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Development Of Livestock Enterprises Through Science, Technology And Marketing Support
M.Subhan Qureshi, PhD
Coordinator CM-LDP
Tel.9210218, Fax 921220

6. Objectives:

i. To establish a network of high quality professionals and institutions for providing technical, financial and marketing support to livestock farmers.
ii. To minimize the losses at the livestock farms associated with under-managed health, reproduction and nutrition.
iii. To establish centers of high quality and cheaper inputs for meeting the farm requirements.
iv. To utilize extension research and educational institutions and private sector of the province for achieving the project objectives
v. To link the provincial livestock industries with successful models, locally and abroad and to convert the haphazard livestock farming, slaughter houses and livestock markets into viable commercial enterprizes and export bases

7. Work Plan:

7-A. Veterinary and Marketing Support unit

7-A(i) Registration of commercial herds, Technology Transfer and Animal Recording:

Commercial livestock farms (having more than four dairy buffaloes/cattle, more than 15 sheep and goats and more than 50 birds per flock) will be registered. Record keeping in respect of economic traits and marketing status will be introduced and imoproved practices will be introduced at the farms. Technical support will be provided to interested farming areas through project staff (through utility stores), part time consultants (in government and private sector), postgraduate fellows (MSc and PhD) and community based organizations (includng farmers associations). Three newly entering veterinry officres of the department will be posted in the project.

One visit at monthly interval will be paid to each farm for harvesting the data and extension of technical services. The data will be maintained in computer based files for management of reproduction, health and feeding. Technical services including pregnancy diagnosis, artificial insemination, vaccination, deworming, disease investigation and treatement, advice on management of health, reproduction and feeding will be provided to the registered farmers on proper rates, to be approved by the PMC..

Selected animals will be inseminated beyond 30 days postpartum with best quality semen and anestrus animals will be treated for estrus induction and inseminated within 90 days postpartum. Pregnancy diagnosis will be made 60 days post-breeding. Reproductive problems will be investigated and sires will be selected for semen collection. The animals will be vaccinated at proper intervals. On periodical basis, the animals will be examined for parasitic infestation and dewormed accordingly. Feeding status of the animals will be monitored monthly and feed formulation will be made according to maintenance and production requirements of the animals after they are divided into groups. Cost effective local feed ingredients will be promoted. Media compaign will be held to promote livestock enterprises. A directory of livestock farms, experts and relevant institutions and organizations in the public and private sector will be published.

Presently, no system of recording exists at the peri-urban dairy farms. Through the proposed project, the program will be registered with the Working Group on Buffaloes of the International Committee on Animal Recording (ICAR) of the FAO-UN. Coordinator WG-ICAR has desired to collaborate in the program through her letter dated 5-3-2001. Procedures recommended by ICAR under Technical Series No.4 will be adopted for collecting, maintaining and processing the data. Sarhad Dairy Farmers Association (SDFA), and interested Community Organizations (CO's) will work as partners. SDFA and Youth Welfare Organization Urmar Miana (YWOUM) have agreed for collaboration The following activities will be conducted:

Data on milk production will be collected at monthly interval from selected lactating buffaloes. An index will be developed for ranking of buffaloes based on economic traits. The lists will be published/utilized at proper intervals and will be made available to the interested parties, for sale/purchase/re-breeding/ culling/ etc. Data of selected dairy herds in Okara Region of the Punjab will be also maintained as a source of lactating buffaloes to be purchased for the project area at Peshawar. Data of progeny of artificial insemination will be maintained and processed. Buffaloes showing high performance, will be ear-tagged and their data on AI, pregnancy diagnosis, calving and milk production will be recorded for registration in the Herd Book and extensive breeding. Data of male calves regarding growth (girth and length) will be collected monthly an used for selection of sires.

Best buffaloes will be selected and the information will be published at periodic interval for ,marketing purpose.

Estimated cost:  Rs.2.28 million

7-A(ii) Doodh ka Darya (Dairy Development Network)

Non-sceintific buffalo dairy farming is practiced in the in the Indo?Pakistan sub? continent and there is no tradition of consulting animal health, reproduction or nutritional experts in identifying or addressing the relevant problems. Buffalo population of the country during the Livestock Census 1996 was 20.3 million out of which 7% is contributed by NWFP. In NWFP, 0.49 million household keep 1.40 million buffaloes. 

