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Detailed Project Report (100 Cows)
SHANTA TRADEXIM PVT LTD, INDORE
SHANTA
TRADEXIM PVT
LTD, INDORE (MP)
Pre pare d Fo r:
SHANTA TRADEXIM PVT LIMITED.

INDORE (MADHYA PRADESH)
Dairy Site: Village - Wani,

Tehsil – Maheshwar
Dist – Khargone (MP)
Prepared by:
Sachin Patil / Vishal Vashisht

DeLaval Private Limited
A-3 Abhimanshree Society Pashan Road, Pune
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1. PROJECT BRIEF OVERVIEW
This will be medium scale Commercial Private Dairy Farming project in the land of Indore, Madhya Pradesh for
manufacturing of Quality milk & allied products with modernized concept and commercial perspective.
Name of the project Mechanized Dairy Farming Project with 100 Cows and
Allied Herd
Name of company/Firm SHANTA TRADEXIM PVT LIMITED
Name of the entrepreneur Shri. Sanjayji Vyas
Address SHANTA TRADEXIM PVT LIMITED,
G - 51, MIG Colony, Indore (Madhya Pradesh)
Location of the project A/p - Wani, Tal - Maheshwar, Dist - Khargone (70 Kms from Indore)
Registered Address SHANTA TRADEXIM PVT LIMITED,
G - 51, MIG Colony, Indore (Madhya Pradesh)
Promoters Shri. Sanjayji Vyas
Key Contact person and Contact details Shri. Sanjayji Vyas ( 9827035733 / 9826031683 )
Topography : Land is Flat & with existing few structure n utilities on site
Land available with the entrepreneur for the 25 Acres
setting up of the farm
Amount required to be funded through Rs 227,67,144
bank/any other financial institution (75% of the
project cost)
Implementation time for the Project (time spent Maximum 6 -8 months
on construction of farm buildings, sourcing of
machinery and equipments and their
installation)
Repayment period of amount of credit including 7 years from the start of the project excluding 12 months of
amount of interest thereon incubation period
Average milk productivity of Holstein crossbred 4500-5000 kg with a daily yield of 15-17 kg initially.
cows per lactation
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2. Details of the Project
2.1 BREAK UP OF PROJECT COST
Description of Components Total (Rs in Lakh)
Civil Construction 9469776.00

Live Stock 7130000.00
Plant and Machinery 10671000.00
Miscellaneous Utilities 2000000.00
Pre – operative expenses& Preliminary expenses 500000.00
Contingencies 585416.00
Total Project Cost 30356192.00
2.2 MEANS OF FINANCE
Equity Share Capital 7589048.00

Unsecured Loans 22767144.00
Promoters contribution 25%
Term Loan 75%
Margin money (to be contributed by the 7589048.00

entrepreneur: 25 %)
Financial Ratios 75% : 25%
Term loan Repayment and rate of interest 07 Years & 13%
Capacity utilization
Sensitivity Analysis
2.3 NET INCOME AND BREAK EVEN ANALYSIS
Year of production
Parameter
I Year II year III year IV year V year
Net income
(Rs lakhs) 3,684,038 5,463,563 7,763,014 8,590,635 10,990,465
Sale price of milk
(Rs./kg) 45 47 49 51 53
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3. Feasibility of the Project

The dairy farm project is strongly feasible in view of high demand and price of milk in the vicinity of the proposed
site of the farm and the agro-climatic suitability of dairy farming in the proposed area. Major favorable factor is the
availability of fertile land in abundance at comparatively lower rates in the vicinity of the proposed site of the farm
and therefore, good quality fodder can be grown at lower cost of production. The project is economical viable as
revealed from the detailed statement of inputs and outputs and in view of fairly good annual rate of turn over
investment which ranges from about 22-28 percent. The loan amount of will get fully repaid within 7 years from the
start of the project. Thus the dairy project is technically feasible, economically viable and sustainable venture.
3.1 NEED OF THE PROJECT
The dairy farming in India as traditionally practiced under mixed farming mode along with crop farming has been a
supplementary enterprise to the major occupation of crop farming. The traditional system of cattle keeping served the purpose
of requirement of cattle and buffalo males for farm work, utilization of crop by-products which otherwise shall go waste,
utilization of surplus family labour, meeting the family requirement of milk and milk products, generation of some supplemental
income from the sale of surplus milk and milk products and through sale of animals. Keeping of a few dairy animals also served
as an insurance against crop failure. In recent years however, we are witnessing a trend towards the specialized dairy farming
and the commercialization in dairying enterprise in which the major share of income of the farmer is derived from the dairying.
Many reasons can be attributed to this development. The major driving force behind this trend has been the liberalization of the
economy and the globalization of trade with the signing of World Trade Organization (WTO) agreement. This has led to the
enhancement of milk processing capacity manifolds as a result of entry of many big business houses in the milk sector and
setting up of a large number of milk processing plants. The other factors responsible for the promotion of commercial dairying
are the shrinkage of land holdings and the displacement of labour from crop farming as a result of mechanization, the
introduction of high yielding crossbred cows and the easy accessibility of improved technology.
In view of these developments dairying with high yielding crossbred cows and improved buffalo breeds is receiving a lot of
emphasis which has generated ample scope for developing the dairy farming on commercial lines as a business enterprise.
India’s dairy sector is expected to double its production by the year 2020 in view of expanding potential for export to Europe
and the West (Dairy India, 2007). India today is the lowest cost producer of per litre of milk in the world. With WTO regulations
expected to come into force all the developed countries which are among the big exporters today would have to withdraw the
support and subsidy to their domestic milk products sector which shall further increase their cost of milk production. To meet
the local demand of milk and milk products and to take advantage of global opportunities for export of value added milk
products venturing into milk production and processing might become a tangible and paying business proposition.
Scope for Dairy Farming and its World/ National Importance:
Worldwide, the largest milk producer is the European Union with its present 27 member countries, with more than 153,000,000
metric tons in 2009. By country, the largest producer is India (more than 55 % buffalo milk), the largest cow milk exporter
is New Zealand, and the largest importer is Japan.
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Table 1: World total milk production in 2009
World total milk production in 2009

FAO statistics
(including cow/buffalo/goat/sheep/camel milk)
6
Rank Country Production (10 kg/y)
World 696,554
1 India 110,040
2 United States 85,859
3 China 40,553
4 Russia 32,562
5 Pakistan 34,362
6 Germany 28,691
7 Brazil 27,716
8 France 24,218
9 New Zealand 15,217
10 United Kingdom 13,237
India with an estimated production of 112 million tones of milk in the year 2010 is the leading country in the world in terms of
total milk production with per capita availability of 252 gm of milk per day. This production level is short of the requirements of
the country and according to one estimate we need to double its milk production by the year 2020 in order to meet the needs
of its growing population. Along with increasing the milk production, there also is a crying need to improve the quality of the
milk as the quality of milk produced and milk products at present leaves much to be desired. With the growing local demand
and potential for export, there is a lot of scope for large scale quality milk production.
The dairy farming if practiced scientifically is capable of giving a return on the investment to the tune of 25-35 per cent or more
which few other occupations are capable of. Further the cost of milk production and processing can be reduced and dairy
farming can be made more economical by integrating the fodder production, feed processing, milk production, its processing
and marketing into a chain under a single roof as is being proposed under this project. The production of milk in bulk by setting
up a large project ranging from 1000 of more cows may also add to profitability due to economies of scale.
3.2 Scope of the project:
 The demand of milk and milk products in India is projected to increase to 142.9 million tons in 2015 and further to 191.3
million tones in 2020. At the existing rate of growth in milk production, in next ten years, supply will fall short of the
demand and therefore there is a very high scope for dairy farming as a business enterprise.
 Together with the increase in domestic demand of milk, at the international level also the demand of milk is expected to
grow particularly in developing countries as population growth, urbanization and income levels are increasing. For tapping
the economic benefits of growing demand of milk and milk products and to compete with the traditional milk exporting
countries the Indian dairy sector has to gear itself to meet the challenges of increasing the milk production at the rate that
is higher than the existing growth, increase the production of value added dairy products and provide complete quality
assurance. This may be made possible by setting up integrated large commercially farms in different parts of the country.
 As the milk productivity of our animals is low, there is a vast scope for improvement of the milk production and
consequently increased marketable surplus of milk for processing. The low productivity along with high variability in the
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economic traits of cows indicates that there is a great scope for bringing about genetic improvement in these species by
selection and by increasing the level of exotic inheritance in crossbreeding. For bringing about significant genetic
improvement by selection and crossbreeding, there needs to be a large base population of cows from which to make
selection and progeny test the bulls.
 The purchasing power of the Indian consumers is on the upswing with growing economy and continually increasing
population of middle class which may further boost the domestic demand for milk and milk products.
 The Indian dairy farming thrives largely on crop residues and agricultural byproducts keeping the input costs low.
 Labour cost is also fairly low making dairy farming cost competitive. A vast pool of highly trained and qualified technical
manpower is available at all levels to support the prospective entrepreneurs in successfully managing the dairy farms and
in milk processing and its marketing
3.3 Demand and Supply Scenario of Indian dairy sector

India with the total milk production of 109 million tones is the world's highest milk-producing country for the past
one decade now and accounted for about 15% of the world milk production in 2009. The importance of dairy
enterprise in the national economy can be gauged from the fact that the value of output from milk group is highest
among all the agricultural commodities, accounting for nearly one fourth of the value of output from agricultural
sector. Dairying is one of the most important means of providing livelihood and nutritional security to the rural masses.
The livestock activities, among which dairy farming predominates, employ about 8.5 million workers in the
country. Milk and milk products account for 9.2 and 12.4 percent of protein intake in rural and urban areas,
respectively, which is higher than the protein intake through non-vegetarian animal products.
Milk Production
The increased production of milk has improved the per capita milk availability to 250 grams per day. The demand of
milk and milk products in India is projected to increase to 142.9 million tones in 2015 and further to 191.3 million
tones in 2020. At the existing rate of growth in milk production, in next ten years, supply will fall short of the
demand. Together with the increase in domestic demand of milk, at the international level, particularly in developing
countries, the three drivers of demand - population growth, urbanization and income growth- are very strongly in
operation. For instance, the import demand of milk and milk products has shown tremendous increase in
several developing countries notably China, South Korea, Singapore, Srilanka and several other Asian
countries many of whom have become buoyant economies after opening up of the world market. Thus, buoyant
markets and trade liberalization have opened new vistas of international trade for the Indian dairy sector. However, for
tapping the economic benefits of growing demand of milk and milk products and to compete with the traditional
milk exporting countries viz; Australia and New Zealand the Indian dairy sector has to gear itself to meet the following
challenges:
 Increase the milk production at the rate that is higher than the existing growth
 Increase the production of value added dairy products

 Provide complete quality assurance
The emergence of India as a premier dairy nation of the world could be attributed mainly to the intensive
crossbreeding programmes implemented throughout the country over the last few decades. The population
pressure and emerging global opportunities further necessitate that the efforts for enhancing animal productivity are
accelerated. This calls for continuance of well-proven technologies such as crossbreeding with superior
germplasm coupled with improvement in the productivity of vast population of generally low producing cattle and
buffaloes at faster rate using emerging reproductive and molecular technologies. There is a great potential for
application of multiple ovulation and embryo transfer technology for production and faster multiplication of
superior germplasm of elite animals. There is also scope for identifying the unique genes specific to indigenous
dairy animal genetic resources using the molecular techniques. It is expected that by the use of such technologies
more number of superior animals per unit time can be obtained by reduction in generation interval which could further
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increase the pace of genetic advances by increasing the intensity of selection. Technologies for raising male buffalo
calves economically should be developed as this potential source of income of farmers is almost going waste. Studies
also need to be conducted to quantify the emission of methane and other green house gases from Indian dairy
sector and methods also need to be devised for mitigating such emission.
Besides meeting domestic demands, it may also be possible to export germplasm to tropical developing countries. In
this context National Dairy Research Institute (NDRI) Karnal has also set the target of enhancing its semen
production from the present level of about 0.1 million doses annually to about 2.5 million doses per year by
2020 A.D. Also about 400-500 males from elite herds of Sahiwal, Crossbreds and Murrah, are proposed to be
supplied every year for genetic improvement in the country. In interactive programmes involving field recording,
progeny testing and data bank should be taken to supply information on availability of semen, bulls, females etc. for
consistent genetic improvement of livestock. To effectively monitor these programmes, there is an urgent need for
linking them with bio-informatics centers at state, national and international levels. There is also an urgent need
to develop national animal production and health information system and disease free zones in the country..
While the demand for milk has been growing by about six million tonnes a year, the annual incremental
production over the past 10 years has been 3.5 million tonnes.
A Crisil report recently pointed out that demand-supply gap of milk is likely to go up on the back of rising income
and growth in per capita consumption.
3.4 SWOT Analysis of Indian Dairy Sector
Weaknesses
Strengths
1. Lack of knowledge about cow management
1.Huge demand of milk
2. No control over milk yield
2. Flexibility of product mix
3. Poor distribution & poor logistics procurement
3. Margins are good
network
4. Technical manpower in abundance
4. Unorganized sector
Indian Dairy
Oppurtunities
1. More exports e.g amul
Threats
2. Professional Scientific Training for the dairy
farmers to improve milk quality and animal health 1.From Unorganized sector-local vendors spreading
their feets all over the country who doesn't know
3.Infrastructure development anything related to milk quality, cow comfort etc
4 Value addition- much opportunities for innovation, 2. Entry of MNC's will dissappoint domestic market.
product development
3.Control of middlemen still very much
5. An Integrated solution like ERP for dairy industry
can provide huge benefits
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3.4 OBJECTIVES OF THE PROJECT
Establish a 100 Cows Dairy Farm initially with a capacity to house and manage Cow and Calves with Loose Housing for which we
have consulted M/S DeLaval Pvt. limited, Pune --Swedish Multinational and world Leaders in milking and Farm technology and
130 years old company with farming experience having strong base in India from last 20 years and had helped the farmers
established large dairy farms in the country. The project is planned to expand in its operations in terms of animals and
productivity.
The dairy farm will be producing 1500 – 1700 liters of milk per day in the beginning which will be increased up to 2000 Liters at
final capacity.
i. Short Term Objectives:

 The short term objective is to set up dairy farm comprising 100 crossbred cows to produce bulk quality milk and to
make available quality liquid milk and value added milk products directly to the consumers at reasonable prices
 Good quality of milk will be produced only from the farm running on scientific lines, where we never touch the milk
starting from milking to marketing stage. The Cows will be reared with best pedigree having 100% HF Crossbred breed
by providing best Cow comfort in the sheds. The cows will be reared with best pedigree having 100% blood of exotic
breed by providing best cow comfort in the sheds.
 Cows and Cows will be maintained as totally disease free by giving all types of vaccinations, spraying germicide on the
floor on daily basis and spraying of sodium carbonate in the environment.
 Establishing a complete chain in dairy sector by integration of fodder & feed production, milk production, its processing
and own marketing for ensuring quality at every stage and system efficiency for reducing cost of production so that
quality milk and milk products are available to public at cheaper rates
 Bio-gas generation: Production of Bio-gas (methane) In order to seek CDM benefit in the proposed project and it would
reduce the expenses of daily production of electricity and Energy.
 To make available breeding bulls and semen of superior/ progeny tested bulls of crossbred cattle to farmers in Gujarat
state to improve Milk Production.
ii. Long Term Objectives:

 Long term objective is to upscale the dairy farm to keep about 200-500 Highly Productive cows and to use this base
population to develop a superior breed of crossbred by bringing about faster genetic improvement by using latest
technology.
 To help set up satellite model dairy farms by farmers in the adjoining villages and to provide them with inputs and
services and procurement of milk produced at these farms, its processing and marketing.
 Milk Processing plant in future and wish to establish a Quality Brand in the field of Milk, Ghee, Paneer, Khoa,
Buttermilk & other allied milk products
 We want to promote the Organic products &. Health care & Hygienic atmosphere will be our brand values.
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iii. Goals of the Project

A) Production Targets
Production Level >8,000 litres/Cow/305 days
Somatic Cell Count <200,000
Calving Interval 14 - 15 months
Optimal culling rate between 25 - 30%
Involuntary culling minimized to less than 2%
Fluid Milk Utilization 90%
Butter Fat >7.5%
Improved Breed Genetics
B) Labour Goals
Establish a safe working environment through training programs and supervision

