #out"ern Punjab Livestock Production #ystem Pak$attan

    7% Barani .ain *ed Production Zone 8"elum

    9% Peri 2rban Milk Production #ystem *aisalabad ( La"ore

    % Punjab Irrigated Zone -ujran3ala

    &ach ecological district is discussed one by one;

    5%  &"all Livestock Production Zone ;Dist% B"akkar<

    12

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    Milk Production

    In +ha''arB three "ehsilsA Man'eraB

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    "he total variable cost com(rises of 

    aggregation of costs for electricityB et ServicesB

    /aborB )reen .odderB

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    cost *as 6s; 100;35B 0;$B 50;11 $;04 by

    the farm siDe IB IIB III and IB res(ectively;

    Farmer Group FC   VC   TC

    Animals

    reque

    ncy

    Depp.

    !

    Equip&S"

    e# $% TFC

    Labo

    r

    Ele

    c

    Vet

    Serv G F D F

    Con

    c. TVC TC

    $-5 Animals (: 4&4$ $&(* :&:"$4&)

    0 (*&50(&$

    5 0&)(4:&$

    $*&*

    ( (&""$00&(

    5$$4

    5)-$0Animals 5$ 4&)# 0&:4 #&(:

    $4$ ""&($

    $&4" 0&5*

    ()&(0

    )&04 4&0( *0&): :5&5#

    $$-"0Animals (0 4&:4 0&5* #&):

    $5&$0 $4&(:

    $&"" 0&4$

    ")&55

    4&4) (&0# 50&$$ )5&"$

    "$ / A6ove $) 5&5# $&05$$&$

    :$*&:

    " $5)$&"

    $ 0&":""&(

    (4

    $ 5&5" 50&"" ):&04

     otal $(5

    "able I

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    Economics of Livestock Production   L&DDD

     Farmer Group FC VC TC $ncome

    AnimalsFrequency TFC TVC TC ' %ate

    $ncome

    (ro)t

    $-5 Animals (: 0&00 $00&(5 $$4 4&$"""&$

    : #$&4#

    -"(&4

    )

    )-$0Animals 5$ 0&00 *0&): :5&5# 4&$*"$&(

    : :#&$( (&5(

    $$-"0Animals (0 0&00 50&$$ )5&"$ (&)$

    "$&:# *:

    $(&*4

    16

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    Economics of Livestock Production   L&DDD

    "$ / A6ove $) 0&00 50&"" ):&04 4&(0"$&5

    ) #"&*#"4&*

    )

     otal $(5

    "able I

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    Economics of Livestock Production   L&DDD

    e=ui(ment *as 6s; 1;1B 0;$B 0;$B 1;2 (er animal

    (er day by the farm siDe in the descending orderB

    res(ectively; Interest on the value of animal (er 

    day *as 6s; 12;5B 11;5B 12; and 13;%B

    res(ectively;

    "otal #nimalsA 1%23

    Mil'ing #nimalsA 13FC

    AnimalsFrequency Depp.

    Equip &S"e# $% TFC

    $-5 Animals 4: )&") $&0: $"&5"   *+.,-)-$0Animals 4) 5&*4 0&)( $$&4#   *.,-$$-"0Animals 4" )&4" 0&)$ $"&:4   *+.,

    "$ / A6ove "4 )* $&"0 $(   //.*/

     otal $)0

    "able I

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    Economics of Livestock Production   L&DDD

    VC

    AnimalsFrequency Labor Electr Vet serv G F D F Conc TVC

    19

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    $-5 Animals 4: (*) $&)) $&0( ("&50 #&0)$5&)

    )   +.,-)-$0Animals 4) "$: (&*( 0&*# ")&(: :&54

    $"&))   0.1,

    $$-"0Animals 4" $:&0) 0* 0&(: "5 :&*0

    $5&)*   -+./

    "$ / A6ove "4 $"&$) $&$$ 0&() "4&40$0&"

    0""&$

    0   1.22

     otal $)0

    "able I

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    Economics of Livestock Production   L&DDD

    FarmerGroup FC VC   TC

    AnimalsFrequency

    Depp.

