Animal economics

Economics of Livestock Production L&DD

Economics of Livestock Production In

Various Ecological Zones of Punjab

By: Dr Maqsood Ahmad

Project Director

Department of Livestock Economics

University of Veterinary and Animal Sciences, Lahore-54000

Tel: 042-9211449-ext.245, Cell: 0321-6970156,

Email: [email protected]

&

Dr Ghulam Rabbani Data compilation, analysis, interpretation & Presentation

University of Veterinary and Animal Sciences, Lahore-54000

Cell: 0321-4331278,0300-4635956

Email: [email protected]

Livestock & Dairy Development Department Planning & Evaluation Directorate

Government of Punjab, Lahore


Abbreviations

Abbreviation Abbreviated

L&DD Livestock & Dairy Development Board, Punjab

FC Fixed Cost

VC Variable Cost

TC Total Cost

GF Green Fodder

DF Dry Fodder

Conc. Concentrates

Equip. Equipment

Elec Electricity

IR Interest rate

TFC Total Fixed Cost

TVC Total Variable Cost

Depp. Depreciation

Vet. Serv. Veterinary Services


TABLE OF CONTENTS

Sr. # Contents Page #

01 Summary 03

02 Introduction 04

03 Objectives of Study 05

04 Methodology & Criterion

o Target Areas o Methodology

06 06 09

05

Economics of milk production

Gujranwala area Bhakkar area Jehlem area Pakpattan Faisalabad area Lahore area

10 11

15 19 23 28 34

06 Beef Production in Punjab 37

07 Peri-Urban Commercial Farming &Marketing Chain 38

08 Milk & Milk By-Products Processing And Marketing 40

09 Sources of Milk Production 41

10 Average Unit Productivity 42

11 Cost of Milk Production 44

12 Milk Supply Channels; Cost and Sale 45

13 Salve Value of Milk 46

14 Managemental Practices 47

15 Milk By-Products 52

16 Major Findings 55

17 Recommendations 57

14 References 58


Table & Chart Index Sr Table ID Description 1 G-1 Fixed Cost & its elements-Gujranwala 2 G-2 Fixed Cost & its elements-Gujranwala 3 G-3 Fixed Cost & its elements-Gujranwala 4 G-4 Profitability-Gujranwala 5 B-1 Fixed Cost & its elements-Bhakkar 6 B-2 Fixed Cost & its elements- Bhakkar 7 B-3 Fixed Cost & its elements- Bhakkar 8 B-4 Profitability- Bhakkar 9 J-1 Fixed Cost & its elements-Jhelum

10 J-2 Fixed Cost & its elements- Jhelum 11 J-3 Fixed Cost & its elements- Jhelum 12 J-4 Profitability- Jhelum 13 P-1 Fixed Cost & its elements-Pakpattan 14 P-2 Fixed Cost & its elements- Pakpattan 15 P-3 Fixed Cost & its elements- Pakpattan 16 P-4 Profitability- Pakpattan 17 F-1 Fixed Cost & its elements-Faisalabad 18 F-2 Fixed Cost & its elements- Faisalabad 19 F-3 Fixed Cost & its elements- Faisalabad 20 F-4 Profitability- Faisalabad 21 L-1 Fixed Cost & its elements-Lahore 22 L-2 Fixed Cost & its elements- Lahore 23 L-3 Fixed Cost & its elements- Lahore 24 L-4 Profitability- Lahore 25 BE-1 Beef Production 26 WMP World Mutton production (Million Tons) 27 SRPS-P Small Ruminants Prod. Systems in Pakistan 28 MPr Mutton Production (000 tons) 29 EOM Export of Mutton 30 ML-1 Mortality Loss per Annum 31 EI-1 Education Impact 32 DepPA-Com Depreciation per animal (comparison) 33 S&EqPA-Com Shed & Equip. per animal (comparison) 34 IRPA-Com Interest rate per animal (comparison) 35 TFCPA-Com Total Fixed Cost per animal (comparison) 36 LaPA-Com Labor per animal per animal (comparison) 37 ElPA-Com Electricity per animal (comparison) 38 GFPA-Com Green Fodder per animal (comparison) 39 DFPA-Com Dry Fodder per animal (comparison) 40 CoPA-Com Concentrates per animal (comparison) 41 VSPA-Com Vet Services per animal (comparison) 42 TVCPA-Com Total Variable cost per animal (comparison) 43 TCPA-Com Total cost per animal (comparison) 44 MYPA-Com Milk yield per animal (comparison) 45 MPPL-Com Milk Price per liter (comparison) 46 IPA-Com Income per animal (comparison) 47 PPA-Com Profitability per animal (comparison) 48 CAAG Comparison at a glance!

Note: All values & Graphical presentations depict per animal per day values, until & unless otherwise mentioned.


Graphical & Statistics Array Sr Graph ID Description

1 TCC Total Cost (Comparison )

2 PrC Profitability (Comparison )

3 FC-G Fixed Cost- Gujranwala

4 VC-G Variable Cost-Gujranwala

5 TC-G Total Cost-Gujranwala

6 Pr-G Profitability-Gujranwala

7 FC-B Fixed Cost- Bhakkar

8 VC-B Variable Cost- Bhakkar

9 TC-B Total Cost- Bhakkar

10 Pr-B Profitability- Bhakkar

11 FC-J Fixed Cost- Jhelum

12 VC-J Variable Cost- Jhelum

13 TC-J Total Cost- Jhelum

14 Pr-J Profitability- Jhelum

15 FC-P Fixed Cost- Pakpattan 16 VC-P Variable Cost- Pakpattan

17 TC-P Total Cost- Pakpattan

18 Pr-P Profitability- Pakpattan

19 FC-F Fixed Cost- Faisalabad

20 VC-F Variable Cost- Faisalabad

21 TC-F Total Cost- Faisalabad

22 Pr-F Profitability- Faisalabad

23 FC-L Fixed Cost- Lahore

24 VC-L Variable Cost- Lahore

25 TC-L Total Cost- Lahore

26 Pr-L Profitability- Lahore

27 MPLA Mortality Loss per Annum

28 LAF Literacy Among Farmers

29 LAF-ZW Literacy Among Farmers (Zone wise) 30 DepPA-Com Depreciation per animal (comparison) 31 S&EqPA-Com Shed & Equip. per animal (comparison) 32 IRPA-Com Interest rate per animal (comparison) 33 TFCPA-Com Total Fixed Cost per animal (comparison) 34 LaPA-Com Labor per animal per animal (comparison) 35 ElPA-Com Electricity per animal (comparison) 36 GFPA-Com Green Fodder per animal (comparison) 37 DFPA-Com Dry Fodder per animal (comparison) 38 CoPA-Com Concentrates per animal (comparison) 39 VSPA-Com Vet Services per animal (comparison)

40 TVCPA-Com Total Variable cost per animal (comparison) 41 TCPA-Com Total cost per animal (comparison)

42 MYPA-Com Milk yield per animal (comparison) 43 MPPL-Com Milk Price per liter (comparison) 44 IPA-Com Income per animal (comparison) 45 PPA-Com Profitability per animal (comparison) 46 CAAG Comparison at a glance!


Executive Summary

Pakistan has larger base of dairy sector

allied with the agriculture. Dairy sector

generates employment and business

opportunities, particularly in the rural and

peri-urban areas. Numbers of people in urban

areas are also involved in dairy based business

and earn revenue. The public sector

departments hold primary responsibility to guide

the farmers and play their significant role in dairy

sector development. The research based

decisions of policy makers will have real impact

on welfare of farmers and progress of all the

stakeholders of this sector.

The livestock sector plays a vital role in

the economies of many developing countries. It

provides food or, more specifically, animal

protein in human diet, income, employment and

possibly foreign exchange. For low-income

producers, livestock also serves as a store of

wealth, provides draught power, and organic

fertilizer for crop production and can even be a

means of transport. Milk provides relatively quick

returns for small-scale livestock keepers and

smallholders produce the vast majority of milk in

most developing countries. It is a balanced

nutritious food and is a key element in

household food security.

In Pakistan, the livestock sector as a

whole plays a crucial role in the country‟s rural

economy and within this sector milk is the

largest and single most important commodity.

Pakistan is the fourth largest milk producer in the

world and the importance of the country‟s dairy

sector can be judged from the fact that in terms

of market value, its contribution to Gross

Domestic Product (GDP) surpasses all the major

crops. During 2002-2005, milk and milk products

worth US$10,167 million were exported from

Pakistan.

In spite of the above, there is a dearth of

research and documentation regarding the dairy

sector in Pakistan. No serious effort has been

made to understand the dynamics of this

important sector. Furthermore, Pakistan's dairy

industry is plagued by a number of problems

which include: a lack of commercial dairy farms,

low productivity, weak infrastructure, a lack of

financial facilities, and the ready availability of

raw milk to a poor and uneducated population.

The current process of collecting milk from a

large number of subsistence farmers is time-

consuming, costly and prone to adulteration. The

government, after initially ignoring the dairy

sector, has now realized its importance and

embarked upon a number of initiatives to boost

the sector. Under the new programs, the

Pakistan government has created the Pakistan

Dairy Development Company (PDDC) and

Livestock & Dairy Development Board (LDDB).

In Pakistan only 3-4 per cent of total milk

is currently processed and marketed through

formal channels. The remaining 97 per cent of

milk reaches end users for immediate

consumption through an extensive, multi-layered

distribution system of middlemen. More than half

of this milk collected by urban traders and

processing industries comes from small herd

families. These farmers can usually sell either to

middlemen such as gawalas (local milk

collection, transportation, and distribution

people), to shops, or direct to the (usually rural)

consumer. The farm gate price of milk ranges

from PKRs19 to PKRs40 per liter. This variation

is not linked to the quality of the milk but is rather

determined by the financial arrangement

between the buyer and seller and geographical

location. Currently, there are no policies to

regulate milk prices at the farm level. In

consequence, the market forces operating in a

totally unregulated environment are exploiting

the poor farmers by offering low prices for their

produce.

The purpose of the study was to

generate policy-relevant research and to identify

the cost structure in various ecological area and

marketing practices of input and output using

qualitative research techniques. A team of three

researchers was trained in qualitative data

gathering techniques and supervised by a senior

researcher (Prof. Dr. Maqsood Ahmad) who

gave back-up support. Key informants were

identified in several scoping visits and were

interviewed in ensuing visits. Observations were

also conducted at milk collection centers. Field

data was collected from various Punjab Zones.

Another serious issue is the absence of

any formal or even informal farmers‟

organization, such as a milk producers

association. Across most other major dairy-


producing countries, dairy farmers are organized

into their own associations, which support farmer

training and management, enable investment in

infrastructure and provide support services.

Sustained effort on the part of the

government and the private sector is needed to

improve animal stocks and feed, management

practices, and production technologies in order

to harness the immense potential of this

important livestock sector, in view of its

contribution to GDP. Private companies

engaged in milk collection and processing could

help farmers to upgrade supply chains by

facilitating investment in chilling tanks for

purchasing and collecting of milk, which would

give farmers a guaranteed sale for quality milk;

improve the quality of feed to ensure a better

quality of milk in the form of advances tied to

procurement of better feed; and demonstrate the

health and safety problems associated with poor

quality milk that would increase the potential

sale of processed milk and milk products.

The government could: improve and

enforce existing food safety standards in line

with international standards; provide practical

training to farmers on modern farming practices;

raise capacity of training institutions to provide

required training and qualifications; and

investigate modern technologies, systems, and

underlying seasonal economics of dairy

production to better inform investment decisions

and correct market distortions.

Finally, on a social level, attempts to

enhance production of smallholder dairying are

important not only for raising milk yield in the

country but could also become an effective tool

for raising income levels of impoverished rural

households. Successful interventions in this type

of dairy farm could be the key to alleviating

poverty in rural areas. This research is

commissioned by Planning & Evaluation

Department, L&DD, and Govt. of the Punjab.

The study aims at investigating the

market structure, sources of milk production,

average unit productivity, sale value of milk and

cost of production in peri-urban & rural areas of

Punjab. The research also explores sale, cost,

production and quantity of by-products of milk

purchased by milk centers. All the data is

collected on semi-structured questionnaire

through interviews of farmers and milk centers of

respective zones.

The said survey reveals that maximum

profitability is enjoyed by livestock holders of

Northern Punjab (i-e Gujranwala).The reason

behind was fertile land, sub-soil fit water,

availability of canal water for fodder irrigation,

awareness among farmers & convenient

provision of veterinary services. On the other

hand, minimum profitably (even some times

loss) is observed in Thall Livestock Production

Zone of Bhakkar. Major reasons for this pitfall

were lack of irrigation water, deep sub-soil

water, lack of dairy breeds, non-availability of

fodder & lack of sowing of berseem fodder.

Various geographical zones, according

to ascending order of their profitability and

productivity, are described for bird‟s eye view

In Thall Livestock Production Zone (i-

e Bhakkar), farmers having 1-5 animals have

total variable cost (TVC) per day per animal Rs

100.35; their total fixed cost (TFC) was Rs 14.6

& the total cost (TC) turns out to be Rs. 114.9

.The profit was Rs -23.46. Farmers having 6-10

have TVC per day per animal Rs 70.6; their TFC

was Rs 14.9 & the TC turns out to be Rs 85.5.

The profit was Rs 3.53. Farmers having 11-20

have TVC per day per animal Rs 50.1; their TFC

was Rs 15.1 & the TC turns out to be Rs 65.2 .

The profit was Rs 13.74.Finally, farmers having

21 & above have TVC per day per animal Rs

50.2; their TFC was Rs 17.8 & the TC turns out

to be Rs 70.0. The profit was Rs 24.76. Major

reasons for these low values, as described

above, are lack of irrigation water, deep sub-soil

water, lack of dairy breeds, non-availability of

fodder & lack of sowing of berseem fodder.

