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Group 18

Pig Kingdom Farm


Section 2

Miss Krittaya Warasit ID: 5031205003


Miss Chutima Yaotanee ID: 5031205025
Miss Chetsopit Tongsawat ID: 5031205026
Miss Nattharin Yaem-Uthai ID: 5031205030
Miss Prapatsorn Luangpuangtong ID: 5031205043
Mr. Aekapong Temsirimongkol ID: 5031205098
Miss Siriporn Chinnawong ID: 5031205186
Miss Pirada Mora ID: 5031205207
Chapter 1: Introduction
Background and significance of the project
Swine farm is a kind of business that is quite interesting for the investors. It is one
of the businesses that can gain high profit easily in the districts called Chiang Saen.
Besides, almost 95% of Chiang Sann citizens consume pork. Chiang Saen district has
been chose to be the target place in locating the swine farm. In Chiang Saen, there are
estimated 8,070 people who live in Chiang Saen. In other words, the estimated amount of
household in Chiang Saen is 2,117. In addition, the numbers of the pork consumers in
Chiang Saen are increasing because the Chiang Sann district is likely to be close to the
area that has high expanded level of the business industry such as the Laos border. When
the business industry expands, the amount of people living in that area will also increase.
The advantages that the swine farm will get from the location of the district are the
business growth as well as the improvement of the business industry.
The swine farm project is an effective business. The profit can gain in both way;
direct and indirect. The direct way to get the profit from the swine farm is swine, a core
product. We can sell the swine to butchers in the market of Chiang Saen district. The
middle man will turn a pig to the pork and sell to the 2,117 households that live in Chiang
Saen. Chiang Saen district is divided in 9 villages. The 2 villages are located in the
central part of the district called “Wiang”. The 7 villages are located in the outer area of
Chiang Saen. Apart from the direct product which is the swine, we can gain more profit
from dried pig excrement transformed into organic fertilizer which is the indirect product.
The organic fertilizer from the pig excrement can be sold to the agriculturists and farmers
in the area of Chiang Saen district. More than 70% of people in the district are the
agriculturists. The estimated amount of the agriculturist in the district is 17,894.
Therefore, this indirect product is quite valuable because the agriculturist can earn 15
baths per a kilogram of the pig excrement.
The key to succeed in this project composes of the good planning, the preparation
of facing with the unexpected problems, the solutions, and the importance of the capital
together with profit. The monetary matters are very important. We can calculate the
income of the business and its profit in each day. After computing the rate of profit in
each month, we find that the swine farm can earn about 638,715 baht per month. The
expenses of the farm are not included income during the first period. This amount of
income can help business in the long term development. The swine farm can be expanded
and covered many areas in future. The swine farm can be grown and expanded rapidly in
the period of 5 years. When the target is being the best farm among the others, the farm
doer has to respond to the needs of the consumer and prevent the farm from the risky
effect such as the epidemic in swine, the price rate of the pig in the down economy
situations. However, these kinds of problem affect directly to the people who want to
invest in the farm industry. It might degrade the desire of the investors. Another main
thing that we can notice is the need for the big amount of fund in doing the swine farm.
This business needs big amount of money to support the business when it turns into
critical situations. There are a lot of difficulties in starting the swine farm, but this kind of
investment provides the long term benefit which it is still worth to do.

Project objectives
1. To study the significant of swine farm.
2. To know about the benefit of swine farm.
3. To practice planning and writing a frame of activities / time in Gantt chart.
4. To study about the environment of swine farm business.
5. To study how to analysis about the marketing of swine farm.
6. To study which factor is concerned about swine farm business.
7. To analysis the nature of industry and situation of the swine farm.
8. To practice development planning for swine farm.
9. To practice process planning for wine farm.
10. To analysis the process of the swine farm establishment.
11. To study which strategy of management suits for the swine farm business.
12. To analysis about the competition (3C Analysis).
13.To study the importance of financial analysis to operate resources.
14.To practice for writing the financial statement of the swine business.
15. To study how to do sale forecast and how to estimate profit.

Benefit of project
This project focuses on explaining analytical methods and useful techniques in
different facets of capital budgeting. The explanation makes us know how to plan
marketing method and we also analyze in each factor of marketing, measure of the
strategy of business and qualitative. The numerous examples have been included to
illustrate the method that can evaluate about growth of business and also prepare
themselves to face some situation which may happen. We study techniques and
organizational considerations which impact on capital budgeting decision. It also
describes and evaluates the business practices in various areas.
Activities / Time frame

Month
Process
1 2 3 4 5

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20

1. Brainstorm and choose the swine farm.

2. Study the information of the swine farm and survey the


market demand.
3. Survey he area for establishing the swine farm and checking
the price at Chiang Sean District, CR.

4. Study the Evaporative Cooling System farm.

5. Provide the constructor, make an agreement & agree to a


price

6. Construct the Evaporative Cooling System farm.

7. Set the equipment such as electric system, cleaning system.

8. Require to cattle for license to open the farm.

9. Spray the anti- microorganism

10. Survey to find the swine breeding and piglet sources.

11. Make an agreement of price and buy 500 piglets.

12. Purchase of swine the one lot


Month

Process 6 7 8 9 10
21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40
13. Purchase the one lot of swine

14. Purchase the swine the two lot

15. Period of sale the one lot

16. Purchase the three lot of swine

17. Period of sale the one lot

Month
Process
11 12 13 14 15

41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60

18. Period of sale the two lot

19. Purchase the four lot of swine

20. Period of sale the two lot

21. Period of sale the three lot

22. Purchase the five lot of swine

23. Period of sale the three lot

24. Period of sale the four lot

25. Purchase the six lot of swine


Month

Process 16 17 18 19 20
61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80
26. Period of sale the four lot
27.Period of sale the one lot
28. Purchase the seven lot of swine
29. Period of sale the five lot
30. Period of sale the six lot
31. Purchase the eight lot of swine
32. Period of sale the six lot

Month
Process
21 22 23 24 25
81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100
33. Period of sale the seven lot
34. Purchase the nine lot of swine
35. Period of sale the seven lot
36. Period of sale the eight lot
37. Purchase the ten lot of swine
38. Period of sale the eight lot
39. Period of sale the nine lot
40. Purchase the eleven lot of swine
Mouth

26 27 28 29 30
Process
101 102 103 104 105 106 107 108 109 110 111 112 113 114 115 116 117 118 119 120
41. Period of sale the nine lot
42.Period of sale the ten lot
43. Purchase the twelve lot of swine
44. Period of sale the ten lot
45. Period of sale the eleven lot
46. Purchase the thirteen lot of swine
47. Period of sale the eleven lot

Month
31 32 33 34 35
Process
121 122 123 124 125 126 127 128 129 130 131 132 133 134 135 136 137 138 139 140
48. Period of sale the twelve lot
49. Purchase the fourteen lot of swine
50. Period of sale the twelve lot
51. Period of sale the thirteen lot
52. Purchase the fifteen lot of swine
53. Period of sale the thirteen lot
54. Period of sale the fourteen lot
55. Purchase the sixteen lot of swine
Month
Process 46 47 48 49 50
141 142 143 144 145 146 147 148 149 150 151 152 153 154 155 156 157 158 159 160
71. Period of sale the nineteen lot

72.Period of sale the twenty lot

73. Purchase the twenty-two lot of swine

74. Period of sale the twenty lot

75. Period of sale the twenty-one lot

76. Purchase the twenty-three lot of swine

77. Period of sale the twenty-one lot

Month
Process
51 52 53 54 55

161 162 163 164 165 166 167 168 169 170 171 172 173 174 175 176 177 178 179 180

78. Period of sale the twenty-two lot

79. Purchase the twenty-four lot of swine

80. Period of sale the twenty-two lot

81. Period of sale the twenty-three lot

82. Purchase the twenty-five lot of swine

83. Period of sale the twenty-three lot

84. Period of sale the twenty-four lot

85. Purchase the twenty-six lot of swine


Month
Process 46th 47th 48th 49th 50th
181 182 183 184 185 186 187 188 189 190 191 192 193 194 195 196 197 198 199 200
86. Period of sale the twenty-four lot