Productive work force with low turnover, through careful selection and screening, training programs, regular
performance reviews, and related management activities
C) Financial Goals
Establish a profitable business with a positive net income within three years;
Finance annual operating expenses from retained earnings within four years.
Pay out mortgage within 7 years
3.5 BACKROUND OF PROMOTERS
Details of land owned by the group are as under:
Name: SHANTA TRADEXIM PVT LIMITED (Mr. Sanjay Vyas)
Age: 50 Yrs
Educational qualification: Chartered Accountant
Experience in agriculture: Have own farm land & already have sound experience of agriculture farming. Also
will hire experts for the said job.
Location of the project Village: A/p - Wani, Tal - Maheshwar, Dist - Khargone (70 Kms from Indore)
Another Business Vertical of the Group:
Shanta Group came into existence with a special purpose to provide Consultancy Services in Accounting & Taxation
activity that facilitates ability to deliver fully professional services to the end user. The Company is being promoted
by experienced persons in the sector Shri Sanjay Vyas & his Wife. They are engaged in the providing Expert Services
& Solutions in Accounting, Taxation & Legal Services since last 25 years and have established very good business
relations and goodwill in the market.
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Shanta Dairy Farm was formed with a special purpose to make available Quality Products & Services that facilitates
ability to deliver fully natural & quality products to end users.
This project is a diversification into another similar current line of activity into Agriculture & Quality Product Export.
Since the entities run by them & their willingness to provide fully natural and quality products are in the similar line
of business; it makes logical sense to enter and expand in the sector where establish contact and relation could be a
good support. Further the sourcing and competitive strength of the promoters and strong relationship would
support this venture which will result in extra profitability to the entity.
Apart from Director the operational team of the company consists of professionals which are having strong
experience in the marketing sector.
PROMOTER
Mr. Sanjay Vyas – Director / Promoter

Mrs. Pallavi Vyas – Director / Promoter
Mr. Sanjay Vyas & Mrs. Pallavi Vyas have proved to be a successful administrator adopting the modern methods of
management and projects conceptualization as well as its implementation. His core competency lies in the projects
planning implementing and administration etc. He has proved himself to be a techno craft and plays a key role in
monitoring various projects, coordinating with various vendors and strictly deploying quality norms as well as time
schedules.
He would be responsible and incharge of the construction and operations of the unit.
Considering all above infrastructure facility, Shanta Group wish to start a fully automated Dairy Farm with Quality
and Quantity perspective of milk at their site. The basic theme of this project is to take care of various families,
provide them best Organic Products, Take care of Society & have organic / natural agricultural infrastructure with
the help of modern science & technology.
In other words Idea for starting this plant is to take care of Society with the help of providing organic agro based
products without using chemicals & manmade disasters.
3.5 Introduction to DeLaval
DeLaval was founded by Gustaf de Laval, a descendant of 17th century French émigrés, who was born
1845 in Dalarna, Sweden.
During his lifetime, Gustaf de Laval acquired 92 Swedish patents and founded 37 companies. He was not
only an outstanding inventor; he was a man who saw no limitations to what could be achieved by
research. His inventions have lived on and evolved to create work for millions of people around the world.
DeLaval is a global company and a market leading supplier of solutions that improve the performance of
farms for professional food producers. We support our customers in reducing their environmental
footprint while improving food production, profitability and the well-being of the people and animals
involved. We offer products, systems and services for all steps of milk production. Our solutions are used
by millions of dairy farmers around the globe every day.
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At DeLaval we continue to work on the farmers’ behalf, striving to make a difference, by finding new ways
and solutions to drive progress in milk production. We aim to improve milk quality, food production,
animal welfare and the environment of both animal and milker.
DeLaval was founded more than 125 years ago in Sweden, when the visionary Gustaf de Laval patented
the cream separator. Today, DeLaval operates in more than 150 markets. DeLaval, Tetra Pak and Sidel is
part of the Tetra Laval Group.
The three industry groups within the Tetra Laval Group are focused on systems for production and distribution of
food.
DeLaval Provide Single Window Solution:
DeLaval a group company of Sweden based Tetra Laval group is pioneer name in the field of Dairy Farming
Technology along with catering to the needs of Dairy Farming Industry, DeLaval is a full-service supplier to dairy
farmers. The company develops, manufactures and markets equipment and complete systems for milk production
and animal husbandry worldwide. Service and sales of a wide range of accessories are also key aspects of DeLaval’s
operations. The company supplies highly efficient system solutions for milking, herd management, animal traffic
control, feeding, cooling, manure handling, ventilation and energy recovery.
More than a century old association with the dairy farmers and the industry brings out solutions to the needs of the
industry for improved productivity, quality and a profitable operation. This vast experience and expertise is now
made available to the Indian Industry through DeLaval Pvt. Limited, India.
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DeLaval India - Head Office at Pune DeLaval local Presence
No. of project customer : >100
Milking machines : > 9000
Cooling tank installed : > 4000
Average yearly growth : 30%
DeLaval Branch Office – Anand, Delhi, Indore, Raipur
Total Dairy Farm Investment in the project is divided in 3 steps.
1 - Animals
2 - Construction of Cow Sheds and Other Infrastructure
3 - Plant & machinery with Utilities
Approx Rs. 94.70 Lacs required for Construction, Rs. 71.30 Lacs required for Animals & Rs. 106.71 Lacs required for
Plant & machinery. We wish to start the dairy farm with 100 animals at beginning. Approx cost of full project will be
around Rs. 3.03 Lacs per Animal. In other words to start with, Total Project cost will be around Rs. 303.56 Lacs
inclusive of preoperative cost & contingencies. The project needs finance/ investment of Rs. 227.67 Lacs repayable
in 84 months Max on fixed monthly installment along with interest. This is project is also liable for Govt. Subsidies.
The max ceiling of subsidy is 25% of the total project outlay or Rs.50 Lacs (whichever is lower) on the basis of
technical investment & Construction of storages.
4. Dairying in India and line of Activity

Dairy farming is a class of agricultural or more properly, an animal husbandry enterprise raising female heifers for long term
production of milk, which may be either processed on site or transported to a dairy factory for processing and eventual retail
sale. Most dairy farms sell the male calves born by their Cows, or can start the breeding depending on quality of bull calf. Many
dairy farms also grow their own fed, typically including corn, alfalfa and hay which are fed directly to the Cow or stores in the
form of silage for use in lean season. Additional dietary supplements are added to the feed to increase quality milk production.
Dairying has been part of Agriculture for thousands of years, but historically it was usually done on a small scale on mixed farms.
In India, dairy is still followed in the primitive way, small farmers having few Cows. Only recently, have cooperatives been
formed in India, making sure that the farmers get the benefit in the dairy sectors.
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All throughout the world, specialist scale dairy farming has been coming up, because of the viability which comes when there is
a large amount of milk required for production of more durable dairy products such as Ghee, Paneer, Sweets, etc. In India, most
cows are still milked by hand, one after the other, each morning and evening at milking time. This is feasible because a farm or a
farmer have up to six Cows and does taking long for the milking. But as the herd strength has been increasing over the years in
India, the farmers have started opting for automatic milking machine.
There have been a lot of technological changes in the milking machines over the years. The first milking machines were an
extension of the traditional milk pail. The early milker device used to fit on top of a regular milk pail and sat on the floor under
the Cow. Following each Cow being milked, the bucket would be dumped in holding tank.
Later different milking system were introduced, like milk return system known as the Step-Saver to save the farmer the carrying
the heavy steel buckets of milk all the way back to the storage tank in the milk house. The innovative system used a very long
vacuum hose coiled around a receiver cart, and connected to a vacuum-breaker device in the milk house. Following milking each
Cow, the hanging milk bucket would be dumped in the receiver cart, which filtered debris from the milk and allowed it to be
slowly sucked through the long hose to the milk house. As the farmer milked the Cows in series, the cart would be rolled further
down the center arise, the milk hose unwrapped from the cart, and hung on along the ceiling of the aisle.
The innovations in automatic milking system includes the Milking Parlour which streamlined milking process to permit Cows to
be milked as if on an assembly line, and reduce the physical stresses on the farmer by putting the Cows on a platform slightly
above the person milking the Cows to eliminate having to constantly bend over. Milking Parlours allowed a large concentration
of technical equipment to gather in one place, which permitted automatic milk take offs devices. Before this, milking was not
entirely automatic, and each Cow needed to be monitored so that the milker could be removed when the Cows were almost
done lactating. Leaving the milker on too long following lactation could lead to health problems such as mastitis.
What we notice now that milking and dairying is no longer a process but it becomes a system. The system helps to increase
productivity in the cattle, not only in the quantity wise but also in the quality wise. In India, these systems are very scarce with
only handful of organized and modern dairy farms available. They were mainly done as Research and Development Process. But
recently few companies in India have started this process mainly in the West and North India, with a capacity of 4000 cattle’s.
We feel that India is ready for accepting these new modern processes in a commercial way. We plan to have improved
productive herd strength of cattle and be the largest dairy farm in India in future. We are confident of this and we present you
the project report for the dairy farm.
The Project has been planned out in two phases. The first Phase includes the setting of the dairy farm, which would include the
sheds, milking parlour machines and procuring and milking up to 100 Cows which will be later expanded with more no of cows.
By doing so, we will be get around minimum 2000 liters per day. The second phase includes setting up to the Bio Gas Plant, a
Milk Processing Plant for manufacturing Allied Products to have better milk-realization of milk.
In this project we will discuss how we plan to setup the first phase of the project. We will look at the basic infrastructures
required for the setting up of a dairy farm. We will look at the marketing of the milk as well as the financial aspects of the
project. Finally we will also look at the land utilization of this project.
We will also briefly look into the second phase of the project and the future planning for that. We are confident that this project
will be a success, and we are sure that after looking at our success in this line, many will follow, making the dairy industry in
India an export market rather than an import one which it is now.
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Milk Production
Cow is the second largest source of milk supply in the world. In 2004, the world production of cow milk was 75 million tons
(FAO, 2004). Trends in world milk production over the last five years indicate that the volume of cow milk is increasing steadily
at about 3%. While dairy cattle produce 84% of the total milk in the world it has to be noted that this volume is possibly with an
average fat and protein content of 4 and 3.5% respectively. However the average fat content in Buffalo milk is about 6.5 to 7%
while protein content in milk ranges from 4.2 to 4.5 %. On this basis if one were calculate the volume of energy corrected milk
there could be a phenomenal increase in the volume of milk produced by cows. Table 1, presents the recent trends in world cow
milk production in comparison to the other dairy species.
India is the world’s largest producer of milk but unlike other milk producing nations, the milk is produced by a large number
(about 70 million) of farmers located in some 500,000 remote villages. The families of the milk-producing farmers are largely
poor and under-privileged. Therefore, the additional income every year through the sale of surplus milk is vital to their well-
being and economic security (Manorama, 1999).
Cow Milk
Table 2, presents the typical composition of cow and cow milk. Cow milk is high in total solids, fat, proteins and vitamins
compared to cow’s milk. Cow milk also contains less cholesterol and more tocopherol, which is a natural anti-oxidant. The
peroxidase activity is 2 to 4 times higher in cow milk than in cow’s milk, which means that the former has a higher natural
preservability (Chantalakhana & Falvey, 1999). The cow milk appears to be whiter than cow’s milk because it lacks the yellow
pigment carotene, a precursor of vitamin-A. As shown in the table below, cow milk contains as much (and even more) vitamin A
as cow’s milk. The explanation for this could be those cows convert the carotene in their feed to vitamin A (BSTID, 1981)
Table 2: Typical composition of cow milk
Cow (Bos
Traits
taurus)
Total solids (%) 13.1
Fat (%) 4.3
Protein (%) 3.6
Lactose (%) 4.8
Tocopherol (mg/g) 0.31
Cholesterol (mg/g) 3.14
Calcium, Ca (mg/100 g) 165
Phosphorus, P (mg/100 g) 213
Magnesium, Mg (mg/100 g) 23
Potassium, K (mg/100 g) 185
Sodium, Na (mg/100 g) 73
Vitamin A, incl.carotene (I.U.) 30.3
Vitamin C (mg/100 g) 1.9
(Chantalakhana & Falvey, 1999)
Processed Milk Products
There is a claim that cows are seasonal calvers. Therefore, much of India’s milk production is seasonal, since cow produces
about half of India’s milk volume. Cow milk is used for a variety of different milk products such as butter, butter oil (clarified
butter or ghee), soft and hard cheeses, condensed or evaporated milks, ice cream, yoghurt and buttermilk. The properties of the
cow milk make it very suitable for processing. For example, it takes 8 kg of cow’s milk to produce 1 kg of cheese, while it only
takes 5 kg of cow milk (BSTID, 1981). In India, 28 percent of the total milk production is converted into ghee and about 20
percent is converted into products such as dahi (curd), khoa (dehydrated milk) and a variety of milk sweets (Chantalakhana &
Falvey, 1999).
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5. THE DAIRY FARM PROJECT – PHASE I

A dairy farm can be very simple be defined as a farm where Cows are milked, fed and kept. This way of thinking is a very historic
definition of a farm. The whole dairy farm is a process, in which Cows are kept, in a particular fashion so that they give good
quality of milk in high quantities. The system involves creating sheds, in which the Cows are happy and not stressed. It involves
feeding the Cows with the correct balance of protein and energy. It involves feeding the Cows with the correct balance of the
protein and energy. It involves making sure that the Cows at the correct are in perfect health all the time. The system also
involves milking the Cows in a good fashion, as not to hurt the animals but also get the maximum yields. We will be discussing
the whole system with you in this project report. We will also look into the employment generation of this project along with
land utilization for these projects. Before concluding, we would also like to discuss about the Phase II of this project which
involves the creation of value addition in the dairy farm projects and expansion of the Project upto 200-500 Cows in future.
5.1 Parameters of Project Requirements and Details

A) Location, Land and Land Development:
The company directors desire to develop about 30 Bigha (Aprrox 20 Acres) land into Dairy Farm Project with all supporting
Infrastructure in Madhya Pradesh. The entire area is compact and lies as one block. The site is suitably selected considering the
dairy farm activities with the brief advantages as below:
o o
 CLIMATE: The minimum and maximum temperature of the area ranges from 15 C in winters to about 44 C in summers
o
with the average ambient temperature of about 35 C and relative humidity of about 50-60%. Therefore, the climate of
the area is comparatively bit pleasant and comfortable for cross bred Cows. In summer we can avoid heat stress by
cooling the cows, the rainy season is mainly during the months of July to September. The effect of climatic stress on
animal productivity shall be for a period of about 3 months of June, July and August which can be effectively
ameliorated by taking control measures. Thus the climate of the area is conducive for undertaking dairy farming with
high producing crossbred dairy cows as well as for the fodder and feed production.
 LAND AVAILABILITY: land required for the setting up of the dairy farm comprising 100 cows & all utilities shall be
around 3 ½ acre which is available with the entrepreneur close to the easily approachable tar road.
 LAND FOR FODDER PRODUCTION : The land required for meeting the fodder requirements of 100 cows based dairy
farm initially about 20 acres of well fertile land with assured irrigation facilities round the year shall be required. The
land required for this purpose shall be taken on lease from the land available nearby area. Sufficient fertile land is
available at low lease rates in the close vicinity of the proposed site of the farm. The land has the potential of producing
around 800-1000 quintals of green fodder per year.
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 WATER SOURCE: The underground water which is of very good quality shall be used for irrigation purpose. The water
can be pumped out economically by installing submersible tube wells.
 SOIL TYPE: Soil is well developed with almost level topography and is red soil and thus highly fertile. The fodder crops
can be grown in this type of soil with 300-400% cropping intensity
 POWER: The electrical load calculations will be max around 30 KW for operations during the day.
Some of the other key criteria used in selecting and designing a site are as follows:
 Topography and Drainage of soil types

 Climate-Temperatures, humidity, winds and sun angles
 Moisture deficit: rainfall and evaporation
 Access to roads and utilities
 Environmental, building and other regulations
 Proximity to towns – environmental issues and labour supply
B) Land development
The land must be developed and leveled wherever desired and must be done according to the suitability of dairy farm in which
drainage and slope of the land has to be designed for which earth filling and other related parameters have to consider in
costing. The site is fenced with barbed wire or compound wall with gates at suitable places. The entire area will be sloped for
water drainage and Water boring will be done to ensure ample water availability throughout the year. The site will have two-
three entrances for smooth traffic of Milk, Feed and manure for independent and trouble free operation.
C) Site Layout and Construction of Infrastructure
The civil works comprises of Milking Cow Housing Sheds, Dry Cows, Heifer cum Young stock Sheds, Calf Sheds, Milking centre,
Machine Rooms, Feeding centre for storages, Maternity and Treatment area, Staff quarters, Manure storages, Roads for dairy
farming purposes, etc.
i) Site Planning Layout for Ease of Monitoring