In Southern Punjab Livestock

Production System (i-e Pakpattan), farmers

having 1-5 animals having total variable cost

(TVC) per day per animal Rs 97.86; their total

fixed cost (TFC) was Rs 19.86 & the total cost

(TC) turns out to be Rs. 117.73 .The profit was

Rs -11.62. Farmers having 6-10 have TVC per

day per animal Rs 74.08; their TFC was Rs 17.8

& the TC turns out to be Rs 91.95. The profit

was Rs 9.76. Farmers having 11-20 have TVC

per day per animal Rs 69.7; their TFC was Rs

19.8 & the TC turns out to be Rs 89.59. The


profit was Rs 14.52.Finally, farmers having 21 &

above have TVC per day per animal Rs 70.33;

their TFC was Rs 22.12 & the TC turns out to be

Rs 92.44. The profit was Rs 15.9.Despite of

presence of buffalo breed (Nili Ravi) as well as

fertile land & abundance of water, results were

not that good. Major reasons for these declined

values include low milk price (i-e Rs 21 approx.),

less stress on animal care & management.

In Barani Rain Fed Production Zone

(i-e Jhelum), farmers having 1-5 animals have

total variable cost (TVC) per day per animal Rs

97.86; their total fixed cost (TFC) was Rs 19.86

& the total cost (TC) turns out to be Rs. 117.73

.The profit was Rs -11.62. Farmers having 6-10

have TVC per day per animal Rs 74.08; their

TFC was Rs 17.8 & the TC turns out to be Rs

91.95. The profit was Rs 9.76. Farmers having

11-20 have TVC per day per animal Rs 69.7;

their TFC was Rs 19.8 & the TC turns out to be

Rs 89.59 . The profit was Rs 14.52.Finally,

farmers having 21 & above have TVC per day

per animal Rs 70.33; their TFC was Rs 22.12 &

the TC turns out to be Rs 92.44. The profit was

Rs 15.9.Major hindrances for these in-sufficient

values, are sole land grazing & poor genetic

potential .However, Buffalo is rapidly replacing

the Dhanni cows as milch animals. On scattered

plain land in hilly areas, the farmers manage the

fodder sowing including varieties of berseem

grass & maize. Although, the milk production

was not that good along the river but remittances

from abroad to local households create good

purchasing power. Demand was high as

compared to the supply, but the production was

low. The reason behind is that milk is an income

elastic product.

In Peri-Urban Milk Production System

(i-e Faisalabad & Lahore), farmers having 1-5

animals, have total variable cost (TVC) per day

per animal Rs 264.26 & 233.55; their total fixed

cost (TFC) was Rs 22.59 & 31.50 , and the total

cost (TC) turns out to be Rs. 286.9 & 265.05

respectively for Faisalabad & Lahore .The profit

was Rs 33.66 & 28.28, respectively. Farmers

having 6-10 have TVC per day per animal Rs

172.07& 215.15; their TFC was Rs 29.28 &

26.21; the TC turns out to be Rs 201.34 & 241.5,

respectively. The profit was Rs -5.09 & 37.87,

respectively. Farmers having 11-20 have TVC

per day per animal Rs 163.2 & 158.01; their TFC

was Rs 24.55 & 27.05 the TC turns out to be Rs

187.75 & 185.26, respectively. The profit was Rs

47.16 & 61.97.Finally, farmers having 21 &

above have TVC per day per animal Rs 155.25

& 130.23; their TFC was Rs 30.47 & 34.71 the

TC turns out to be Rs 185.70 & 164.95. The

profit was Rs 53.52 & 157.19 respectively. Major

reasons for these considerable values are high

animal yield, more purchasing power in urban

areas, availability of green fodder &

concentrates (such as cotton seed cakes, wheat

bran, rape seed cake & waste bread)

Finally, in Northern Punjab Irrigated

Zone (i-e Gujranwala), farmers having 1-5

animals, have total variable cost (TVC) per day

per animal was Rs 125.98; their total fixed cost

(TFC) was Rs 22.24 & the total cost (TC) turns

out to be Rs. 148.22 .The profit was Rs 21.35.

Farmers having 6-10 have TVC per day per

animal Rs 98.42; their TFC was Rs 23.17 & the

TC turns out to be Rs 121.59. The profit was Rs

51.51. Farmers having 11-20 have TVC per day

per animal Rs 81.47; their TFC was Rs 22.16 &

the TC turns out to be Rs 103.63 . The profit was

Rs 100.63.Finally, farmers having 21 & above

have TVC per day per animal Rs 66.67; their

TFC was Rs 25.71 & the TC turns out to be Rs

92.38. The profit was Rs 182.21.The major

edges present in this area, as listed above, are

fertile land, sub-soil fit water, availability of canal

water for fodder irrigation, awareness among

farmers & convenient provision of veterinary

services.

As a matter of fact, 82% milk is

contributed by buffaloes with averagely 18

buffaloes with one former, while 4 cows are

averagely owned by one farmer with 18% share

in the milk industry.

GRAPH_ID: TCC


GRAPH_ID: PrC

This survey brings forward the valued

findings, which may help the planning

departments, key stakeholders, policy makers

and other associated to take effective decisions

in the development of dairy industry. The

proportion of small milk producers is quite high,

which hinders the economies of scale and

profitability in the milk production .

Next five years, in Pakistan, are subject

to huge dairy bloom. This is the reason why a lot

many investors from textile (e-g Nishat textile %

Sapphire Textile) & other business sectors have

diverted their attention towards this sector. This

advancement creates a vast scope in Livestock

Management & Farming. Exotic breeds such as

Fresian & Jersey are being imported and

managed in our environment. However, certain

issues need to be addressed to acclimatize

these animals in hot dry environment of

Pakistan.

Average milk production of cattle/buffalo

per day per animal is about 5-6 liters. This yield

is extremely low as compared to Ireland,

Australia, Germany ,Brazil and other advanced

countries. This huge gap can be filled by

observing modern dairy advancements such as

genetic selection, Artificial Insemination, embryo

transfer, mechanization, integrated farming,

proper management & other modern techniques.

Introduction

Agriculture is a major source of

employment for rural population of Pakistan and

its share in GDP is 21% and employs 43.4% of

the total workforce in Pakistan. Livestock

contributes 52% of agri share. Livestock is by

far the most important sub-sector. The share of

agricultural growth has jumped from 25.3

percent in 1996 to 49.6 percent in

2006(Livestock census, 2006) and it contributes

almost 52 % of Agriculture GDP (Economic

Survey, 2007-2008). Value of milk is greater

than the value of any single most important crop

of Pakistan.

Scientists have identified six ecological

agriculture zones for the purpose of research

and development and for livestock production

system. Following zones have been identified by

the Livestock & Dairy Development, Govt. Of

Punjab.

Punjab Irrigated Zone (Gujranwala)

o Thall Livestock Production Zone

(Bhakkar)

o Barani Rain Fed Production Zone

(Jhelum)

o Southern Punjab Livestock

Production System (Pakpattan)

o Peri Urban Milk Production System

(Faisalabad & Lahore)

It is noteworthy to mention that Livestock

is the most important source of employment in

the rural agriculture sociology of Punjab.

Aims & Objectives

Objectives of Study:- To assess milk and meat production

cost in the various production systems.

Factors affecting cost of peri-urban milk

production.

To study milk and meat marketing

system.

To appraise the management practices

of the system

To asses the socio- economic status of

milk and meat production.

Economics of mutton production.


Purpose of the study was to estimate

the economics of milk meat and goat sheep

production. As the land holding is squeezing day

by day and our farmer is highly under employed

in disguised labor productivity. Crop production

is stagnant and only daily cash flow source is

meat and milk and a good source of livelihood

and life sustenance.

Govt. of Punjab is striving through its

Dept. of L&DD to improve this important sector

for poverty eradication and to increase the

income of the farmers, developing the Livestock

wealth of the province. The specific objective of

the study were as under

The study aims at surveying the farmers

of various areas and milk centers in urban areas

of Punjab. The study tries to investigate in the

following areas:

Source of Milk Production

Average unit productivity

Cost of Milk Production

Milk Supply Channels

Management practices in peri-urban areas

By Products of Milk

Criterion for Selection of Sample

Area

One Union council from each tehsil was

randomly selected from each District and one

village from each Union Council was selected.

List of livestock farmers having 1-5, 6-10, 11-20

& 21 and above animals was prepared. Ten

farmers from each strata on the basis of

livestock herd size were interviewed for meat &

milk economics.

As the keeping of sheep goat is very scarce. In

the same village all the sheep goat farmers will

be interviewed for collection of data. For finding

out real economics of milk & meat assessment

Gawala Colonies of Lahore & Faisalabad &

Gujranwala are also surveyed. Target farmers

were studied to calculate Economics of the

production system.

For example: in Lahore, three milch

colonies were Thokar Niaz Baig, Sagian Hence,

Shahdra and Harbanspura were surveyed.

Similarly, in Faisalabad, Govt. supported and

established colonies at Chekader Aminpur

Road & Sathiana Road were studied.

Target Areas:

The number of dairy farms visited for

sample collection depends on number of

animals. There was random sampling and farms

from different areas. The number of dairy farms

visited from different areas is depending upon

population and management system of herds.

Punjab milk production base is highly

scattered with small holding and land-less

livestock farming and dairy enterprise is

dominated by the private sector, with the

government playing only a regulatory role.

According to the Livestock Census held in 2006,

among the 8.4 million reported dairying

households, 51% own a herd size of just 1-5

animals. Another 28% households maintain herd

sizes of 6 to 10 animals, whereas, only 14.23%

of the herd sizes are composed of 11 to 20

animals. Only 6.72% of the farms in the country

come under the large category where more than

20 animals are kept.

Literature Review:

Approximately, 80% of the milk is

produced in rural areas, with peri-urban and

urban areas accounting for another 15% and

5%, respectively (Livestock census, 2006). Only

3% of total production in the country is marketed

through formal channels. The remaining 97% is

produced and marketed in raw form by informal

agents in the marketing chain portion of the milk

producers.

To ensure development of the country‟s

dairy sector, it is important that critical support is

provided to the promotion of smallholder

producers in peri-urban areas. Key issues for

promoting smallholder based dairy development

would be to organize farmers, integrate

production with marketing, enhance access to

credit, upgrade milk marketing chains through

adoption of modern technology, enhance market

information, and improve farm profitability.

Despite decades of neglect by the

government, Pakistan is the fifth largest milk

producer in the world.(2003) According to the


Pakistan Livestock Census held in 2006 overall,

milk production increased by 35.6 percent since

1996. Buffaloes and cows are major milk

producing animals.

According to a study on Milk Marketing

conducted by FAO in Pakistan in 2003, 80% of

the milk in the country is collectively produced by

rural commercial and rural subsistence

producers. The peri urban producers account for

15% of the milk production, whereas urban

producers contribute 5% to the total milk

production in the country (FAO, 2003)

Punjab Milk production base is

associated on a large number of problems,

poverty of the farmers, poor management and

under fed herd, lack of commercial dairy farms,

low productivity due to poor nutrition, a weak

infrastructure, lack of financial facilities, and the

ready availability of raw milk to a poor and

uneducated population. Although Pakistan was

ranked fourth among the five leading milk

producing countries in the world, with an

estimated 60 million animals having produced

closely to 42.29 million tons of milk in year 2008

and over 31 million tons during 2005-06 as the

5th largest producer of milk in the world, its yield

per animal is only one-fifth of Germany and

Holland.

Methodology

The study attempts to investigate

different variables of interest related to milk

production. The Punjab is selected as sample to

study the research issues and collect data

through self-constructed research questionnaire.

The variables are primarily extracted from

manuscript of focus group discussion, held in

livestock departments. All the stakeholders and

active players of dairy farming share their

observations and experiences based on

objectives set by study sponsor. The

questionnaire was further validated by pilot

testing of 15 respondents and number of errors

regarding language, structure, and flow and

scale options were removed. Faisalabad &

Gujranwala are also surveyed.

Various owners/ managers of dairy

farms and milk shops/collection centre were

interviewed by professional surveyors &

livestock-management students, based on

system sampling. Quality of survey was ensured

through 10% back checking. All the data is

analyzed on statistical software & finally the

results are produced for interpretation.

A comprehensive questionnaire was

designed after pretesting all the aspects of cost

structures i.e., value of animal, interest rate on

this value, depreciation @ of 5% of animals,

sheds, chaff cutter, rope and utensils.

Depreciation of agri implements for crops was

taken at the rate of 10% of the value. For

calculations of variable cost the market rate of

fodder crops, dry fodder and concentrate rations

were accounted for. The contract labor cost of

the area was calculated towards family labor.


Estimation of cost and return in milk, business in different

ecological zones of Punjab.

The following areas/districts were selected.

1. Thall Livestock Production Zone Bhakhar

2. Southern Punjab Livestock Production System Pak Pattan

3. Barani Rain Fed Production Zone Jhelum

4. Peri Urban Milk Production System Faisalabad & Lahore

5. Punjab Irrigated Zone Gujranwala

Each ecological district is discussed one by one.


1. Thall Livestock Production Zone (Dist. Bhakkar)

Milk Production In Bhakkar, three Tehsils: Mankera,

Darya Khan and Bhakkar were selected .Each Village from each Tehsil was selected as sampling area. Main milch animal was Dhanni and few Dhanni Crosses with Jersey and Friesian As a matter of fact, animal grazing was interspersed, grazing was the major concern to feed the animals.