87. Period of sale the twenty-five lot

88. Purchase the twenty-seven lot of swine

89. Period of sale the twenty-five lot

90. Period of sale the twenty-six lot


91. Purchase the twenty-eight lot of swine
92. Period of sale the twenty-six lot
Chapter 2: Industry Profile

Nature of Industry

The swine industry in Thailand

Pork has become the second most important meat in Thai consumption, with
average consumption in the late 1990s of about 4.7 kg per person per year. This
consumption would have been much higher were it not for the government’s restrictive
policies towards the slaughtering industry in the view of Siamwalla, Setboonsarng and
Patamasiriwat (nd). They point out that the restriction on the slaughtering industry also
has disadvantaged the beef industry.
Development of pig production started in 1960 when the first groups of exotic pig
breeds were imported by the Department of Livestock Development from the United
Kingdom. These were Large Whites, Tamworth and Berkshire breeds. Later, Landrace
and Duroc Jersey breed pigs were imported from the United States. Up until these exotic
breeds were introduced, farmers relied on the relatively slow growing native pigs that had
the desirable quality of not needing much in the way of traded inputs. The imported pigs
were used for breeding improvement and were cross bred with the native pigs (Kanto
1991). Throughout the 1960s and 1970, crossbred pigs were raised by backyard
producers for consumption by the farm family and also as a source of income. Kehren
and Tisdell (1996) point out that while pigs generated the largest value added in the
livestock sector in 1975, the virtual stagnation of the industry up through the 1980s was
to a large degree due to government intervention that discouraged private investment in
the pig industry.
Sornnuwat (1994) says that swine production in Thailand follows a cycle,
determined by the pig price. This can lead to boom-bust cycles of the type that occurred
in the early 1980s. As a result of an oversupply of pigs in 1984 and 1985, pig raisers
suffered heavy losses (Sornnuwat 1994). Heavy losses were expected again in 1987 had it
not been for an outbreak of swine disease in the Central, Thailand’s main producing
region (Table 5.1). This region has about 50 percent of Thailand’s pig population. The
Southern has the smallest number of pigs, possibly reflecting the higher cost of pig
fattening because of a shortage of feed in this region. An alternate explanation could be
that the southern part of Thailand has a relatively high Muslim population for whom
consuming pork is prohibited. Most of the pork produced in Thailand is consumed
domestically because of the presence of foot and mouth disease in some of the producing
areas in Thailand. Export markets are limited to Hong Kong, Vietnam and Singapore.
Finished (processed) pig meat based products are more widely exported. Most of the
industry’s output comes from small or medium sized farms as these dominate the
industry (Table 5.1). According to Kanto (1991), modern swine feeding and management
systems from western countries have been accepted by farmers.
As we know most Thai people consume pork, so there are many entrepreneurs
who do the swine farm because this business provides more profits, The CPF was the
biggest company that does this business, they provide 70 farms around the country and
gain 20 percent of market share in swine industry (Prachachat Business) and 80 percent
of market share was the independent farm around the country. However, CPF can reduce
the cost of swine industries because they do this business in backward integration and
forward integration that affect to other entrepreneurs to close their business because they
have high cost and they do not have the distribution channels like the CPF.
The swine farm consists of two systems which are an Evaporative Cooling
System or closed system and an opened system. In developing areas, an Evaporative
Cooling System is appropriate for entrepreneurs. Although, it needs a lot of money in an
investment, but it provides clean, quality, and sterile. It also meets the standard of
livestock laws. On the other hand, the opened system is popular in the rural areas among
the local people because they can start the business with less investment and it lets swine
live and eat their feed with the nature. However, the quality of pork is different from
closed system due to uncontrolled the diseased from the nature, so it makes swine get
sick and become a pig pestilence. The Swine Influenza or Pig Flu has been affected
extremely the swine industry and made entrepreneurs close down their business.
Moreover, the lack of pork in the market and many problems occur following the Pig Flu
crisis.
Nowadays, the impact of Pig Flu makes the swine industry drive difficulty, but it
still has the opportunity to carry on this business because the livestock department creates
the law to control the situation and also set up the standard of swine house. Thus, it helps
entrepreneurs still survive in this industry. This creates more confidence of consumers
and increases the demand of the market as soon as everything will be better again.
Although, the swine industry is not in a perfect condition and doing this business
is not easy, but we see a chance to do the business because we can get profit not only
from sell swine, but can also use and sell many utilities that we get from the swine farm;
for example, wastes from swine can be transformed into organic fertilizer and sell for
agriculturists or farmers and the biogas pond can produce the electric current and use in
the pig house.

Situation of industry
From the survey, we found both problems and benefits which are happening in the
market of swine industry.

Increasing the tend of swine export and import


It is not only the demand of domestic consumers, but there are also the needs of
neighboring countries, especially China. The China government faces the Porcine
Reproductive and Respiratory Syndrome (PRRS) problem and they have changed a
policy from domesticating swine for households into commerce. Therefore, the amounts
of swine decrease and are not enough for consumers within the country. These are the
cause why they need to import swine from Thailand. In addition, Japan is another country
that believes in the quality and standard of processed pork in Thailand, so it makes the
swine export from Thailand expand. However, Thailand has the pork imports from other
countries to produce the frozen food because the price of pork import is lower than the
price of pork in Thailand. This will cause the economic linkage problem; therefore, the
swine business is the business which has the opportunity to grow in the future because
the demand of swine, pork, and other pig products is high.
STATISTICS OF IMPORT / EXPORT FOR SWINE AND PRODUCT (Jan – Dec 2008)

Import Export
No Menu Unit
Quantity Baht Quantity Baht
1 Swine Head 257 16,294,629 189,930 717,750,990
Breeder Head 257 16,294,629 104,023 518,803,100
Piglet Head 56,752 79,590,890
Fattening Head 29,155 119,357,000

2 Pork Kg 2,803 1,142,245 5,747,604 538,342,811


Frozen pork
Kg 153,257,947
meat
Cool pork meat Kg 383,928,607
Other Kg 2,803 1,142,245 25,695 1,156,257

3 Meat product Kg 8,234,684 1,457,462,007


Cook pork meat Kg
4 Other product
Semen Dose 690 1,435,337
Visceral organ Kg 1,127,319 36,011,448 15 1,800
Hair Kg 35,210 6,833,471 136 80,798
Hide Kg 8,596,852 338,476,624 29,146 928,854
Total 9,766,191 417,630,628 14,417,140 3,970,580,263

Source: Number 1, 2, 4 International Animal Quarantine Station, Bureau of


Disease Control and Veterinary Service
: Number 3 Offices of Livestock Standard and Certification
Source:
http://www.dld.go.th/ict/stat_web/yearly/yearly51/imex51/graph/graph_7.pdf
http://www.dld.go.th/ict/stat_web/yearly/yearly51/imex51.htm
Product (in general)
Pig Kingdom Farm selects the American Landrace of swine which is our core
product. The characteristics of American Landrace are as follows:
- White hair and skin. Some black spots on the skin are seen, however.
- Black hair can be grounds for removal
- Long Deep Sides, flat backs, straight snout, trim jowl, and large drooping
ears.
Landrace are known for their ability to cross with other breeds and are known for
their length of body. Sows are prolific and farrow large litters. They also have good
mothering ability. Landrace are medium in size and have good feed efficiency. They also
have meaty carcasses.
Dried pig excrements which are our supporting product can be processed to
manure, compost, organic fertilizer, as well as bio-fertilizer or bio-extracts which it can
generate indirect profit to our farm by selling to farmers or agriculturalists. Furthermore,
we can use it to make our corn and wheat cultivation grows, so it is the other way to
reduce costs for a pig feed when the price of food raw materials is more expensive.

Vision of organization
We are going to be the best swine farm which concern problems about air
pollution, water pollution, and soil pollution. Moreover, we will maintain the health and
quality of swine to become the high standard farm and we also expect that consumers can
consume the high quality and sterile pork.

Mission
- We will gain profit from selling core product.
- We deliver the high quality of swine in Chiang Saen and Chiang Rai.
- We transform dried pig excrements into manure for using in our farm.
- We sell manure to agriculturists or farmers.
- We bring manure to use within the farm.
- We control and manage swine farm following the standard of Animal
Husbandry Department, including fresh and clean, quality and healthy of swine.
Strategy

- Corporate level

Concentration Growth Strategy


Because of the opportunity of pig kingdom farm in the Chiang Saen market, we
will select concentration growth strategy which emphasizes the study of researches,
production processes, and marketing for the study of the possibility of Pig Kingdom Farm
development and market expansion in the future. When beginning the business, we use
horizontal growth strategy to expand the business by controlling major competitors in the
Chiang Saen area. After we ensure the stability in the business we will select vertical
growth strategy to hold our own input, process, and output. Moreover, we use backward
integration to do the business in the form of a distributor or a supplier by using a fertilizer
produced from dried pig excrements for our wheat and corn cultivation. Therefore, pig
feed production can make us completely control the business and also reduce costs of the
pig feed and the deficiency of feed. In addition, we can get money from selling our pig
feed to other swine farms or agriculturalists.