We have taken utmost care in designing the farm infrastructure in such away the operations are carried in a smooth possible
manner without disturbing the process throughout the day and considering the cow comfort in mind. While all Cows and
replacement Cows require some degree of daily monitoring Cows like just dried off and Cows or heifers immediately pre and
post calving, young calves and Cows due for insemination require most intensive monitoring and veterinary activity. Housing
close-up dry Cows, eldest heifer and fresh Cow groups close to the maternity/treatment building can provide good access for
monitoring.
ii) HOUSING OF ANIMALS
Milking Cows : The company intends to construct Loose- Housing Cow

Sheds with free access for feed, water and light to provided to the cows
having Four Row Free Stalls with Cow Resting Cubicles having adequate
space with concrete flooring covered with Rubber Mats and provided with
suitable cooling /Ventilation systems with fans etc. The Cows are intended
to let free in the sheds with adequate space for resting, feeding and
drinking water and will be placed in group’s .The only criteria are to keep
the animals cool in summer and to protect it from High Humidity to avoid fall in the milk production.
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Modern Free stall barn with Free stall Cubicles
The Cow sheds will be designed in such a manner to have long Axis on the
East-West direction to avoid heat impact inside the shed. Free stall or cubicle
housing systems gives the Cow a comfortable and clean place so she can
achieve high production with few udder health problems. The cubicle
environment is extremely important to avoid mastitis, infected joints and
muscle damage and teat crushing, caused if the Cow slips when standing up.
The cubicle is designed to be long enough to allow the Cow to rest
comfortably and to have enough headroom to allow the Cow to lunge
forward or sideways when rising. The cubicles only needs 10-12 sq. meters
per Cow under shade and additional area can be left for open paddocks for
each group Cows for natural ventilation of the buildings and Cow movement outside the shed. The manger space will be
adequate to permit the animals sit and stand comfortably and allow weaker animals to take its feed without being bullied.
Open sides, adequate pitch and an open ridge for good natural ventilation. Two rows of free stalls on each side of a central feed
table with/ without headlocks and could be further divided into groups for easy management. These sheds shall have a 4.5 m
wide central feeding passage. Provision of adequate water and free access to it throughout the day is very important especially
in summer months. In the summer season, loose housing system is preferable with free access to manger, shade and clean
drinking water. There will be provision for fans with mist cooling will be installed to protect the animals from heat stress during
summer months. The outside paddock on both sides will have loose soil covered with row of trees such as Sesbania, Poplar,
Neem, Acecia, etc. is recommended on border to arrest the warm or cold draughts in different seasons. These paddocks will be
exercise area for animals and give them natural environment during the nights.
FLOOR SPECIFICARTIONS IN THE DAIRY COW SHEDS
The descriptions are only to be used as guidelines for tender calculation done
by the contractors. It is by no means a complete description of construction
but it highlights some planning issues specific for dairy farm construction.
• No construction obstacle must interfere with cow or personnel traffic.

• Environment is strongly aggressive. Material must be chosen to withstand, manure, water with high pressure, cleaning
detergents & acid were these come in contact. Material must also provide conditions to keep a hygienic environment.
• Floor on the cow platform there should be a non-slip surface with no grooves. Trowel aluminum oxide chips into the
surface or use epoxy plastic coating with sand incorporated for slip resistance.
• Floor in milk room should be steel trowel led or Tile finished
• Slippery surfaces must be avoided both for cows as well as personnel.
• Strength min. 35 N/mm² (5000 psi), air entrained concrete
• Water - cement ratio < 0.5
• Compacted sub grade
• Remove sharp edges and exposed aggregate before allowing cow access.
• Floor in wash and drip area should have grooves like drawing above-. Parallel to the slope
The floors under the roofed area of milking cow’s sheds will be made of RCC or paved with cement concrete flooring
tiles. The surfaces of RCC floors will be made rough and non-slippery by making grooves with the impression of a
piece of expanded metal or suitable wire mesh on the surface while the concrete is still moist.
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Dry cows shed

About 20-25 dry cows shall be housed in a separate shed as depicted in the layout.
The shed may be partitioned into two so that the dry cows are grouped into two
categories i.e. pregnant cows (30-60 days before calving) and advanced pregnant
cows (7-30 days before calving). The space requirements and the construction details
of the dry cows shed will be similar to those in case of milking cow’s sheds.
Calving pens
The advance pregnant cows are to be shifted to individual calving pens about 1-2 weeks before the expected date of
calving. About 10 individual calving/maternity pens shall be constructed as shown in the building layout. These pens
shall have the provision for individual feeding and watering. Ample bedding also needs to be provided in these pens
for meeting the increased comfort requirements of these cows. The construction details of the roofs, floor, and walls
shall be the same as in case of milking cows sheds.
Calf pens
The calves borne at the farm shall be housed into 5 age wise categories (birth to 5
days, 6 days to 2 months, 2-4 months, 4-6 months and 6-12 months). The calf pens
for housing calves up to 6 months of age shall be covered from all 4 sides with a
centrally placed door opening into the open area. The side walls of the calf pens in
the covered area shall have sufficient number of conveniently placed windows and
provision for the exhaust fans so as to allow a good amount of ventilation. The calf
pens shall have provision for the feeding manger inside the covered area as per the
given dimensions. The water trough may be constructed in the open area as shown
in the layout as per the given dimensions.
Heifer Sheds
The dairy heifers (females from one year of age to maturity) may be housed in the shed as shown in the layout. The
pregnant heifers in the last trimester of pregnancy may be shifted to the dry/pregnant cows shed. The construction
details of this shed will be similar to that in case of milking cows shed.
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iii) Alleys and gates – sizing for traffic

The width of alleys between and through buildings should be sized relative to the size of groups to be moved. In general alleys
should be at least 2-3 Cows wide so one Cow stopping does not hold up the whole group and should be a consistent width, free
from any narrow points or sharp bends. Alleys can be single, allowing traffic in one direction only at one time, or double where
Cows from two different groups can be moved in opposite directions at the same time.
iv) Animal Traffic
An important consideration in planning a large dairy-farm is the time required for Cow movements. Besides 2-3 milking for 3
milking groups, daily Cow movements consist of group changes, maternity and calf movements, culling and introduction of
replacement stock, young stock and movements for other health treatments.
D) PLANT AND MACHINERY REQUIREMENT:
The entire dairy farm is planned to run with State of the Art Mechanized Equipments and Systems with the help of automatic
milking systems, automatic feeding systems, and manure handling equipments and operations, Automatic Heat monitoring
systems for Cows in sheds. The plant and machinery details are covered in details later item wise. Most of dairy farm
equipments are being taken from DeLaval; Sweden based Group located in Pune. They are also recommending other related
equipments or implements to run the dairy farm operations smoothly.
i) MILKING PARLOUR
We are planning to put up a 8 units Herringbone Milking Parlour with
automation of cleaning, milking and milk measurement and animals will
be coming at one place for the milking. We will complete our milking in
most efficient manner with two operators.
The company proposes to have a computerized herd management

system and a fully automated milking parlour capable of milking 8 Cows
and Cows at a time. The proposed milking parlour is so designed that it
records all the information such as identification of the Cow, quantum of
milk, time taken for milking, the feed intake of each Cow, and the heat
period of the Cow etc. at the time of milking. The system treats each
Cow as an individual production unit. Thus, the milking parlour is
proposed to be equipped with the most sophisticated advanced
computerized electronic system and devices that each Cow can be
identified, all the activity of the Cows are monitored throughout the day
and its daily performance evaluated.
The best modern milking equipment not only ensures the milk flow from high producing Cows can be
efficiently removed, but also ensures vacuum levels are adjusted through Flow Controlled Milking
and clusters are automatically removed at the right time. This ensures proper teat treatment and a
more consistent milking regardless of which milker is on duty and gives the Cow some protection
from an unskilled or careless milker.
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HERD MANAGEMENT SYSTEM:
DelPro™ Farm Manager: Farm Management system as it should be,

DelPro™ Farm Manager is the ideal system for farmers who want a professional farm management
solution that can monitor record and analyse data from different areas of the dairy farm, in order to
support improved decision-making.
Every day, there are hundreds of decisions to be made on the farm. Decisions that no matter how small, will have an impact on
the overall health of your herd, the quality and quantity of milk produced and the profitability of your operations.
Many of these are taken automatically during the course of the day – others require more time and effort to ensure the right
outcome. With an effective farm management system these processes can be significantly streamlined.
For every 100 cows in a herd around three of them need special attention per day. And with at least six events – postpartum,
metabolic, udder health, gastric, foot, and vaccination & prevention – during a cow’s lactation, this adds up to 600 events per
year that need monitoring, and collating. DelPro farm manager has the tools in place to handle all these events effectively and
provide you with the data you need to make the optimal decisions for your herd.
There are at least ten reproductive events during a cow’s lactation. These include heat (three events), mating, breeding (two
events), pregnancy, culling (if required), dry-off and calving. DelPro farm manager has the tools in place to effectively monitor
and collate all of these events, providing you with effective data throughout a cow’s lactation phase and beyond.
Features available in DelPro™ farm manager include, among other things:
 Vet lists
 Timed AI protocols
 Vaccination protocols
 Animal history data storage
 Herd events summaries
 Individual animal lists
 Herd summaries
 Historical report items
 Group reports
 Device reports
 Labour reports
 Milking system performance reports
 Culled animals history
 Auto ration calculations
 Estrus reports
 Milk volume and quality recording
Key features that improve the performance of your operations, daily!
ii) MILK CHILLING & STORAGE TANK
The milk should be chilled to below +4°C within 3 hours after milking and be kept at this
temperature all the way to the dairy factory.
If the cold chain is broken somewhere along the way, e.g. during transportation, the micro-
organisms in the milk will start to multiply. This will result in the development of various
metabolic products and enzymes. Subsequent chilling will arrest this development, but some of
the damage has already been done. The bacteria count is higher and the milk contains substances
that will affect the quality of the end product.The milk will be chilled with the help of Bulk Milk
Cooler of desired capacity of up to 32000 Liters for day storage.
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This is the most common system. The bottom of the tank is manufactured as an evaporator. The heat of the milk will go through
the stainless steel wall directly into the refrigerant. The refrigerant will evaporate and this takes the heat away from the milk.
This is the most direct and most efficient way to remove heat energy from milk. In recent years larger direct expansion tanks
have become available suitable for use on larger commercial farms. These larger DX tanks, in combination with a pre-cooler
provide a simple, well functioning energy efficient system.
Advantages
 Simple cost effective installation.

 Simple operation, low maintenance and long service life.
 Low energy consumption.
iii) FEEDING SYSTEMS WITH TMR (Total Mixed Ration) Wagon
We require 1 No of 5m3 capacity feed mixer which will be mixing the total feed i.e. concentrates, silage, hay, mineral mix etc. to
have uniform feed available to the Cow and thus also saves on labour and time and increases the efficiency of the work. TMR
involves mixing the concentrates with roughages in a large mixer wagon such as the DeLaval feed wagon. Feed is then dispensed
to the Cows on an ad-lib basis. The same TMR mix may be fed to all Cows, which relies on the Cow’s appetite controlling her
nutrient intake. Alternatively Cows may be grouped by stage of lactation or production level to allow several different mixes to
be fed. This can give some degree of ’Feeding to Yield’ by varying the amount of concentrates and therefore the energy density
of each mix. The main advantage of TMR is that it promotes a good rumen health especially for higher producers by
guaranteeing that the Cow eats roughage and concentrates in a good balance. TMR can also enable the use of a range of lower
cost, less palatable foodstuffs by mixing with more palatable feeds.
TRACTOR: - We Require One No of Tractor of 50 H.P each with hydraulic trolleys for fodder upliftment, Manure Scraping,
feeding in the sheds additionally to support these systems to save down on labour
iv) CHAFF CUTTER

Two Numbers of mechanical chaff cutter with a 20 HP electric driven motor will be installed for green and dry fodder chaffing.
The chaff cutter will have a capacity to cut 50 quintal green fodder per hour. The chaff cutter will have a blower assembly to
throw the chaff upwards at the chaff dispenser to load the fodder carriage directly one milk centrifuge machine motor driven
will be purchased for testing the milk for Fat.
v) DIESEL GENERATOR SET

One DG set of max 50 KVA are proposed to be purchased for electricity generation for the farm machinery including Chaff
Cutter, Milk Cooling Tank, Milking Machinery, Steam generation, etc.
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vi) MANURE HANDLING EQUIPMENT

The farm is planned to have Electrical Slurry Pump for the complete shed to be well integrated with Tractor Scraping System to
be done inside the sheds. The slurry pumps fed the slurry through Gravity flow channels to take away the manure to a lagoon or
pond where the slurry can be dried off and can be utilized for compost production.
vii) MISCELLEOUS EQUIPMENTS FOR FARM OPERATIONS
The farm also needs some additional equipment for laboratory, Hoof Care, Vety Treatments, Farm Maintenance i.e. Cultivator,
harrow, planker, leveler, fans, etc. which also can be purchased during the operation of the farm.
viii) TECHINCAL COLLABORATION

The technical Collaboration and agreement for the supply and installation of milking equipments and dairy farm planning is
available with M/S DeLaval which will support the company for equipment supply and planning of the farm.
ix) MANPOWER
The farm will have professional qualified, trained, competent personal to run the farm operations. An important consideration
when employing and training staff to ensure they have both know how and a temperament suitable for handling Cows. For this
purpose we have plans to hire experienced personals that have hands on experience of Managing Commercial Dairy Farms and
accordingly we have identified 01 personal. He will be acting as mentor.
x) SECONDARY STRUCURES
Ancillary structures such as chaff cutter shed, straw/ hay store, silo pits, farm implements room, feed grinding, mixing cum
storage room, milk room also need to be constructed as shown. The roofs of feed grinding, mixing-cum-storage room,
implements room and milk room shall be flat and can be of RCC or brick tiled or any other locally available cheap roofing
material with sufficient height. The floors of the straw store, chaff cutter shed shall be brick paved whereas the floors of the
milk storage, implements room and feed grinding, cum-storage room will be made of RCC.
xi) WEIGHING SYSTEM FOR FEED- Optional and put in future

The farm will be equipped with weighing scale of 100 Tons capacity in the entry of the farm
which will monitor and weigh the feed coming into the farm and will save the feed weight
fluctuations and ensure the right payments for feeds purchased to farmers. It will also save
the overhead costs for getting it done externally which is long distance from the site.
E) ANIMALS
The key and the most important decision in a dairy farming are on the cattle. It is very important to make sure that
the right breed of cattle is selected and is procured from the right places by doing necessary tests. As the milk is the
preliminary ingredient which is sold, the quality and the quantity both are very important for this protects, and
hence the selection of cattle becomes the most sensitive part of the project.
The important factor which should be judged when selecting cattle is the climatic conditions of the area, where the
cattle will be kept. As the organized dairy farming, controls the movements of the animals, the conditions can be
controlled in the sheds where the cattle are mainly kept.
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Purchased crossbred cows

Breed and parity: Freshly calved crossbred cows with preferably 50 to 75 % Holstein Friesian inheritance in
nd rd
their 2 or 3 lactation
Reason of selection Proven Highest Milk Producing Breed all around the world
 Greater Income over feed costs
 Unequalled genetics merit
 Adaptability to a wide range of environmental conditions
 Unexcelled production
Source It is recommended to purchase HF (graded/crossbreds) from reliable sources nearby or from