    Equip &S"e# $% TFC

    Labor

    Electr

    Vetserv G F D F Conc TVC TC

    $-5Animals 4:

    )&") $&0:

    $"&5"

    *+.,-

    (*) $&)) $&0(

    ("&50 #&0) $5&))

    +.,-

    **.2

    )-$0Animals 4)

    5&*4 0&)(

    $$&4#

    *.,-

    "$: (&*( 0&*#

    ")&(: :&54 $"&))

    0.1,

    +*.+3

    $$-"0Animals 4"

    )&4" 0&)$

    $"&:4

    *+.,

    $:&0) 0* 0&(:

    "54 :&*0 $5&)*

    -+./

    ,+.3+

    "$ /A6oveAnimals "4

    )* $&"0

    $(4

    //.*/

    $"&$) $&$$ 0&()

    "4&40

    $0&"0 ""&$0

    1.22

    +/.00

     otal $)0

    "able I

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    "able I

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    Economics of Livestock Production   L&DDD

    animal (er day by the farm siDe in the

    descending orderB res(ectively; Interest on the

    value of animal (er day *as 6s; 12;%B 12;25B

    12;1$ and 12;1B res(ectivelyB

    "otal #nimalsA 12%Mil'ing #nimalsA 3%1

    FC

    Animals Frequency Depp. Equip&S"e# $% TFC

    $-5 Animals 5) )&4# "&0: $"*   /*.30)-$0Animals "* )&$( $&5) $"&"5   *+.+0$$-"0Animals $# )&0: $&5$ $"&$)   *+.3

    "$ / A6ove $5 )&() $&") $"&*$   /1.22

     otal $$*

    "able I

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    Economics of Livestock Production   L&DDD

    )-$0Animals "* ($&55 $&(* $&"* "#&$$ $0&$( $(&0:   ,-.3*$$-"0Animals $# "5&(4 $&0" $&0" "4&*: :&:( $$&44   /.00

    "$ / A6ove $5 $$ 0&:: 0&$0 $$&40 "(&): "(&5#   *.3+ otal $$*

    "able I

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    )6#- I

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    9%  Peri urban Punjab ;*aisalabad<

    .aisalabad city have a (o(ulation of 

    more than five million *ith high o((ortunities of 

    em(loyment in industrial sector; "here is a high

    demand of mil' and mil' (roducts; .or su((ly of 

    mil' to the cityB there are t*o large cattle

    colonies established by the local authorities for 

    the farmers;

    .orty five farmers *ere intervie*ed from

    the t*o organiDed colonies !ha'ader #min(ur 

    road and Satiana road .aisalbad; OrganiDed

    sheds *ere constructed by the farmers; /and

    *as allotted to each farmerB boundary *alls

    enclosed each farm se(arately; Major mil'

    animal *as buffalo of @ili6avi and 6avi breed

    *ith fe* co*s by some farmers; !o* mil' *as

    not (referred by the consumers due to lo* fat

    contents and total S@.;

    +ost of milk

    *i,ed +ostSam(le siDe *as 45 res(ondents; .or 

    .aisalabadB the fi7ed cost (er animal (er day

    *as calculated; "he de(reciation of animal *as

    6s; $;B %;12B ;11 and 10;14 (er animals (er 

    day for the farm siDe grou( of 15 animalB $10

    animalsB 1120 animals and 21 and aboveanimals res(ectively;

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    Economics of Livestock Production   L&DDD

    FCFC

    Animalsre+.ency Depp E+.i3/ Shed 89 '

    $-5 Animals 5 )&)0 "&:0 $(&"0 ""&5#)-$0

    Animals 5 #&$" $( $:&"( "#&":$$-"0Animals $5 :&$$ 0&"( $)&"$ "4&55"$ / A6ove "0 $0&$4 0&0* "0&"* (0&4*

     otal"able Imi7ture in the anda; .odder and ingredients

    mar'ets *ere available in the vicinity of dairy

    farms; .eeding cost *as the dominant

    (ro(ortion of variable and total costB it *as

    almost 0J of all the cost in mil' (roduction;

    ariable cost (er day (er animal for 

    electricity *as 4;%4B 2;%B 2;2% 1;4 for 15

     #nimalsPB $10 #nimalsPB 1120 #nimalsP 21

    above #nimalsP ;SimilarlyB et Services count

    for 2;$B 0;5$B 1;03B 0;$$ res(ectively; /abor 

    costs %2;33B 3%;B 2%;4 1%;5$ res(ectively;

    SimilarlyB )reen .odderB

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    Economics of Livestock Production   L&DDD

      VC  Animals re+.ency La6or Elec Vet Serv D 'onc V'$-5

    Animals 5 #"&(( 4 "&): :5&(5 "#: 4:&$ ")4&5)-$0Animals 5 (#&** "&:# 0&5) *$&4: "*&*( "#&4 $*"&*$$-"0Animals $5 "#&4: "&"# $&0( ))&*# "0&(* 4(&5 $)(&)

    "$ / A6ove "0 $#&5) $&4* 0&)) (#&0( "0&"# *4&"( $55&"

     otal  

    "able I

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    Economics of Livestock Production   L&DDD