Diversification Growth Strategy


We use concentric diversification which is production of a new product by using
technologies or knowledge related with the core product. Pig kingdom farm sell swine
which is the core product and also sell organic fertilizer produced from dried pig
excrements to agriculturalists or farmers which are the supporting product.

- Business level

Cost focus
There are many swine farms in Chiang Rai and we still lose the capability to
overcome competitors, so we use focus strategy which is to exploit a narrow target’s
difference from the balance of the industry by serving swine near the area where we
chosen which is reducing the cost about the transportation and try to reduce the cost at the
production level. Therefore, pig kingdom farm reduce the cost by transforming dried pig
excrements into organic fertilizer using for plants which can be the feed for swine such as
wheat and paddy. Moreover, we aim to maintain the high quality and standard of swine
and the price is nearby competitors in Chiang Saen area.

- Functional level

Human Resources
We want to generate the income to the community by hiring employees from the
local community. We do not need to hire the knowledge people to work in the farm
because this job only needs the patience people. Moreover, when we hire the local people
to take care of the swine farm, it can save costs in term of having human resources
department. According to the organization strategy, the vision is to develop and expand
the swine farm business into the Chiang Rai market and to be the number one of the
swine farm. Therefore, we need to train and give the knowledge to them about how to
take care the swine in the right way, the way to artificial insemination, how to feed the
swine with cleanliness, and the way to protect the diseases of the pig so on.

Marketing
In this part, we did not plan the complex strategy because the swine farm business
like Pig Kingdom Farm are in the type of SMEs Business and at this moment, there were
the problem about Swine Flu which affects to the market demand. It made the swine farm
business all the regions of Thailand receive the effect of the Pig Flu crisis. Thus, Pig
Kingdom Farm sets the strategy to solve the problem and to reduce the negative impact to
the swine business. We always keep the standard of swine in Pig Kingdom Farm.
However, we must have the certificate from the Livestock Department to confirm that our
farm concerns about quality of swine and cleanliness of the farm without the disease 100
percent. For the target group of customer, we focus only 2 groups; the agriculturists who
sell the pork in a small or retailers and the slaughter houses or wholesalers.

Operation
This part is about the management and organizing functions in the swine farm.
We divide it into four departments which are the swine caretaker, the general labor head,
the assistant of manager, and the animal nourishing in the farm and the swine caretaker
needs to use the human resource to be the main source of a farm and clean the farm, feed
the swine, hybridize, and protect the diseases of the pig. The general labor head control
and monitor everything in the farm instead of us. They will response about take care of
and contact the consumers, the process to feed the swine, look forward to buy and sale
the breeders for the farm, ability to order and give the advice to the under level to work,
take care of the equipment and new technology that use in the farm, give the information
and train the under level to work and meet the standardization of the quality swine farm,
and summary the report and present the operational management of the production
processes. The assistant of manager is very important in every size of business. For Pig
Kingdom Farm we have to have the financial information deeply in every detail.
However, the Pig Kingdom Farm are just a small business, so we no need to hire the
accountant of the company and we transfer this function to the assistant of manager
responsibility who control the income statement and balance sheet of the company and
monitor everything following the general labor head. The animal nourishing man who
must create the confidence for consumers have to take care of the swine to be clean and
sterile and meet the standard of the livestock department.

Finance
For the investment of Pig Kingdom Farm, we loan the money from investors for 5
years and we have the policy to refund the principal and interest on time. Moreover, the
land for 2 rai in Chiang Saen is guaranteed to the investor and we expect that the
operation cost in the short-time must have a lot of money to build the farm, buy the pig
breeders, the feed, the hire the labor etc. Therefore, we use cost focus strategy at the
business level for reducing the cost. At the first time, we spend more money and after we
get the first lot of swine, we can create the secondary product from the savage of the
swine by processing it to be the fertilizer and sell to the agriculturists. Moreover, the
biogas can change to be the electricity and use in the farm 100 percent. These can create
the indirect income from supporting product and we can save the cost of the swine feed
by growing wheat and paddy which can be the feed for swine.
Chapter 3: Market Feasibility Study

Market analysis

- General environment analysis

Politic

For the government policies that effect the swine farm in many ways as
following:
1. Special charge (Surcharge fee) import the raw materials for swine food that
also effect the high cost of production so the agriculturists loss profits.
2. The property tax, water bowels, social objectionable tax, etc. That can
create more cost for agriculturalists.
3. Set up and control the swine price by not concern about cost of production
and the way to survive of agriculturalists so it effect the income of the agriculturists
and many of them were closed their business because cannot hold all the costs.
4. Solve the problem of high price of swine by take care and satisfy the
consumers by arrow the agriculturalists to import the swine and sell in the country.
That will be effect to the agriculturalists that spend less budgeting because when the
swine cost drop down, the government does nothing to control the price or find the
international market.
5. The way to control the mouth and foot rot disease were not completely such
as high cost of vaccine, lack of vaccine, and low quality of vaccine that have been the
problems to export the swine.
6. The government doesn’t pay any compensation for the agriculturalists who
face with the pestilence problem while doesn’t have any punishment for the first
persons who discover the swine pestilence but didn’t warning so the agriculturalists
need to protect themselves by decrease the cost and quickly sold the swine from the
farm to the slaughter that can expand the swine pestilence and danger for the
consumer.
Pollution Control Department
The Pollution Control Department tries to help the swine farm’s environment by
coo-working with another departments and go into the areas and educate the
agriculturalists for understanding of the environmental law and can help them following
the law correctly, moreover there will be the Understanding Environmental laws and
regulation Helping Center in the pollution areas like swine farm for appropriated to
investment.

Ministry of Energy
The ministry of energy are supporting for the swine farm owners, produce the
biogas from sewage water for the renewable energy and environment concern and that
can be decrease the cost of production and pollutions that create by swine farm.

Ministry of Agriculture
There are the policies of the clean food and good taste for the quality product
without the residue and concern the standardization both inside and outside country. So
there are controlling and operating of production from farm level until consumer level
especially the agriculturalist’s farm treatment and change the approaches of feed and
treatment so that can be make the providers improve and develop the management system
and increase production quality.

The current situation


The current situation of Ministry of Commerce announcement the policies of the
importation of the Soybean residue of year 2010 that will be enforcement from the 1st of
January, 2010 but still unprogressive and if there have no announce in the beginning of
the year the private sectors have to pay the taxation from 2 percent to 10 percent if the
Ministry of Commerce delay of announcing, that will affect the cost of production to be
27 baht per kilograms so the price of pock increase to be 105 – 110 baht a kilograms.
At the same time, the government still support and help the agriculturalists by the
Ministry of Agriculture and Cooperatives has policies to support and development the
standard of swine production and check up the certification for swine providers all the
regions of Thailand by give the knowledge of swine diseases and the way to treatment to
meet the standard for increase the quality and make more profitable. The exporting of
piglet and swine increase quickly by in the year 2008 the number of swine export were
428,170 swine 1,316 million baht an in 2009, between January to October export the
swine 384,867 swine 850 million baht and Pock exporting products in 2009 between
January to October were 9,036 tons about 1,662 million baht. Therefore, can expect that
the trend of export the pocks and products in 2010 will be continuous expand 14 percent
in 2009 were expand 12 percent.