Kaveripattinam (near Krishnagiri), Mechery (near Mettur Dam) in Tamil Nadu or Kolar in Karnataka where better
pedigree cows are available. OR From the Reputed Dealers / traders/Cow Breeder Farmers of Punjab / Haryana or
Nasik area. The cows shall be purchased from the well established commercial dairy farmers/ Govt. farms at an
average price of Rs.70000/- each (including transportation). The animals shall be purchased in monthly batches of
20-25 cows and the herd strength may be completed within the first year.
Time of purchase The cows shall be preferably purchased in the post monsoon months of August to February
as majority of cows calve in this period & market prices are relatively lesser during this period. Moreover, cows
calved during this period have better adoptability in new place & yields are better in view of the fact that animals
attain their peak production levels during impending winter season & thus have higher persistency of lactation.
Production level freshly calved cows (within 10-20 days of calving) shall be having 18-20 kg daily milk yield
which shall be verified by actual recording by milking the cows twice or thrice. The average milk production level of
cows between 50-75 % Holstein Friesian inheritances shall range between 4500 to 5000 kg with an overall average
of about 4800 kg in a standard lactation period of 305 days.
Re-Production The half-bred cows shall be rebred by using pure Holstein Frisian semen and the female
progeny thus shall contain 75 % Holstein inheritance. The average productivity of farm produced cows thus can be
expected to range between 5000 to 5500 kg per lactation with the average of about 5250 kg.
Breeding The purchased cows shall be inseminated with the semen of superior bulls at about 60 days
of calving and efforts would be made that all cows conceive within 60-90 days of calving so that the period between
successive calvings is on an average 13-14 months.
Milking to dry cow’s ratio: It will be expected that 75-80 percent of the breedable cows will be in milk at any time
throughout the year and the 20-25 percent of the cows shall be dry and pregnant
The cattle will be purchased though a proper selection criterion under guidance of experienced veterinary expert.
And will be transported by road through truck or Trains wherever possible. All of the animals purchased will be
insured with insurance company at the time of purchase and will be allotted an identification number with the help
of EAR TAG/Transponder for his identification and further recording purposes relating to milk production and
treatment. While purchasing adequate care must be exercised to examine the pedigree, probable production
potential, udder and hoof confirmation .Our herd shall be comprised of HF CROSSBRED Cows care must be exercised
to examine the pedigree, probable production potential, udder and hoof confirmation.
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F) UTILITIES
Water for Cows and Machine Cleaning
Drinking water is the most important feedstuff for a lactating Cow and a high
producing Cow in hot conditions can require up to 130 L/day. In addition this
water should be very good quality, as the rumen micro flora will not survive with
poor quality water. The water should be relatively soft (<2000ppm), free from
sediment, algae or other impurities and available on demand to all Cows.Because
of the abundance of water we never treat water needs of the animal with concern.
The body of animal may lose virtually all its fat and about one-half of its protein
and survive, but loss that exceeds approximately 10% of the water may result to
death. It performs many functions in the body .It is a temperature regulator and
transports waste products to the point of excretion.Traditionally drinking water has provided from main supply, or has been
stored in raised tanks near the barn and gravity fed to drinking troughs. The relatively low supply pressure available has lead to
designs where commonly several 100-200L water troughs have been placed around the Free stall, often in crossovers.
Its need to the animal is influenced by ambient temperature, relative humidity, wind velocity, rainfall, and dry matter intake,
composition of diet and frequency of watering.
POWER:
Normally a three phase electricity Continuous supply with stabilised Voltage is required for Dairy farm. The power requirements
depend upon the load to be connected and the necessary approvals will be taken for electricity connection. And alternatively,
suitable sizes of Diesel generators will be bought for smooth operations of the dairy project. The projected Load for total dairy
farm project is estimated to be 50-75 KW load for its smooth operations depending on the other added loads.
G) ENVIRONMENT ASPECTS AND POLLUTION CONTROL

There are no hazardous effluents generated form milk production dairy farms. However, construction of effluent plant is
necessary in case of multi product large size plants for treating the effluent before discharging for proper disposal. The final
effluent will meet the requirement of pollution control board and is necessary to get clearance from them.
H) INDUSTRIAL INCENTIVES
The unit will be eligible for capital incentive equivalent to 25% of the fixed capital investment on the mechanization
of dairy farm as per policy of the Govt. of India. While computing the various annexure this capital incentive has not been
provided as part of cost of project and means of finance. It has been done as the contribution equivalent to capital incentive will
be made by the promoters from their own sources.
I) LICENSING AND APPROVALS
This industry is basically a process industry employing processes of Extracting milk from Cow, Cooling and Cleaning through Hot
water, Manure handling and storage, etc. The industry attracts following
Licenses and statutory approvals:
1. Approval for civil structures (new/restructure)
2. Power load availability and sanction
3. Water consumption sanction/rain water harvesting
4. Approval under Factory Act / Labor Laws
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6. DAIRY FARM MANAGEMENT – PHASE I

6.1 FEEDING MANAGEMENT
Feeding accounts for one of the major ongoing costs on a dairy farm and is also the area that can and will affect Cow
performance and profitability to a very large extent. The critical point in the feeding management does not only apply to the
feeds, ration formulation and ration distribution but also in inventory management and feed control. This section will consider
the feed center development and the requirements for this facility.
The design and construction of the feed centre must consider:
1. Inventory management
a. The management and control of feed that enters and exits. The ability to control losses, feed losses (feed bunk management)
and wastage (feed losses – shrink) in the feed centre due to other reasons.
2. Feed requirements and Storage
a. The types of feed that will be used, the amount used per day and per week and the density of the feed. How often feed has to
be re-ordered (Lead time requirements).
b. Silage considerations: silage required daily, ensuring that enough is removed from the silage face to minimize spoilage, the
amount of silage material coming in for ensiling and that can be ensiled efficiently. The silage bunks to be constructed taking the
above as basis.
c. The use of liquid feeds and water requirements.
d. Types of storage required i.e. feed bins, tower silos, round bale or square bale storage, roofed or non-roofed.
3. Logistics
Considers the movement of vehicles in and out of the feeding centre without compromising animal health or Biosecurity. The
installation of a drive-through spray or ditch may be required.
a. Vehicles entering to deliver concentrates and other feeds (hay, silage, by-products and commodity feeds), silage material
(harvested and chopped, ready for ensiling).
b. Vehicles used on the premises for blending and distributing feed to the animals (mixer wagon) and other vehicles used for
silage making and / loading ingredients to the mixer wagon (tractors, front end loaders, tele-handlers etc.).
4. Office for feed centre management
i.e. ration control, inventory control, feed quality control, general logistic management of the feed centre.
5. Feed Handling Equipment
a. Weighbridge for incoming fodder.

b. Analyses unit (Near Infra-Red NIRS) to control incoming ration quality and nutrient value.
c. Vehicles, mixer wagon, tractor, loading and unloading equipment.
d. Computer for data management, inventory control, rations formulation and control, downloading and tracking information
from mixer wagon.
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e. Penn state particle separator, ensuring TMR quality (fiber content). The Forage and TMR Particle Separator was designed to
help in determining the correct forage particle length needed to improve ruminant nutrition. The new Penn State Forage
Particle Separator provides a tool to quantitatively determine the particle size of forages and total mixed rations (TMRs). Having
the proper particle size distribution of feeds is an important part of ration formulation. However, until recently, particle size has
been difficult to measure on farms. Many dairy nutritionists have developed subjective measures of this aspect of the diet, and
most have been quite effective making ration changes with respect to particle size measurements.
Feeding:
Cows are, like cattle, ruminants. This means that they utilize
micro-organisms in the rumen to digest the feed. The feed
eaten by ruminants are mainly of vegetable origin. The
ruminant is an expert in converting cellulose and other
fibrous materials into high quality milk and meat. Their
digestive capacity is greater than the non-ruminant.
Ruminants ”chew the cud" e.g. regurgitate the food to the
mouth and chew it several times, thus helping the
breakdown. The feed will enter the rumen compartment
when swallowed by the animal. The rumen is an anaerobe
environment, e.g. no oxygen is present. The feed is exposed
to microbes such as bacteria, protozoa and fungi. These
microbes attack the feed particles and by enzymatic action the components are broken down and used for their own
metabolism, growth and propagation. The feed is masticated, regurgitated and exposed to microbes in the rumen. Large
particles will become smaller and eventually be transported to the reticulum and further on. How long time a specific feed
particle will stay in the rumen depends on size, palatability and fiber content of the feed. The cow has slower rumen movement
than cattle, which leads to a slower rate of ingesta outflow. The pH of the rumen content is similar to that of cattle, and it is
affected in the same manner. Normal pH is between 6 and 7 depending on feed and time of feeding.
The components of the feed can be divided into protein, energy (carbohydrates), fat, minerals and water. The breakdown and
utilization of the different feed components are reviewed below Feed degradation in the ruminant animal.
The waste end products of the microbial attack are methane and carbon dioxide that are eructated. Volatile fatty acids (VFA) of
which acetic, propionic and butyric acids are the predominant ones, are together with ammonia absorbed by the animal
through the rumen wall, and transported via the blood to, e.g. the liver and udder where they serve as building material for
chemical compounds such as glucose, protein and fat (see Figure 10). Ammonia can be utilised directly by the rumen microbes
to synthesize proteins.
To be correct, one is actually not feeding the cow, but its’ microbes. Ruminants are entirely dependent on the function of the
rumen microbes. Therefore, it is important to keep the rumen environment healthy. The easiest and best way is to feed a high
amount of good quality roughage and a smaller amount of good quality concentrate.
Protein
Almost all protein is attacked by the microbes and utilized in their metabolism and incorporated in the microbial mass. Microbial
protein is of high quality and is absorbed as amino acids after being digested by gastric enzymes in the abomasum.
Ammonia which is absorbed by the rumen wall and transported by the blood to the liver is converted to urea. In case of protein
deficiency, urea can be utilized by the rumen microbes as a non-protein nitrogen source to build protein. In this way nitrogen is
circulated and efficiently used by the animal.
Protein can be protected to withstand microbial attack. It is then called”by-pass protein”. By-pass protein is only degraded in
the abomasums and small intestine where it undergoes enzymatic attack similar to that of mono-gastric animals. By-pass-
protein is commercially available in some readymade concentrates and is usually given to high producers.
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Carbohydrate
Carbohydrates are the predominant sources of energy for ruminants. Carbohydrates, or sugars, are the components of starch
and fibers. Fiber is a common name for cell-wall components such as cellulose, hemi-cellulose and lignin. Starch can be
degraded by animal gastric enzymes, whereas fibers cannot. Ruminants can utilize fibers to a larger extent than mono-gastric
animals because of the ruminal microbes. However, lignin (wood-fiber) is not utilized. It is generally believed that cows utilize
fiber more efficiently than cattle do. The coefficient of digestion being 5-8% higher in cows than in cattle.
Fat
Fat is not as such required in other than very small amounts for the ruminant. However, whatever fat is present in the feed
undergoes microbial attack and degradation. Unsaturated fatty acids are hydrolyzed and thus saturated. This is one of the
reasons for the milk and body fat of the ruminant to be of equal composition, largely independent of the type of feed given. If
the fat can in some form be protected from ruminal degradation, and instead be utilized in the lower intestinal tract, it may be
used as an additional energy source. However, it may then alter the milk fat composition unfavorably. Too much unprotected
fat in the diet depresses the ability of the microbes to ferment fibers, thus influencing the energy utilization negatively.
Nutrient requirements
In order to utilize the animal, feed and economical resources as efficiently as possible, one must know the nutrient
Requirements of the animals. If an animal is wrongly fed this may lead to diseases, loss of production and thereby economical
losses. By knowing what a specific animal needs, proper advice concerning purchase, cultivation and feeding systems can be
given. Requirements for cows are more or less the same as for cattle, therefore, nutrient requirement tables for dairy cattle may
be used as guidance, and the farmer must observe the animals and change feeding system with the guidance of an extension
officer if it seems unsuitable.
Energy
Sources of energy are predominantly carbohydrates like fiber and starch and fat to a lesser extent. For cows, fiber in the form of
roughage is the most important and cheapest energy source. When calculating feed ratios for cows the term metabolizable
energy (ME) is used. This means the amount of energy that can be used by the animal for maintenance, growth, lactation etc.
The gross energy (GE) of the feed is the amount present in the feed, when entering the animal, much of the energy is converted
into heat which is lost through the thermal regulation. Energy is also lost in the dung and urine as well as in the methane and
carbon dioxide gases.
Energy is measured in calories (cal) and joules (J) (1 cal equals 4.18 J). The most common is to use the term Mega calories (Mcal)
or Mega joules (MJ) which means a million cal or J. Another measurement is Total Digestible Nutrients (TDN) which is sum of
carbohydrates and fat in diet. The unit for TDN is kg or gram.
The energy ratio in the feed may be increased by adding fat in protected form, thus transferring the digestion from rumen to
the intestinal tract. Feeding of protected fat (1 kg safflower oil) has proven to increase nutrient utilization. Feeding of
unprotected fat in similar amounts has shown to adversely affect nutrient utilization.
Protein
Protein is required for growth, tissue repair and milk production among other things. Good sources of protein are leguminous
forage, grain and oil-seed-cakes. The protein requirements are measured in Crude protein (CP) in kg or gram.
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Minerals and vitamins

Minerals are essential for many body functions. The macro-minerals calcium and phosphorus are especially important in milk
production. They are also vital for the skeleton and the function of nerve-impulses. Phosphorus is the mineral included in the
body’s energy metabolism. When considering Ca and P (calcium and phosphorus) requirements for the animal it is equally
important to consider the ratio in which it is given. The Ca:P ration should be 2:1 since there exists and antagonist relationship
between the two minerals concerning uptake from the small intestine. Salt, e.g. sodium and potassium together with chloride
are the more important micro-minerals. Minerals are present in various amounts in feed and water.
Vitamins are essential for total body function. Most vitamins are synthesized by the animal or it's rumen microbes. Such
vitamins, B, C and K (and to some extent D) does not need to be fed. Vitamin B is synthesized by ruminal microbes, vitamin K by
intestinal microbes and vitamin C in the tissues. Vitamin D is formed when the precursor, found on the skin on animals and on
grass, is exposed to UV-rays, in tropical countries deficiency of vitamin D is rare. Vitamins A and E are not synthesized in the
animal but must be supplied. Vitamin A is found in silage, fresh grass, dark green leaves, peas and carrots. Cereals are a source
of vitamin E.
Mineral and/or vitamin mixture should always be supplied in order to fully meet the requirements. Animals which do not
receive a ready made concentrate mixture with mineral and vitamin supplement, must be fed supplement in the form of ”lick
stones” of which the animals have free access to or as ”powder” fed once or twice a day individually. Vitamins may be included
in the mineral feed, but vitamins are more sensitive and may be destroyed if kept in sunlight. Care must therefore be taken to
store vitamin supplements correctly.
Water
Water is essential for most body functions, such as body temperature control, milk production and maintaining blood plasma
volume. Thermal regulation of the animal is the most water consuming process. The animal receives water in 3 different ways
• Drinking water
• Water in feed
• Metabolic water = water made from feed degradation
Drinking water is the most important water source and should be of good hygienic quality. The water available in feed is highly
dependent on the dry matter in feed. Straw, hay and cereals include little water, whereas silage and fresh grass may contain as
much as 70 percent.
The water requirements of the cow depend on;
• The diet (dry matter)
• The environment (humidity, temperature)
• Physiological function (growth, pregnancy, lactation etc.)
Generally, cows require more water than cattle under the same circumstances and should have access to clean cool water.
A restricted water intake leads to a decrease in dry matter intake and thus affects milk production and growth negatively.
Salinity of water is seldom a problem in dairy cow feeding. A salt content of up to 5 g/liter of water can be used for cows.
However, temporary diarrhea may be caused by water approaching the higher levels.
Feedstuff
The main diet for the cow is roughage such as grass, legumes and straw. The roughage can be fed either fresh as pasture or in a
cut-and-carry-system or conserved as hay or silage. The roughage is often complemented with grains, concentrate and agro-
industrial by-products such as oil-seed cakes, sugar cane tops etc.
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The roughage should form the base of the feed ration and contribute to meet (at least) the total maintenance requirements.
Grains and concentrate should be fed only to meet additional requirements such as growth, pregnancy and milk production.
Too much non-fibrous feed will alter the rumen environment. In the long run this could lead to serious problems in feed
digestion causing loss of appetite, weight loss and a drop in milk yield. This is especially important for animals under stress,
such as high growth rate and high milk yield.
The roughage should be of good quality, both nutritional and hygienic quality, this cannot be emphasized enough.
Types of roughage
The most common roughage is grass of a number of species. Lucerne, berseem and clover are herbaceous legumes and have an
advantage over grass as they are nitrogen fixing. This means that the plants will (with the help of bacteria) fix air-nitrogen and
thus they are less dependent on the nitrogen content of the soil. These plants contain more protein than grass under the same
circumstances. Lucerne (or Alfalfa) has several advantages. It contains an elevated amount of calcium, vitamin E and carotene
which are of major importance for milk production.
There are also tree legumes which can be used as high quality feed, e.g. Leucaena leucocephala, Gliricidia spp., Sesbania and
others. As many of the tree legumes contain anti-nutritional compounds which may depress digestibility as well as decrease
feed intake, they should not be fed as the sole source of roughage. A maximum ratio of 50% tree legumes in the total diet can
be considered as a safe level. Since cows are strict grazers, the trees should be pruned and the branches or leaves given to the
cows. Pruning with regular interval of 6 to 10 weeks increases re-growth of the leaves.
Roughage of lesser quality are straws. Straw from rice, barley, wheat, sorghum etc. are widely used in feeding ruminants. Their
protein content is zero and their energy content low because of their largely lignified cell-walls. Rice or paddy straw has a high
silica content in the cell walls which makes it difficult to digest.
Harvesting roughage
In the beginning of the growth season, the protein and sugar (energy) content of the grass is high and the lignin content low.
Thus, the grass is of high quality. With maturity the protein and sugar content decreases and the cell walls become lignified. The
growth pattern is the same for legumes although it is a little slower. It is therefore important to harvest the roughage in the
optimal period and to conserve it for use under dry seasons.
Pastures should not be over or under grazed. Over grazing leads to insufficient forage in the later season and the soil will be
more vulnerable to erosion and permanent damage. In the case of under grazing, the pasture is not utilized efficiently. The grass
will grow quicker than the animals can eat. Thus the nutrient composition will change unfavorably to high lignin and low protein
content.
In many areas, grass is not harvested even if not grazed and is left as "standing hay". However, the standing hay has a very low
nutritive quality, close to that of straw.
Treatment of roughage
Chaffing, grinding and pelleting are ways to improve nutritive quality of straws to some extent by making the nutrients available
to the rumen microbes. Chemical treatments with alkali or ammonia are effective ways of improving quality. Ammonia treated,
chaffed straw may even substitute green forage for low milk producing cows to some extent. Ensiling Lucerne (or Alfalfa)
reduces vitamin E and carotene content.
Concentrate
The term concentrate means that a high amount of nutrients are concentrated in a small amount of dry feed. The most typical
concentrates for tropical countries are oilseed cakes of different types. Oilseed cakes are the common name for products that
are derived of the oil for human use and the remainder is pressed together to form a cake. The cakes have relatively high energy
content but are mostly used because of their very high protein content.
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Other types of feed which can be classified as concentrate are molasses and urea. Urea can be used by the microbes as a source
of nitrogen. The use of urea also requires an easily fermented energy source for the micro-organisms e.g. molasses. The micro-
organisms must always have a good balance between protein and energy in the rumen to be able to do their qualified job.
There are a number of readymade concentrates on the market manufactured by various companies. Care should be taken to
ensure that the quality of the concentrate is up to standard.
Grain
Barley, wheat, oat, rye, maize and sorghum grains are excellent feed for ruminants, given in balanced amounts. However, since
they are used for human consumption their use as animal feed is limited.
Voluntary intake
The definition of voluntary intake is the amount of feed an animal can eat per day. It is commonly expressed in kg of dry matter
or in percent of live weight.
After having considered the nutrient requirements of the animal and the feed stuff to be used the proper feeding regime can be
calculated. However, one must take into consideration how much the animal can eat. There is a physical limit as to how much
feed the animal can eat in one day Figure 1.
Figure 1: Factors affecting voluntary intake
A high producing lactating cow can eat more than a low producing. Similarly a growing heifer may eat more than a dry cow. As
pointed out before, feed intake decreases with high environmental temperature and humidity. Individual feeding usually results
in higher feed intake due to less competition for feed and a more relaxed atmosphere.
A rough estimation of voluntary intake for a cow heifer is 2.2 to 2.5% of its’ live weight per day, if provided with a small portion
of straw, a large portion of green feed and some concentrate. A milk producing cow should be able to consume good quality
feed up to 3% of its’ live weight. A too high ratio of straw in the diet reduces voluntary intake. A protein content of less than
6% also reduces intake of that feed.
Practical feeding of the lactating cow
Lactating cows should be given the best feed the farm can offer. Producing milk is one of the most energy demanding biological
processes. Weight loss is common in high producing animals during the first month of lactation because they cannot consume a
sufficient amount of energy. A popular term is that the animals are milking off the fat. It is therefore important that the cow is in
good health status at partus. In Table 6, examples of various feeding regimes for lactating cows are given. A well balanced ratio
of protein, energy, vitamins and minerals in a palatable and tasty feed is the best way of increasing milk production and live
weight, as well as improving health and fertility.
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Traditional feeding patterns for cows all over the world is subjected to forages and crop production of the season which affects
the level of milk production. Forage is insufficient during the dry season and abundant during the rainy season. Shortages are
overcome by conserving forages as hay or silage.
Formulating feed ratios for the milk-producing cow
Formulating feed ratios for milk producing cows starts with theoretical calculating of the requirements. As there are no
standardized international tables for dairy cows’ requirements, the calculations here are based on NCR’s tables for dairy cattle
(see Table 3). It is important to know the cows live weight; this is most accurately done by weighing the animals three times in a
week and calculating the average. However, this requires an animal scale and is further very time consuming. Weighing the
animals once is good as guidance. Once the weight is known, the requirement for maintenance is extracted from Table 3. The
milk yield should be known as well as the fat percentage. Recommendations are at least 3 days of milk recording to calculate the
average yield and fat percentage. For simplicity, the yield is then calculated to 4% fat corrected milk (shown in Table 4). The
total requirements are gained by summing requirements for maintenance and for milk production.
Table 3: Nutrient requirement of cows