0.58 million buffaloes are in milk 015 million are dry and 0.08 million have not yet calved. Number of buffaloes kept in herds of upto 4 are 0.94 million (67%) and above 4, 0.46 million (33%). The socio?economic status of the peri?urban dairy farmers is usually low, getting negligible inputs from livestock, financial or marketing institutions or experts. The major causes associated with the under?developed buffalo farms have been identified as: i) calf losses, irregular breeding, imbalanced feeding; ii) ungainly loans and; iii) a hostile marketing system. The three causes at commercial buffalo herds throughout Pakistan, lead to annual losses to the tune of Rs.1043.67 billions (US$ 1 = Rs.60) (Qureshi et al. 2002; Asian?Aust. J.Anim.Sci. Korea, 330?339.).

Under the present project, the following activities will be conducted:

Volunteer and Contractual gawalas: Volunteer gawalas will be those having buffalo farming business presently and they will be provided fnancial, technical and marketing support from this project. The project will register these gawalas and arrange purchase of their products and supply them cheapter and high quality inputs through utility stores. Some buffaloes (not exceeding 30% of their existing strength) will be purchased for them and the amount will be recovered in easy installments through the milk/calves and dry buffaloes procured or through cash.

The second type of gawalas will be contractual gawalas. They will be provided with freshly calved buffaloes and the loan amount will be recovered through purchase of milk and calves, etc or through easy installments. They will be provided technical services in the areas of health, reproduction and feeding. Inputs will be provided to them from the utility stores to decrease cost of production.

Milk collection, processing and marketing: Milk will be collected in special containers and transported in vehicles fitted with refregirated tanks. Chillers will be installed at proper places. Pasteurization of milk will be carried out at a centralized place, with good access to roads. Milk will be packed in 250, 500 and 1000 ml. Milk will be marketed at special sale points, petrol pumps and super/general stores or through contractors/commissioned agents. 

Presently, raw milk is being sold to the poor class of the peri-urban premisis and they can not afford higher prices of processeed and packed milk. In fact the collection and hygenic processing and pasteurization of milk will involve expenditures. After pasteurization, the milk will be sold in packed or or unpacked form. The prices of the two types of milk will be sold at different prices, with the unpacked form costing less than the packed form. Attempts will be made to reduce production and processing cost of milk and supply the pasteurized milk to the consumers at lowest rates. 

7-A(ii) Cost of Doodh ka Darya (Dairy Development Network): Rs.56.3 m.

7-A(iii) Utility Stores:

The local dairy farmers are either not aware of improved inputs for increasing their productivity or their financial status does not permit them to acquire such inputs. Cheaper and cost-effective medicines, feeds and feed ingredients, fodder seeds, equipment, etc. will be provided for increasing productivity and decreasing per unit production cost. 

Improved farm equipment will be provided for mechanization of farm operations. Items will be purchased for the store in bulk on whole sale rate and a nominal marginal profit will be charged which will be used for maintence cost of the stores. The utility stores will be established at livestock farming areas or interested In-Charge of veterinary hospitals and managed by a stock assistant or farmers representative and supervised by a veterinarian. Rs.0.2 to 0.5 million per utility store will be allocated.

7-A(iii) Cost of Utility Stores: Rs.5.0 million

7-A(iv) Public - Private Joint Ventures:

According to the prevailing practice, the dairy farmers purchase freshly calved buffaloes at a higher rate and after getting milk during one lactation, the animal is disposed off for slaughter at a much lower rate (Sometimes Rs.12000 against Rs.25000). The high performance non-pregnant buffaloes, which are considered by the farmers as a burden on his entrepreneur, will be purchased on market rate and stationed at state farms or provided to the Community Organizations through easy credit or business partners. 

Expected expenditure per buffalo per day is Rs.50 which comes to Rs.13500 during a period of 9 months. However, under the project the farmers will be bound to get their better animals (yielding more than 12 liters milk per head per day) within 9 days postpartum so that at the end of the lactation period the animals calve again. At state farms the animals will be reared and got pregnant and maintained at the station or sold to the CO's, registered dairy farmers or in open market.

At the commercial dairy farms, most of the calves (about 85%) are lost during first week/month of their life, intentionally or non-intentionally. It causes a great economic loss. Average growth rate of buffalo calves has been reported to be 1 kg per day under optimum conditions. 

The calves, which are considered by the farmers as a non-useful item, will be purchased on market rate and stationed at state farms or provided to Community Organizations through easy credits. At state farms the animals will be reared/fattened and slaughtered for meat production or furthered reared for utilization as a breeding bull or lactating cow. These will be maintained at the station/SPUs or sold to the CO's, registered dairy farmers or in open market.