Source:

http://courseware.rmutl.ac.th/courses/110/unit302.html
http://www.phtnet.org/news52/view-news.asp?nID=658
http://www.thaibiogas.net/th/node/290
http://www.oknation.net/blog/print.php?id=58528

Economic
There are many factors which have affected to the Thai economy since 2005 –
2008 such as an increase in worldwide price of patrol and fuel, natural disaster, and
political issues. Therefore, the image of Thailand economy is unreliable which impacts
on a decrease in the number of investors who want to invest in Thailand. However, the
production process of food industry is increasing from 51 percent in 2005 to 57 percent in
2006. The production factors of each group are as following:
- The group of livestock: They are affected after epidemic spreading of bird’s flu
in Europe. The epidemic spreading also affected to the Thailand’s manufacture industry
of chicken. The manufacturing of it increase rapidly. It raises the value of Thai livestock
as well as Thailand economy. The increasing rate is at 8.5 percent. There is the
possibility in rising of the manufacturing from 2005 which is at 59.5 percent to 63.8
percent in 2006. The feed for animal is increasing in manufacture at 11.7 percent which is
the impact from the decrease of epidemic of bird’s flu. Other livestock and chicken
farming system are expanding their manufacture which is influent by the demand of
market. In other hand, the manufacture of feed for animal is also expanding especially the
manufacture of chicken’s feed increase to 6.5 percent and the manufacture of swine’s
feed increase to 19.8 percent.
- Domestic marketing in 2006 - 2008, the average selling condition of food
industry has increased from the past year at 7.5 percent. Even though the rise in price of
fuel and patrol is directly affected to the capital cost and logistic, it can lead to the
inflation economy. The inflation has the influence on a price and the cost of raw material.
However, the level of the interest on a loan and deposit does not change, so the number
of sales will increase at 7 percent of livestock and at 8.4 percent of food for swine. The
effects of FTA bring the imported products to the country and it definitely becomes the
competitor of domestic products.
- Domestic marketing in 2009, the amount of selling in Thailand was increasing
at 2.9 percent at the same time in last year. It is caused by the proclamation of the
government which is related to the 6 way of distress mitigation with the changeability of
patrol and fuel price. It can affect directly to a price decline for some good. Moreover, the
consumption is increasing in August to September and the overview of Thai economy
looks better. If we compared the 2008 and 2009, we will found the food marketing
increases at 1.4 percent. It shows that number of pork consumption is increasing which
tells us to plan for the future.
The tendency of the effects in the future has low possibility. However, the impact
will affect in short time after investment. Thai economy will develop well in 3 – 5 years
in the future based on the world’s economy.

Social
Chiang Saen is the big district in Chiang Rai. There are 47,141 persons that live
in Chiang Saen. Most local people in Chiang Saen breed swine in their house, but they do
not have enough money to build swine house or improve the area for swine. They do not
concern about the quality and safety of swine, so swine may get the disease which it
affects to people around the area. Nowadays, Chiang Saen district lack the swine farm
which get the standardization, cleanliness, and good management. Therefore, Pig
Kingdom Farm will be the best swine farm which provides the high quality of swine to
consumers in Chiang Saen.
For trade of swine in Chiang Saen, it is not enough because pork butchers and
swine wholesaler in Chiang Saen still buy the swine from outside Chiang Saen district.
However, Pig Kingdom Farm can attract them to purchase our swine which have the high
quality and they get convenience in going to buy the swine because our swine farm is
located in Chaing Saen district.
Environment
The area in Chiang Saen is suitable to do the swine farm business because our
swine farm can be located far away from the community area around 2 kilometers
according the rule of the swine farm establishment. Therefore, we can decrease some
problems that occur from our swine farm such as air pollution and water pollution.
Moreover, Pig Kingdom Farm it can reduce the petition of communities about the smell,
sound and wastewater to government.

Technology

1. The biogas plant


The biogas plant consists of two components: a digester (or fermentation tank)
and a gas holder. The digester is a cube-shaped or cylindrical waterproof container with
an inlet in which the fermentable mixture is introduced in the form of liquid slurry. The
gas holder is normally an airproof steel container by floating like a ball on the
fermentation mix, cuts off air to the digester (anaerobiosis), and collects the gas
generated. In one of the most widely used designs, the gas holder is equipped with a gas
outlet, while the digester is provided with an overflow pipe to lead the sludge out into a
drainage pit.

2. Wastewater Treatment pond


The covered lagoon is the system that spends low cost to build. It does not need to
overtake care and it is appropriate with the farm which needs to use a lot of water a day.
This system does not need to use the air because it is not a complex system to build and
this system has high performance of wastewater treatment.

3. Air flow system in the swine house


The function of ventilator or fan in the swine house is to vacuum air inside the
house to outside by setting up the honeycomb panel (the honeycomb panel will absorb
the water on the wall) in one side of the wall of a house and another side of the wall is the
ventilator. The damp from the honeycomb panel will spread around the house and make
the air in the house become cool; these will make the swine healthy, happy to eat more
food.

4. Dynamo
The gas from the biogas pond will be transferred to the generator and the
generator will produce the electricity to use in the farm.
STP Analysis

Competition Analysis (3C Analysis)

- Competitor Analysis
Pig Kingdom Farm selects Evaporative Cooling System
used the closed-system and the advantages of closed-system are the cleanliness of
the swine house more than opened-system, the smell not bothers the local people than
opened-system and we can better control the swine diseases, so the swine in closed-
system will be more high quality as the large swine industry and stronger of investment.
Although the price of swine will a bit higher than competitors but we has the ability to
get into the retailers by provide the quality, clean and sanitary of pock near local
community. That is the reason that the consumer decide to buy our product and service.

- Customer Analysis
Consumers of Pig Kingdom Farm are the retailer in the district and in a nearby
district. Local people in Chiang Saen district currently feed themselves swine in their
household or buy from a nearby district. However, a demand for swine in each day is not
enough in the district and swine still lack good quality and standard.
According to the survey, the numbers of pock provider are 20 shops and the
quantities of consumer are 60 swine a day; however, the qualities of swine farm with
good management are the importance for consumers. Therefore, Pig Kingdom Farm has
to provide confidence and reliability for consumers.
- Competitive Analysis
The competitors of Pig Kingdom Farm can be divided into;
. Local pork providers are the main competitors of Pig Kingdom Farm in Chiang
Saen district. There are about 40 local swine farms which use opened-system and run
business by themselves. The advantage of opened-system of swine farm is low cost of
investment, but swine is easy to get disease.
2. Some pork providers buy pork from Tesco Lotus in Mae Chan district and
Macro in Ban Du district in order to sell because pork is already packaged up an the price
of pork is cheaper than buying from wholesalers. They sell pork in cheaper price, so pork
providers can gain more profits without concerning about the quality of pork.

STP Analysis

- Segmentation
Pig Kingdom Farm is the business which is different from other general business.
This business cannot separate the segmentation in various sectors, but our swine farm
divides the characteristic of our customers according to the customers’ demands as
following:
- The minor group of customer who needs 1 – 2 swine for their household
consumption.
- The group of customer who needs swine in a few amounts is classified
into retail group.
- The group of customer who needs swine in a numerous amounts is
classified into wholesale group.

Retailer
Minor Group
wholesaler

Figure: The customer segmentation


From the chart, we present the market segmentation of Pig Kingdom Farm. The
green color shows that the wholesaler is our main customer and we can get the most
profit from them because they need swine in the large amount. The wholesaler which we
focus on is the slaughter. The red and yellow color show the demand of market
segmentation respectively that are the small group who needs swine in the small number.
It is the second benefit which is less than the wholesaler. The customer that we focus in
this group is the butcher, villagers, or local people because they can purchase swine
directly from the swine farm.

- Target Market
From the research and the survey, the target market of Pig Kingdom Farm is
people who need the quality and standard swine. However, Pig Kingdom Farm is a new
farm, so we take a direct interest to people who relate with the swine industry. The main
target is wholesale group and the secondary target is retail group. We separate the target
from the occupations of customer that they have different demand. Thus, we divide the
target into:
- Slaughter
- Butcher
- Villagers or local people

- Product Positioning

Figure: The positioning of Pig Kingdom Farm


- Pig Kingdom Farm is the standard swine farm which we have the management
and operation systematically in sterilization, so we are one of the best swine farms in
Chiang Rai which our swine has the higher quality. Moreover, we can easily access our
customers.
- The customers can have confidence of our swine which have the high
quality standard and safe from an epidemic because we have the effective
control system.
- Because of the higher demand of swine in the market at the present,
many farms sell swine in the low weight which it is without standard. However,
when we compare with competitors like a CP and a local farm, we are confident
in our ability to access customers which is better, faster, and easier than
competitors and we also have the higher standards of swine farm than a local
farm.

Marketing Mix Strategy

- Product
The products of pig kingdom farm are divided in 2 groups as following:

Core product
The core product of pig kingdom farm is swine that have the age around 5
month to 1 year. Swine from Pig kingdom farm has high quality and safety
because we use staffs to taking care, clean and check their health. Moreover, we
use an evaporative cooling system in swine house and our swine are guaranteed
from livestock department.
Supporting Product
The supporting product of Pig Kingdom Farm is organic fertilizer
produced from pig excrement. We sell organic fertilizer to farmers or
agriculturalists and it also is used within the Pig Kingdom Farm.