    TC Farmer Group FC VC TC

    Animalsre+.ency

    Depp

    E+.i3/Shed 89 ' La6or

    Elec

    VetServ D

    'onc V' '

    $-5

    Animals 5 )&)0 "&:0

    $(&"

    0

    ""&5

    # #"&((

    4

    4 "&):

    :5&(

    5

    "#

    : 0&00

    "$5&"

    #

    "(*&:

    :)-$0Animals 5 #&$" $(

    $:&"(

    "#&": (#&**

    "&:# 0&5)

    *$&4:

    "*&*( 0&00

    $4"&4"

    $*$&*0

    $$-"0Animals $5 :&$$ 0&"(

    $)&"$

    "4&55 "#&4:

    "&"# $&0(

    ))&*#

    "0&(* 0&00

    $$#*

    $44&5"

    "$ /A6ove "0

    $0&$4 0&0*

    "0&"*

    (0&4* $#&5)

    $&4* 0&))

    (#&0(

    "0&"#

    *4&"(

    $55&"5

    $:5&*"

     otal

    "able I

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    )6#- I

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    Economics of Livestock Production   L&DDD

    ilkin6 7nits 3/2

    Total 7nits +/

    FCAnimals

    Frequency Depp.

    Equi(&S"e# $% TFC

    $-5 Animals ( #&*0 "&(# $#&4$   2*.31

    )-$0 Animals 4 :&4$ 0: $)&:"   /-./*$$-"0Animals $" :&5$ $&*" $*&0"   /./3

    "$ / A6ove "$ $$&0# $&44 ""&$:   20.*

     otal 40

    "able I

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    Economics of Livestock Production   L&DDD

    FarmerGroup   FC   VC   TC

    Animals

    Frequency

    Depp.

    Equi(&S"e# $% TFC

    Labor

    Elec

    Vetserv G F D F

    Conc TVC TC

    $-5Animals ( #&*0 "&(#

    $#&4$

    2*.31

    )5&)#

    "&(# $&(*

    :#&0$

    44&05

    ($&04

    /22.33

    /-3.13

    )-$0

    Animals 4 :&4$ 0:

    $)&

    :"

    /-.

    /*

    ((&"

    (

    "&"

    * $&$$

    $0:&

    #"

    ($&

    4(

    (:&

    $:

    /*3.

    *2

    /0*.

    22$$-"0Animals $" :&5$ $&*"

    $*&0"

    /./3

    ((&(#

    $&:# 0&:*

    *0)

    "0&(5

    (0&54

    *3,.1*

    *,3./-

    "$ /A6ove "$

    $$&0# $&44

    ""&$:

    20.*

    $#&(:

    $&5" 0&*$

    )5&"#

    $:&":

    "5&05

    *21./2

    *-0.+3

     otal 40

    "able I

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    Economics of Livestock Production   L&DDD

    )6#- I

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    Economics of Livestock Production   L&DDD

    *i,ed +ostSam(le siDe *as %0 res(ondents; .or 

    )ujran*ala the fi7ed cost (er animal (er day

    *as calculated; "he de(reciation of animal *as

    6s; $;B ;2B ;0 and ;4 (er animals (er day for 

    the farm siDe grou( of 15 animalB $10 animalsB

    1120 animals and 21 and above animals

    res(ectively;

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    Economics of Livestock Production   L&DDD

    PVC

    AnimalsFrequency

    Electr VetServ

    Labor G F D F Concen TVC

    $-5Animals

    ) (&4* $&$) ((" ((" $)&0" 0&00   ,,.31

    )-$0Animals

    # $ $&00 "4) "4) $*&*" 0&00   1.3+

    $$-"0Animals $" $&:) 0&:( "(&$" "(&$" #&(* 0&00   3,.21

    "$ / A6ove $: "&)$ 0&)( $:&:" $:&:" )$ 0&00   0.,

     otal 45

    "able I

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    Economics of Livestock Production   L&DDD

    )6#-KI

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    Economics of Livestock Production   L&DDD

    armer ro.pFrequency TFC TVC TC .'. %ate $ncome (%5F$T

    $-5 Animals )   -.11*/3.+

    ,*0,./

    / 5&"5 ("&": $)#&5* "$&(5)-$0Animals #   +.11 +,.0/

    */*.3+ 5&50 ($&50 $*(&$0 5$&5$

    $$-"0

    Animals $"   */.11 ,*.0

    *12.-

    2 )&)* (0&)$ "04&") $00&)("$ / A6ove $:   *,.11 --.- +/.2, :" (0&*# "*4&5# $:"&"$

     otal 45

    "able I

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    Economics of Livestock Production   L&DDD