For calculation of income from milk total

milk production, milk fed to calves and milk

marketed was apportioned. Home consumption

milk was also inducted in the income stream of

the milk.

Fixed Cost

Sample size was 135 respondents. For

Bhakkar the fixed cost per animal per day was

calculated. The depreciation of animal was Rs.

4.41, 4.69, 4.84 and 5.59 per animals per day for

the farm size group of 1-5 animal, 6-10 animals,

11-20 animals and 21 and above animals

respectively. Depreciation of sheds and

equipment was Rs. 1.37, 0.84, 0.57, 1.05 per

animal per day by the farm size in the

descending order, respectively. Interest on the

value of animal per day was Rs. 8.82, 9.38, 9.68

and 11.18, respectively,

Total Cattle: 1483

Milking Cattle 398

FC

Animals Frequency Depp._Animals Equip&Shed IR TFC

1-5 Animals 38 4.41 1.37 8.82 14.60

6-10 Animals 51 4.69 0.84 9.38 14.91

11-20 Animals 30 4.84 0.57 9.68 15.10

21 & Above 16 5.59 1.05 11.18 17.82

Total 135

Table ID:B-1

GRAPH ID: FC-B


Variable Cost

The total variable cost comprises of

aggregation of costs for electricity, Vet Services,

Labor, Green Fodder, Dry Fodder and

Concentrates. Green Fodder and Dry Fodder is

fed to all animals but concentrate diet is only fed

to milking cattle.

Variable cost per day per cow for

electricity was 3.15, 1.42, 1.2 & 1.2 for “1-5

Animals”, “6-10 Animals”, “11-20 Animals” & “21

& above Animals” .Similarly, Vet Services count

for 0.63, 0.57, 0.41 & 0.28 respectively. Labor

costs 37.5, 22.31, 14.38 & 15.96 respectively.

Similarly, Green Fodder, Dry Fodder &

Concentrates count for “48.11 7.73 3.22” ,”

36.30 6.04 4.03” , “26.55 4.46 3.09” ,

“22.33 4.91 5.52” respectively for 1-5


& above Animals”

VC Animals Frequency Labor Elec Vet Serv G F D F Conc. TVC

1-5 Animals 38 37.50 3.15 0.63 48.11 7.73 3.22 100.35

6-10 Animals 51 22.31 1.42 0.57 36.30 6.04 4.03 70.68

11-20 Animals 30 14.38 1.22 0.41 26.55 4.46 3.09 50.11

21 & Above 16 15.96 1.21 0.28 22.33 4.91 5.52 50.22

Total 135

Table ID:B-2

GRAPH ID: VC-B

Total Cost

Comprise of total fixed cost and total

variable cost. Total cost per cow per day was

Rs. 114.95, 85.59, 65.21 & 68.04 by farm size I,

II, III and IV, respectively. Fixed cost per cow per


day was Rs. 14.6, 14.9, 15.1 & 17.8 and variable

cost was Rs. 100.35, 70.68, 50.11 & 68.04 by

the farm size I, II, III and IV, respectively.

Farmer Group FC VC TC

Animals frequency Depp._ Equip&Shed IR TFC Labor Elec

Vet

Serv G F D F Conc. TVC TC

1-5

Animals 38 4.41 1.37 8.82 14.60 37.50 3.15 0.63 48.11 7.73 3.22 100.35 114.95

6-10

Animals 51 4.69 0.84 9.38 14.91 22.31 1.42 0.57 36.30 6.04 4.03 70.68 85.59

11-20

Animals 30 4.84 0.57 9.68 15.10 14.38 1.22 0.41 26.55 4.46 3.09 50.11 65.21

21 &

Above 16 5.59 1.05 11.18 17.82 15.96 1.21 0.28 22.33 4.91 5.52 50.22 68.04

Total 135

Table ID:B-3

GR

APH ID: TC-B

Income Milk yield per day per cow was 4.1 liters,

4.1liters, 3.6 liters and 4.3 liters, by all the farm

size in descending order, respectively and price

per liter was Rs. 22.2, 21.38, 21.9 and 21.6 by

all farm categories, respectively.

Farmer Group FC VC TC Income Animals Frequency TFC TVC TC M Y Rate Income Profit

1-5 Animals 38 0.00 100.35 114.95 4.12 22.18 91.49 -23.46

6-10 Animals 51 0.00 70.68 85.59 4.17 21.38 89.13 3.53

11-20 Animals 30 0.00 50.11 65.21 3.61 21.89 78.95 13.74

21 & Above 16 0.00 50.22 68.04 4.30 21.56 92.79 24.76


Total 135

Table ID:B-4

GRAPH ID: Pr-B

Milk market channel was Dodhis, Shops

and sale to nearby house holds. Marketing was

not a problem and demand for milk was higher

as compared to supply for consumption. The by-

products prepared in the area was raw cheese,

Doda, khoya, sweets, Dhahi and Lassi by the

end users.

Profit per cow was Rs. -23.46, 3.53,

13.74 & 24.76 respectively per day by farm type

in descending order. Least profit was observed

by the small holder, however profit increases

along as the number of animals increased.

Highest profit was observed by the commercial

farm having greater than 20 cattle. Management

practices and health protection were better by

the large farmers and use of technology to

reduce the cost.

2. Southern Punjab Livestock Production System (Pakpattan)

Milk Production

Southern Punjab Pakpattan is the

breeding area For calculation of income from

milk total milk production, milk fed to calves and

milk marketed was apportioned. Home

consumption milk was also inducted in the

income stream of the animals.

Cost of milk

Fixed Cost

Sample size was 160 respondents.

For Pakpattan, the fixed cost per animal

per day was calculated. The depreciation of

animal was Rs. 6.3, 5.7, 6.4 and 6.9 per animals

per day for the farm size group of 1-5 animal, 6-

10 animals, 11-20 animals and 21 and above

animals respectively. Depreciation of sheds and

equipment was Rs. 1.1, 0.6, 0.6, 1.2 per animal

per day by the farm size in the descending

order, respectively. Interest on the value of

animal per day was Rs. 12.5, 11.5, 12.8 and

13.9, respectively.


Total Animals: 1923 Milking Animals: 713

FC

Animals Frequency Depp.

Equip &

Shed IR TFC

1-5 Animals 48 6.26 1.08 12.52 19.86

6-10 Animals 46 5.74 0.63 11.49 17.86

11-20 Animals 42 6.42 0.61 12.84 19.87

21 & Above 24 6.97 1.20 13.94 22.12

Total 160

Table ID: P-1

GRAPH ID: FC-P

Variable Cost






to milking animals.

Variable cost per day per animal for


animals”, “6-10 Animals”, “11-20 Animals” & “21





Concentrates count for “32.50 9.06 15.66”

,” 26.38 8.54 12.66” , “25.94 8.70 15.67” ,



& above Animals”

VC Animals Frequency Labor Electr Vet serv G F D F Conc TVC

1-5 Animals 48 37.96 1.66 1.03 32.50 9.06 15.66 97.86

6-10 Animals 46 21.98 3.73 0.79 26.38 8.54 12.66 74.08

11-20 Animals 42 18.06 0.97 0.38 25.94 8.70 15.67 69.72

21 & Above 24 12.16 1.11 0.36 24.40 10.20 22.10 70.33


Total 160

Table ID: P-2

GRAPH ID: VC-P

Total Cost


variable cost. Total cost per animal per day was

Rs. 117.7, 91.9, 89.6 & 92.4 by farm size I, II, III

and IV, respectively. Fixed cost per animal per

day was Rs. 19.9, 17.9, 19.9 & 22.12 and

variable cost was Rs. 97.9, 74.08, 69.72 & 70.33

by the farm size I, II, III and IV, respectively.


Animals Frequency Depp.

Equip &

Shed IR TFC Labor Electr Vet serv G F D F Conc TVC TC

1-5

Animals 48 6.26 1.08 12.52 19.86 37.96 1.66 1.03 32.50 9.06 15.66 97.86 117.73

6-10

Animals 46 5.74 0.63 11.49 17.86 21.98 3.73 0.79 26.38 8.54 12.66 74.08 91.95

11-20

Animals 42 6.42 0.61 12.84 19.87 18.06 0.97 0.38 25.94 8.70 15.67 69.72 89.59

21 & Above

Animals 24 6.97 1.20 13.94 22.12 12.16 1.11 0.36 24.40 10.20 22.10 70.33 92.44

Total 160

Table ID: P-3


GRAPH ID: P-3

Income

Milk yield per day per animal was 4.49

liters, 4.38 liters, 4.43 liters and 4.67 liters, by all

the farm size in descending order, respectively

and price per liter was Rs. 23.6, 23.2, 23.52 &

23.20 respectively.

Farmer Group Total Income

Animals Frequency TFC TVC TC M Y Rate Income Profit

1-5 Animals 48 19.86 97.86 117.73 4.49 23.64 106.10 -11.62

6-10 Animals 46 17.86 74.08 91.95 4.38 23.20 101.71 9.76

11-20 Animals 42 19.87 69.72 89.59 4.43 23.52 104.11 14.52

21 & Above 24 22.12 70.33 92.44 4.67 23.20 108.35 15.91

Total 160

Table ID: P-4


GRAPH ID: Pr-P




as compared to supply for consumption. The by


khoya, sweets, Dhahi and Lassi by the end

users.

Profit per animal was Rs. -11.62, 9.76,






farm having greater than 20 animals.

Management practices and health protection

were better by the large farmers and use of

technology to reduce the cost.

3. Barani Rain Fed Production Zone (Jhelum)

Milk Production




milk was also inducted in the income stream of

the animals.

Fixed Cost Sample size was 135 respondents. For

Jhelum the fixed cost per animal per day was

calculated.

The depreciation of animal was Rs.

6.49, 6.13, 6.08 and 6.36 per animals per day for



respectively. Depreciation of sheds and




value of animal per day was Rs. 12.97, 12.25,

12.16 and 12.71, respectively,

Total Animals: 1279 Milking Animals: 391


FC Animals Frequency Depp. Equip&Shed IR TFC

1-5 Animals 56 6.49 2.08 12.97 21.54

6-10 Animals 27 6.13 1.56 12.25 19.94

11-20 Animals 19 6.08 1.51 12.16 19.75

21 & Above 15 6.36 1.26 12.71 20.33

Total 117

Table ID: J-1

GRAPH ID: FC-J

Variable Cost






to milking animals.

Variable cost per day per animal

for electricity was 2.02, 1.37, 1.02 & 0.88 for “1-5


& above Animals” .Similarly, Vet Services counts





,” 29.11 10.13 13.08” , “24.78 8.83 11.44” ,



& above Animals”

VC Animals Frequency LABOR Elec Vet serv G F D F Conc TVC

1-5 Animals 56 46.38 2.02 1.11 38.95 11.69 24.80 124.95

6-10 Animals 27 31.55 1.37 1.27 29.11 10.13 13.08 86.51

11-20 Animals 19 25.34 1.02 1.02 24.78 8.83 11.44 72.44

21 & Above 15 11.95 0.88 0.10 11.40 23.68 23.59 71.59

Total 117


Table ID: J-2

GRAPH ID: VC-J

Total Cost



Rs. 146.49, 106.45, 92.19 & 91.92 by farm size

I, II, III and IV, respectively.

Fixed cost per animal per day was Rs.

21.54, 19.94, 19.75 & 20.33 and variable cost

was Rs. 124.95, 86.51, 72.44 & 71.59 by the

farm size I, II, III and IV, respectively.

Table ID: J-3

Farmer Group FC VC TC Animals Frequency Depp. Equip&Shed IR TFC LABOR Elec Vet serv G F D F Conc TVC TC

1-5

Animals 56 6.49 2.08 12.97 21.54 46.38 2.02 1.11 38.95 11.69 24.80 124.95 146.49

6-10

Animals 27 6.13 1.56 12.25 19.94 31.55 1.37 1.27 29.11 10.13 13.08 86.51 106.45

11-20

Animals 19 6.08 1.51 12.16 19.75 25.34 1.02 1.02 24.78 8.83 11.44 72.44 92.19

21 &

Above 15 6.36 1.26 12.71 20.33 11.95 0.88 0.10 11.40 23.68 23.59 71.59 91.92

Total 117


GRAPH ID: TC-J

Income Milk yield per day per animal was 6.0



and price per liter was Rs. 27.63, 27.74, 26.58 &

27.47 respectively.

Farmer Group TC Income

Animals Frequency TFC TVC TC M.Y Rate Income Profit

1-5 Animals 56 56.00 112.00 146.49 6.00 27.63 165.75 19.26

6-10 Animals 27 27.00 54.00 106.45 5.97 27.74 165.69 59.25

11-20 Animals 19 19.00 38.00 92.19 4.81 26.58 127.75 35.56

21 & Above 15 15.00 30.00 91.92 5.50 27.47 150.97 59.05

Total 117

Table ID: J-4


GRAPH ID: Pr-J

An increasing trend of replacing cattle

with buffalo was seen and stall feeding with

grown fodder especially berseem and maize was

observed. Availability of pure high quality milk

was the priority of home consumers farmers.

Milk market channel was Dodhis, Tea

Shops and sale to nearby house holds.

Marketing was not a problem and demand for

milk was higher as compared to supply for

consumption. The by- products prepared in the

area was raw cheese, khoya, sweets, Dhahi and

Lassi by the end users.

Profit per animal was Rs. 19.26, 59.25,










Peri urban Milk Production

For calculation of economics of animals in per urban area, two big cities were selected.

1. Lahore &

2. Faisalabad


4. Peri urban Punjab (Faisalabad)

Faisalabad city have a population of

more than five million with high opportunities of

employment in industrial sector. There is a high

demand of milk and milk products. For supply of

milk to the city, there are two large cattle

colonies established by the local authorities for

the farmers.