- Price
From the observation of the market price to set swine price as following:

Core product: Swine price

Swine’s Age Weight /Kg. Price Unit


less than 100 55-57 Baht
5 months – 1 year
More than 100 58-59 Baht

Source of price: DIT, Department of Internal Trade (The setting price can be
changed depend on the market price)

Supporting product: Organic fertilizer price

Weight /Kg. Price Unit


2.5 10 Baht
12 30 Baht
50 120 Baht

Source of price: Ministry of Agriculture and Cooperatives (Thailand)

Pig Kingdom Farm use cost-plus pricing strategies to set the price by calculating
of average cost (AC) plus a mark up and it is not over the standard price. Moreover, we
use psychological pricing strategies to set the price which respond to the consumer
perception; for example, we have the cost which is 50 baht per kilogram and the standard
price is 61 baht per kilogram. Therefore, we will set the price at 59.99 baht because we
use psychological pricing strategies to make it cheap.
- Place
Direct selling is the best way to sell our swine which leave out the marketing
intermediaries. Pig Kingdom Farm is located between Mae Chan and Chiang Saen
district. Therefore, we do not lose a proportion of the price which is paid to middleman
and our customers within Mae Chan and Chiang Saen district also receive the better
price.

- Promotion
Pig Kingdom Farm promotes swine directly to our customer in order to reduce the
cost of intermediaries. Word of mouth is the channel for promoting our swine farm to
customers and billboard in font of the farm is another way to promote our swine farm.
Furthermore, we are the sponsor of communities’ activities surrounding our swine farm
such as sport events and festival. This way can create the good relationship between our
swine farm and communities and it also reduces conflict between us.
Sale forecast / Profit Estimation

In the first ten months, we establish the farm and feed the swine. Sales will
gradually increase and we will get profit in the beginning of eleventh month. We estimate
the demand of market tin first month about 5 percent for our farm and it will increase in
every month. In the fifth month, we will gain about 10 percent of market share and it will
increase to 50 percent. Moreover, it will decease to 17 percent in some month because of
the insufficiency of the amount of swine, decrease in demand, or diseases. However, Pig
Kingdom Farm has high performance in the safety, so the sale will increase and market
share will increase against.
Sale Forecast in Year 1

Sale forecast in Year1

Jan Feb. Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total
sale
- - - - - - - - 1,464,000 1,586,000 1,464,000 1,586,000 6,100,000
swine
- - - - 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 19,200
fertilizer
- - - - 2,400 2,400 2,400 2,400 1,466,400 1,588,400 1,466,400 1,588,400 6,119,200
Total
Sale Forecast in Year 2

Sale forecast in Year2

Sale Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total

Swine 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 18,300,000

fertilizer 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 28,800

Total 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 18,328,800
Sale Forecast in Year 3

Sale forecast in Year3

sale Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total

swine 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 18,300,000

fertilizer 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 28,800

Total 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 18,328,800
Sale Forecast in Year 4

Sale forecast in Year 4

Sale Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total

Swine 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 18,300,000

fertilizer 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 28,800

Total 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 18,328,800
Sale Forecast in Year 5

Sale forecast in Year5

sale Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total

swine 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 18,300,000

fertilizer 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 28,800

Total 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 18,328,800
Marketing Expense (Sales Incentive)
Pig Kingdom Farm spend money about 3 percent of income for increasing sale
by taking care the stakeholder; for example, we promote customer to know our product
which have the highest quality in Chiang Rai and take care local community about air
pollution to build the reputation and image of the farm. Moreover, we spend money to
buy a gift and provide to our customer in a special events which make them happy and
also create customer loyalty, as well as increasing sales.

The Chart of Marketing Expense in Year1

Marketing Expense year1

Month Marketing Expense Profit

9 6,437 214,550

10 6,437 214,550

11 6,437 214,550

12 6,437 214,550
The Chart of Marketing Expense in Year 2

Marketing Expense year2


Month Marketing Expense Profit
13 19,310 643,650
14 19,310 643,650
15 19,310 643,650
16 19,310 643,650
17 19,310 643,650
18 19,310 643,650
19 19,310 643,650
20 19,310 643,650
21 19,310 643,650
22 19,310 643,650
23 19,310 643,650
24 19,310 643,650
The Chart of Marketing Expense in Year 3

Marketing Expense year3

Month Marketing Expense Profit

25 19,310 643,650

26 19,310 643,650

27 19,310 643,650

28 19,310 643,650

29 19,310 643,650

30 19,310 643,650

31 19,310 643,650

32 19,310 643,650

33 19,310 643,650

34 19,310 643,650

35 19,310 643,650

36 19,310 643,650
The Chart of Marketing Expense in Year 4

Marketing Expense year4

Month Marketing Expense Profit

37 19,310 643,650

38 19,310 643,650

39 19,310 643,650

40 19,310 643,650

41 19,310 643,650

42 19,310 643,650

43 19,310 643,650

44 19,310 643,650

45 19,310 643,650

46 19,310 643,650

47 19,310 643,650

48 19,310 643,650
The Chart of Marketing Expense in Year 5

Marketing Expense year5

Month Marketing Expense Profit

49 19,310 643,650

50 19,310 643,650

51 19,310 643,650

52 19,310 643,650

53 19,310 643,650

54 19,310 643,650

55 19,310 643,650

56 19,310 643,650

57 19,310 643,650

58 19,310 643,650

59 19,310 643,650

60 19,310 643,650

The chart show the marketing expense in 5 years, in every month the chart show
the average of marketing expense that has pay in the years therefore the expense will be
stable.
Chapter 4: Technical Feasibility Study

Product and operation analysis

- Product characteristics

Core product

General characteristics of American Landrace Swine

- A white hog of long body length,


- Having sixteen or seventeen pairs of ribs
- The arch of back is much less pronounced than on most other breeds of swine
- The hair colour must be white.
- Dark skin spots are considered undesirable.
- A few freckles on the skin are allowed but black hairs are not.

Gender Characteristics

- The back is almost flat.


- Long head rather narrow and clean jowl.
- Large and heavy ears carried close to the face.
- Admirable meatiness about them on foot and particularly
Hog on the rail.
- Long rumps comparatively level and plump hams but
trim.
- Long sides, of uniform depth, and well let down in the
flank.

- Milk producing abilities


Sow - Top milk production after five weeks of lactation
The various strains of Landrace swine are the descendants of the famous Danish
Landrace hogs that were developed in Denmark. The development of the breed began in
about 1895. It resulted from crossing the Large White hog from England with the native
swine. It was largely though the use of the Landrace that Denmark became the great
bacon-exporting country, with England as the chief market.
The American Landrace is a white hog of long body length, having sixteen or
seventeen pairs of ribs. The arch of back is much less pronounced than on most other
breeds of swine. For some hogs the back is almost flat. The head is long and rather
narrow and the jowl is clean. The ears are large and heavy and are carried close to the
face. There is an admirable meatiness about them on foot and particularly on the rail. The
rumps are long and comparatively level and the hams are plump but trim. The sides are
long, of uniform depth, and well let down in the flank. The sows are prolific and
satisfactory mothers. The sow has always been noted for their milk producing abilities.
Studies have shown that they reach their top milk production after five weeks of lactation
which is later than other breeds compared. The hair colour of the American Landrace
must be white. Dark skin spots are considered undesirable. A few freckles on the skin are
allowed but black hairs are not.

Source: http://www.ansi.okstate.edu/breeds/swine/americanlandrace/index.htm

Supporting product
The supporting product of Pig Kingdom Farm is organic fertilizer produced from
pig excrement. We sell organic fertilizer to farmers or agriculturalists and it also is used
within the Pig Kingdom Farm, so it can help to generate indirect income and reduce the
cost within the farm.
Organic fertilizer process from pig excrement

Selling to Using within


Farmers our farm

Organic
Fertilizer

Dried pig
excrement
Swine

Pig excrement Biogas pond

Sewage from pig excrement

Wastewater
pond

There are five organic fertilizer processes from pig excrement as following:
1. Excrement from swine.
2. Pig excrement preparation to the biogas pond.
3. Pig excrement is fermented in the biogas pond.
4. The dregs of pig excrement are brought to dry out.
5. Dried pig excrement is transformed to organic fertilizer.
- Specification, Feathers, Dimension, Life Time etc.