    Comparison between Various Zones of Punjab

    "his Section of the re(ort *ill com(rise;;

     #; .i7ed !ost !om(arison

    +; ariable !ost !om(arison

    !; "otal !ost !om(arison

    ield 6ate!om(arisonB Income -rofitability !om(arison

    are given to have a better understanding of the

    various ecological Dones; !om(arison at a

    glance ?PB at the end com(ares (er animal (er 

    day fi7ed costB variable costB total costB mil' yield

    rateB income (rofitability;

    A  !i"ed Cost Comparison

    *i,ed +ost +onstituents

    40

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    Economics of Livestock Production   L&DDD

    1. Depreciation of Animals (Per Animal per day

    2. Depreciation of !"#ipment $ %&eds (Per Animal per day

    3. 'nterest ate (Per Animal per day

    #  $epreciation of Animals %Per Animal per day

    )6#-KI

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    Economics of Livestock Production   L&DDD

     

    )AP* 'D+ S&=-#!om

    armer ro.p   4"akkar(akpattan 9"elum

    Faisalaba# La"ore

    Gu:ran;ala

    $-5 Animals $&(* $&0: $*&)4 "&:0 "&(# "&$4)-$0Animals 0&:4 0&)( $:&*) $( 0: $&4)$$-"0Animals 0&5* 0&)$ $#&() 0&"( $&*" $&$)

    "$ / A6ove $&05 $&"0 ""&() 0&0* $&44 0&)5

    ,A-! 'D+ %$!"PA/om

    +  ,nterest ate %Per Animal per day

    )AP* 'D+ I6-#!om

    armer ro.p   4"akkar(akpattan 9"elum

    Faisalaba# La"ore

    Gu:ran;ala

    42

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    Economics of Livestock Production   L&DDD

    $-5 Animals :&: $"&5 "&$ $(&" $#&4 $(&4)-$0Animals #&4 $$&5 $&) $:&" $)&: $4&5$$-"0Animals #&* $"&: $&5 $)&" $*&0 $4&0

    "$ / A6ove $$&" $( $&( "0&( ""&" $)&*

    ,A-! 'D+ I6-#!om.otal !i"ed Cost

    )6#-KI

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    Economics of Livestock Production   L&DDD

    /  Variable Cost Comparison

    ariale ost onstit#ents

    1. aor (Per Animal per day

    2. !lectricity (Per Animal per day

    3. )reen odder (Per Animal per day

    4. Dry odder (Per Animal per day

    5. oncentrates (Per Animal per day

    6. et %erices (Per Animal per day

    #  0abor %Per Animal per day

     )6#-KI

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    Economics of Livestock Production   L&DDD

    '  (lectricity %Per Animal per day

    )6#-KI

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    Economics of Livestock Production   L&DDD

    )6#-KI

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    Economics of Livestock Production   L&DDD

    )6#-KI

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    Economics of Livestock Production   L&DDD

    )6#-KI

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    Economics of Livestock Production   L&DDD

    )6#-KI-# !om

    FarmerGroup 4"akkar

    (akpattan 9"elum

    Faisalaba# La"ore

    Gu:ran;ala

    $-5 Animals 4&$ 4&5 )&0 $0&$ :&0 5&()-$0Animals 4&" 4&4 )&0 )&( :&( 5&5$$-"0Animals (&) 4&4 4&: *&5 )&* )&*

    "$ / A6ove 4&( 4&* 5&5 *&( :&* :

    ,A-! 'D+ M>-#!om

    )6#-KI

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    Economics of Livestock Production   L&DDD

    (  ,ncome & Profitability Comparison

    )6#-KI

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    Economics of Livestock Production   L&DDD

     

    )6#-KI

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    Economics of Livestock Production   L&DDD

    scale and " mil' (rices are almost doublethan the loose fresh mil' su((lied by dhodies;

    In meat mar'etingB the abattoirs are the(roduction (oints and butchersE sho(s are theonly vending (oints to the consumers; "heabattoirs are seriously lac'ing basic sanitationfacilities 9li'e lightB ade=uate *ater su((lyB s(ace

    for slaughtering and animal 'ee(ingB meatrefrigerationB and dis(osal of offal: all over thecountry; # large (ortion of the by(roducts suchas bloodB glandsB intestinesB and bones areeither *asted or (oorly (rocessed; "he hygienicconditions of the slaughterhouses and meatsho(s are very (oor; One of the underlyingreasons is that these facilities *ere not(eriodically u(dated because of com(le7administratively (rocedures involved; "he flayersand butchers are also not (rofessionally trained;"he fi7ing the (rices of beef and mutton by localgovernments are serious obstacles in buyinggood =uality animals for slaughtering;