Forty five farmers were interviewed from

the two organized colonies Chakader Aminpur

road and Satiana road Faisalbad. Organized

sheds were constructed by the farmers. Land

was allotted to each farmer, boundary walls

enclosed each farm separately. Major milk

animal was buffalo of Nili-Ravi and Ravi breed

with few cows by some farmers. Cow milk was

not preferred by the consumers due to low fat

contents and total SNF.

Cost of milk


Faisalabad, the fixed cost per animal per day

was calculated. The depreciation of animal was

Rs. 6.7, 9.12, 8.11 and 10.14 per animals per

day for the farm size group of 1-5 animal, 6-10

animals, 11-20 animals and 21 and above

animals respectively. Depreciation of sheds and





16.21 and 20.27, respectively

FC

FC

Animals Frequency Depp EquiP& Shed IR TFC

1-5 Animals 5 6.60 2.80 13.20 22.59

6-10 Animals 5 9.12 1.93 18.23 29.28

11-20 Animals 15 8.11 0.23 16.21 24.55

21 & Above 20 10.14 0.07 20.27 30.47

Total

Table ID: F-1

GRAPH ID: FC-F


Total fixed cost was Rs. 22.6, 29.28,

24.55 and 30.47, respectively.

Variable Cost Dominant proportion of cost was from

variable cost. The total variable cost comprises

of aggregation of costs for electricity, Vet

Services, Labor, Green Fodder, Dry Fodder and



to milking animals. Fodder offered to the animal

was Berseem, Sugarcane and Maize during

Rabi season and Kharif fodder used was Jawar,

Sadhabahar, Maize fodder.

The feed ingredients used as

concentrate ration were cotton seed cake,

rapeseed cake, maize oil cake, gluten feed 30%,

Roti, double roti waste of confectionaries.-Fifty

% farmers used DCP bone meal and mineral

mixture in the Vanda. Fodder and ingredients

market were available in the vicinity of dairy

farms. Feeding cost was the dominant

proportion of variable and total cost, it was

almost 70% of all the cost in milk production.





for 2.68, 0.56, 1.03, & 0.66 respectively. Labor



Concentrates count for “85.35 29.98 48.1” ,”

71.48 27.73 29.4” , “66.79 20.37 43.5” ,



& above Animals”

VC

Animals Frequency Labor Elec Vet Serv G F D F Conc TVC

1-5 Animals 5 92.33 4.94 2.68 85.35 29.98 48.1 264.5

6-10 Animals 5 39.77 2.89 0.56 71.48 27.73 29.4 172.7

11-20Animals 15 29.48 2.29 1.03 66.79 20.37 43.5 163.6

21 & Above 20 19.56 1.47 0.66 39.03 20.29 74.23 155.2

Total

Table ID: F-2

GRAPH ID: VC-F


Total Cost



Rs. 148.22, 121.59, 103.63 & 92.38 by farm size

I, II, III and IV, respectively. Fixed cost per

animal per day was Rs. 22.24, 23.17, 22.16 &

25.71 and variable cost was Rs. 125.98, 98.42,

81.47 & 66.67 by the farm size I, II, III and IV,

respectively.

TC


Animals Frequency Depp

EquiP&

Shed IR TFC Labor Elec Vet Serv G F D F Conc TVC TC

1-5

Animals 5 6.60 2.80 13.20 22.59 92.33 4.94 2.68 85.35 29.98 0.00 215.29 237.88

6-10

Animals 5 9.12 1.93 18.23 29.28 39.77 2.89 0.56 71.48 27.73 0.00 142.42 171.70

11-20

Animals 15 8.11 0.23 16.21 24.55 29.48 2.29 1.03 66.79 20.37 0.00 119.97 144.52

21 &

Above 20 10.14 0.07 20.27 30.47 19.56 1.47 0.66 39.03 20.29 74.23 155.25 185.72

Total

Table ID: F-3

GRAPH ID: TC-F

Income Milk yield per day per animal was 10.14



and price per liter was Rs. 31.6, 31.4, 31.4 and

32.9 by all farm categories, respectively.


Income Farmer Group Frequency TFC TVC TC MY Rate Income Profit

1-5 Animals 5 5.00 10.00 10.00 10.14 31.60 320.51 33.66

6-10 Animals 5 5.00 10.00 10.00 6.25 31.40 196.25 -5.09

11-20 Animals 15 15.00 30.00 30.00 7.47 31.47 234.91 47.16

21 & Above 20 20.00 40.00 40.00 7.27 32.90 239.25 53.52

Total

Table ID: F-4

GRAPH ID: Pr-F







users.

Profit per animal was Rs. 33.66, -5.09,










Disease and mortality For Veterinary health cover L&DD

Department has established veterinary hospital

inside these gawala colonies. Vaccines of HS

and FMD were generally performed in routine

and there were general awareness among the

farmers. Deworming was also carried out on

almost all the farms.


5. Peri-Urban Punjab (Lahore area)

Milk Production

In Lahore the 80% herd were Buffalo

and 20% Cross Bred Cattle. Body weight of

cross bred cattle was little low but production

was equal to buffalo. So cows was taken as

equal unit

In Lahore, three milch colonies were

Thokar Niaz Baig, Sagian Shahdra and

Harbanspura. They were surveyed to collect the

relevant data. For calculation of income from

milk total milk production, milk fed to calves and

milk marketed was apportioned. Home

consumption milk was also inducted in the

income stream of the animals.

Fixed Cost: Sample size was 40

respondents. For Lahore the fixed cost per

animal per day was calculated. The depreciation

of animal was Rs. 9.7, 8.4, 8.51 and 11.09 per

animals per day for the farm size group of 1-5

animal, 6-10 animals, 11-20 animals and 21 and

above animals respectively. Depreciation of

sheds and equipment was Rs. 2.39, 0.98, 1.72,

1.44 per animal per day by the farm size in the



17.02 and 22.18, respectively,

Milking Units 523

Total Units 927

FC

Animals Frequency Depp. EquiP&Shed IR TFC

1-5

Animals 3 9.70 2.39 19.41 31.50

6-10

Animals 4 8.41 0.98 16.82 26.21

11-20

Animals 12 8.51 1.72 17.02 27.25

21 &

Above 21 11.09 1.44 22.18 34.71

Total 40

Table ID: L-1

GRAPH ID: FC-L

Variable Cost The total variable cost comprises of






to milking animals.

Variable cost per day per animal

for electricity was 2.4, 2.3, 1.9 & 1.5 for “1-5


& above Animals” .Similarly, Vet Services counts





,” 108.92 31.43 38.18” , “70.96

20.3530.54” & “65.29 18.28 25.05”

respectively for 1-5 Animals”, “6-10 Animals”,

“11-20 Animals” & “21 & above Animals”

VC

Animals Frequency Labor Elec Vet serv G F D F Conc TVC

1-5

Animals 3 65.69 2.39 1.37 89.01 44.05 31.04 233.55

6-10

Animals 4 33.23 2.27 1.11 108.92 31.43 38.18 215.13

11-20

Animals 12 33.39 1.89 0.87 70.96 20.35 30.54 158.01

21 &

Above 21 19.38 1.52 0.71 65.29 18.28 25.05 130.23

Total 40

Table ID: L-2

GRAPH ID: VC-L

Total Cost:



Rs. 265.05, 241.33, 185.26 & 165.95 by farm

size I, II, III and IV, respectively.

Fixed cost per animal per day was Rs.

31.5, 26.21, 27.25 & 34.71 and variable cost

was Rs. 233.55, 215.13, 158.01 & 130.23 by the

farm size I, II, III and IV, respectively.



Animals Frequency Depp. EquiP&Shed IR TFC Labor Elec

Vet

serv G F D F Conc TVC TC

1-5

Animals 3 9.70 2.39 19.41 31.50 65.69 2.39 1.37 89.01 44.05 31.04 233.55 265.05

6-10

Animals 4 8.41 0.98 16.82 26.21 33.23 2.27 1.11 108.92 31.43 38.18 215.13 241.33

11-20

Animals 12 8.51 1.72 17.02 27.25 33.39 1.89 0.87 70.96 20.35 30.54 158.01 185.26

21 &

Above 21 11.09 1.44 22.18 34.71 19.38 1.52 0.71 65.29 18.28 25.05 130.23 164.95

Total 40

Table ID: L-3

GRAPH ID: TC-L

Income




and price per liter was Rs. 36.67, 33.75, 37.08

and 37.11 by all farm categories, respectively.

Farmer Group FC VC TC Income

Animals Frequency TFC TVC TC M Y Rate Income Profit

1-5 Animals 3 3.00 6.00 6.00 8.00 36.67 293.33 28.28

6-10 Animals 4 4.00 8.00 8.00 8.27 33.75 279.20 37.87

11-20 Animals 12 12.00 24.00 24.00 6.67 37.08 247.22 61.97

21 & Above 21 21.00 42.00 42.00 8.68 37.10 322.14 157.19

Total 40

Table ID: L-4


GRAPH ID: Pr-L







users.

Profit per animal was Rs. 28.28, 37.87,

61.97 & 157.19 respectively per day by farm

type in descending order. Least profit

was observed by the small holder, however

profit increases along as the number of animals

increased. Highest profit was observed by the

commercial farm having greater than 20 animals

due to economies of scale. Management



reduce the cost.

6. Gujranwala District (Northern irrigated Punjab)

Milk Production

Gujranwala is an agriculture district of

almost small and landless holdings, highly

populated with organized villages. Four union

councils were selected: Noshera virkan, Tehsil

Noshera, Sohdra in Tehsil wazirabad, and Union

council Narang in Tehsil Kamonkey. Farmers

were put in groups of 1-5 animals, 6-10 animals,

11-20 and 21 and above animal.

As the farm size increases, the profit per

animal also increases due to the economy of

scales & superior genetics of animals.

Commercial farmer received RS 182.2 per day

as profit by selling most of the milk to the

household & tea-shops. Consumer of industrial

area of Gujranwala has good purchasing power.

In Gujranwala, concentrate feed being

used was cotton seed cake, rape seed cake,

wheat bran and dry bread. Supply system from

farm to the market was a network of wanda

shops along the road bus stops , big villages,

towns and cities. These shops also supply

fodder, seed, fertilizers and other agri inputs to

the local farmers.





milk was also included in the income stream of

the animals. Following was the cost structure…


Gujranwala the fixed cost per animal per day

was calculated. The depreciation of animal was

Rs. 6.7, 7.2, 7.0 and 8.4 per animals per day for



respectively.

Depreciation of sheds and equipment

was Rs. 2.1, 1.5, 1.2, 0.7 per animal per day by

the farm size in the descending order,

respectively. Interest on the value of animal per

day was Rs. 13.4, 14.5, 14 and 16.7,

respectively.

Milking Units= 436

Total Units = 1075

FC

Animals Frequency Depp Equip & Shed IR TFC

1-5 Animals 6 6.70 2.14 13.40 22.24

6-10 Animals 9 7.24 1.46 14.47 23.17

11-20 Animals 12 7.00 1.16 14.00 22.16

21 & Above 18 8.35 0.65 16.71 25.71

Total 45

Table ID:G-1

GRAPH_ID: FC-G

Variable Cost


aggregation of costs for electricity, Vet

Services, Labor, Green Fodder, Dry Fodder

and Concentrates. Green Fodder and Dry

Fodder is fed to all animals but concentrate

diet is only fed to milking animals.



Animals”, “6-10 Animals”, “11-20 Animals” &


“21 & above Animals” . Similarly, Vet Services

count for 1.16, 1.00, 0.83 & 0.63 respectively.

Labor costs 33.92, 24.96, 23.12 & 18.82

respectively. Similarly, Green Fodder, Dry

Fodder & Concentrates count for Rs “33.92

16.02 37.48” ,” 24.96, 17.72, 27.83” , “23.12,

9.37,23.17” , “18.82, 6.91, 18.90” respectively

for 1-5 Animals”, “6-10 Animals”, “11-20

Animals” & “21 & above Animals

”

VC

Animals Frequency Electr Vet Serv Labor G F D F Concen TVC

1-5 Animals 6 3.47 1.16 33.92 33.92 16.02 0.00 88.50

6-10 Animals 9 1.95 1.00 24.96 24.96 17.72 0.00 70.59

11-20 Animals 12 1.86 0.83 23.12 23.12 9.37 0.00 58.30

21 & Above 18 2.61 0.63 18.82 18.82 6.91 0.00 47.78

Total 45

Table ID:G-2

GRAPH_ID: VC-G

Total Cost



Rs. 148.22, 121.59, 103.63 & 92.38 by farm size

I, II, III and IV, respectively. Fixed cost per

animal per day was Rs. 22.24, 23.17, 22.16 &

25.71 and variable cost was Rs. 125.98, 98.42,

81.47 & 66.67 by the farm size I, II, III and IV,

respectively.


Animals stock Depp

Equip &

Shed IR TFC Electr

Vet

Serv Labor G F D F Concen TVC TC

1-5

Animals 6 6.70 2.14 13.40 22.24 3.47 1.16 33.92 33.92 16.02 37.48 125.98 148.22

6-10

Animals 9 7.24 1.46 14.47 23.17 1.95 1.00 24.96 24.96 17.72 27.83 98.42 121.59

11-20

Animals 12 7.00 1.16 14.00 22.16 1.86 0.83 23.12 23.12 9.37 23.17 81.47 103.63

21 &

Above 18 8.35 0.65 16.71 25.71 2.61 0.63 18.82 18.82 6.91 18.90 66.67 92.38


Total 45

Table ID:G-3

GRAPH_ID: TC-G

Income




and price per liter was Rs. 32.30, 31.50, 30.60

and 30.80 by all farm categories,

respectively.(Ref: Table ID:)

Milk market channel was Dodhis,

Shops and sale to nearby house holds.