Requirements for Energy TDN Total Crude Protein Calcium Phosphorus
Live weight (kg) (ME in Mcal) (kg) (g) (g) (g)
450 13.0 3.4 341 18 13

500 14.2 3.7 364 20 14
550 15.3 4.0 386 22 16
600 16.3 4.2 406 24 17
Requirements for Milk yield per kg 4% fat corrected milk
1.24 0.32 90 2.73 1.68
Requirements of green fodders, dry roughages and concentrate mixture for different categories of dairy animals
Sr. Category of animal Green fodders/silage Dry fodders (kg) Concentrate

No. (kg) mixture (kg)
1. Lactating cows 35 4.0 7.0
2. Dry & pregnant cows 30 5.0 3.0
Heifer above 2 years 25 4.0 2.5
3. Heifers (1-2 years) 20 3.0 2.0
4. Female calves 10 1.0 1.0
Example For a cow weighing 550 kg yielding 15 kg of milk with 4% fat per day. This animal could be calculated as follows:
Table. 4 Nutrient of a cow weighing 550Kg

Requirements for Energy TDN Total Crude Protein Calcium Phosphorus
Live weight (kg) (ME in Mcal) (kg) (g) (g) (g)
Maintenance req. 15.30 4.0 386.0 22.0 16.0
Req. for 12.85 3.32 932.4 28.28 17.4

10.36 kg FCM
Total req. per day 28.15 7.32 1318.4 50.28 33.4
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If the animal seems to be too fat at the time of weighing, the maintenance requirements may be reduced by 10 %. Similarly, if
the animal is too skinny, 10% may be added to the maintenance requirements. The feeding regime of the cows can then be
decided. For the optimal economic feeding regimes the feed should be analyzed at a laboratory for dry matter content, energy
and crude protein and for calcium and phosphorus. To be able to give an example here, the analyses are taken from NRC’s
tables from 1988 for dairy cattle. Examples of nutrient content of common feedstuff used for feeding cows are given in Table
Table 5 Examples of nutrient content of common feedstuff used for feeding cows
Feed name Energy Total Crude Calcium Phosphorus

(ME in Mcal) TDN Protein (g) (g) (g)
(kg)
Alfalfa hay 2.36 0.63 200 15.4 2.2

Napier grass 2 0.55 87 6 4.1
Rape fresh 3.16 0.81 164
Oats 2.73 0.6 140 2 2
Sorghum fresh 2.36 0.63 88 4.3 3.6
Sorghum silage 2.14 0.58 62 3.4 1.7
Maize silage 2.67 0.7 81 2.3 2.2
Wheat straw 1.51 0.44 0 1.8 1.2
Rape seed 2.93 0.76 390 7.2 11.4
Cotton seed cake 2.71 0.71 448 1.9 1.2
Wheat bran 2.67 0.7 171 11.8 3.2
Molasses 2.67 0.7 103 11 1.5
Urea 0 0 281 0 0
It is important to note that silage should not form the sole source of roughage because its’ high amount of easily fermentable
carbohydrates and the physical structure which does not really stimulate rumen contraction. As a rule of thumb, the amount of
silage in a diet should not exceed 30% of the total dry matter intake if concentrate is also given. If the diet is solely made
from roughage the silage ration may be increased to 60%. On the other hand, alfalfa hay contains much too much protein and
therefore it is important to give a mixture of silage, hay and perhaps straw.
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In this example the maintenance requirements can be met by giving 5 kg wheat straw and 5 kg maize silage on a dry matter
basis. Alfalfa hay of 2 kg and 8 kg of wheat straw also gives the requirements; however, it is not likely that the cow will eat it,
because of its texture.
We need to provide another 12.85 Mcal for the milk production. This can be provided by increasing the amount of forage if it is
of good quality or it may be provided by concentrate. However, the costs for different fodder’s should be taken into account, if
the farm can produce sufficient forage of good quality it is probably more wise to increase the amount of home grown forage in
the diet than by purchasing expensive concentrate.
Total Mixed Rations TMR Feeding

TMR involves mixing the concentrates with roughages in a large mixer wagon such as the DeLaval OptiMix™ feed wagon. Feed is
then dispensed to the cows on an ad-lib basis. The same TMR mix may be fed to all cows, which relies on the cow’s appetite
controlling her nutrient intake. Alternatively cows may be grouped by stage of lactation or production level to allow several
different mixes to be fed. This can give some degree of ’Feeding to Yield’ by varying the amount of concentrates and therefore
the energy density of each mix.
The main advantage of TMR is that it promotes a good rumen health especially for higher producers by guaranteeing that the
cow eats roughage and concentrates in a good balance. TMR can also enable the use of a range of lower cost, less palatable
foodstuffs by mixing with more palatable feeds.
Formulating Rations
In a simplified view formulating a dairy ration begins with calculating what level of Dry Matter intake a cow of a certain body
weight is likely to have and finding from established tables what level of energy and protein will be required for her body weight
and daily milk production. These ingredients need to be balanced to ensure the cow receives enough of fibre of the right
particle length from the roughage and to ensure good palatability to give sufficient dry matter intake. The ration calculation
should also take into account relative costs of various ingredients so that a least cost combination can be arrived at, without
sacrificing palatability of the ration.
In order to calculate ration, & control whether cows perform as expected from it, certain basic information must be available:
• Available feedstuffs with prices, dry matter content and analyses of nutrient values;
• Dry matter intake for individual or groups of cows;
• Milk production for individual or groups of cows;
• Milk compression for individual or groups of cows;
• Body condition scoring; and
• Health record for the herd.
A ration calculation should be made every time there is a change of feed, or any group of cows does not perform as expected
from the ration. In a large herd formulating rations for all groups of cows and young stock is an ongoing and specialised process.
In addition to the many tables of nutritional requirements of dairy cattle there are many different software programmes
available today to help calculate dairy rations. In most cases a large dairy-farm will contract for employ the qualified dairy
nutritionist to formulate rations.
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Table 6 Diet calculation for milk yield up to 15-18 kg of 4% fat milk
Table 7 Diet calculation for milk yield up to 10 kg of 4% fat milk
Energy TDN Total Crude Calcium Phosphorus DM

(ME in Mcal) (kg) Protein (g) (g) (g) (kg)
Total requirement. per day
15 kg of 4 % fat milk 28.15 7.32 1318.4 50.28 33.4 16.5
Availability of nutrients through roughages
Maize silage 10.68 2.8 324 9.2 8.8 4

Alfalfa hay 11.8 3.15 1000 77 11 5
Wheat straw 7.55 2.2 0 9 6 5
Diet content 30.03 8.15 1324 95.2 25.8 14
Deficiency / surplus 1.88 0.83 5.6 44.92 -7.6 -2.5
DM – Dry Matter; TDN – Total Dissolved Nutrients
As shown in Table 6, 4 kg maize silage together with 5 kg alfalfa hay and 5 kg wheat straw gives a balanced diet providing the
necessary nutrients. Only phosphorus needs to be added. The Ca:P (calcium: phosphorus) ratio should be approximately 2:1
therefore, 22 g P needs to be provided in this diet. It is also clear that the cow should be able to produce milk without any
concentrate in this example. The total amount of dry matter comes to 14 kg in this example and we had calculated with 16.5 kg.
Because of the relatively rough texture of this diet 14 kg DM is probably as much as the cow can eat. Therefore, it should not be
interpreted as a deficiency of DM. In Table 7, more examples of good feeding regimes are given. Mineral supplement must be
given in all examples.
Including urea in the diet may be a cheap and good way to “help up” a low protein diet. One must remember, however, that a
source of highly soluble carbohydrates such as molasses must be included in a urea diet. The maximum level of urea is 25% in
the total diet. An alternative is to feed readymade urea-molasses blocks.
Controlling the animals’ intake of feed is a good practice. Low yielders tend to eat more than they require and at the same time
it is difficult for the high yielders to eat enough. It is therefore vital that the feed is analyzed and the milk yield known, to
provide the requirement of each animal.
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Practical feeding of the calf
Calf mortality is very high, in India it is often 30-40% before 3 months of age, and in Italy the figures may be higher. This is
caused by malpractice such as negligence, limited milk feeding, injuries and diseases. By increasing the amount of feed to the
calf’s requirements and by practicing the following instructions the mortality can be decreased.
Colostrum is the most important and most suitable feed for the newborn calf. It contains all the nutrients needed (see Table 8)
along with the vital antibodies. It is crucial for the survival of the calf that it receives colostrum during the first 12 hours of its
life, the earlier the better. The calves should be given colostrum as long as the mother provides it e.g. 3 to 4 days. Any surplus
colostrum can be frozen and then thawed and carefully heated to 39 degC. If no freezing facilities are available colostrum can
stay fresh for a couple of days if it is cooled in a hygienic container. Colostrum can be fermented with living lactic acid culture.
Fermented colostrum can be kept for at least a week and up to two weeks if cooling facilities are available.
If the calf is not allowed to suckle its mother it should be provided with colostrum as soon as possible after birth. If it is not
possible to feed the calf directly after milking the cow, colostrum should be cooled in order to maintain hygienic quality. When it
is time to feed the calf, the milk should be carefully heated to no more than 39 degC. Colostrum must never be boiled. By boiling
the milk the antibodies are destroyed and hence, cannot be utilized as such by the calf.
The natural eating behavior of the calf is to suckle its mother often and to consume a small amount of milk at each suckling
period. It is best for the calves reared under artificial conditions if their eating behavior is as ”natural” as possible. Colostrum
should be fed to the calf at least twice daily with equal intervals.
The calf should be trained to drink from a bucket. The easiest way to do this is to dip clean fingers into the milk and then allow
the calf to lick and suck the fingers. The hand is then gradually drawn into the milk in the bucket while the calf is still suckling.
Once the calf has learnt to drink it is easy to feed. The calf may need assistance for 5 days. There are special nipples that can be
put in the bucket. The calf will suckle these; hence it will need less assistance from the trainer.
Table 8, Nutrient requirements of pre-ruminant calves
Age Daily gain DCP TDN ME Ca P Vit A Vit D

(d) (kg) (g) (g) (Mcal) (g) (g) (1000 IU) (IU)
0-15 0.20 80 400 1.5 2.5 1.5 1.5 200
16-30 0.30 90 500 1.7 3.0 2.0 1.5 250
31-60 0.30 125 800 2.4 3.5 2.5 1.7 250
61-90 0.35 150 1000 3.6 4.0 3.0 2.0 260
After the colostrum period, whole milk should be provided to the calf until 15 days of age @ a level of 1/8th to 1/10th of the
calf’s body weight. (see Table 8). Milk replacer can be fed along with the whole milk provided that it has a certain composition
of nutrients. It is not advisable to completely substitute whole milk with milk replacer. Milk and/or replacer should be offered to
the calf on at least two occasions per day. The milk and/or replacer should be served at body temperature (38-39°C).
At two weeks of age, the calf should be introduced to good quality green feed and concentrates, as a calf starter (Table 9). This
stimulates the rumen to grow and function properly. By following the feeding schedule in Table 8 a daily gain of 0.35 kg can be
expected in HF Crossbred calves.
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Table 9. Feeding schedule for calves
Age (days) Whole milk Skim milk Calf starter Hay

(l) (l) /milk replacer (g) (g)
0-14 4* - - -
15-21 3.5 - 50 300
22-28** 3.0 - 300 500
29-35 1.5 1.0 400 550
36-42 - 2.5 600 600
43-49 - 2.0 700 700
50-56 - 1.5 800 800
57-63 - 1.0 1000 1000
64-70 - - 1200 1100
70-77 - - 1300 1200
78-84 - - 1400 1400
85-91 - - 1700 2500
*first 3 to 4 days, feed colostrum.**ensure a smooth and gradual change to milk replacer
An alternative method is to rear calves with foster mothers. In Italy, suckling an old and less productive cow or even a cow rears
40% of the cow calves. This has several advantages, e.g. little labour is required concerning feeding of the calf and the calf will
secure it’s nutrient intake itself. Calf starters similar to what is mentioned in Table 10 can also be used to feed cow calves.
Table 10. Calf starter mixture
Feed source
Amount
Crushed barley 50 %
Groundnut cake 30 %
Wheat bran 8%
Fish meal / skim milk powder / meat meal 10 %
Mineral mixture 2%
To increase acceptability, add, per 100 kg of starter
Molasses 5-10 kg
Salt 500 g
Calves fed with stovers of maize, bajra and oat cannot meet their nutrient requirements and are often in negative energy and
protein balance. However, feeding the calves with treated stovers with a urea-molasses-salt complex both enhances the
palatability of the stovers as well as the digestibility and nutrient value. Cow male calves weighing 150-200 kg has proven to
increase the intake of treated stovers verses untreated ones and thereby increasing weight gain, nitrogen balance and health.
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Feeding of calves
The calves shall be raised on feeding of whole milk up to 4 months of age as per the milk feeding schedule given in Table 2. The
feeding of calf starter (compound feed) and roughages shall be started at about one month of age. The total green fodders, dry
fodders and concentrate mixture required for calf feeding on an average for up to one year of age is presented in table
Milk feeding schedule of calves
Age of calf Colostrum (kg) / day Whole milk (kg)/day

th
0-5 days 1/10 of body weight (3.0-3.5 kg) -
6-30 days - 3.50 (87.5)*
31-60 days - 2.50 (75.0)
61-90 days - 1.50 (45.0)
91-120 - 1.00 (30.0)
Total milk required for feeding one - (237.5)
calf up to 4 months (kg)
* Figure in brackets show the total requirement of milk
Composition of calf starter