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    Economics of Livestock Production   L&DDD

    !reation of a /ivestoc' Mar'eting6egulatory #uthority is recommended to ensuregood governance in mar'eting of livestoc' andlivestoc' (roductsB -racticing of S-S measuresin (roduction and mar'eting of mil' and meat

    mar'eting -rovision of mil' (asteuriDation andchilling facilities in dee( rural areasB andhidesLs'ins (rocessing facilities in 6ain fed and+arani areas is the solution to the (roblems of livestoc';

    Beef ( Mutton $roduction

    56

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    Beef Production #ystem:

    Most of the meat (roduction *as

    conventional based on graDing *ith very (oor 

    management and veterinary facilities; Male

    calves after *eaning at the age of months are

    usually slaughter and their body *eight is less

    than 100 'g *ith lean body;

     #nimals used for fattening *ere

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    cattleB in nited StatesB is derived from

    roughages; )reen and cured fodder can su((ly

    all the nutrients re=uired for the beef cattleB

    e7ce(t common salt and *hatever energy rich

    feeds may be necessary for additional

    conditioning 9&nsmmger et al;B 1%%0:;

    +2..E'& BEE* P./D2+&I/' #I&2!&I/'

    I' P2'8!B

    Beef $roduction t"roug" cross

    breeding% In -a'istanB cattle and buffalo are

    mainly maintained for mil' (roduction and to

    some e7tent for draught (ur(ose; "here are

    neither s(ecific breeds of cattle or buffaloes nor 

    any s(ecific rearing system for beef (roduction;

    &fforts have been made to develo( a breed for 

    beef (ur(ose; "he first effort *as made bycrossing !harolais *ith local co*s 9Sahi*alB

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    been re(orted *ith dressing (ercentage similar 

    to buffalo male calves;

    Buffalo vs cattle as beef animal% +om$arative

    -erformance of buffalo male calves and

    (ure and crossbred cattle calves has e7tensively

    been re(orted; #srar 91%$: re(orted thatbuffaloB Sahi*al and crossbred 9.riesian 7

    Sahi*al: male calves of 1214 months of age

    had *eight gain 0;%1B 0;%4 and 0;% 'gLdayB

    res(ectively on a diet having 10;2J !- and $0J

    "

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    1%4:; "hese mineralsB thereforeB must be given

    s(ecial considerations in feeding beef animals

    for their higher gro*th rates;

    7% 2se of gro3t" $romoters

    "he nonnutritive feed additives and

    im(lants are used in the feedlot (roduction9@6!B 1%4:; "he gro*th (romoting im(lants

    (romote *eight gain and feed efficiency by

    re(artitioning energy to*ard muscle gro*th and

    a*ay from fat de(osition 9SamfordB 1%:; .eed

    additives and antibiotics may increase gro*th

    rate by enhancing nutrient utiliDation

    9einemann et al., 1% -endlum et al., 1%:

    andLor decreasing e7(ected *eight loss due to

    sic'ness or natural but undesirable behavioral

    (atterns 9over eating and normal cycling by

    heifers: 9SamfordB 1%%:; "he im(lants are(re(arations of se7 hormones 9&stradiolB

    -rogesterone and "estosterone: 9@6!B 1%4:

    "he nonnutritive feed additives include

    monensinB lasalocid and other antibiotics; "he

    research is re=uired to be conducted on the use

    of these gro*th (romoters in co* and buffalo

    calves meant for meat (roduction to give sound

    recommendation to the beef (roducers in the

    country;

    9% +ross Breeding vs e,$loitingindigenous resources

    !rossing of native ty(e of cattle *ith

    im(roved breeds is an attractive a((roach as a

    (o(ulation average can be moved to a ne*

    (lateau for certain traits rather ra(idly

    9Mc

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    *re

    u

    en

    cy

    'o of

    animal

    Breed Purc"ase

    $rice@animal

    .s

    De$ of 

    s"ed

    Dry

    fodd

    er 

    +oncentrate

    ration

    -ree

    n

    fodde

    *eed

    cost

    Labor@

    animal

    &otal

    +ost

    #ale

    of 

    !nima

    ls

    7 15A 'onde

    scri$t

    56AAA1AA 5% 5A% 6%A C%97 9=%97 5=%=A =9%

    7

    67AAA

    9 5516A D"anni

    5AAA1AA 5%7 55%C 7%= 5A%55 C%5 56%9 C5%75

    677AA

    "able I

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    in -unjab and @8.-B under *hich about 3J

    small ruminants are raised

    &able : #mall .uminants Production #ystems in Pakistan 

    Production #ystems Province

      @8.- -unjab Sindh +alochistan "otal

    @omadic 50 2$ 44 3 44

    "ranshumant 33 4 3 21 3

    SedentaryLousehold 1 2 1% $ 1

    SourceA Isha=ueB 1%%3

    "#+/& I

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    mutton (roduction; !onsumer ratesB hereB

    normally range from 6s 220LHg to 2$0LHg;