Marketing was not a problem and demand for

milk was higher as compared to supply for

consumption. The by products prepared in the

area was raw cheese, khoya, sweets, Dhahi

and Lassi by the end users.

Profit per animal was Rs. 21.35,

51.51, 100.63 & 182.21 respectively per day

by farm type in descending order. Least profit

was observed by the small holder, which is

due to including highest family labor in variable

cost. However profit increases along as the

number of animals increased. Highest profit

observed by the commercial farm having

greater than 20 animals. Management



reduce the cost.

Farmer Group Frequency TFC TVC TC M.Y. Rate Income PROFIT

1-5 Animals 6 6.00 125.98 148.22 5.25 32.28 169.57 21.35

6-10 Animals 9 9.00 98.42 121.59 5.50 31.50 173.10 51.51

11-20 Animals 12 12.00 81.47 103.63 6.67 30.61 204.26 100.63

21 & Above 18 18.00 66.67 92.38 8.92 30.79 274.59 182.21

Total 45

Table ID:G-4


GRAPH_ID: PR-G

Comparison between Various Zones of Punjab

This Section of the report will comprise..

A. Fixed Cost Comparison

B. Variable Cost Comparison

C. Total Cost Comparison

D. Milk Yield & Rate Comparison

E. Income & Profitability Comparison &

F. Comparison at a glance!

The Fixed cost comparison is further

subdivided into various Fixed Cost Constituents

including Depreciation of Animals (Per Animal

per day), Depreciation of Equipment & Sheds

(Per Animal per day) & Interest Rate (Per Animal

per day). A comprehensive Fixed Cost

comparison will be given at the end of this

comparison. This presentation includes the

tabular as well as graphical data.

The Variable cost comparison is further

subdivided into various Variable Cost

Constituents including Labor (Per Animal per

day), Electricity (Per Animal per day), Green

Fodder (Per Animal per day), Dry Fodder (Per

Animal per day), Concentrates (Per Animal per

day) & finally Vet Services (Per Animal per day).

A comprehensive Variable Cost comparison will

be given at the end of this comparison.

Additionally, a comparison for profit is

presented. Furthermore, Milk Yield & Rate

Comparison, Income & Profitability Comparison

are given to have a better understanding of the

various ecological zones. “Comparison at a

glance !”, at the end compares per animal per

day fixed cost, variable cost, total cost, milk yield

& rate, income & profitability.

A. Fixed Cost Comparison

Fixed Cost Constituents 1. Depreciation of Animals (Per Animal per day)

2. Depreciation of Equipment & Sheds (Per Animal per day)


3. Interest Rate (Per Animal per day)

1. Depreciation of Animals (Per Animal per day)

GRAPH_ID: DepPA-Com

Farmer Group Bhakkar Pakpattan Jhelum Faisalabad Lahore Gujranwala

1-5 Animals 4.4 6.3 6.5 6.6 9.7 6.7

6-10 Animals 4.7 5.7 6.1 9.1 8.4 7.2

11-20 Animals 4.8 6.4 6.1 8.1 8.5 7.0

21 & Above 5.6 7.0 6.4 10.1 11.1 8.4

TABLE_ID: DepPA-Com

2. Depreciation of Equipment & Sheds (Per Animal per day)


GRAPH ID: S&EqPA-Com


1-5 Animals 1.37 1.08 17.64 2.80 2.39 2.14

6-10 Animals 0.84 0.63 18.76 1.93 0.98 1.46

11-20 Animals 0.57 0.61 19.36 0.23 1.72 1.16

21 & Above 1.05 1.20 22.36 0.07 1.44 0.65

TABLE ID: S&EqPA-Com

3. Interest Rate (Per Animal per day)

GRAPH ID: IRPA-Com


1-5 Animals 8.8 12.5 2.1 13.2 19.4 13.4

6-10 Animals 9.4 11.5 1.6 18.2 16.8 14.5

11-20 Animals 9.7 12.8 1.5 16.2 17.0 14.0

21 & Above 11.2 13.9 1.3 20.3 22.2 16.7


TABLE ID: IRPA-Com

Total Fixed Cost

GRAPH_ID: TFCPA-Com


1-5 Animals 14.6 19.9 21.5 22.6 31.5 22.2

6-10 Animals 14.9 17.9 19.9 29.3 26.2 23.2

11-20 Animals 15.1 19.9 19.8 24.6 27.3 22.2

21 & Above 17.8 22.1 20.3 30.5 34.7 25.7

TABLE_ID: TFCPA-Com

B. Variable Cost Comparison

Variable Cost Constituents

1. Labor (Per Animal per day)

2. Electricity (Per Animal per day)

3. Green Fodder (Per Animal per day)

4. Dry Fodder (Per Animal per day)

5. Concentrates (Per Animal per day)

6. Vet Services (Per Animal per day)

1. Labor (Per Animal per day)


GRAPH_ID: LaPA-Com


1-5 Animals 38 38 46 92 66 34

6-10 Animals 22 22 32 40 33 25

11-20 Animals 14 18 25 29 33 23

21 & Above 16 12 12 20 19 19

TABLE_ID: LaPA-Com

2. Electricity (Per Animal per day)

GRAPH_ID: ElPA-Com


1-5 Animals 3.2 1.7 2.0 4.9 2.4 3.5

6-10 Animals 1.4 3.7 1.4 2.9 2.3 2.0

11-20 Animals 1.2 1.0 1.0 2.3 1.9 1.9


21 & Above 1.2 1.1 0.9 1.5 1.5 2.6

TABLE_ID: ElPA-Com

3. Green Fodder (Per Animal per day)

GRAPH_ID: GFPA-Com


1-5 Animals 48 33 39 85 89 34

6-10 Animals 36 26 29 71 109 25

11-20 Animals 27 26 25 67 71 23

21 & Above 22 24 11 39 65 19

TABLE_ID: GFPA-Com

4. Dry Fodder (Per Animal per day)


GRAPH_ID: DFPA-Com


1-5 Animals 7.73 9.06 11.69 29.98 44.05 16.02

6-10 Animals 6.04 8.54 10.13 27.73 31.43 17.72

11-20 Animals 4.46 8.70 8.83 20.37 20.35 9.37

21 & Above 4.91 10.20 23.68 20.29 18.28 6.91

TABLE_ID: DFPA-Com

5. Concentrates (Per Animal per day)

GRAPH_ID: CoPA-Com



1-5 Animals 3 16 25 49 31 37

6-10 Animals 4 13 13 30 38 28

11-20 Animals 3 16 11 43 31 23

21 & Above 6 22 24 74 25 19

GRAPH_ID: Com

6. Vet Services

GRAPH_ID: VSPA- Com


1-5 Animals 0.6 1.0 1.1 2.7 1.4 1.2

6-10 Animals 0.6 0.8 1.3 0.6 1.1 1.0

11-20 Animals 0.4 0.4 1.0 1.0 0.9 0.8

21 & Above 0.3 0.4 0.1 0.7 0.7 0.6

GRAPH_ID: VSPA- Com

Total Variable Cost

GRAPH_ID: TVCPA- Com



1-5 Animals 100 98 125 264 234 126

6-10 Animals 71 74 87 172 215 98

11-20 Animals 50 70 72 163 158 81

21 & Above 50 70 72 155 130 67

GRAPH_ID: TVCPA- Com

C. Total Cost Comparison

GRAPH_ID: TCPA- Com


1-5 Animals 115 118 146 287 265 148

6-10 Animals 86 92 106 201 241 122

11-20 Animals 65 90 92 188 185 104

21 & Above 68 92 92 186 165 92

GRAPH_ID: TCPA- Com


D. Milk Yield & Rate Comparison

GRAPH_ID: MYPA- Com


1-5 Animals 4.1 4.5 6.0 10.1 8.0 5.3

6-10 Animals 4.2 4.4 6.0 6.3 8.3 5.5

11-20 Animals 3.6 4.4 4.8 7.5 6.7 6.7

21 & Above 4.3 4.7 5.5 7.3 8.7 8.9

TABLE ID: MYPA-Com

GRAPH_ID: MPPL-Com



1-5 Animals 22 24 28 32 37 32

6-10 Animals 21 23 28 31 34 32

11-20 Animals 22 24 27 31 37 31

21 & Above 22 23 27 33 37 31

TABLE ID: MPPL-Com

E. Income & Profitability Comparison

GRAPH_ID: IPA- Com


1-5 Animals 91 106 166 321 293 170

6-10 Animals 89 102 166 196 279 173

11-20 Animals 79 104 128 235 247 204

21 & Above 93 108 151 239 322 275

TABLE ID: IPA-Com


GRAPH_ID: PPA- Com


1-5 Animals -23 -12 19 34 28 21

6-10 Animals 4 10 59 -5 38 52

11-20 Animals 14 15 36 47 62 101

21 & Above 25 16 59 54 157 182

TABLE ID: PPA-Com


F. Comparison, at a glance:

GRAPH_ID: CAAG


Milk & Meat Marketing Systems in Punjab

Milk processing and marketing

In Punjab only 3-4 per cent of the total milk is processed and marketed through formal channels whereas the remaining 97 per cent of the milk reaches end users for immediate consumption through an extensive, multi-layered distribution system of middlemen. However the processed milk consumption is growing at the rate of 20 per cent per year. Pasteurized and UHT milk in tetra packs are very popular products (PISDA-USAID, 2006). Most milk shops and bakeries across Pakistan manufacture and sell traditional dairy products like Dhahi (yoghurt) and khoya (sweet condensed milk).

Large dairy shops also produce desi ghee and butter. Processing plants have also introduced a number of dairy products like yoghurt, drinking yoghurt, flavored milk, cream, butter, ghee, cheese and ice cream. However, the quantities sold are small except for yoghurt and butter. Industrial processing units have also been set up in addition to the traditional traders of sweetmeats, milk, yoghurt, ghee and other dairy products. Most processing capacity is concentrated near larger markets and away from potential sources of milk. More than 53 modern milk processing facilities were established before 1974. By 1974 less than half were operating after the introduction of the first UHT, long-life milk plant came into operation.

Livestock farming is an integral part of rural economy of Pakistan. Despite the laissez faire type of public approach for the development of this sector, it has grown at impressive rate. Presently, this sector is sharing almost 50% to the total value addition in agriculture sector and almost 11% of national GDP. Only the milk produced has value higher than the combined value of wheat and cotton. National Commission on Agriculture clearly emphasized that “one of the main reasons for the lack of development in the livestock sub-sector is the exceeding defective system of marketing of livestock and livestock products”. Realizing the importance of the issue, a nation wide study was carried out, with the assistance of FAO Pakistan, to investigate the marketing of live animals and their products in the country. Besides marketing of live animals, the selling system of different livestock products like milk, meat, wool, hides and skins were investigated.

It was found that majority of the animals brought for sale in livestock markets were low milk yielding and have poor body score. The

livestock markets lack even basic facilities while local governments collect a handsome amount of revenues from these markets. Beoparies or traders are the major players in these markets while the farmers, as sellers and buyers, have relatively little information about competitive prices of the animals

. In milk marketing, dhodies or milkmen

are the only dominant intermediary. Consumers, shopkeepers, veterinarians and researchers report a number of adulterations and contaminations in the milk supplied by dhodies. The competitive milk marketing in the pasteurized and UHT forms is at highly limited scale and UHT milk prices are almost double than the loose fresh milk supplied by dhodies.

In meat marketing, the abattoirs are the

production points and butchers‟ shops are the only vending points to the consumers. The abattoirs are seriously lacking basic sanitation facilities (like light, adequate water supply, space

for slaughtering and animal keeping, meat refrigeration, and disposal of offal) all over the country. A large portion of the by-products such as blood, glands, intestines, and bones are either wasted or poorly processed. The hygienic conditions of the slaughterhouses and meat shops are very poor. One of the underlying reasons is that these facilities were not periodically updated because of complex administratively procedures involved. The flayers and butchers are also not professionally trained. The fixing the prices of beef and mutton by local governments are serious obstacles in buying good quality animals for slaughtering.

Due to poor flaying, lot of damages

occurred to hides and skins right at the production points. The collection and disposal of these hides and skins is a lengthy process and proper care is not given to these useful products on their way from production point till it reaches


the tanneries. In town or city markets, the hides and skins business is in the hands of commission agents or “arthies”. The price is mostly dictated by the beopari who decides the price on the basis of weight and cleanliness and they have the updated price information.

In case of wool, due to clipping with

scissors, the quality is damaged right at the production point. The local wool collector mixes fleece of different flock into one consignment and in this way he adds some dirt to increase the weight. No quality control measures are practiced during wool marketing. Virtually all livestock and livestock products provide

relatively a meager rate of return compared to the investment. This is true at each stage of largely traditional marketing systems.

Creation of a Livestock Marketing

Regulatory Authority is recommended to ensure good governance in marketing of livestock and livestock products, Practicing of SPS measures in production and marketing of milk and meat marketing & Provision of milk pasteurization and chilling facilities in deep rural areas, and hides/skins processing facilities in Rain fed and Barani areas is the solution to the problems of livestock.

Beef & Mutton production

Beef Production System:

Most of the meat production was

conventional based on grazing with very poor

management and veterinary facilities. Male

calves after weaning at the age of 8 months are

usually slaughter and their body weight is less

than 100 kg with lean body.

Animals used for fattening were Dhanni,

non descript with Sahiwal Blood purchased from

local market Jehlum. Fodder was scare in the

areas animals were also grazed for 5 to 8 hours

and fed in the evening hours. Water was

available for drinking by the government water

supply scheme. Animal were offered 2 kg

concentrate ration per day. Profit per animal was

the 5328, by small holding Rs. 4894 for by the

large form respectively.