Maize 42 parts
Ground nut cake 35 parts
Wheat bran 10 parts
Fish meal 10 parts
Mineral mixture 2 parts
Common salt 1 part
Total 100 parts
Practical feeding of the heifer
The heifer is the future milk producer and she has to be given a fair chance to produce well. She must have an average daily gain
of at least 500 grams per day in order to reach the optimum size for calving within reasonable time (500 kg at 32 to 40 months).
Unfortunately, many farmers consider heifers to be unproductive and hence they are not properly fed. Lack of feed is often a
reality, it is therefore not possible to feed all animals in the herd with high quality feed. The following advice could be
considered as a rule of thumb, bearing in mind that the quantity and quality of feed varies with the season. Furthermore, the
condition and growth rate of the heifer should be checked regularly to see that she has the approximate growth rate and if not,
adjust her feeding schedule accordingly.
The heifers should be fed green feed of the season of about 4-7 kg DM (dry matter) together with some straw and concentrate
or grain per day. If the green feed is leguminous the ration of green feed and concentrate or grain can be reduced and the
amount of straw increased. However, it is positive to feed the heifers a small amount of grain or concentrate (not less than 0,5
kg per day) for making both them and their rumen accustomed to this type of feed, especially partus.
If available, ammonia treated straw could be given along with low quality green feed and concentrate. Silage could be given to
heifers, but it is often a very valuable feed saved for milk producing animals. However, a few months before partus the heifer
should slowly be introduced to the feed she will have as a milk-producing cow. Maximum voluntary intake of the heifer is
obtained @ approximately 1 to 1.5 kg dry matter of straw together with 3 kg (DM) of green feed and 1 kg concentrate.
Straw fed to appetite is not enough to keep or increase body weight of growing cows. Straw fed to growing stock should
preferably be ammoniated and further supplemented with green feed or hay & some kind of concentrate to give the best result.
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Practical feeding of the dry cow

Feeding the dry cow concerns preparing for partum and a high milk production. In the last two months of gestation the cow has
increased requirements for nutrients for fetal growth. Experiments with HF Crossbred cows has shown that the best economical
way of feeding dry cows 2 months before calving is at 125% of the recommended level for cattle (NRC, 1988). By giving the dry
cow a little more than she needs, her chance to build up the body reserves and to be in good physical condition is improved.
After calving the cow can be fed at 100% of recommended level for cattle (NRC, 1988).
Feed also normally accounts for more than 50% of total operating costs on a dairy farm and is the single largest input cost.
Simply, hay is dried and only has about 10-20% moisture left, while silage is wet, with up to 80% water left. Most feeding
strategies and rations for mature Cows are based on a mix of roughages (pasture, silage, hay etc) which are high in fiber and
concentrates (cereal or legume grains, commercially prepared pellets etc.) which are rich in energy &/or protein.
SILAGE MAKING:
Making a silo
Silo is a pit in a ground, trench or tower where green fodder is stored as silage or a plastic bag (small or large). The size and type
of silo depends on the number of animals, quantity of available feed and the period of feeding.
Harvesting of crops
The crops should contain about 30-35% dry matter at the time of ensiling. The quality of silage
depends upon the stage of harvesting. The crop should be cut just before flowering. This is
because the protein content of the crop is high just before flowering. Leave the freshly cut fodder
to dry in the sun for 2 to 3 hours. Now do a simple test to make sure the fodder has the right
amount of moisture in it. Take a handful of chopped fodder and press it into a ball in your hand.
Squeeze it. If the ball holds together and water comes out when you squeeze it, then the fodder
is too wet and you should let it dry until no more water comes out. If the ball falls apart quickly
it's too dry, and you must add a bit of water to the fodder before putting it in the pit. If the ball
falls apart slowly and there's no water left in your hand then it is ready to put in the silo.
Chopping the crop

Chop the crop into small pieces. Chopping make it easy to compact the silage and to remove the
air. Then chop the green fodder into small pieces about 1 to 2 centimetres in size.Once cut, the
grass falls into rows on the ground. It is left to dry for 6‐18 hours, depending on weather. The
grass stems are full length, up to 45 cm long. A second tractor uses a rake to push three rows of
grass into one big row to make it easier for the forage harvester to pick it up and chops into short
lengths. Silage is then delivered to silage clamp.
Silage Making in Progress and Compaction:
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Filling the silo

All air has to be removed by driving over and compressing silage stack. To
ensure air stays out, the pile is covered in plastic. Tires or weights are then
placed on top of the plastic to seal out air. Fill the material into the
container layer by layer. Compact the crop all the time by continuous
treading. This removes the air inside the silo. Try to fill your silo
continuously in one day. Seal the silo quickly. This will improve and speed up
the fermentation process. Put layers of the chopped fodder into the pit. The
first layer should be about 30 centimetres thick. Spread a handful of salt and
some molasses evenly over the top of each layer. Molasses is thick dark
syrup produced as a by-product while making sugar. The molasses helps
speed the preservation process and gives higher quality silage.
Feeding the silage to livestock

Silage can be fed as a source of roughage either on its own or with other feed sources Well made silage has a shinning look and
greenish or greenish-brown appearance with PH ranging from 3.0 -4.0. While good silage has a flower type aroma, poor/rotten
silage gives bad smell.
Size of the silo
 In a silo with a volume of 2 m³ (2 m long by 1 m wide by 1 m deep) you can pack about 1 000 kg of fresh chips.
 The size of the silo that you want to build will depend on how much silage you want to make.
 But the depth of the silo must not be more than 3.5 m.
 In larger silos, packing is not efficient and spoilage may be high.
 If you want to make more silage, do not increase the depth or the width of the trench. Either increase the length of the
trench or build another silo.
 When you have several silos, you can develop a feeding plan and use them one after another to feed your animals
from.
Cut the fodders for silage making when they contain maximum nutrients and give higher yields per acre. Good quality silage can
be made from the crops which contain more carbohydrates (sugars) and less protein. The uses of non-leguminous fodders are
recommended for making quality and palatable silage. In winter maize, sorghum, Bajra and hybrid Bajra, and in summer barley,
oats etc. can be used for silage making. Well made silage has a shinning look and greenish or greenish-brown appearance with
PH ranging from 3.0 -4.0. While good silage has a flower type aroma, poor/rotten silage gives bad smell. Silage should be
removed from the silo-pit according to daily requirements and the rest be covered with a polythene sheet or tarpaulin.
Corn silage – Pile (Layered on top of the ground surface)
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Alfalfa Hay: Fodder cut, chaffed and dried artificially or under sun is called hay. Freshly cut fodders contain 70 to 80% water,
whereas dried fodders (hay) the, moisture is 10 to 15% only .A well made hay has the same nutritive value for milk production
as the green fodders.
Fodder is key and most important factor for dairy farming. It has been proved to be directly linked with the milk yield of Cow,
and is very sensitive and should be handled with care. A Cow needs a mixture of both protein and energy in the fodder to make
sure that yield is high.
We propose to use alfalfa as well as a mix of concentrate for the use of fodder for the cattle. The advantages of Alfalfa to
choose as dry roughage as below:
Nutrition sense
Low fiber- maximizes a Cows daily matter intake while still meetings the animals rumen fiber requirements. Protein-optimal use
in the ration can reduce purchased supplement expenses. Alfalfa produces at least three times more protein per acre than other
crops grown. High Potassium- Dairy cattle need large quantities of potassium which alfalfa can supply. High calcium- Alfalfa
provides more calcium per ton than any other forage or grain.
Economic sense
Increased profit from alfalfa- Top dairyman knows alfalfa is most profitable crop. Check any farm management records program
and see that alfalfa has been the most profitable crop when compared to other community crops over a number of years.
Higher yields per acre- Improved varieties and better management tools continue to increase yields of alfalfa.
Reduced Risk
Reduced risk- Alfalfa is a rugged crop; improved winter hardiness and diseases resistant of few varieties continue to enhance its
ability to grow and survive difficult conditions. Alfalfa also offers the opportunities for several cuttings during the year so bad
conditions for one period ruined the entire years forage supply. Better production under droughty conditions- With its deep
root system, alfalfa will continue to grow and produce more yields under moisture stress than other crops. Alfalfa will regrow
once moisture condition improves while most grain crops will suffer irreversible yield loss.
Conservation sense
Reduce soil erosion and runoff- Alfalfa provides excellent ground cover which reduces soil erosion and runoff of phosphorous
and pesticides into streams and lakes. Alfalfa is one of the best crops for trapping nitrogen before it gets into ground water due
to its deep root system which extends below the root –absorption zone of most other crops.
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Added manure management options

Alfalfa provides opportunities for manure application several times a year. This helps producer spread their work load and
minimize storage facilities.
Improved soil health

Since alfalfa is a perennial crop that lasts several years, only a portion of grower’s entire acreages needs to be seeded each
spring. Absence of tillage during the life of the stand reduces the breakdown of soil structure compared to annually tilled row
crops. It is to be noted that, fodder is the most sensitive part of dairy farming. It is the main input for the Cows, and is directly
related to the quality and the quantity of the output. We could have the best infrastructure, the best Cows, but if the fodder
quality is not good, or if the mix is not right, it will be directly affected in the output of the milk. In total at the time when we
have 100 herd strength, the total amount of green fodder we will require is 90 Metric ton of Alfalfa.
Alfalfa 5 tons per acre

Harvested every 21 days
Per Day 238 Kgs
Total requirement 10 kgs per Cow
Total requirement 1000 Kgs
Total area Required 4.20 Acres Acres
From the Table above, we can see that to grow the total amount of alfalfa we will require around 4 acres. For this, contract
farming will become necessary and very important. But self dependency will also be very important for the growing of the feed.
By growing little quantities of alfalfa on our own, we will ensure the quality and quantity and be self dependent.
Contract farming will also become very important. We will provide the farmers in the surrounding areas with high quality seeds
to ensure good quality of alfalfa. The positive point for this will be that the farmers will be able to get an assurance and steady
income every three weeks when they harvest. This will be beneficial for the farmers and the surroundings areas and will benefit
the economic condition of the area.
As is clear from the table above, that alfalfa farming will be beneficial for a farmer for basically two reasons. Firstly it can be
harvested every 3 weeks. This gives two advantages. Firstly the farmer can have 17 harvests a year, plus due to the short time
between harvests, the chances of pests are very low. The second reasons why farmers will be beneficial are because we plan to
have contracts with farmers, and the farmer will have a ready and assured market to cater.
1.1.1.1 Formulation of Concentrate mixture

The concentrate mixture required for the feeding of the cows shall be home made and provision has been made for the setting
up of a Feed Mill for the purpose with a capacity of 2 tons per hour The composition of the two concentrate mixtures
(formulations) one for feeding during summer season ( Concentrate I) when cereal fodders are mainly available and the other
(concentrate II ) for feeding during winter season when predominantly legumes fodders shall be available is presented in the
table 2 below. The concentrate I shall have CP value of 20 % and TDN value of 70 % and the Concentrate II shall have a CP value
of 22% and TDN value of 72%.
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Table 11 Composition of concentrate mixture
Sr .No Concentrate I Concentrate II

Name of the ingredient Percent of the Name of ingredient Percent of the
mixture mixture
1 Maize 25 Maize 25
2 Barley 5 Bajra 10
3 Soya oil cake 4 Deoiled soya cake 6
4 Full fat soya (extruded) 4 Groundnut cake (oiled) 4
5 Groundnut cake (oiled) 6 Mustard oil cake 12
6 Mustard oil cake 12 Cotton seed oil cake 2
7 Cotton seed oil cake 4 Wheat bran 8
8 Wheat bran 10 Rice polish 6
9 Rice polish 6 Deoiled rice bran 24
10 Deoiled rice polish 17 Mineral mixture 2
11 Dal chunni 4 Common salt 1
12 Mineral mixture 2 - -
13 Common salt 1 - -
Total 100 - 100
The ingredients of the concentrate mixture for a given level of protein (CP) and energy (TDN) may vary depending upon their
market prices at a particular time. The feed formulation, therefore, need to be periodically revised in consultation with the
expert in order to formulate a least cost ration.
MINERALS: Minerals play a vital role in the proper functioning of animal body and at least 24 are known to be required by dairy
cattle. A deficiency of any particular mineral can have a bad effect on animal health and performance. The quantity and the type
of mineral requirement of an animal depend on its health and the production ability. Dairy animals in late pregnancy and those
giving high milk yields gain great benefits by feeding of minerals. It is important to add mixture of minerals in Cow and cow
rations to get more profit from a dairy enterprise. The importance of a few minerals is described below.
MINERAL MIX REQUIREMENT FOR DAIRY CATTLE:-

Milking Cow: 110 grams per day
Heifer: 20 grams per day
Pregnant heifer: 30 grams per day
Calf: 10 grams per day
Qualities of Good Ration:
A ration should be balanced in every aspect. By giving balanced feeding to animals we can make full use of their production
potential. The feed should be palatable to enable the animal to eat it to its full capacity. Any feed which is rotten or
contaminated with fungus is not liked by the animals. To make feed more palatable 3 to 5% of molasses can be used.
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Importance of Feed Centre Planning:

Efficient labour management
• Managing the acquisition and / or preparation of feed (forages, concentrates, commodities)
• Small farms sometimes don’t have the ability to make good forage, lack of equipment/know-how/time/focuses. The
competence or advice on proper nutrition may also be lacking.
• Reduce the cost of feeding (50% of the daily cost in running dairy)
• Feed Centre can utilize TMR (Total Mixed Ration) in the best way
Components of a feeding centre

• Feed acquisition
• Storage of Forage
• Concentrate
• Commodities
• By products
• Delivery to blender
• Blending
• Distribution
• Control
Formulating Rations
In a simplified view formulating a dairy ration begins with calculating what level of Dry Matter intake a Cow of a certain body
weight is like to have and finding from established tables what level of energy and protein will be required for her body weight
and daily milk production. From this, an estimate of the likely consumption of available roughage can be made. After assessing
the nutrient content of this roughage, various concentrates, by-products and supplements can be added to the ration to top-up
the required levels of different types of energy, protein and minerals required. These ingredients need to be balanced to ensure
the Cow receives enough of fiber of the right particle length from the roughage and to ensure good palatability to give sufficient
dry matter intake. The ration calculation should also take into account relative costs of various ingredients so that a least cost
combination can be arrived at, without sacrificing palatability of the ration. In order to calculate the ration, and control whether
Cows perform as expected from it, certain basic information must be available:
 Available feedstuffs with prices, dry matter content and analyses of nutrient values;
 Dry matter intake for individual or groups of Cows;
 Milk production for individual or groups of Cows;
 Milk compression for individual or groups of Cows;
 Body condition scoring; and
 Health record for the herd.
A ration calculation should be made every time there is a change of feed, or any group of
Cows does not perform as expected from the ration. In a large herd formulating rations
for all groups of Cows and young stock is an ongoing and specialized process. In addition
to the many tables of nutritional requirements of dairy cattle there are many different
software programs available today to help calculate dairy rations. In most cases a large
dairy-farm will contract for employ the qualified dairy nutritionist to formulate rations.
Concentrate storage
FODDER PRODUCTION:
The importance of high quality fodder in economic milk production cannot be over emphasized. The land needs to be leveled,
ploughed and contours made. Grasses like Co-3 (Hybrid Napier)/Co-4 is found to grow well in that area and it can be the
principal fodder. The estimated production per ha per annum under full irrigation ranges from 200-250 MT. However, hay
production from Co-3 will be difficult because it is succulent and unfavorable leaf stem ratio. This calls for efficient utilization of
farmyard manure as slurry and assured source of irrigation. The slurry (dung + urine + shed washings) shall be stored in
underground tanks adjacent to the cattle sheds and carried to the fodder plots)
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6.2 BREEDING AND REPRODUCTION MANAGEMENT