Specification
Pig Kingdom Farm provides high quality of swine including standardization and
cleanliness of swine, swine house, and food for swine.
The breed of swine: we select “American landrace” because it is the best breed
of other swine for consumption; moreover, sows have high ability to caring their piglets.
The age of swine: At the first period, we buy piglets at 20 to 40 days of age for
breeding during 4 to 6 months, and then we will sell it to customers. Moreover, we have
around 10 swine breeders and we breed them for giving more piglets which have high
quality.
Organic fertilizer: In Pig Kingdom Farm, we bring organic fertilizer produced
from dried pig excrement to use with corn and wheat which our farm plant in the little
area. Corn and wheat can be the food for swine instead of the main food which the price
is expensive. It also helps our farm save the cost of food for swine

Features
The advantage of our farm is the quality of breeding, great food for swine, good
swine house, management of taking care of swine, and prevention of disease.
- Breeding: the food for swine which we select has the high nutrition for
swine. We have to pay more attention about food for piglets and we will change
food which is appropriate for hogs and sows
- Good swine house: this one is important to swine because swine house
will be clean and standard. For the feature of swine house, we select to build
double roofs style. This style can shade sunshine and rain. It is high and airy and
it also releases some pollution to outside. All of these can help pig have a good
healthy.
- Taking care of swine: we clean pig and swine house for impurity
protection and try as much as possible to reduce the bad smell from swine which
affects to social problems.
- Prevention of disease: we concern about safety, so we have to vaccinate
and check swine’s health regularly.
- Production process

Swine breeding

Taking care of piglets after weaning


- When piglets after weaning during 28 days of age, around 6 kilograms, we
should move sows out from piglets, but piglets still stay in the same corral around 3 to 5
days. After that we will move piglets to take care in the corral of piglets for the
prevention of stress among piglets. Moreover, vitamins or antibiotic dissolved in water
should be used to piglets after weaning around 3 to 5 days.
- Piglets are vaccinated at 6 weeks of age to protect Porcine Reproductive and
Respiratory Syndrome (PRRS). Sows and hogs are also vaccinated every 6 months
(vaccine to be available during 6 to 12 months).
- Piglets are vaccinated at 7 weeks of age to protect mouth and feed rot. Sows and
hogs are also vaccinated repeatedly every 4 to 6 months (vaccine to be available during 4
to 6 months)
- Piglets at half 2 months should take vermifuge and 21 days late give vermifuge
again. Sows and hogs should also take vermifuge every 6 months.

Source: http://www.dld.go.th/service/pig/pigpig.html

Feeding food to swine in each period

A period of weaning piglets


When piglets wean milk around 28 days and their weight are around 6 kilograms,
the food for piglets which we feed them has 20 percents protein to them until 2 months

A period of swine, weight 20 – 35 kilograms


The food for swine has 18 percents protein. The food quantity for swine is 1 to 2
kilograms per day.

A period of swine, weight 35 – 60 kilograms


The food for swine has 16 percents protein. The food quantity for swine is 2 to 2.5
kilograms per day.
A period of swine, weight 30 kilograms – delivery to market
The food for swine has 14 to 15 percents protein. The food quantity for swine is
2.5 to 3.5 kilograms per day.

Source: http://www.dld.go.th/service/pig/pigpig.html

- Swine disease

Porcine Reproductive and Respiratory Syndrome (PRRS)

Ear oedema, a symptom of PRRS in older pigs

Stillborn piglets with PRRS Mummified PRRS piglet


PRRS is important pandemic disease caused by virus. It has also known as blue
ear disease. PRRS infects all types of herd which are high or ordinary health status and
both indoor and outdoor units, irrespective of size. The virus spread rapidly in a herd
within 7 days and it may spread throughout the farm. Acute disease is seen in dry sows,
lactating sows, sucking piglets, and growers when the virus first enters the breeding herd.
General symptoms of PRRS include the body temperature elevated to 103 – 105 °F,
reluctance to eat, lethargy, in appetence, discoloration of the skin and pressure sores
associated with small vesicles, diarrhea and so forth. When swine get disease, the death
rate of swine is up to 90 percents because they are not still immune, so they have not
stopped passing on immunity to their offspring.
The disease prevention is to produce vaccine for piglets at 6 weeks of age;
moreover, the vaccine for swine breeders should be produced every 6 months. However,
the vaccine should be avoided for a feeble swine, a sick pig, or pregnant sows which are
far gone in pregnancy.
Large unruptured vesicle on nose

Unruptured vesicle on nose Ruptured vesicle on nose

Unruptured vesicle on foot


Ruptured vesicle on foot Foot and Mouth: Underside of feet

Foot and mouth rot disease is severe pandemic disease which is contracted rapidly
in artiodactyls such as cattle, sheep, goats, and swine. Swine of all age can inflect with
this disease in the high rate, but the death rate is low. Foot and mouth rot disease is
caused by Picornavirus which O, A, and Asia-1 are found in Thailand. When the virus
spreads rapidly in a herd, it takes up 3 – 6 days for symptoms which the appearance a
little later of vesicles up to 30 millimeters around a nose tip, mouth, tongue, lips, gill and
hoofs are symptoms of this disease. Moreover, the symptoms of this disease are increased
body temperature about 40.5 ºC, reluctance to eat, dribbling saliva, chomping their jaws,
painful legs, and losing weight.
The disease prevention is to produce vaccine for piglet at 7 weeks of age and
produce it again 2 week later. For swine breeders, the vaccine is produced every 4 – 6
months.

Source:
http://www.dld.go.th/service/pig/pigpig.html
http://www.thepigsite.com/diseaseinfo/97/porcine-reproductive-respiratory-syndrome-
prrs
http://www.thepigsite.com/articles/?AREA=FeaturedArticle&Display=305
- Medicine and a cure for swine

The way to use drug for swine to protect and heal can be many type of medicines,
it is sensitive with swine so we have to have a suggestion from the doctor.
1. Antibiotics; it is extracted from some type of microorganism that can stop the
growing of diseases or destroying that diseases. The antibiotics actually is used to protect
and heal such as Pneumonia, Bronchitis, Scar fen, Gastrointestinal disease, Urinary tract
infections, Uterine inflammation, and Anemic etc.
2. Sulfa Drugs; it is extracted for protecting and healing and the medicine of this
group is Trisulfan, Travertine, Vazlong, Sulfa Merasin, Sulfa quinnoksaleen,
Sulfadiazine, Sulfanilamide and Sulfa Tiazone etc.
3. Stimulant; it is almost the medicine in Phosphorus, Calcium, Magnesium,
Glucose and all vitamins and mineral that are necessary for health. It can help to
stimulate the absorption of Digestive System. The groups of medicine are Tonoforcefan,
Arizil, Katozal, Vitalex, Aminolite, Vitamin A, and Vitamin B complex multi – vitamins
etc.
4. Disinfectant; it is used to clean the swine house such as Isla, Sanctus saffron,
Iodine, Formalin, Copper sulfate, Light liquid zone, Caustic soda, Corrine, Lime,
Onecline, and Battles Biocline, etc. There will be the approach and limitation to use in
the different way, so we should educate the medicine before using.
5. Pesticide external parasite; it is used for killing a Scabies, flea, Dry Scabies in
swine such as Engo, Yen go, Forestry, Malafresh, Marathon, Survins, Yermax, Nekuwon,
Ivomax Inject or Purge, etc.
6. Pathology cathartic; the medicine which kills all the Pathology in the large
intestine in the animal is the Pipperracine, Carbondatatra chloride Pilantialtarlate,
Tiabandasol and the commercial name is called Verbal down cline Hoktosan worm-ex
banminz Ivomek (for injection) Lamisol 10% Lava side Laevulin 10%, etc.
7. The medicine for filling up the mouth of the piglet; It protects piglets from
diarrhea such as Farmosin on the tongue of piglet (putting the medicine to piglet by
Chlortetracycline and Hydrochloride) Celia-card (using Streptomilezinzalfate
Sanfatiazone Atrofinsilfate) Liquid Diatreem (using with the Tripreamsulfardiacine)
Liquid Norodine (use with Sanfadiacinetrimetopream) and so on. Moreover, we can use
the medicine melt with water for the piglet or use Neomix 325 KD-Neo.
8. Drugs for wound; it is used for fresh wound and Chronic wound such as
Tincture Iodine and Rouge fresh wound (yellow drug), Jencialviolate (violate drug)
Salphanilamild Negasunt (for killing the worm in the chronic wound) Sclorworm
Salphanilamide Wax and Sulfur, Alcohol, etc.
9. Hormone; this hormone is used for stimulating sows while they are travailing
such as Occitocine Hormone and the Prostaglandin F2Elpha Hormone which are the
hormone used to inject the sow for specifying the travail month. It is easy for
management of using in the case that sows meet the date of travail already (114 days),
but not travail yet after injecting. It will help sows to travail in 36 hours and if we use
special hormone, we need to have the suggestion from the doctor before using.
10. Iron; it protects the pale blood of piglets such as Fidex Miofure pigdrik Iron
Drextran Rona.