Small farm was fattened for 90 days &

large form for 113 day. Growth was poor as

breed used were of low per day growth gain.

Sacrificial occasion market was the only factor of

success.

There are probably few people who

keep animals merely as a hobby. Farmers keep

cattle and buffalo to earn livelihood and make

profit. Agriculture business or livestock keeping

has thus emerged as an industry from a merely

sustainable mode of production. With the rising

competition for use of natural resources, it has

become imperative to use these resources

judiciously and efficiently. This trend in

production in all businesses the world over has

put an equal pressure on the animal scientists to

look ways and means for economical livestock

production to feed the growing human

population.

Beef is used as a major source of animal

protein in the world (FAO, 1998) with per capita

availability varying from few kilograms to few

hundred kilograms. The 1.60 million tons beef

produced in Pakistan every year comes mainly

from buffalo (65%) while the rest of it is shared

by cattle. Yet, per capita availability of beef in

the country is less than 8 kg (Anonymous, 1998)

with mutton sharing equally. Masses, therefore,

do not get the minimum required animal

proteins. Beef produced in the country is a by-

product of dairy industry. Research efforts have

been made in the past to produce beef through

crossbreeding of local cows with exotic semen

and through fattening of cows and buffaloes.

This review discusses various scenarios for beef

production in the country and evaluates work

done in the past to get a true picture for planning

future beef production in Pakistan.

GLOBAL SCENARIO

World beef breeds. There are more

than 100 beef breeds in the world. But no single

breed of cattle can be claimed to excel all others

in all aspects of beef production under all

conditions; all breeds have strong and weak

points and hereditary variation exists in all

breeds. Although, the available resources,

production system, and environmental

conditions may determine which breed to

choose, selection of a particular breed is usually

a matter of personal choice (Ensminger, 1987).

The 57 breeds found in U.S. have been grouped

into full bred (8), purebred (31), man-made (18)

and a dozen others (Walker, 1989). Most of

these breeds are owned by breed associations

that act as a backbone of the beef industry. They

not only add glamour to the industry, especially

through shows but also with their programs

create a `belonging feeling' for the cattlemen.

Comparative rating of economic traits of 59 beef

breeds of cattle has been described by

Ensminger (1987). Surprisingly though, most of

the beef produced in the world does not come

from beef breeds. In the U.K., for example,

about 1/3 of total beef production is derived from

the beef herds while 2/3 from the dairy herd (cull

cows, pure bred and crossbred calves) (Baker,

1983).Similar trend is observed in Pakistan

Basic principle of beef production.

The most important biological principal of beef

production is that the animals should gain in

weight so that it reaches a live weight suitable

for slaughter within a reasonable period of time.

Thus nutrient intake must exceed requirements

for maintenance of body weight (Wilkinson,

1985). Beef can be produced with little or no

grain with improved forage management, thus

making beef production more competitive and

profitable (Thomas, 1986). Beef production in

most of the United States and elsewhere in the

world is mainly dependent on forages, except

during finishing stage of the animals. It is

estimated that 85.7% of the total feed for beef

cattle, in United States, is derived from

roughages. Green and cured fodder can supply

all the nutrients required for the beef cattle,

except common salt and whatever energy rich

feeds may be necessary for additional

conditioning (Ensmmger et al., 1990).

CURRENT BEEF PRODUCTION SITUATION

IN PUNJAB

Beef production through cross

breeding. In Pakistan, cattle and buffalo are

mainly maintained for milk production and to

some extent for draught purpose. There are

neither specific breeds of cattle or buffaloes nor

any specific rearing system for beef production.

Efforts have been made to develop a breed for

beef purpose. The first effort was made by

crossing Charolais with local cows (Sahiwal,

Dajal and Thari). The average birth weight of

Charolais crosses (25 kg) was lower than buffalo

(32.7 kg). The average live weight at 6 and 15

months of age was higher in buffalo calves than

in cross-breds (190 and 326 vs 172.5 and 311

kg, respectively) However, Charolais crosses

had higher live weight (293 kg) than buffalo

calves (277 kg) at the age of 12 months (Usmani

et al., 1979).

In another attempt, Australian

Droughtmaster of Australia was crossed with

Bhagnari. The plan started in 1969 at Beef

Production Research Centre, Sibi, and

Baluchistan. The animals in the third cross

(62.5% Droughtmaster, 37.5% Bhagnari) were

named as 'Narimaster'. The mature weight of

Bhagnari males and females is 545 and 341 kg,

respectively (Bhutto et al., 1993). The birth and

weaning weights and pre-weaning daily growth

rates of Bhagnari, Droughtmaster and

Narimaster are 23, 27.5, 26 kg; 106, 113, 119 kg

and 0.39, 0.42, 0.45 kg, respectively (Bashir et

al., 1998). These birth weights are not

comparable with the birth weights (34-44 kg) of

crosses of famous beef breeds of cattle in

temperate zones (Thomas, 1986). The

performance of other economic traits (weaning

weight and daily growth rate) of Droughtmaster

in this herd is also not comparable to the

standards of any beef breed, therefore,

continuation of this programme has not been

justified (Khan, 1996).

The latest effort in beef production is

being made by crossing Simmental with the local

cattle population under a project named "Beef

Production through Cattle Cross Breeding" at

LPRI, Bahadurnagar, Okara (personal

communication). The objectives and the

approach of the project, however, does not

seem to be rooted in lessons of Droughtmaster

and Charolais crossbreeding.

Buffalo as a beef animal. Male buffalo

calves grow at an average rate of 0.52 kg/day

purely on forage based diet such as Sadhabahar

(Tahir & Rehman, 1987) The average initial body

weight of the animals in this study was 190 kg.

In studies conducted at LPRI, Bahadumagar

(Pasha & Tahir, 1985; Pasha, 1987; Jabbar &

Iqbal, 1993; Jabbar et al., 1993) it has been

reported that daily growth rate of male buffalo

calves from 0.78 to 1.01 kg having initial body

weight between 116 to 188 kg. In another study

(Pasha, 1986), the average growth rate of male

buffalo calves ranged between 0.43 to 0.7

kg/day. The average initial live weight of animals

in all these groups was 142 and they were

raised on diets containing wheat straw, rice husk

or maize cobs. Information is not available on

the energy consumption of the animals in this

study. However, from the data presented in the

aforementioned studies, it seems that the

difference in growth rate was due to the

difference in the energy intake and initial body

weight of the animals. Basra et al. (1992)

studied the growth response in buffalo male

calves fed different levels of protein and energy.

Calves ranged in age from 6 to 9 months (Av.

weight 110 kg). Highest daily weight gain (728

g/d) was observed in calves fed low protein-high

energy ration. The lowest growth rate (549 g/d)

was in calves fed medium protein-high energy

ration.

In a fattening trial of old bullock

(Anonymous, 1963) done under the Directorate

of Livestock Farms at College of Veterinary

Sciences, Lahore, a maximum of 1.1 kg daily

weight gain was recorded. Whether the gain in

weight was due to fat deposition or lean meat in

the body is not clear but it is assumed that

mostly it should be due to fat deposition because

at the old age this much growth rate in lean meat

is not possible. In later studies on old bullocks

(Barque et al., 1980) weight gain of 0.8 kg has

been reported with dressing percentage similar

to buffalo male calves.

Buffalo vs cattle as beef animal. Comparative

Performance of buffalo male calves and

pure and crossbred cattle calves has extensively

been reported. Asrar (1986) reported that

buffalo, Sahiwal and crossbred (Friesian x

Sahiwal) male calves of 12-14 months of age

had weight gain 0.91, 0.94 and 0.97 kg/day,

respectively on a diet having 10.2% CP and 60%

TDN. The average initial body weight in these

calves was 180 kg. Dry matter digestibility and

dressing percentage was slightly better in

crossbred calves. Pasha (1988a) compared the

fattening potential of Sahiwal calves and buffalo

calves on a ration with 13.3 CP and 53% TDN.

The average initial body weight of animals was

200 kg and they were fed ad libitum. The

average growth rate of Sahiwal cow calves (.841

kg/day) was less than buffalo calves (0.970

kg/day). Similar trend in growth rate of Sahiwal

cow and buffalo (0.715 vs 0.765 kg/day and

0.796 vs 0.840 kg/day in cow and buffalo,

respectively) was reported in other studies

(Pasha, 1998b; Ahmad et al., 1995). However,

Basra (1992) reported an opposite trend in the

growth rate of male calves of Sahiwal, cross-

bred cows and buffaloes at the age of 12-15

months. The concentrate ration had 11.12% CP

and 61.75% TDN. Daily growth rate was the

highest (839-869 g) in cross-bred followed by

Sahiwal cow (795-805 g) and buffaloes (751-781

g). The FCR was 9.9-10.6, 9.5-9.8 and 10.6-10.9

in male calves of Sahiwal and cross-bred cows

and buffaloes, respectively. Similar trend in the

growth rate of cows and buffaloes has been

reported by Mohsin et al., (1995). Varying the

level of fiber and concentrate in their diets, cow

calves had higher growth rate than buffalo

calves (0.769 vs 0.566 and 0.666 vs 0.448

kg/day in cow and buffalo calves, respectively).

Although their average initial body weight was

almost same in all the groups.

Limitations of nutritional experiments. In

most of the nutritional studies reported above,

information on the energy intake of the animals

is not available. Under these circumstances, it is

difficult to know whether the energy

requirements of the animals were met according

to any feeding standards or not. More often than

not, information on the feeding value of green

fodder offered to the animals is lacking. This

information is essential for future planning to

increase production performance of animals.

Most of the research conducted on nutritional

aspects of buffaloes has serious limitations. That

is why on international level, our research on

nutrition has been termed as "feed them and

weigh them" toward manner of utilization of

products for the animals to survive or to

determine performance in one or more traits

when energy intake will not support biological

efficiency (McDowell et al., 1995).

Stimulus for action. Sincerest efforts

are required to develop the local beef

production. The first step would be to change the

current approach in the research. Commercial

viability of the beef production enterprise has to

be established. Except in one study (Tahir &

Rehman, 1987) from among the studies

mentioned above, the animals were raised on

either complete diet or combination of

concentrate mix and available seasonal green

fodder. Partial or full concentrate feeding may

not be economical for beef production. In a

recent study by Jabbar et al. (1997), the animals

raised purely on green fodder had very low

growth rate (211 gram/day). This growth rate is

"unacceptable" in buffalo‟s heifers without any

plausible explanation, if they were fed. Efforts

should be made to explore the possibility of

raising animals purely on the forages. The

reasons for low productivity of animals on forage

should be investigated. Why the science that

can work in other parts of the globe has failed in

this country. This is a food for thought for the

animal nutritionists in this country.

Ecological and environmental conditions

are not very dissimilar in India and Pakistan.

India has made progress in the export of buffalo

meat. Thus frozen buffalo meat is being

regularly exported from India to the Middle East

(Joshi, 1988). This is despite the fact that

Murrah buffalo has lower adult body weight (584

kg) than Nili-Ravi (647 kg)(McDowell et al.,

1995). Studies in Egypt have also shown

prospects for meat production in Egyptian

buffaloes. Average daily gain in Egyptian

buffaloes from live weights of 120 to 450 kg

ranges between 500 to 1000 grams per day on

low to high energy diets (Graziani, 1988) despite

that their mature body weight is 121 kg less than

Nili- Ravi buffaloes (McDowell et al., 1995). This

also provides a stimulus for action to the

Pakistani scientists in this field.

VARIOUS ALTERNATIVES FOR BEEF

PRODUCTION IN PAKISTAN

1. Produce beef domestically

From available cattle and buffalo population. The

beef produced from the available cattle and

buffalo population is as a by-product because

these species have traditionally not been raised

for producing beef. The main purpose have been

the generation of draught power and production

of milk. Animals are slaughtered to fetch beef if

they are surplus and do not perform well for the

main objectives. There is tremendous scope of

improvement in this option because fattening the

surplus has been suggested in the past (Barque

et al., 1980; Gilani, 1980) and most of the

research efforts have been concentrated in this

direction as evident from the studies reviewed in

the preceding sections.

a. From improved genetic potentials of

buffaloes and cattle. There is no buffalo beef

breed in the world and so the only choice for

improving buffalo to produce more beef is to

select buffaloes for beef generation after

generation. Selection for early maturity and

better milk production is likely to improve growth

because of positive genetic association between

growth and maturity and milk production. Direct

selection for beef is also possible but would

reduce the rate of gain in milk production.

Surprisingly though, unintentional selection of

buffaloes for higher body size is going on

especially on male side. At cattle/buffalo shows

male are credited for huge size. The option of

selecting buffaloes for meat has been suggested

(Cady et al., 1983) but requires extreme care

(Khan, 1986) and can not be suggested under

the prevailing circumstances.

2. Import beef breeds as pure stock

This options is less feasible because it

requires huge investment. Also, hash

environment, more diseases and poor feeding

resources compel to make this option even more

remote.

3. Import beef

This option does not seems feasible in

the presence of huge livestock population which

even if not being raised for beef can meet the

domestic demand provided efforts and

resources are diverted for improving their

growth, especially in male surplus calves of

cattle and buffalo and fattening of the old/culled

animals. Fear of dependency, introduction of

diseases (such as BSE) and limited foreign

exchange reserves also limit the scope of this

option. Import of beef currently being undertaken

by multinationals for specific purposes is hoped

to stimulate quality beef production from local

resources.