Objectives:
To upgrade all cows to a level of 75 % from the cows which have been purchased with varies level of Holstein blood which might
have ranged from 50-75 %.
The success of a commercial dairy farm depends to a great extend on the breeding efficiency. In order to ensure steady genetic
progress and to avoid or minimize inbreeding, Artificial Insemination (AI) using frozen semen is recommended. Mating shall be
strictly controlled and monitored through a mating program to be revised every year. Natural service should be avoided, to the
maximum possible. Proper identification, individual performance recording and a herd book system are inevitable to ensure
scientific breeding practices.
The farm should aim to attain and maintain the age at first calving of 25-30 months and a calving interval of 12 months. This is
attainable under proper feeding, housing and reproductive management. The heifers should be regularly examined and
corrective action taken to ensure that they start cycling at an early age and conceive between 16-24 months.
Breeding Program
Method of breeding: Through artificial insemination using semen of genetically superior and progeny tested proven bulls.
Breeding infrastructure: AI lab shall be set up at the farm with all needed equipments and facilities. The veterinary
stockman/farm manager to do the AI.
Source of superior germplasm/semen: Purebred HF semen from top ranking bulls shall be purchased from available sources
within India i.e.Hesserghata Farm, NJF Ootty, BAIF Pune, Beedaj Farm Gujarat etc OR can be imported from Various
International reputed Suppliers i.e. CRI –India Gen, WW Sires etc after obtaining the license and must be used on the crossbred
cows producing more than 4500 kg of milk in the previous lactation. The first filial generation crossbred cows and other low
producing cows may be further upgraded to 75 % of Holstein inheritance by using the semen of purebred Holstein bulls which is
also available at some of the institutional semen banks. Once the business of dairy production has stabilized and the farmer has
gained sufficient knowledge and experience in dairy production, all the cows may be upgraded to 75 % of Holstein inheritance
so as to give further impetus to cow productivity.
Targeted Inter-calving period: The AI to be done between 60-90 days of calving so that the inter-calving period is maintained
between 12-14 months
6.3 MATERNITY AND BREEDING

Breeding, fertility and management of calving are critical factors in the profitability of dairy-farming. They directly affect calving
interval, costs of reproduction, culling rates and success of calf rearing, which have a major impact on production level, total
costs and profitability. As with many areas of management good record keeping is vital for a breeding program to be successful.
Calving interval
Much research has been done on the economics of calving intervals and most concludes the optimal interval to be around 365
days for most herds. Some research suggests that for very high yielding herds the optimal calving interval may be a little longer.
In either case an interval less than the optimal requires cows to inseminated before they have adequately recovered from there
last pregnancy and lactation resulting in reduced milk yields. Longer calving intervals mean cows have a longer late lactation or
dry period where daily milk yield is low or none. This again reduces average daily yield and can also cause metabolic problems if
cows become fat.
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Although most cows will begin cycling soon after calving, most cows should not be first inseminated before 50-75 days after
calving, which is normally the second or third heat. This gives the cows time to restore body condition after calving and
improves insemination rates. However not all cows will cycle in this time, not all heat events will be detected and not all
inseminations will be successful and a 365- day average calving interval difficult to achieve. An average of 375-390 days is
considered good for a non-seasonal herd. Some cows will be culled solely because they have an extended calving interval due
to being difficult to get pregnant, or fall too far out of the planned calving period for a seasonally calved herd.
Heat detection and Record Keeping
Once cows are cycling heat must be accurately detected to achieve a successful insemination. This is made more difficult in
hotter climates because the activity exhibited by cows in heat and the length of heat lower than in cooler climates. Keeping an
accurate herd diary of when cows first come into heat after calving can help predict when they should next be in heat, as cows
will normally come into heat every 18-24 days.
Heat can be divided into early, standing and late heat. Standing heat a period of about 15 hours where signs of heat are most
obvious and from which insemination timing can be gauged. During standing heat cows stand while being mounted, may also
mount other cows, are restless, bellow, have a red and swollen vulva, may sniff at other cows reproductive organs may have
less appetite and drop milk production.
In a larger herd a systematic system of observing and recording heat is critical to good reproduction. Cows likely to be in heat
should be observed by someone experienced in heat detection 2-3 times per day. Heat detection can be further improved if all
personnel involved with cows are trained in heat detection and have a system for reporting any heat activity. A good recording
system is invaluable and should track all reproductive events such as, calving, last confirmed heat, planned timing for
insemination, pregnancy checking etc. In a larger herd the computerised Alpro cow calendar not only keeps track of these
events, but can also predict heat dates, and alert the manager which cows are most likely to require attention. The system can
also be set to automatically draft these cows from the group.
Other aids to heat detection exist including paint-filled patches and other marking devices designed to highlight cows that have
stood while being mounted. A more modern addition to these tools is the Alpro Activity meter, which with the Alpro Processor
collect and carefully screen information on cows’ daily activity level. This information especially when combined with an
accurate cow calendar, milk yield and feed consumption information can very accurately uncover cows likely to be in heat. This
technology has successfully replaced some of the manual heat detection required is some larger herds.
Determining what the average calving interval is a useful measure of the overall success of a breeding program. However
analysis of what part of the reproductive process needs improvement requires records of timings of first heats, heat intervals,
number of inseminations per pregnancy, number and type of abortions etc as well as the type of genetics used.
Timing Insemination
Once standing heat is detected insemination should be timed between 5-20 hours from the start of standing heat. The start of
standing heat can sometimes be difficult to gauge as it may often start overnight when staff are not observing cows. A key
advantage of the Alpro Activity meter is that it not only highlights cows likely to be in heat, but can also show when the higher
activity and standing heat first started. If the start of standing heat is known insemination should be ideally timed 12 hours
later. Having a trained AI technician available all hours a great advantage and especially important in hotter climates where the
length of standing heat is shorter.
In more temperate climates an AM/PM rule is often practised successfully. Here cows first observed in the standing heat in the
morning (AM) are served in the afternoon; those first observed in the PM are served the following morning. Inseminated cows
still showing signs of standing heat at the next (PM or AM) insemination timing should be reinseminated.
In all cases the quality and fertility of semen used should be carefully chosen and semen storage should be excellent.
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Follow-up Observation and Pregnancy checking
Unfortunately many inseminations will not result in pregnancy and some embryos will abort soon after conception. Therefore
heat detection should continue for at least 3-6 weeks after insemination. Normally any cow that comes back into heat will be re-
inseminated, although if a cow repeats several times, she may be checked by a veterinarian or considered for culling. Cows
that have not shown signs of heat 6-8 weeks after insemination can be thought to be in calf but should checked for pregnancy
by qualified staff or a veterinarian.
Pregnancy & Drying off
During the later part of lactation cows should be fed to yield. Cows should be allowed to regain a medium body condition but
not become too fat. To dry cows of they should be separated and put on a low energy diet, milking may drop back to once per
day for 5-10 days for higher producing cows. At drying off cows with a history of mastitis may be treated with a ’dry cow’
antibiotic therapy, and hoof trimming and other foot care should be carried out. After drying off a ration designed to maintain
their body condition and allow for growth of the calf, with a steam-up ration being fed in the last 2 weeks before calving.
Particular care needs to be taken to provide the correct amount of vitamins and minerals. Normally calcium is restricted before
calving to improve the cow’s ability to absorb Ca from the feed. This helps avoid milkfever after calving, when the cow must
extract large amounts of calcium from the feed to sustain a rapidly increasing milk production.
Calving and Hygiene at Calving.
When the first signs of calving appear, which may be up to 4 days before calving will actually occur, cows should be moved into
a comfortable, well bedded and ventilated calving cubicle or into a group calving box or corral. The cow is particularly
susceptible to infection around the time of calving due to having a suppressed immune system any equipment used to assist
calving should be kept clean and hygienic. Any uterine or vaginal infections can have a large effect on the success of future
reproduction. Calving cubicles or corrals should have manure, calving debris and bedding removed regularly and be kept as
clean as possible. In some areas it has also been recommended that individual calving boxes are used and are carefully cleaned
and disinfected after each calving to reduce the spread of Jhones disease.
After calving the cow should be kept in the calving box or corral for 1-3 days to recover and be kept under close observation to
ensure the placenta is expelled and for any metabolic disorders. Colostrum milk should be collected analysed for antibody
density and either disposed or stored for calf feeding. After this the cow is moved into the fresh cow group but is kept under
observation.
Metabolic and Digestive problems
In the days and weeks following calving the cow must be observed for a number of metabolic and other disorders such as
retained placenta, ketosis, milk fever, displaced abomasums, and fatty liver syndrome. Also the cow is more susceptible to
mastitis and foot infections around calving. When these problems are observed trained staff or a veterinarian must carry out
treatment, however a correct feeding regime is the best prevention for many of these problems.
Treatment /Maternity Centre
Traditionally cows are locked with automatic headlocks at the feeding tables, and then insemination or other treatments are
conducted from the manure alley or from the feeding table. This requires the equipment used to be moved to various locations
in different buildings, frequently causing equipment to be dropped into manure or feeding areas or to be damaged. This can
also be an inefficient use of time for more highly paid veterinary staff.
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A more efficient alternative is when cows can be separated automatically during milking by the ALPRO ™ SORT Gate System into
a retention alley and then transferred to a treatment centre. There activities such as insemination, pregnancy and health
checks, vaccinations and hoof treatments can be better organised in specially designed races or treatment boxes. This provides
cleaner and safer working conditions, with better access to tools. This section has ongoing activities separately from other
activities like milking, feeding or manure scraping.
In some situations a centralised treatment area has been combined with conducting mass-treatments, such as vaccinations for
the whole herd, in the retention lane as cows leave the parlour. This has allowed headlocks to be replaced with a simpler
feeding-fence, which dramatically reduces the cost of the feed table construction. However the benefit of not having to lock-up
and move between all cows to conduct treatments has to be weighed against the job to return treated cows to correct groups.
In larger herds some of the more frequent or mass-treatments may still be better conducted in headlocks at the feed table. In
any case an analysis of the type and frequency of these treatments should be conducted to determine which type of activities
could be conducted in the treatment centre and whether headlocks are still required.
Traditionally calving cubicles, where close observation and much of the veterinary activity takes place were located somewhere
in the dry cow barn. Alternatively calving cubicles or corrals may also be located in an integrated ‘Maternity and Treatment’
area so most veterinary activities can be concentrated in one location.
Central treatment and maternity area with all facilities for treatment close at hand.
Hoof-trimming crush for Hof Care of Animals
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6.4 MANURE MANAGEMENT AND HANDLING

Manure – Waste or Resource
Manure, the mixture of cattle dung and urine with bedding material, is the major by-product of milk production which can be
considered as both a waste to be disposed of and as a resource for pasture and crop production.
Manure left in barns can harbour bacteria, which cause environmental mastitis and other diseases. Manure slurry which
collects in pits or channels and is left to sit in anaerobic conditions can produce ‘manure gases’ consisting of carbon dioxide,
methane, ammonia and hydrogen sulphide which can be harmful to both cows and to people working in barns. Manure should
therefore be removed from the cows’ immediate environment on a regular basis. This is a major task as each cow producing
around 7000L of milk per year will also produce around 20m3 manure if collected in a slurry form, or more if collected in semi-
solid or solid forms. This requires a handling system that minimises any manual handling.
The manure collected can also be viewed as a resource the 20m3 slurry produced from each cow contains valuable nutrients for
pasture and crop production (around 95kg N, 15 kg P and 90 kg K). Slurry can also benefit soil structure to grow better crops. It
is important therefore that the manure is collected in a form, which is readily spread for crop production.
MANURE HANDLING:
Automatic / Tractor Manure Scraping

The manure will be cleaned from the sheds with help of tractor two-three times in a day while cows in the milking parlour. This
system is cost effective to construct and requires very little labour for manure collection other than periodic maintenance. The
sheds are designed to be used with automatic scraping in future. This consist of automatic scraping in manure and feeding alleys
with Delta Master scraping system to a cross channel drains, which scrapes the manure to a manure collection pit outside. From
the manure pit the manure is pumped into a 10-m³-transport wagon for distribution back to the fields or further storage in a
lagoon.
Page 48 of 56
6.5 FARM PERSONNEL DETAILS: Employee Plan
Job Title Functions
Owner/ Farm manager Company management, sales management,

promotion and market development,
bookkeeping, cost accounting, billing,
coordinating and developing business plan
Fodder production and facilities manager Fodder production and management,
production management, supervising workers,
worker training, scheduling and coordinating
repairs and maintenance, upgrading and
developing facilities.
Farm Veterinary surgeon Treatment of Cows, Insemination, General
Cow health management etc.
Livestock assistants, Feeding Supervisors Supervision of all farm practices; logistics and
handling; general maintenance.
Production workers /Milkers Farm Activities – Health related; Manure
handling; Herd handling; Equipment
operation; Feeding milking Operations
Drivers for Feeding and Manure with Milk Handling TMR feeding to Cows, Manure scraping inside
the sheds, Milk delivery to the
processor/customer.
Maintenance , Office Administration Clerical cum accounting Jobs, Technician for
Maintenance of mechanical, plumbing and
electrical equipments etc
Part-Time Labour All day to day pending assignments and special
works.
The contractual manpower required for the smooth carrying out of all activities of the dairy farm along with their monthly
salaries and total expenditure on labour is presented in Feasibility analysis. One well experienced full time Dairy Farm Manager-
cum-Veterinary Officer may be appointed to look after the routine activities of the dairy farm and for the supervision of animal
health and reproduction. Three veterinary stock assistants may be appointed to supervise and to assist the farm manager in
carrying out his farm activities. The labourers engaged at the farm should have a good experience of working at the dairy farms.
Eight to ten workers shall be trained for the specialized jobs at the dairy farm such as the operation of milking machine,
attending to the calving and the care of new born calf, tattooing of new borne calves for identification, dehorning, heat
detection and AI etc. All farm activities may be performed as per daily work schedule to be prepared in advance.
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6.6 FARM MACHINERY AND EQUIPMENTS:
Sr No Item No
Tractor (50 HP) with Front Loader 1
Milk Tanker –Insulated for milk delivery –OPTIONAL
High capacity Chaff cutters equipped with conveyer 2
belt and safety measures (forward, reverse and
neutral gear) with blower with PTO shaft for operating
with 20-35 HP tractor. Capacity of chaffing green
fodder 80-90 quintals per hour and chaffing of dry
fodder 20-30 quintals per hour including 25 HP electric
motor and starter
Workshop tools and accessories 1

Tractor operated dung/slurry scraper 1
Office furniture and accessories 1
Miscellaneous (Electric dehorner, tattooing set, plastic 1
animal identification tags, shovels, veterinary first-aid
set, cattle crush/crate, microscope, surgical tools,
essential veterinary medicines, milk weighing balance,
registers and stationery, etc.)
6.7 HERD PROJECTION- Assumptions

The herd strength of cows for five years from the establishment of the dairy farm at the end of each year is given below. The
herd strength has been calculated by taking into consideration following assumptions:
Calf mortality : 10 % mortality in calves up to one year of age
Heifer and adult mortality : The rate of mortality and culling due to disease, poor growth, infertility etc. has
been taken between 5-10 % per year.
Male to female ratio : 50:50
Inter-calving period : 12-14 months
Average birth weight of calves : 30-35 kg
Rate of daily growth of calves : 500-600 gm
Age at first calving : 24-30 months
Annual selling off after 4 lactations : 25 %
Sale price of culled (sold) cow’s : 2/3rds of the purchase price (Rs.30000)
Disposal of surplus male calves : at 1 month or earlier
Milking to dry cows ratio : 75:25
Page 50 of 56
7. EXPECTED INCOME AND VIABILITY OF THE PROJECT