Source: http://www.dld.go.th/service/pig/pigpig.html
- The growth of swine

Food per pig and per


The Age of Swine The weight of Swine The growth rate of The efficiency of using The quantity of food
day
(Day) (Kilogram) swine food supplement supplement
(Kilogram)
30 6.5 150 - 0.30 0.4
42 9.0 330 1.5 0.50 5.0
60 15.0 500 1.6 1.0 15.0
70 22.0 600 1.8 1.4 27.0
82 30.0 650 2.2 1.5 45.0
94 40.0 700 2.3 2.0 67.0
106 50.0 720 2.3 2.2 90.0
120 60.0 750 2.4 2.4 125
133 70.0 780 2.5 2.6 155
145 80.0 800 2.6 2.8 190
158 90.0 800 3.0 3.0 225
170 100.0 800 3.0 3.0 260

Table: The weight and growth rate of swine and the quantity of food for swine

Source: http://www.dld.go.th/service/pig/pigpig.html
- Vaccine injection for swine breeders

The Age of Dose and


Type of Vaccine Note
Swine Injection
Vaccine injection every 6
Intramuscular
months in the next time and
6 weeks Mouth and Feed rot injection 1 c.c. per
when vaccine dissolves
pig
already, using within 1 hour
Porcine
Reproductive and Subcutaneous Vaccine injection every 4
7 weeks
Respiratory injection months in the next time
Syndrome (PRRS)

Source: http://www.dld.go.th/service/pig/pigpig.html
- Location
8

7
6
4

1
2
3

1. Mae Fah Luang University


2. Route of Mae Chan District
3. Route of Mea Sai District
4. Ban Kiwproa
5. Ban Pangmohpong
** 6. Ban Phaton, Santart district
7. Chiang Saen district
8. Mae Kong River

The market of Pig Kingdom Farm is the main target groups from Chiang Saen,
and Mae Chan because they are expanding pig industry, so the location of Pig Kingdom
Farm is located in Phaton village at Chiang Saen district, Chiang Rai province where is
near customers. The advantage of this location is easy for trade and distribution and also
has opportunities to expand our business due to an increase in the number of people
living in Chiang Saen. Therefore, the demand of people also increases.
We emphasis on the area where provides convenient access and transportations
and it can also protect environment, control disease outbreaks from outside into the farm.
It is far away from the community around 2 kilometers which must be consented by local
government administration and the centre of government that show our business does not
cause negative impacts to society. Moreover, the location should have water source
which is adequate for consumption throughout the year.
- Facility Layout

Pig kingdom farm has the area around 2 Rai located in Chiang Saen district, so we
have to think how to use the area effectively. Good facility layout is very important to the
business. We separate the area into 3 parts which consists of resident area, breeding area,
and planting area.

Behind the swine farm

In front of the swine farm


The side of the swine farm

1. The first area, we use around 2000 square meters for build breeding area there
are swine’s house, treatment area and storehouse of feed.

- Swine’s house
It is important part for our farm, swine need to live with hygienic practice because
it will make the swine healthy and they will not pressure so they will eat a lot of feed. We
use this area around 1700 square meters for 2 building of swine’s house. We build
swine’s house follow main key of good characteristic, which is easy to manage in each of
sty, have an area for drain wastewater and far from the community around 2 kilometers,
and each of inside swine’s house have 24 sties for swine living in the number that feel
cramped.
Building
We choose Evaporative System for building because it can control appropriate
environment of swine’s living such as temperature, humidity, ventilate and bright light.
The building is high around 9 meters, 4meters for wide and 100 meters of range.
Roof
For the roof we choose double triangle style of roof, this style is popular because
it is safety and good ventilate of inside, we use the tile for roofing, although this style is
expensive but it is worth for swine’s life.

Floor
We use concrete for lay the floor because it is cheap and easy to clean; moreover
if we lay slop floor and leave a space for put water for swine’s relax. Staffs of swine have
to change water in the morning everyday.

- Treatment system area


We set up treatment area around 200 square meters behind swine’s house. It
consists of 3 ponds; there are pig’s excrement ferment pond, wastewater pond, and biogas
pond. The pig excrement and wastewater is brought to the wastewater pond for treatment.
- Storehouse of feed
This area is around 100 square meters for building the storehouse. We use
storehouse to keep feed of swine and the equipment that involve with swine.

2. The second area is around 500 square meters. It consists of 2 buildings which
are staff house and office.

- Staff house
Pig kingdom farm employs people in the community around 2 - 3 person to be the
staff in swine farm, so we have to build a house for them. The location which we select
for resident is separated from swine house.

- Office
The office is located beside the staff house. It is clean and suitable for work in
that place. Our farm have veterinarian for checking swine health. Moreover, we have
farm management manual which shows about record information in order to protect and
control the disease of swine and the way to taking care of swine. The head worker and
accountant (also assistant of head worker) work at the office.

3. The third area is plantation area which is used to plant corn and wheat in order
to be the feed for swine. The area is around 700 square meters and is divided into 2 parts;
the area of the first part for corn plantation is around 300 square meters and the area of
the second part for wheat plantation is around 400 square meters.

Machine / Tools / Equipments

- Principle of Evaporative Cooling System


Evaporative Cooling System is designed to be friendly with environment. The
water evaporation exchanges heat in the air by the water flowing pass the cooling pad.
When the water flowing pass the cooling pad, it will increase the area and decrease the
squeeze between the water an air which makes the water immediately evaporate. After
that heat from the air around the cooling pad is brought to use in the evaporative and
when the air absorbs the heat, the temperature decline. However, the temperature decline
more or less depending on the moisture in the air temperature at that time and the wind
speed which flow through the cooling pad and the wind chill affects the system.

Figure: Evaporative Cooling System

- Evaporative Ventilation Air Cooler


"Hybrid Cool Unit" is like air condition and safe electric as fan by innovation
technology. It is designed based on the natural concept which is friendly with
environment and also protect contamination. It does not have water spray and uses only
10 percent of electricity.
The method of Evaporative Ventilation Air Cooler
1. When the squeeze pass through the Inlet Valve, it will drop into the water tray
until the pendulums is driven up.
2. The system will order water pump and make the water flow through the cooling
pad, but the water still flow through the Inlet Valve until the level of the water are highest
peak. Therefore, the system will cut the water itself.
3. The Motor of fan will take the cooling wind into the wind distributor system
following each distributor.
When it works completely in 9 hours, the Auto Wash Mod System will working
and the order controlling set outlet Valve will open to drainage the water.
Figure: The Evaporative Ventilation Air Cooler

- Performance of highest properties of cooling pad


1. Indentation in the appropriate skin for the area increase.
2. Having appropriate thickness because if it is too thin, it will be spray
out and if it is too thickness, the pressure drop will occur.
3. Cleaning without dust, lichen and sediment.
4. Useful life of the cooling pad is about 3 years or 10,000 hours

The air flowing through the system must flow through the dust filtration

Figure: Cooling Pad


The advantage of the cooling pad
The usage objective
1. To improve the environment in the work area
2. To decrease the temperature in the work area about 4 – 10
degrees Celsius by distributing the cooling wind directly to the target area.
3. To protect the heat from outside the swine house.
4. To add the fresh air flowing inside the swine house.
5. To create the positive pressure to protect the dust, bad smell, and
bugs.
6. To save the energy and decrease the cost of electricity.

Figure: Comparison of the Incretion of Temperature Having Humidity 50 percent

- Air System Ventilation


1. To save the energy when compare with normal air condition system with the
same performance of cooling capacity over 1,250% a year.
2. To save the energy because uses electricity only 10 percent when compares
with the normal air condition.
3. Can be mixed-design with the normal air condition system which saves the
electricity about 40 percent to 60 percent in the case of needing to control the temperature
often.
4. Low maintenance cost because it is not complex system and easy to maintain. It
does not need the advice from specialist.
5. Friendly with environment without the CFC chemical to create the cooling air
and uncreated green house effect which is the main cause of global warming.
6. Can be designed to decrease the volume of humidity in the air. Ventilation Air
Flow System makes it occur less.
7. Can be designed to build to be Positive Pressure or Negative Pressure and
create the air barrier to protect the contaminant from outside.
8. Can be designed to create wind chill effect the distributor, that make the air
touch with the skin the temperature feel decrease about 2 – 3 degrees Celsius.
9. Can use both inside and outside.
10. Has portable movement.