FUTURE BEEF PRODUCTION IN PAKISTAN

In the light of global scenario of beef

production vis-a vis its current situation in

Pakistan, the animal scientists have to accept a

challenge of making the beef production a

commercially viable enterprise. Only then we

can provide enough meat for the masses on

affordable prices or the country has to depend

on other nations for that. Summarized are some

of the possible means through which we can

achieve the goal of economical beef production

in the country.

1. Beef production from forage

The major limiting factors in the

productivity of beef cattle fed forages alone are

that they limit intake of energy, digestibility of

energy, and the efficiency of energy utilization

for animal product (Waldo & Jorgens, 1981). The

dry matter intake (DMI) and digestibility of

forages by the animals can be affected by many

factors.

ii)

2. Nutrient deficiency

An unbalanced ration may affect intake,

digestibility and performance of the animals.

Generally energy and protein get the first

consideration in balancing the rations. Minerals

are also important for promoting intake and

energy utilization in the animals. Sodium

chloride, for example, to a deficient diet may

improve intake (Habib & Siddiqui, 1994).

Deficiency of calcium causes rickets and

phosphorus deficiency results in decreased

growth rates, inefficient feed utilization and a

depraved appetite in the young animals (NRC,

1984). These minerals, therefore, must be given

special considerations in feeding beef animals

for their higher growth rates.

3. Use of growth promoters

The non-nutritive feed additives and

implants are used in the feedlot production

(NRC, 1984). The growth promoting implants

promote weight gain and feed efficiency by

repartitioning energy toward muscle growth and

away from fat deposition (Samford, 1987). Feed

additives and antibiotics may increase growth

rate by enhancing nutrient utilization

(Heinemann et al., 1978; Pendlum et al., 1978)

and/or decreasing expected weight loss due to

sickness or natural but undesirable behavioral

patterns (over eating and normal cycling by

heifers) (Samford, 1997). The implants are

preparations of sex hormones (Estradiol,

Progesterone and Testosterone) (NRC, 1984)

The non-nutritive feed additives include

monensin, lasalocid and other antibiotics. The

research is required to be conducted on the use

of these growth promoters in cow and buffalo

calves meant for meat production to give sound

recommendation to the beef producers in the

country.

4. Cross Breeding vs exploiting indigenous

resources

Crossing of native type of cattle with

improved breeds is an attractive approach as a

population average can be moved to a new

plateau for certain traits rather rapidly

(McDowell, 1983). Dairy cattle cross breeding is

underway in Pakistan and has increased

average milk production per lactation in cross

bred cows compared with their local ancestors.

Trials have also been conducted to compare the

meat production potential of crossbred calves

with local cattle and buffaloes (Asrar, 1986;

Basra, 1992). The results indicate good

prospects for meat production from crossbred

calves on the basis of their daily growth rates.

However, for a long term strategy it should be

carefully planned to achieve a goal in relation to

environmental conditions (McDowell, 1983).

Also, the susceptibility of crossbred animals to

tick and other diseases should be included in the

model to evaluate its suitability for the Pakistani

environment.

In the absence of any typical beef breed

in Pakistan, cattle and buffalo, because of their

comparable growth rate with defined beef

breeds of the world, have the potential to serve

as beef animal. The present challenge to the

animal scientists is to sincerely exploit their

potentials. This also raises an other fundamental

question that do we really need to develop or

import a "Beef Breed" in the present situation

and spend a lot of time and resources on it or

simply to work with the "available livestock

resources". The answer is easy to fmd if we

compare the growth performance of `Narimaster'

with Bhagnari cattle or buffaloes. Any research

effort should thus be based on the lessons from

Charolais and Droughtmaster crossbreeding.

Haphazard attempts without objectivity are not

likely to lead us anywhere.

5. Improving beef marketing

In the order of priority the beef is likely to

remain as the third choice after poultry and

mutton among the masses in Pakistan. Majority

of the people are not quality conscious and are

less likely to pay higher prices for a good quality

beef or for an old spent animal's meat. Hence

there is less incentive for the farmers to produce

a quality beef. However, with Government

permission to export the beef, there is a lot of

scope for the local beef industry to develop.

It was explored that animal supply chain

was strongly linked with the village beopari/

livestock traders and butchers. Butcher usually

purchase few animals for local slaughtering

along the road side shops and bus stops.

Shops are known and healthy male

calves are slaughter for rural peoples. However

the beopari/ livestock traders supply these

animals to the near town and big city, where

local authorities have established livestock

markets.Butchure of town and city purchase

animals from these markets and slaughter their

animals in the slaughter houses in the

supervision of area Veterinary Officers.Being the

barai area livestock traders and suppliers of

Rawalpindi Sargodha Balwal, Gujranwala gujrat

and traders of Lahore Markets purchase animals

from the potohar arid Livestock

Mutton Production System: Sheep and goat production is one of the

major economic activities under the arid and

semi-arid condition of Pakistan. The country has

56.7 million of goat and 30.9 million of sheep.

The main purpose of raising these small

ruminants in the country is mutton production.

The small ruminants share about 40% of total

red meat produced in the country. It has been

observed that in the last many years the overall

per capita consumption of the animal food

products is increasing. Overall annul growth rate

of goat in Pakistan is 3.78% which is highest in

Asia.

Pakistan ranks third in Asia in small

ruminant population. Some famous sheep and

goat breeds which have potential for mutton

production are reported in the paper. Very

limited studies have been conducted on sheep

and goat for mutton production in Pakistan.

There is no feedlot fattening system functioning

in the country. The indicators suggest that there

are bright aspects of sheep and goat to be used

as meat animals. Due to bird flu outbreaks in the

world including Pakistan, there is strong feeling

to exploit small ruminants as alternate and/or

backup source of elite animal protein. To meet

the increasing demand of mutton locally as well

as for export, feedlot operations are required to

be introduced among the farmer community and

in the private sector in Pakistan.

Mutton Production: Total mutton production data from

small ruminant in Asia has been presented in

table 7.

Introduction:

Small ruminants contribute largely to

the livelihoods of the livestock-keeping

households of low and medium income farmers

in the developing world. The keeping of small

ruminants is mainly concentrated in the

developing areas of the world.

Punjab has the highest goat population

(37%) followed by Sindh (24%) Baluchistan

(23%) and NWFP (16%) as shown in table 2

whereas Baluchistan has highest sheep

population (42%) followed by Punjab (25%),

Sindh (11%) and NWFP (8%). The highest

growth rate (6.67%) per year for goat has been

observed in Sindh followed by Balochistan with a

growth rate of 5.67% per year. Whereas the

sheep population is decreasing at a rate of

1.25% in Punjab and NWFP.

Small Ruminants Production System:

There are three main small ruminant

production systems in various regions of the

country from unknown times. These can be

described as nomadic, transhumant and

sedentary or household. The highest sheep and

goat population (44%) is raised under nomadic

system, followed by transhumant (38%) and

sedentary (18%) as shown in table 6.

Majority of the small ruminants in

Baluchistan and NWFP are raised under

nomadic system. Nomadic flocks have no fixed

base and move constantly throughout the year.

Whereas transhumant system is more common

in Punjab and NWFP, under which about 38%

small ruminants are raised

Table : Small Ruminants Production Systems in Pakistan

Production Systems Province

NWFP Punjab Sindh Balochistan Total

Nomadic 50 26 44 73 44

Transhumant 33 47 37 21 38

Sedentary/Household 17 27 19 6 18

Source: Ishaque, 1993

TABLE ID: SRPS-P

Under this system flock owners have fixed base.

Transhumant flocks are generally smaller than

nomadic flocks and contain more goats (Mack

and Anjum, 1993). The grazing is done on

rangelands and on follow land.

Sheep and goats maintained under these two

systems get more than 90% of their feed from

the rangelands (Khan et al., 2000). The

sedentary system is found in the cropped areas,

especially in Punjab, NWFP and Sindh.

Sedentary flocks consist of about 20-30 heads.

These are raised normally in villages. Majority of

the flocks are owned by landless families and

represent a major source of family income. Feed

resources for these animals are grazing

wasteland, crop residue / stubbles and cultivated

fodders.

Table : Mutton Production (000 tons)

Source of

mutton

1976 1986 1996 Annual Increase%

(1976-1996)

2004 Annual Increase%

(1996-2004)

Sheep 136 225 215 2.90 224 0.4

Goat 178 309 387 5.87 496 2.8

Total 314 534 602 4.59 720 1.96

Source: Agri. Stat. 1976-77, 1986-87, 1996-97, 2003-04

TABLE ID: MPr

Sheep goat flocks are reducing in the

irrigated areas .However, in the Thall & Rain-fed

Potohar area, sheep goat keeping is a good

source of income & employment for the rural

people. Goat population is greater in Rain-fed

area, and sheep production is more in Thall

area. Mix farming with sheep & goat is seen in

both mutton production areas.

The flocks are grazed after one hour of

sunrise till dawn. One shepherd can manage up

to 100 animals. Average herd size was 47

animal ranging from 27 to 115 animals. Breed in

Thall area was Thalli sheep & varying degrees of

breed impurity of blood in kajli & Lohi sheep. No

pure specimen was seen. Goat breed Beetle-

like, Teddy in addition to local & Teddy cross.

However, In Barani Rain-fed area,

sheep breeds were Salt range, Afghan sheep

(introduced by muhajirs/immigrants), Bulkhy with

blood at different level. Goat breed was Pahari

Breed Beetle with red spots, Teddy & Pahari

cross & finally pure teddy.

No slaughtering of sheep/goat in rural

areas was observed. However, they are

slaughtered in the nearby towns & cities for

mutton production. Consumer rates, here,

normally range from Rs 220/Kg to 260/Kg.

Housing:

No sheds were constructed in the Thall

area. Barns were walled with thorny bushes &

Acacia with no roots under the trees in winter.

But in rain-fed areas, katcha houses were

constructed to fight against rain. People are

never willing to invest into the improved housing

for sheep & goat.

Table : World Mutton Production (Million tons)

1996 2000 2004 2005

Sheep Goat sheep goat Sheep Goat Sheep Goat

World 7.02 3.09 .59 .73 8.20 4.36 8.44 4.53

Asia 2.98 2.11 .48 .67 4.29 3.24 4.50 3.41

Bangladesh 0.25 0.11 .03 .13 0.03 0.14 0.03 0.14

China 1.00 0.81 .44 .30 2.24 1.75 2.40 1.90

India 0.21 0.45 0.22 .46 0.23 0.47 0.24 0.47

Pakistan 0.15 0.28 0.16 0.31 0.16 0.36 0.17 0.37

Source: FAO, 2006

TABLE ID: WMP

Marketing:

Local market were present in both the

Thall & Barani area of Punjab, regulated

by local great authorities, owned by contractor,

who manage them day by day business of the

market. Parchi fee is @ 2% of price of the

animal.

Export of Mutton:

Keeping in view the data presented

in the tables and weight gains under the

traditional farming system, it can be concluded

that there is a great potential to bridge the yield

gap of about 200 percent which can be achieved

through balanced feeding and management

under feedlot farming system.

The data on the export of mutton is

given in Table 16. It clearly shows that the

demand of Pakistani mutton is increasing year

by year in the Gulf States.

Table : Export of Mutton

Year Production (000 tons)

Export (000 tons)

%

2000-01 666 2.69 0.40

2001-02 683 0.79 0.12

2002-03 702 1.09 0.15

2003-04 720 0.53 0.07

2004-05 740 1.90 0.25

Source: Ministry of Food Agriculture and Livestock, 2006

TABLE ID: EOM

Mortality Losses

Survival of neonatal calves is imperative

for livestock propagation; however, a large

number of calves die during the first year of their

life causing heavy drain on the economics of

livestock production. Mortality of neonatal calves

was attributed to conditions like diarrhea and

pneumonia (Shimizu and Nagatoma., 1978).

However, environmental and managemental

factors hasten the occurrence of such conditions

(Khan and Khan, 1991).

Calf mortality was associated with the

type of housing, feeding, managemental

practices, weather conditions, external and

internal parasitic infestation and bacterial

infections especially those causing septicemia

and enteritis (Blood et al., 1994).

According to Afzal et al. the mortality in

cattle and buffalo calves ranged from 29.1% to

39.8%. Martin and Wiggins estimated that 20%

calf mortality resulted in reduction of 38% profit

of a livestock farm. Furthermore, 25% average

early calf mortality hardly provides any chance

for regular replacement of low production

animals. A minimum mortality rate of 5% is

usually acceptable to dairy farm having standard

managemental conditions. In this paper, the

existing on-farm practices of buffalo calves

rearing and mortality incidence in buffalo calves

in commercial dairy farms of Punjab province is

reported.

Mortality Loss per annum Animals Gujranwala Bhakkar Jhelum Pakpattan Faisalabad Lahore

1-5 Animals 4495.5 876.9 531.8 1463.0 6808.5 0.0 6-10

Animals 7936.0 1062.0 745.9 783.8 3826.7 4165.4 11-20

Animals 3937.5 1559.8 2381.4 1159.0 1131.9 2316.7

21 & Above 4717.9 1150.7 419.3 244.3 506.9 730.5

Total 21086.9 4649.4 4078.4 3650.1 12274.1 7212.6

Table ID: ML-1

Among the dairy farms of study area

77% of the calves were usually reared to

stimulate milk let down and they were weaned at

the age of 6-12 months. In modern dairy farming

early weaning of calves is preferred to save milk

for marketing. In contrast the weaning age was

high in the majority of the farms of the study

area. In the presence of suckling calves it is

difficult to measure milk production of dams and

also the amount of milk consumed by a calf.

Traditionally farmers were doing little

efforts to stimulate milk letdown in buffaloes with

the help of managemental practices other than

calf suckling. Some of the farmers used

intramuscular injection of Oxytocin for milk

letdown. Only 23%of the calves were reared as

replacement herd in the farms of study area.