    Fousing:

    @o sheds *ere constructed in the "hall

    area; +arns *ere *alled *ith thorny bushes

     #cacia *ith no roots under the trees in *inter;

    +ut in rainfed areasB 'atcha houses *ere

    constructed to fight against rain; -eo(le are

    never *illing to invest into the im(roved housing

    for shee( goat;

    &able: >orld Mutton Production ;Million tons<

    5= 6AAA 6AA9 6AA

    #"ee$ -oat s"ee$ goat #"ee$ -oat #"ee$ -oat

    >orld ;02 3;0% ;5% ;3 ;20 4;3$ ;44 4;53

    !sia 2;% 2;11 ;4 ;$ 4;2% 3;24 4;50 3;41

    Banglades" 0;25 0;11 ;03 ;13 0;03 0;14 0;03 0;14

    +"ina 1;00 0;1 ;44 ;30 2;24 1;5 2;40 1;%0

    India 0;21 0;45 0;22 ;4$ 0;23 0;4 0;24 0;4

    Pakistan 0;15 0;2 0;1$ 0;31 0;1$ 0;3$ 0;1 0;3

    SourceA .#OB 200$

    "#+/& I

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    7ear Production 

    % tons

    ("port 

    % tons

    ;

    2000/01 666 2.69 0.40

    2001/02 683 0.79 0.12

    2002/03 702 1.09 0.15

    2003/04 720 0.53 0.07

    2004/05 740 1.90 0.25

    %o#rce+ inistry of ood Aric#lt#re and iestoc 2006

    65

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    Mortality Losses

    Survival of neonatal calves is im(erative

    for livestoc' (ro(agation ho*everB a large

    number of calves die during the first year of their 

    life causing heavy drain on the economics of livestoc' (roduction; Mortality of neonatal calves

    *as attributed to conditions li'e diarrhea and

    (neumonia 9ShimiDu and @agatoma;B 1%:;

    o*everB environmental and managemental

    factors hasten the occurrence of such conditions

    9Hhan and HhanB 1%%1:;

    !alf mortality *as associated *ith the

    ty(e of housingB feedingB managemental

    (racticesB *eather conditionsB e7ternal and

    internal (arasitic infestation and bacterial

    infections es(ecially those causing se(ticemia

    and enteritis 9+lood et al;B 1%%4:;

     #ccording to #fDal et al; the mortality in

    cattle and buffalo calves ranged from 2%;1J to3%;J; Martin and 8iggins estimated that 20J

    calf mortality resulted in reduction of 3J (rofit

    of a livestoc' farm; .urthermoreB 25J average

    early calf mortality hardly (rovides any chance

    for regular re(lacement of lo* (roduction

    animals; # minimum mortality rate of 5J is

    usually acce(table to dairy farm having standard

    managemental conditions; In this (a(erB the

    e7isting onfarm (ractices of buffalo calves

    rearing and mortality incidence in buffalo calves

    in commercial dairy farms of -unjab (rovince is

    re(orted;

    ortality Loss per annum

    Animals

    Gu:ran;ala

    4"akk ar

     9"elum

    (akpattan

    Faisalaba#

    La"ore

    $-5Animals 44#5&5 :*) 5($&: $4)(&0 ):0:&5 0&0

    )-$0Animals *#()&0 $0)"&0 *45 *:(&: (:")&*

    4$)5&4

    $$-"0

    Animals (#(*&5 $55#&:

    "(:$&

    4 $$5#&0 $$($

    "($)&

    *"$ /A6ove 4*$* $$50&* 4$#&( "44&( 50) *(0&5

    Total   /*1,-.+ 0-0+.001,.

    0 2-31.* *//0.*/*/.

    -

    "able I

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    -ra$" ID:MLP!