Due to non-availability of dairy farms in most of the areas, milk availability is a great problem and new investors hesitate to come into the dairy farming business. A dairy buffalo unit will be esablished at Bannu through joint venture. Land will be donated by a farmer. 50 buffaloes will be purchased and sheds, etc. will be constructed under the program. Feeding and management cost will be born by the farmer. 

Local veterinarians will provide technical support to the Unit and special remuneration will be paid for this purpose. Main objectives of the Unit will be establishment of an elite buffalo herd, produciton of milk for local consumption, farmers training and poverty alleviation through heifer exhange program. A Management Committee will be constituted for the Unit.

7-A(iv) Cost of costruction, animals purchase and miscellaneous Rs.7.0 million

7-A(v) Production of commercial dairy feed:

Feed is procured by the dairy farmers, mostly cottonseed cake and wheat bran, of low quality. High quality and cheaper commercial feed will be produced/procured from market, for utilization at the registered commercial dairy farms and CO's. Attempts will be focussed on decreasing per unit production cost. The project will produce its own feed for local consumption. Feed from other reliable sources will be procured, if needed. Animal Nutrition Department of the NWFP University of Agriculutre Peshawar will collaborate in this activity.

7-A(vi) Cost of Production of commercial dairy feed: Rs.2.0 million 

7-A(vi) Production of fodder's seeds:

Availability of high-yielding fodder is a great problem for the peri-urban dairy farmers. A great variation has been found among comparative performance of various fodders. Fodders will be produced for meeting requirements of animals stationed at DDNS/state farms and fodder seeds and vegetative materials will be produced for meeting requirements of the registered commercial dairy farms, utility stores and CO's. Such materials will be purchased from open market, if needed. Animal Nutrition Department and Agronomy Department of the NWFP University of Agriculutre Peshawar will collaborate in this activity

7-A(vii) Cost of Production of fodder's seeds: Rs.1.0 million 

7-A(viii) Meat processing and export and Small Ruminants Production Research:

Thailand has set an excellent example in chicken meat exports. The exports were increased from US$ 2000 during 1971 to US$ 403 million during 1999. In comparison Pakistan exoprted chicken meat worth US$ 42000 during 1971 which dropped to zero during the succeeding decades. During the same period the production of poultry increased from 17 to 148 million heads in Pakistan and 54.0 to 172 million heads in Thailand. 

With the ban on domestic comsumption of chicken during the marriage ceremonies, imposed by the government during 90's, Pakistan had a good opportunity to redirect the chicken meat consumption from domenstic use to export. However, no successful attempt could be made and the production went dowrn.Under the project, a meat processing plant and cold store will be established through bilateral cooperation with Thailand, Newzealand and China. Negotiations will be made with meat importing countries of the Middle East, etc. Activities number 7-A(iv-v) will result in meat production. A Small Ruminants Production Research Station will be established in Bannu for development of local breeds and their utilzation for meat export.

7-A(xi) Cost of meat processing/export: and Small Ruminants Research: 10.0 m

7-A(ix) Training and International Coordination:

The project managers and farmers' representatives will be provided opportunities to interact with dairy development systems and scientific/business meetings, locally and abroad. Local and international experts will be invited for establishing various operations under the project and training of local staff. 

The technical officers will be trained on various aspects of animal health, reproduction and nutrition, locally and abroad. The registered farmers will be trained at AHITI, VRI and LR&D in improved farming techniques with the view to decrease the production cost, risk of transmission of zoonotic diseases and environmental hazards. Literate young persons will be trained in dairy entrepreneurs, dairy technology, artificial insemination, laboratory techniques and animal biotechnology.

7-A(viii) Cost of Training: Rs.2.0 million

7-A(x) Postgraduate Commercial Resreach:

Postgraduate research has been conducted in the province since several decades under the supervision of local scientists. This activity has got the potential to investigate various health, productivity and marketing problems of the provincial livestock sector. Investigations into commercialization of keeping buffaloes, cattle, sheep, goats and poultry and processing and marketing their products need to be addressed through postgraduate research. 

Profitability of various livestock production systems and the rate of economic improvement through efficient management of health, reproductive performance, genetic level and feeding status through field and laboratory studies, is needed. The Vice Chancellors of the University of Veterinary and Animal Science Lahore and NWFP Agriculture Peshawar have been appraoched for this purpose. A grant will be allocated for conducting these studies, which on one hand, will lead to some useful and problem oriented studies and on the other the commercial farmers will get acess to improved farming techniques and newly generated knoledge for increasing their farm income. 

7-A(xii) Total cost on postgraduate commercial resreach: Rs.2.0 million;

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