Graph ID:MLPA

Education Impact Factor

Pakistan is a developing country with a

lot many illiterate people. Illiteracy is the national

problem of Pakistan. Pakistan literacy rate is

nearly 54%' where a literate person is defined as

one who can read & write one‟s name. 51.7%

farmers were illiterate, 9.6% were primary,

12.8% were middle,18.7% were matric , 3.0%

were intermediate , 2.8% were Graduates, 1.3%

were masters. The lack of awareness to various

new techniques, Govt. incentives, modern

management discoveries are the major

hindrances in bring our farmer to present

themselves as profitable livestock farmers.

Govt. of Punjab has started various

extension programs to bring about availability of

significant important information. Moreover,

extension workers from various universities are

busy in providing media consciousness about

common diseases & nutrition recommendations.

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

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

Zone/Level

Gujranwala

Bhakkar

Jehlum Pakpattan Faisalabad Lahore

% illiterate 50.5 51.9 30.8 60.4 48.9 67.5

% primary 3.2 8.1 15.4 11.9 6.7 12.5

% middle 12.9 13.3 16.2 13.2 13.3 7.5

% matric 19.4 16.3 28.2 9.4 26.7 12.5

% intermediate 7.5 4.4 4.3 1.9 0.0 0.0

% Graduation 4.3 4.4 2.6 1.3 4.4 0.0

% masters 2.2 1.5 2.6 1.9 0.0 0.0

Table ID: EI-1

GRAPH ID: LAF

Multi disciplinary, extension

demonstration project on integrated resource

management (IRM) of dairy cattle and crop

production is required. Educational tool to teach

producers, extension agents and agricultural

professionals about how to plan and implement

recommended production practices into

sustainable agricultural production systems.

Program involves animal science, agronomy,

agricultural economics, agricultural engineering,

entomology and plant pathology.

GRAPH ID: LAF-ZW

Major Findings

Dairy Production is a labor-intensive

business with lot of constraints, poor yield,

poor management, lack of knowledge about

genetics balance feeding and modern

breeding. The Pakistan is rich in dairy

animals i-e 60 million large ruminants

making important share of Agriculture and

based in 70% rural population of the

country. Lack of marketing and supply

chain adulteration in dairy and meat

production is another bottleneck of

development.

This survey brings forward the valued

findings, that is improving breed, per unit

out put of fodder, research in fodder quality

improvement, modern concepts of housing

and technological package of practices

communicated up to the farmers.

The proportion of small milk producers is

quite high, which help in employment

generation. Increasing the productivity of

small holder should be taken as challenge,

to keep rural urban migration balance.

Anmol Wanda by the Govt. of Punjab by

its L&DD Department is a great contributor

for the farmers, it should be marketed

through out Punjab through DLO of each

district. Similarly mineral mixture packets

prepared by Veterinary University Lahore

can be marketed through Vet Hospital and

Dispensaries.

The per unit buffaloes and cows milk

production is low and feed ingredients are

costly and adulterated, farmers make

addition of water and different adulterants

to increase their volume and make the

business.

There is general view that artificial

insemination is failure in buffalo and low

quality imported semen of Jersy and

Friesians is supplied by the private sector.

High mortality of calves especially buffalo,

and in small ruminant lambs and kids is

seen due to poor management, lack of

vaccination deworming and feed resources.

PPR disease with high mortality of goat

was observed in Bhakhar.

In the survey area consumers have higher

demand as compared to the supply of milk.

Beef demand and supply was almost equal

and low demand for mutton was seen as

poultry meat supply chain was present up

to the villages with low prices.

Among other types of by-products, ghee,

khoya, raw cheese and sweats were

prepared.

Adulteration & lack of proper

standardization in weight and packing was

seen in cotton seed cake & rape seed cake

bags and wheat bran.

Recommendations

Genetic improvement:

Despite of wonderful potential of our animals (e-

g Nili Ravi, Sahiwal etc.) optimum genetic

capabilities can only be used by implying

modern discoveries in Selective Breeding.

Artificial Insemination

AI has got less conception rates & low

acceptability by the farmers. Its full advantage

needs further in-depth physio-chemical studies

based on our specific environment, ecology and

animal breeds.

Conservation of High potential

breeds:

Our precious dairy breeds need extensive care

in preserving them. A lot many animals are

being cross-bred leaving behind less chances of

pure breeding. Sahiwal Cow is an example.

Punjab govt.policy of cross breeding and grading

of scrub animals should be observed stricktly.

Cholistani & Nili Ravi need special selective and

line breeding attention in this concern. AI

technician need traing about breeding policy

Cross-breeding of Dhanni Breed:

For cross-bred animals, particulary with Dhanni

breed, a comprehensive program is needed.

This will open new horizons of increasing milk

yield and enhancing breed potential.

Improved Fodder varieties:

Improved fodder varieties of hybrid & multi-cut

seeds should be introduced among the farmers.

Sadabahar, Lucern, Mot grass & Berseem are

some of them.

Use of technology:

Use of technology & mechanization, particularly

in fodder conservation, to increase nutrients &

life of hay and silage should be propagated to

the farmers.

Adulteration in rations:

. Bags of 50 Kg may be legalized by the Govt.

Similarly, wheat bran bags should be

standardized in 40 Kg packings of polythene

bags.

Anmol Wanda:

Anmol wanda prepared at research Institute of

L&DD may be marketed through DLOs in every

district & dairy production area OF Punjab,

specially in the Thal & Rain-fed areas. Moreover,

mineral mixture & TMR should be produced &

marketed to the farmers.

Hay and Silage making:

New projects of hay & silage making need to be

started by the L&DD department. Furthermore,

proper training facilities for the farmers should

be launched.

Drought-resistance Shrubs

Draught-resistance varieties of fodder and

shrubs should be introduced for grazing of small

ruminants in Thall & Rain-fed areas.

Progeny Testing Bulls:

“Bull is half of the herd”. Hence, progeny tested

Bulls by L&DD should be supplied to DLOs to

keep the bulls in Buffalo-populated areas for

breeding purposes.

Calf fattening:

Young calves should be fattened by feed lot

rations. For this, ration preparation with high

application of technology is required.

Extension Services:

Large number of farmers need to be given

extensive training in the areas of vaccination

marketing, management, value addition & supply

chain enhancement

.

Information Services:

Farmers need to be taught scientific methods of

feeding, feed combinations and other measures

to raise milk production. training programs

should be launched in animal populated area

through out the province.

Drinking water & Sanitation:

Availability of clean drinking water may be

insured for Livestock. Similarly, more attention

needs to be diverted towards proper sanitation

procedures.

Dairy-processing Plants:

Small-scale dairy processing technology for

making cheese, Yogurt Dahi, pasteurized milk &

other innovative products should be introduced.

Govt. owned Institutes:

Technology should be introduced & applied in

Govt. owned institutes .Quality of vaccine ie HS,

FMD, Pleuropnomonia, Pox, PPR, Black Quarter

may be enhanced.

Govt farms need to act as demonstration

units for public & Livestock breeders while

conserving the breeds.

Vet Services:

Provision of vet-services in Thal & Rain-fed area

may be increased, as livestock is more important

milk yield & other Livestock productions to a

great extent. Moreover, local livestock

fairs/mailaas should be arranged in collaborating

with L&DD department.

Feed-lot rations:

There is no trend of calf-fattening. Feed lot

fattening technology should be introduced to

meet the upcoming requirements of beef &

mutton.

Measuring Standards

Proper method of measurements should be

introduced . Installation of weigh-bridges and

other measuring instruments may be installed at

the livestock markets for transparent marketing.

References Tanvir Ali(2006) A case study of milk

production and marketing by small and

medium scale contract farmers of

Haleeb Foods Ltd., Pakistan University

of Agriculture ,Faisalabad - Pakistan.

Burki, A. A., Khan, M and Bari, F.

(2005). “The state of Pakistan‟s dairy:

An assessment”, CMER Working

Paper, 05-34, LUMS: Lahore

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Revolution: Strategic Plan for the

Pakistan Dairy Industry”, A Report

available on Internet

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Islamabad: Ministry of Finance,

Islamabad, Pakistan

Umme Zia(2007), Improved market

access and smallholders dairy farmers

participation for sustainable

development, consultancy report

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production and marketing, Dawn,

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carried out under the auspices of the

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Mission of Pakistan

The dairy industry” by Shamim

Ahmed Rizvi

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3rd July, 2009)

“Improving peri-urban dairy farms” by

Dr Ali Muhammad Khushk and

Aslam Memon

http://www.pakissan.com/livestock

(Accessed on 3rd July, 2008)

Sharif, M., W. Malik, N. I. Hashmi

and U. Farooq. (2003). “Action Plan for

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Pakistan”, Joint study by Social

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small and medium scale contract

farmers of Haleeb Foods Ltd”.

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Appendix:

Questionnaire for Cost of Milk and Meat in Various Ecological Zone

Productions

PRODUCER/FARMERS

1. Name of respondent:________________________________

2. Village:____________________ Teh: ________________ District: _________

3. Family Size ________________

4. Educational status: (a) Primary (b) Middle (c) Matric (d) Above Matric

5. Age: _____________ Years in Dairy___________

6. Land holding:

a) Above 25 acres ------------------------------------------------

b) 12.54 to 25 acres----------------------------------------------

c) Less than 12.5 acres------------------------------------------

d) Landless (No land)-------------------------------------------

e) Tenant ---------------------------------------------------------

f) Land Rent (per acre)-----------------------------------------

7. Other type of Business______________________________

8. Strength of livestock maintained by the farmer

Animal Number Value Sold for meat

purpose

Rs. Death

/losses

Total value

Cattle

Buffalo

Buff FYS

Suckers

Sheep

Goat

Kids

Poultry

Others

Purchase of Animals and Equipments

Buffalo lactating or Advance ------------------------------------------

Pregnant Nili Ravi Buffalo ---------------------------------------------

Adult Buffalo Bull (Nili Breed) -------------------------------------

Chaff Cutter with ----------------------------------------------------

Goldamatic water pump -----------------------------------------------

Iron Chain ------------------------------------------------------------

Cane- Rope -------------------------------------------------------------

Bucket (Stain -less Steel) ---------------------------------------------

Milk Cans -------------------------------------------------------------

Dial Weighing Scale ------------------------------------------------

Fixed Cost:

Buff in milk………………………………………………….

Cow in milk…………………………………………………

Interest rate on the value of animal

Depreciation at @ 5%............................................................

Cost of shed……………………………………………….....

Cost of equipment……………………………………………

Depreciation of shed and equipment………………………..

VARIABLE COST:

Labor Cost

Family Labor engaged in agriculture………………..men

Hired labor engaged in agriculture………………………men

Labor hour spent on Livestock…………………………hour

Wages per labor per day…Rs……………………………

Total labor spent on livestock Rs.

FODDER COST

Rabi Fodder sown and purchased………………………………

Kharif Fodder sown and purchased……………………………..

Rate of fodder per acre….Rs……………………………………

Dry Fodder fed to animals……………………………………

Value of dry fodder………………………………………………

Grain fed to animals……………………………………………

Cakes fed to animals……………………………………………

Value of gur and oil fed to animals…………………………….

Concentrate ration/Wanda fed to animals…………………….

Total feeding cost Rs………………………………………..

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

Electricity & power bill per annum Rs…………………………

Deworming cost per animal ……………………………………..

Vaccination cost per animal ……………………………………..

Medicine and vet services cost per annum Rs………… Mortality

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

Total cost = Total fixed cost + Total variable cost

Milk Disposal:

Total Milk Production -----------------------liter

Consumption by suckler -----------------------liter

Household consumption -----------------------liter

Marketing -----------------------liter

Price per lit Rs -------------------

Total income Rs. Rs.-------------------

Income from FYM Rs.-------------------

Fixed Cost:

Interest rate Animal depreciation Shed Depreciation Chain &

No of Buff. --------- ------------------ ------------------- -------------

No of Cows --.------- ------------------ -------------------- --------------

Variable Cost:

Fodder Dry Fodder Concentrate Type of concentrate Labor

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

Labor Medicine Electicity&power Mortality Cost

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

Milk Production per lactation:

Category period Average production per lactation

Buff: ------------ ----------------liter

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

Total beef Animal soled No. -----------------

Beef animals sold on Eid -----------------

Fattened animals sold -----------------

Spent animals sold -----------------

Total Income Received Rs. -----------------

Goat/ Sheep Livestock Strength

OB Birth Sold Death CB

1st Year

2nd

Year

3rd

Year

4th

Year

5th

Year

Feeding Practices

Natural Grazing on public places/Own land/fodder/stal feeding

Fodder land allocated -----------------

Rent of the land -----------------

Labor Involved in Farming ----------------- men

Labor hours spent on feeding ----------------- hours

Type of Shed -----------------

Value of Shed -----------------

Depreciation of Shed -----------------

Concentrate fed during the year -----------------

Diseases of animals Pneumonia/diarrhea/pox/enterotoxaemia

Vaccination in Practice -----------------

Vaccination Cost -----------------

Deworming cost -----------------

Total Cost

Value of Animals + Feeding + Labor + Shed + Vet Cover

--------------------- + ---------- + --------+ ------------ + -------------

Total Income from Animals sold for mutton

Sold for breeding (Rate per animal---------- No. sold--------)

Domestic Consumption (Rate per animal---------- No. sold--------)

Mutton animals sold on Eid (Rate per animal---------- No. sold--------)

Fattened animals sold (Rate per animal---------- No. sold--------)

Spent animals sold (Rate per animal---------- No. sold--------)

Total income received Rs. ----------------