    Education Im$act *actor 

    -a'istan is a develo(ing country *ith a

    lot many illiterate (eo(le; Illiteracy is the national

    (roblem of -a'istan; -a'istan literacy rate is

    nearly 54JG *here a literate (erson is defined asa one *ho can read *rite oneEs name; 51;J

    farmers *ere illiterateB %;$J *ere (rimaryB

    12;J *ere middleB 1;J *ere metric B 3;0J

    *ere intermediate B 2;J *ere )raduatesB 1;3J

    *ere masters; "he lac' of a*areness to various

    ne* techni=uesB )ovt; incentivesB modern

    management discoveries are the major 

    hindrances in bring our farmer to (resent

    themselves as (rofitable livestoc' farmers;

    )ovt; of -unjab has started various

    e7tension (rograms to bring about availability of 

    significant im(ortant information; MoreoverB

    e7tension *or'ers from various universities are

    busy in (roviding media consciousness about

    common diseases nutrition recommendations;

    67

    http://pakistantimes.net/2004/07/15/national4.htmhttp://pakistantimes.net/2004/07/15/national4.htmhttp://pakistantimes.net/2004/07/15/national4.htmhttp://pakistantimes.net/2004/07/15/national4.htm

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    =one>Level

     

    Gu:ran;

    ala

     

    4"ak 

    kar

     

     9e"lu

    m

    (akpat

    tan

    Faisala

    ba# La"ore

    ? illiterate 50&5 5$ (0&: )0&4 4: )*&5

    ? primary (&" :&$ $5&4 $$ )&* $"&5

    ? mi##le $" $(&( $)&" $(&" $(&( *&5

    ? metric $#&4 $)&( ":&" #&4 ")&* $"&5?

    interme#iate *&5 4&4 4&( $ 0&0 0&0?

    Gra#uation 4&( 4&4 "&) $&( 4&4 0&0

    ? masters "&" $&5 "&) $ 0&0 0&0

    "able I

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    Major *indings

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    breeding; "he -a'istan is rich in dairy

    animals ie $0 million large ruminants

    ma'ing im(ortant share of #griculture and

    based in 0J rural (o(ulation of the

    country; /ac' of mar'eting and su((ly

    chain adulteration in dairy and meat

    (roduction is another bottlenec' of develo(ment;

    • "his survey brings for*ard the valued

    findingsB that is im(roving breedB (er unit

    out(ut of fodderB research in fodder =uality

    im(rovementB modern conce(ts of housing

    and technological (ac'age of (ractices

    communicated u( to the farmers;

    • "he (ro(ortion of small mil' (roducers is

    =uite highB *hich hel( in em(loyment

    generation; Increasing the (roductivity of 

    small holder should be ta'en as challengeB

    to 'ee( rural urban migration balance;

    •  

    •  #nmol 8anda by the )ovt; of -unjab by its

    /

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    • .or crossbred animalsB (articularly *ith

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    • )ovt farms need to act as demonstration

    units for (ublic /ivestoc' breeders *hile

    conserving the breeds;

      Vet #ervices:

    • -rovision of vetservices in "hal 6ainfed

    area may be increasedB as livestoc' is

    more im(ortant mil' yield other /ivestoc'

    (roductions to a great e7tent; MoreoverB

    local livestoc' fairsLmailaas should be

    arranged in collaborating *ith /

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    .eferences•

    • &anvir !li9200$: # case study of mil'

    (roduction and mar'eting by small and

    medium scale contract farmers of 

    aleeb .oods /td;B -a'istan niversity

    of #griculture B.aisalabad -a'istan;•

    • Burki) !% !%) ?"anB M and +ariB .;

    92005:; "he state of -a'istanEs dairyA

     #n assessmentPB !M&6 8or'ing

    -a(erB 0534B /MSA /ahore

    • PI#D!12#!ID  9200$:; "he 8hite

    6evolutionA Strategic -lan for the

    -a'istan

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    • Berdegue) 8% !%)  -e((elenbosB /;

    and +ienabeB &; 2005; 6egoverning

    Mar'etsA Heys to Inclusion of Small

    -roducers in

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    !$$endi,:

      !A5(S•

    # ?ame of respondent:@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@ 

    ' Villa9e:@@@@@@@@@@@@@@@@@@@@ .e*: @@@@@@@@@@@@@@@@ $istrict: @@@@@@@@@ 

    + !amily Sie @@@@@@@@@@@@@@@@ 

    2 (ducational status: %a Primary %b 5iddle %c 5etric %d Above 5etric

    3 A9e: @@@@@@@@@@@@@ 7ears in $airy@@@@@@@@@@@ 

    4 0and *oldin9:a Aoe 25 acres ////////////////////////////////////////////////

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      12.54 to 25 acres//////////////////////////////////////////////

    c ess t&an 12.5 acres//////////////////////////////////////////

    d andless (;o land///////////////////////////////////////////

    e ,enant /////////////////////////////////////////////////////////

    f and ent (per acre/////////////////////////////////////////

     