The farm shall generate a net income of about Rs 36.84 Lacs in the first year which shall rise to about Rs 54.64 Lacs in the
second year. The net profits shall again rise to about Rs. 77.63 Lacs in the third year as farm grown cows are added to the
producing herd and the number of cows in milk is increases to 18 Ltrs. However, the real impetus to the income shall come in
the fourth year onwards account of freshly added farm grown cows to the herd coupled with the income from the sale of old
cows. Fourth year net income will be about Rs 85.91 Lacs & Fifth year net income will be about Rs 109.91 Lacs.
The loan amount of Rs. 227.67 Lacs will get fully repaid within / before 7 years from the start of the project leaving some
additional income for the personal needs of the entrepreneur after paying the loan installment. Thus the dairy project is
technically feasible, economically viable and sustainable venture.
The sale price of milk offered by milk cooperatives or the private milk processing industry has been taken into account while
calculating the economics. It will be pertinent to mention here that as the cows are fed, housed, managed and milked under
standard condition and cleanliness and hygiene is maintained at each stage of milking, cooling and transportation; the chemical
as well as microbiological quality of the milk produced shall be much better than the quality of milk available in the market.
Therefore, it will be a worthwhile proposition to sell the quality fresh milk directly to the consumers at their doorsteps or be
supplied to the bulk milk consumers such as hostels, hotels/restaurants, hospitals, sweetshops to get benefit of higher price of
quality milk. In subsequent years milk processing facilities may be set up for the production of value added products. The net
income and the annual rate of return are expected to be much higher under such a situation.
i. Implementation:
The plan is to start the construction in May 2015 and finish the first phase construction activities by September / October 2015
and start the dairy operations in November 2015 after the successful installation and commissioning for the equipments for the
dairy farm
ii. Project Lifecycle:
It is important to follow certain rules and guidelines during the project development to ensure that it will become the success
that it is meant to be.
iii. Project Initiation:
In this first stage, the scope or objectives of the project is defined. This would include an economic or feasibility study, taking
the fixed (Construction, equipment, vehicles, animals etc.) and variable costs (Electricity, feed, veterinarian, waste management
etc.) into account. The project deliverables (milk production, animals for herd expansion and replacement, animals for similar
projects etc.) will become part of the initial business plan (feasibility study) and will provide many of the control points during
the project implementation and execution.
The outputs or reports during the initiation stage will include a Business Plan, Project Framework (or Overview), Feasibility study
and Milestones Reviews.
Page 51 of 56
iv. Planning
The second phase should include a detailed identification of all activities for the development and on-going success of the
project. It is crucial that the risks for the project be defined as well as the milestones set to reach all the deliverables. A project
of this nature is not a purely mechanical or engineering project as it involves many biological processes as well that has to be
understood and monitored for the on-going success of the project. Therefore, this phase will require a lot of additional
information on the management of dairy animals, crop production, animal welfare and animal behavior, forage conservation
(silage and hay production) and herd management for profitability. It would not be possible to cover all these areas in the scope
of this document, it is however important to identify these processes during the planning phase.
Execution (Implementation) and controlling

During this phase it is important to ensure that the project activities are properly executed and controlled. During the execution
phase, the planned processes I.e. construction of the facility, procurement of animals, feed and ration considerations, animal
health aspects are implemented, according to the time schedule and milestones identified in the planning phase.
Closure
In a project of this nature, this stage may be reached when the animals move into the milking parlour for the first time. This
phase is characterized a formal acceptance of the final product by the client. This point is also then the initiation of the
biological processes that would ensure the profitability and sustainability of the project. From this point on, monitoring and
control of all the processes on a dairy farm kicks in.
v. Marketing Plan
Dairy farmers have expertise in the efficient production of milk and generally do not have expertise, or want to be involved, in
detailed oversight of the processing, packaging and marketing of the products made from their milk. However, they do want to
be satisfied that these manufacturing and marketing functions are carried out in their best commercial interests.
Dairy farmers therefore require two things from the marketing system. Those requirements are that it:
• Maximizes the returns received for milk; and
• Provides a basis for dairy farmers being sure that this is recurring.
Our marketing activity hinges on a marketing 100% off take of the farm produce, mainly milk in the beginning and also to go
for value addition in terms of Paneer, Ghee & Khoa. We also wish to start our marketing activities to sell it directly in the
local market.
This shall provide us greater leverage in terms

of:
1. Secured off take
2. Income stability
3. Improved Efficiency
4. Market Security
5. Access to Capital
The milk produced shall be processed / Value Added in terms of Paneer, Ghee & Khoa; which will be
sold under the brand name of SHANTA MILK. A sustained effort shall be put in to enhance brand equity
and expand this business.
Page 52 of 56
8. Other Allied Plans

Dairy farming is not only about making Cows but it is more than that. The quality of milk which is available because of the new
technology and the new modern concept cannot be compared to any other milk. As the milk is fresh the milk is use for
producing more products such as cheese, butter and also skim milk plant. We in Shanta Dairy Farm, plan to set up a completely
integrated dairy farm which will include biogas plant and the processing plant, for production of SMP and butter.
A. Milk Processing Plant
We intend to put up Dairy milk processing plant by two means. We will develop the value chain in terms of Satellite farms OR
we will procure milk from nearby areas by setting up bulk coolers at village across our farms, we are confident of procuring
rd
3000-5000 Ltrs of milk in the 3 year.
B. EMBRYO TRANSFER TECHNOLOGY AND BULL STATION
We also plan to setup embryo transfer laboratory and station for improving the productivity of the animals. We will import the
Tested Embryos from outside
C. BIO GAS PLANT
Today, we live in an age where conservation of natural resources is very important. The rate at which we are exhausting the
natural resources is alarming, and this is the right time, when we should start using alternatives methods of [producing energy,
which is green. The main objective of the bio gas plant is to prove the world that we can produce electricity in a commercial way
from the manure. India has the largest number of livestock in the world. If utilized properly, India will be able to produce
enough electricity to power the villages in India.
One of the Bye-products of the dairy farming is manure, which if utilized properly can result in a lot of benefit by keeping
around 500 animals, they will produce almost 10 Metric tons of manure. Anaerobic decomposition of manure is a two stage
process as specific bacterial fed non certain organic materials. In the first stage, acidic bacteria dismantle the complex organic
molecules into peptides, glycerol, alcohol and the simple sugars. When this compound has been produces in sufficient
quantities, a second type of bacteria start to convert this simpler compound into methane. These methane producing bacteria
are particularly influenced by the ambient conditions, which can slow or halt the process completely if they do not lie within the
fairly narrow band.
Anaerobic digestion of organics will proceed best if the input materials consist of roughly 8% solids. In the case of the fresh Cow
manure, this is the equivalent of dilution with roughly an equal quality of water. The central part of an anaerobic plant is an
enclosed tank as the digester. This is an air tight tank filled with the organic waste, and which can empty of digester slurry with
some means of catching the produced gas.
The biogas in an anaerobic digester is collected in an inverted drum. The walls of the drum extent down into the slurry to
provide a seal. The drum is free to move to accommodate more or less gas as needed. The weight of the drum provides the
pressure on the gas system to create flow. The biogas flow through a small hole in the roof of the drum. A non return valve here
is a valuable investment to prevent air being drawn into the digester, which would destroy the activity of bacteria and provides
a potentially explosive mixture inside the drum. The Biogas is 55-65% methane, 30-35% carbon dioxide with some hydrogen,
nitrogen and other traces. Its hearing value is around 600 B.T.U. per cubic foot. Natural gas consists of around 80 % methane an
eats yield a heating value of around 1000 B>T>U. per cubic foot. For using Bio Gas to produce electricity, Bio gas must be
cleaned to get rid of the other gases and have completely 199 % methane. A simple cleaning system could be filtering the gas
through limewater to remove carbon dioxide, iron filings to absorb corrosive hydrogen sulphide and calcium chloride to extract
water vapor after the two passages. The methane then would be compressed and be used in Natural gas generators for
production of electricity.
Page 53 of 56
This will be completely clean energy we plan to use such energy for keeping the earth clean. The excess electricity will be
distributed to villages for their economic development. The residue of the manure after the biogas is the purest form of the
organic manure, which has a huge demand in the surrounding areas. This would be sold at Rs. 2.50/ per Kg. The electricity from
the Bio gas plant would be used for the plant requirement, and the excess electricity would be transferred to the surrounding
areas.
D. EMPLOYMENT GENERATION
As discussed before that along with this we will be doing contract farming with farmers in the surrounding areas for the
procurement of Alfalfa. This will also lead to increase in employment and the economic benefits of the surrounding areas. The
basic advantages of contract farming are:
 Inputs and production services such as seeds, etc will be supplied by us

 Contract farming introduces new technology and enables the farmers to learn new skills
 The farmer’s price risk is reduced as many contracts specify prices in advance.
 Alfalfa is a high yield and can be harvested many times a year, resulting in more for the farmers.
We are confident that these dairy farm we will benefit the whole surrounding area, by increasing employment, but also with the
help of contract farming, increase economic conditions of the farmers.
E. LAND UTILIZATION
In conventional dairy farming land used to keep a very important role. To keep a number of cattle, grazing land use to keep for
the cattle to graze. The method which we are using has been adopted successfully all around the world, is more modern and
leads a better land utilization. The cattle are kept in a controlled environment, which is pleasant and hence the cattle can be
more
F. BENEFITS TO SURROUNDING AREAS
Along with creating the dairy farm and the other plants, a key important objective of Landmark Dairy would be developing the
economy of the surrounding areas. This would not only be done by giving employment but by creating opportunities as well.
Best development is to see that along with us, the surrounding areas also develop. As we will have technical expertise, we
would upgrade the animals around surrounding areas to increase yield of farmer’s animals as well to attain total procurement.
The second most important benefit would be contract farming. With the help of contract farming, the farmers will get assured
and steady earning as has been discussed before. This would also increase the total economic condition of the area. This would
be further boosted as we would give the farmers training for cultivation of fodder and dairying. Training would be very
important; farmers would learn the use of technology. The final aim for the areas would be the use of RIFD technology, for their
own herd to control and manage the yields of their own cattle. We would hope that the farmers looking at the profit in this
would slowly increase their herd strength and in the end develop the total economy.
The manure compost from the bio gas plant is the purest form of organic manure. There is a huge demand for this, as the whole
world seems to be going organic now. The excess organic manure would be distributed to the farmers, to maximize their profits.
Thus we can see that with the help of these integrated projects, thousands of lives will be changed. It it will develop all the
surrounding areas, benefits the farmers and increasing the economic conditions.
Page 54 of 56
9. MARKET (DEMAND-SUPPLY IN INDIA)

Macro-economic overview:
India’s macro-economic fundamentals are strong Currently India is one of words fastest growing significant economies. The
current value of GDP is US$ One Trillion. In purchasing power parity teams it is over $ 4 trillion. For the last 4 years India’s GDP
growth registered an annual average of over 8%. Specifically during fiscal 2006-07 the growth registered a new high of 9.4%.
Manufacturing sector and services sector both continue to record double digit growth foreign trade has been expanding at
anything between 15 and 20 percent a year in dollar terms and currently foreign exchange reserve is over US%230 billion. FDI
flows have risen remarkably albeit from low base. Importantly India is the world’s third largest producer of food, there is
optimize that economic growth can be sustained at close to 10 % a year over next five years 2008-2012 represents India’s
Eleventh Five Year Plan.
1] Indian Agriculture Economy accounts for 20 % national GDP. Agriculture growth has fluctuated depending on monsoon
performance Indian Govt. is aiming at 4% Agriculture GDP growth to achieve 10 % overall GDP Growth.
2] Industry sector has grown over 9.5% per annum and expected to grow over 10%.
3] Average service sector GDP growth is 105 thanks to export of information technology.
4] Overall GDP growth in last 3 years is over 9.55 for the next 5 years.
Reflecting changes in the economy environment the vegetable oil complex represents a significant part of agribusiness in India
has witnessed considerable changes in business conditions in recent years in the wake of economic liberalization.
It is with this background I have made an attempt to assess the current and future drivers of oils and fats supply and demand
and to examine their effect on the domestic market
Dairy is important source of subsidiary income to small farmers and agricultural laborers. The manure from animals provides a
good source of organic matter for improving soil fertility and crop yields. The global gas from the dung is used as fuel for
domestic purpose as also for running engines for drawing water from well the surplus folder and agricultural by products are
gainfully utilized for feeding the animals. Almost all draught powder for farms operations and transportations is supplied by
bullocks. Since agricultural is most seasonal there is a possibility of finding employment throughout the year for many persons
through dairy farming. Thus dairy also produce employment throughout the year the main beneficiaries of dairy programs are
small farmers and landless labors. A farmer can earn a gross surplus of about Rs.12000 per year from a unit consisting of 2
milking cows the capital investment required for purchase of 2 cows is Rs. 18223. Even after paying a sum of Rs.4294 per annum
toward repayment of loan and interest the farmer can earn a net surplus of Rs.6000-9000 approximately per year even more
profits can be earned depending upon the breed of animal.
According to World Bank estimates about 75% of India’s 940 million people are in 5.87 million villages, cultivating over145
million hectares of cropland. Average farm size is about 1.66 hectares among 70 million rural households 42% operate up to 2
hectares and 37 % are landless households, these landless and small farmers have in their possession 53 % of the animals and
produce 51% of the milk. Thus small farmers and land less agricultural labors play a very important role in the milk production of
country. Dairy farming can also be taken up as mail occupation around big urban centers where the demand milk is high.
Scope for Dairy Farming and its National Importance
The total milk production in the country for the year 2001-02 was estimated at 84.6 million metric tones at this production the
per capita availability was to be 226 grams per day against the minimum requirement of 250 grams per day as recommended by
ICMR. Thus there is a tremendous scope for increasing the milk production. The population of breeding Cows and cows in the
milk over 3 years of age was 62.6 million and 42.4 million, respectively. Central and state governments are giving considerable
financial assistance for creating infrastructure facilities for milk production. The ninth plan outlay on animal husbandry and
Dairying was Rs.2345 cores.
Page 55 of 56
Demand Drivers:
Like in any developing economy major demand drivers of Indian vegetables oil economy includes GDP growth, population
growth, possible changes in consumption pattern and of course, Government policies. Each one of them can uniquely impact
demand. India’s population continues to grow at 1.8$ per annum and average GDP growth of last four years was over 8.0% and
last two years was over 9.0%. The policy makers are aiming at 10.0$ GDP growth in the current eleventh five year plan period.
This will further boost the demand for food products including edible oil. Recent spurt in vegetable oil prices has slowed or
squeezed the natural growth in demand. Indian market is price sensitive and Indian demand price elastic.
Supply Side Scenario
Given the complexities of Indian situation supply estimation is tricky. Supply forecast has to take into account several variables
including domestic oil seeds output. Government policies relating to imports, tariffs and local taxes health of the domestic
processing industry international prices and exchange rate of the rupee, among others
Conclusion:
We realize that setting up a dairy farm is a very sensitive project but we also know that this is the next step / fortunes for dairy
industry in India with Commercial & Sustainable Dairy Farm Setups to fulfill thriving demand of Quality & Quantity…
“White Revolution from Commercial/Organized Dairy Farming”
Page 56 of 56

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Detailed Project Report (100 Cows)

SHANTA TRADEXIM PVT LTD, INDORE

SHANTA TRADEXIM PVT LIMITED.

Dairy Site: Village - Wani,

Sachin Patil / Vishal Vashisht

1. PROJECT BRIEF OVERVIEW

2. Details of the Project

2.1 BREAK UP OF PROJECT COST

Description of Components Total (Rs in Lakh)

Civil Construction 9469776.00

Total Project Cost 30356192.00

2.2 MEANS OF FINANCE

Equity Share Capital 7589048.00

Margin money (to be contributed by the 7589048.00

2.3 NET INCOME AND BREAK EVEN ANALYSIS

3. Feasibility of the Project

3.1 NEED OF THE PROJECT

Scope for Dairy Farming and its World/ National Importance:

Table 1: World total milk production in 2009

World total milk production in 2009

3.2 Scope of the project:

3.3 Demand and Supply Scenario of Indian dairy sector

 Increase the production of value added dairy products

3.4 SWOT Analysis of Indian Dairy Sector

3.4 OBJECTIVES OF THE PROJECT

i. Short Term Objectives:

ii. Long Term Objectives:

iii. Goals of the Project

Establish a safe working environment through training programs and supervision

3.5 BACKROUND OF PROMOTERS

Details of land owned by the group are as under:

Name: SHANTA TRADEXIM PVT LIMITED (Mr. Sanjay Vyas)

Educational qualification: Chartered Accountant

Another Business Vertical of the Group:

Mr. Sanjay Vyas – Director / Promoter

3.5 Introduction to DeLaval

DeLaval Provide Single Window Solution:

DeLaval India - Head Office at Pune DeLaval local Presence

No. of project customer : >100

Milking machines : > 9000

Cooling tank installed : > 4000

Average yearly growth : 30%

DeLaval Branch Office – Anand, Delhi, Indore, Raipur

Total Dairy Farm Investment in the project is divided in 3 steps.

4. Dairying in India and line of Activity

Table 2: Typical composition of cow milk

Processed Milk Products

5. THE DAIRY FARM PROJECT – PHASE I

5.1 Parameters of Project Requirements and Details

 Topography and Drainage of soil types

C) Site Layout and Construction of Infrastructure

i) Site Planning Layout for Ease of Monitoring

ii) HOUSING OF ANIMALS

Milking Cows : The company intends to construct Loose- Housing Cow

Modern Free stall barn with Free stall Cubicles

FLOOR SPECIFICARTIONS IN THE DAIRY COW SHEDS

• No construction obstacle must interfere with cow or personnel traffic.

Dry cows shed

iii) Alleys and gates – sizing for traffic