Download - Jakon dairy farms
Milk – The white gold
To establish an integrated dairy farm known for its purity and quality of dairy products
Chitale daiy farm (Maharashtra)Rajpura diary farm (Punjab)Rajnandgaon dairy farm (Chhattisgarh)
Huge dairy farms in Israel, Australia and Newzealand
Dairy farming Milk collection &
& Production Processing
Our focus area Other’s focus area
A total of 50 animals on the farmShed of 100 animals22 bigha farm on main Jaipur-Ajmer
expressway with 300 ft. highway frontageSupplying raw milk locally - wholesale Total capital invested = 6 cr. + Lot of sweat
equity!!!Capital required for expansion to 1000
animals = 6 cr.
Milk and dairy products produced at the farm itself Superior quality control Consumer trustworthiness Premium for the product
None of the established dairies in the country have milk exclusively from one particular farm
Can’t guarantee pure cow milk/products Quality control starts after milk from all sources is collected and mixed Can’t produce organic milk Infact, most of the processing plants have
unhygienic conditions
Unmatched demand of milk in NCRPricing – Fat content/fixed value – 16 Rs./literNo botheration of sales – Milk container filled
at the farm itselfProfit/liter = 8 Rs./liter (approx.)Expected project returns – 18-24% per annum
over 12 cr.
Unorganized market for farm fresh milkHealth conscious consumer – Farm fresh milk has
more nutritive value1st mover advantagePositive response from the survey conductedMarketing and sales expensesNeed to establish dealer network and supply chain
Fatless cow milk – 22 Rs./literFresh cow milk – 25 Rs./liter
Milk value realization: 20-21 Rs./liter Expected project returns: 27-36% per annum over
12 cr.
Installing a processing and packaging unitEasier transportation of productsEstablishment of a national brandCertification from agenciesHigher value realized for products in NCR &
other high end marketsExpected returns – Above 35%
Strong demand in middle east, south east asia and other countries with land-labor issues
Need to establish a worldwide brandCertifications required from international
agenciesExpected returns – Above 40%
Good animal selection proceduresHigh yielding cows at reasonable price
Breeding programRegular lactation cycleMore number of female calfs
Proactive animal health careLow calf mortality rateMinimization of productivity loss due to diseases
Feed managementBalanced feed at all times in lactation cycle
Computerized data keepingAnalysis of animal milk yield, heat detection,
disease symptoms, overall animal pedigree
Initially 10,000 lpd from 1000 cowsCulling of 10% herd each year40-75% female calf into young heifers after
2.5-3 yearsExponentially increasing herd size after 3
years3rd year – 1300-1500 cows4th year – 1800-2000 cows5th year – 2300-2500 cows…
Expense Per unit cost Total expense
1000 cows + 2.5% insurance 40000/- 4.0 cr.
4 cow sheds and 1 hiefer section
16,000,00/- 0.80 cr.
Feed warehouse 20,000,00/- 0.20 cr.
Milking parlour 50,000,00/- 0.50 cr.
TMR wagon 15,000,00/- 0.15 cr.
Tractor, herd management software, RO plant etc.
20,000,00/- 0.20 cr.
Bio gas plant 15,000,00/- 0.15 cr.
Total 6.0 cr.
3,00,000 liters per month production@ 16 Rs./liter = 48 lakh/month
Feed cost/animal per day = 75 Rs.Monthly feed cost = 22.5 lakh
Medical expenses/animal/month = 150 Rs.Monthly medical expense = 1.5 lakh
Fixed costs: Salaries, electricity, maintenance, fuel etc.Monthly fixed costs = 4 lakh
Total costs = 28 lakh/monthNet cash inflow = 20 lakh/month
Ever increasing demand of milk due to increasing population
Minimum external impact No impact of economic cycles or downturns – Milk would
be required in worst economic conditions as well No impact of Political environment – Milk would needed
during war also No impact of catastrophic disasters – Milk needed then as
wellProvides diversification across all investment classesHigh returns & high liquidityOnce established, guaranteed lifetime incomeNo impact of inflation on profitability
As inflation increases, dairies pass on the cost increase to the consumers
Livestock covered by insurance – minimal riskFurther diversification with various product
rangeDiversified markets - Local, national and
international marketsEasiest option of supplying to other dairies
always open
Returns 20-40%
Risks Covered by insurance
Liquidity Daily/weekly cashflow
Capital deployment
Over 6 months
Returns starting Day the cattle is procured
Diversification Low correlation with other investment options
Excreta managementCow urine: Being used as a pesticide and in
ayurvedic medicinesCow dung:
Generation of bio-gasSlurry from bio-gas plant being used as fertilizerVermicompost being made from cow dung
Kanpur gaushala society is buying cow dung for Rs. 3/kg and cow urine for Rs. 5/liter
Additional income of 10-15%
2000 existing trees on the farm10,000 more trees would be planted for
cooling the micro-climateAdditional carbon credits from
Conversion of methane & CO2 generating cow dung into bio-gas and slurry
Electricity generation from bio-gas generator
Minimizing cattle feed costs by cultivating fodder
Agriculture income is tax free
Modern and integrated organic farm on main NH8 – Busiest highway in India
Company’s flagship store on main expressway – A symbol of pride and a medium for national / international branding Falls on the tourist belt due to Ajmer/ GujaratJaipur a popular international tourist center
Potential of opening an organic village for tourists
Potential of starting an educational institute focusing on agri-preneurship
Mr. Madhur Singhal (B.Tech, M.Tech – Comp. Sc. – IIT
Delhi) (FRM, CFA level II)
Mr. Ghanshyam Singhal (B.E. Elec. - BITS Ranchi) Singhal Exports, Jaipur Residency
Contact : [email protected], +91-9351393054