    Animal 

    ?um

    ber

     

    Value 

    Sold for

    meat

    purpose

     

    $eat* >

    losses

     

    .otal

    value

    • attle   •   • • • • •

    • -#ffalo   •   • • • • •

    • -#ff

    t&ers   •   • • • • •

    B Ot*er type of /usiness@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@ 

    Stren9t* of livestoc6 maintained by t*e farmer

     

    Purc*ase of Animals and ()uipments

     

    -#ffalo lactatin or Adance //////////////////////////////////////////

    • Prenant ;ili ai -#ffalo /////////////////////////////////////////////

    • Ad#lt -#ffalo -#ll (;ili -reed /////////////////////////////////////

    • &aff #tter ?it& ////////////////////////////////////////////////////

    • )oldamatic ?ater p#mp ///////////////////////////////////////////////

    • 'ron &ain ////////////////////////////////////////////////////////////

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    • ane/ ope /////////////////////////////////////////////////////////////

    -#cet (%tain /less %teel /////////////////////////////////////////////

    • il ans /////////////////////////////////////////////////////////////

     

    Dial :ei&in %cale ////////////////////////////////////////////////

     

    !i"ed Cost :

     

    /uff in mil6DDDDDDDDDDDDDDDDDDD

     

    Cow in mil6DDDDDDDDDDDDDDDDDDD

     

    ,nterest rate on t*e value of animal

     

    $epreciation at E 3;

     

    Cost of s*edDDDDDDDDDDDDDDDDDD

     

    Cost of e)uipmentDDDDDDDDDDDDDDDDD

     

    $epreciation of s*ed and e)uipmentDDDDDDDDD

      VA,A/0( COS.:

     

    0abor Cost

     

    !amily 0abor en9a9ed in a9ricultureDDDDDDmen

     

    Fired labor en9a9ed in a9ricultureDDDDDDDDDmen

     

    0abor *our spent on 0ivestoc6DDDDDDDDDD*our

     

    Ga9es per labor per dayDsDDDDDDDDDDD

     

    .otal labor spent on livestoc6 s

     

    !O$$( COS.

    • abi odder so?n and p#rc&ased@@@@@@@@@@@@

    • =&arif odder so?n and p#rc&ased@@@@@@@@@@@..

    • ate of fodder per [email protected]@@@@@@@@@@@@@@

    Dry odder fed to animals@@@@@@@@@@@@@@

    • al#e of dry fodder@@@@@@@@@@@@@@@@@@

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    •  ;o of -#ff. ///////// ////////////////// ///////////////////

    /////////////

    •  ;o of o?s //./////// ////////////////// //////////////////// //////////////

      Variable Cost:•

     

    !odder $ry !odder Concentrate .ype of concentrate 0abor

    • ///////// /////////////// //////////////// //////////////////////// ///////

     

    0abor 5edicine (lecticity&power 5ortality Cost

     

    ----------- ------------- ------------------------ ---------------------------

      5il6 Production per lactation:

    • ateory period Aerae prod#ction per lactation

     

    /uff: ------------ ----------------liter

     

    Cattle: ------------ ----------------liter

    • ,otal eef Animal soled ;o. /////////////////

    • -eef animals sold on !id /////////////////

    • attened animals sold /////////////////

    • %pent animals sold /////////////////

    • ,otal 'ncome eceied s. /////////////////

      1oat> S*eep 0ivestoc6 Stren9t*

    O/ /irt* Sold $eat* C/

    • 1st 

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    !eedin9 Practices•  ;at#ral )raBin on p#lic places>?n landfodderstal feedin

    • odder land allocated /////////////////

    • ent of t&e land /////////////////

    • aor 'noled in armin ///////////////// men

    • aor &o#rs spent on feedin ///////////////// &o#rs

    • ,ype of %&ed /////////////////

    • al#e of %&ed /////////////////

    • Depreciation of %&ed /////////////////

    • oncentrate fed d#rin t&e year /////////////////

    • Diseases of animals Pne#moniadiarr&eapoCenterotoCaemia

    • accination in Practice /////////////////

    • accination ost /////////////////

    • De?ormin cost /////////////////

     

    .otal Cost

    al#e of Animals eedin aor %&ed et oer 

    • ///////////////////// ////////// //////// //////////// /////////////

     

    .otal ,ncome from Animals sold for mutton

    • %old for reedin (ate per animal////////// ;o. sold////////

    • Domestic ons#mption (ate per animal////////// ;o. sold////////

    • #tton animals sold on !id (ate per animal////////// ;o. sold////////

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