Figure: Air System Ventilation

Source: http://evaporative-hybridcool.blogspot.com/

- Dynamo

The electricity which we generally use in the household and the business is the
electric stream from dynamo
The main component of dynamo is as following:
1. The magnetic for creating the magnetic field.
2. The coil of wire that covered by insulator.
3. The sub equipments in the motor (brush, ring).
The dynamo uses rotating coils of wire and magnetic fields to convert mechanical
rotation into a pulsing direct electric current through Faraday's law. A dynamo machine
consists of a stationary structure called the stator which provides a constant magnetic
field, and a set of rotating windings called the armature which turn within that field. On
small machines the constant magnetic field may be provided by one or more permanent
magnets; larger machines have the constant magnetic field provided by one or more
electromagnets, which are usually called field coils.
The commutation was needed to produce direct current. When a loop of wire
rotates in a magnetic field, the potential induced in it reverses with each half turn,
generating an alternating current. However, in the early days of electric experimentation,
alternating current generally had no known use. The few uses for electricity, such as
electroplating, used direct current provided by messy liquid batteries. Dynamos were
invented as a replacement for batteries. The commutation is a set of contacts mounted on
the machine's shaft, which reverses the connection of the windings to the external circuit
when the potential reverses, so instead of alternating current, a pulsing direct current is
produced.
Source: http://en.wikipedia.org/wiki/Dynamo

- Exhaust Fan

An exhaust fan is a mechanical ventilation device that helps to draw out stale and
impure air from factory and bring in fresh air, thereby improving the quality of indoor
air. Exhaust fans are typically ducted to the exteriors of factory, through which bad
indoor air can effectively be removed from the factory.
Exhaust fans are classified into various types, mainly depending on the type of
mount and the location where you need to install the fans. There are different types of
exhaust fan, but our swine farm use wall mounted exhaust fans. These exhaust fans are
installed on walls. Since they are installed on exterior walls of the factory and not on
interior walls, the stale air has a direct route to the outside of your home and thus no duct
work is required in installing these exhaust fans.

Source: http://lib.store.yahoo.net/lib/rewilliams/ventilationfanguide.html

- Logistics Management

- Location planning
The main target group of Pig Kingdom Farm is people who live in Chiang Saen
and Mae Chan. Therefore, the location of Pig Kingdom Farm is located in the Phaton
village at Chiang Saen district, Chiang Rai province because it is the center of
distribution which provides more convenience to our customers when they come to our
farm for buying swine. It can also help our farm save time and costs when we go to the
swine farm located in Santhat district, Chiang Khong to buy piglets.
- Transportation and Traffic
Pig Kingdom Farm focuses only on outbound logistics which is the process of
piglet imports from the swine farm located in Santhat district, Chiang Rai into our farm.
A truck is used to transport piglets because it can contain a lot of piglets.

- Warehousing and Inventory Control


Our swine farm pays attention to the quality of warehousing and inventory
control. We always have swine sufficiently for our customers all the time which they
have all confidence in our quality of swine because we have the effective management in
the disease control and prevention and we also cooperate with Department of Livestock
Development in order to check the quality of each pig and environment every month to
meet the standard on cleanliness.
- Procurement and Purchasing
The processing of purchasing the American Landrace breed of piglets and swine
breeders is very important for costs and the quality of products. We select the swine farm
located at Santhat district, Chiang Rai province to order swine because this farm has the
swine which meets our demands and has high quality. These swine can be ordered direct
from the swine farm at Santhat district. We select a truck to transport piglets from that
place to our farm because it can save time and costs.

- Material handing and transportation

- Transportation preparation
To protect the accident which can happen to swine, truck floor has to be
laid by straw, dried grass, banana tree, or sandy soil. We should prepare a cage for
hogs and should prepare a separated stall to protect swine from overlapping each
other when transporting a lot of swine. However, a separated stall is essential for the
back of a truck; moreover, a truck roof and shading net are important for sunlight and
rain protection.
- Swine management after getting in a truck
We should pour the water over swine during transport because it can help
to reduce the heat in swine. In addition to water, big ice which is pounded can be laid
on truck floor covered by straw. It can help to reduce stress among swine. While we
are transporting swine, we should not stop a truck if it is not necessary. Moreover, if
swine show the sign that they feel hot; we have to stop a truck to pour water over
swine’s head and swine body. Most importantly we should transport swine in good
weather condition during evening or night.

- Swine management when reaching the destination


After swine are herded together into a pig kraal, we should provide the
short period of time to swine for relaxation and should not give water and food
immediately for them. After that we give clean water which is mixed Iodine and
vitamins together for them during the first 3 to 5 days. In addition, we must separate
swine to protect the spread of disease over 15 day period.

- Waste Minimization & Quality control


The way of prevention and eliminating smell and waste from the swine farm
consists of 4 processes.

Biogas pond
The Large swine farm which has more than 1,000 swine should build biogas pond
to keep pig excrement and bring gas from biogas pond transformed into electricity. It can
be applied within the farm, cooking, or nursing a brood of piglets.
Wastewater pond
The swine farm should have wastewater pond system, especially swine farm
located near the river. Wastewater pond system consists of fermenting pond, dregs thick
liquid pond, and the area for dried pig excrement.

Pig excrement pond


Thee swine farm of agriculturist who cannot build biogas pond or wastewater
pond should build pig excrement pond. The size of pond depends on quantity of breeding
swine. Characteristic of pig excrement pond is similar to wastewater pond.

Using Microbe Chemical


The swine farm should blow Microbe chemical such as E.M. (Effective
Microorganisms) around swine house, pig excrement or blow around wastewater pond
because E.M chemical can decrease smell in the swine farm.

Source: http://www.dld.go.th/service/pig/pigpig.html
- Facility Management

Environmental management

- Types of waste generated by the swine farm


1. Waste
2. Swine carcasses
3. Pig excrement
4. Wastewater

Waste disposal
- Large amount of pig excrement
1. Set the total amount of food which is proper for types or ages of swine
2. A mixture of food which has recipes to reduce the amount of waste
- Ineffective food distribution system for swine
- Change equipments for food distribution to protect the food falling from
the food distribution system.
- Ineffective food systems management
- Always check the quality of food for swine
- Use the existing food for swine before opening a new food bag
- Mixing food for swine and shipping scatteringly
- Without waste reduction
- Pig excrement transformed into organic fertilizer
- Fresh pig excrement to be the food for fishes
- Produce biogas from wastewater
- Worker’s ignorance of
- Raise awareness of workers
- Have a plan for workers to operate
Noxious odors management

- Principle and practice for the swine house and the a pig kraal

We should build a pig kraal which is proper for swine. The area for defecating
should be located behind a pig kraal due to easy cleaning.

Principle and Practice The Amount of Time

Keeping pig excrement At least 2 times / day

Cleaning a swine house At least 2 times / day

Releasing water from the area of defecating At least 1 times / day

Using enzyme ionic plasma 1 time / day

- Taking pig excrement from the area for defecating

We have to take pig excrement from the area for defecating before cleaning up. A
pig kraal should be suitable for each type and age of swine. The proper area for
defecating should be located behind a pig kraal because it is easy to clean and it should
also be a bright area, ventilation, and damp.
- Cleaning a swine house

The area of a pig kraal which is not the area for defecating should be dried all the
time, so we should wash a pig kraal at least 2 times per day.

Equipment which can help to reduce the size of the tip of rubber tube should be
installed in order to help water flow rapidly. Moreover, it can decrease water quantity and
save time in cleaning.

- Principle and practice for the wastewater treatment


Wastewater generated by the swine farm mostly comes from cleaning a pig kraal
which can cause noxious odors.
Wastewater Treatment
- Keep pig excrement, dregs, food scraps at least 2
times per day.
- Wash the channel for water drainage together in
The channel for water drainage cleaning a pig kraal at least 2 times per day.
- The quantity of wastewater drainage per day.
- The channel for wastewater drainage is proper with
wastewater drainage within the swine farm.
- Keep garbage, weed, and plastic scrap within the
biogas pond or wastewater pond.
- Install sieve to sift out dregs at the area of draining
Wastewater treatment system
wastewater
- Should have plastic or lid to cover the wastewater
pond

A large amount of wastewater

- Wasting water caused by ineffective cleaning


- Clean pig excrement at least 2 times a day
- Build a pig kraal which is appropriate for eating behavior and defecating
in swine and. The area for defecating should be located behind a pig kraal
because it is easily to clean; moreover, it must be clean, damp, and has good
ventilation.

- Overuse of water
- Decrease water loss from any equipment related to water
- Wash a pig kraal by water from the wastewater treatment system

- Water drainage system and wastewater drainage system


Separate the channel for water drainage and wastewater drainage in order
to reduce wastewater quantity.

Source: http://ptech.pcd.go.th/present-pig/
Cost of Investment

- Pre – operation cost


Landscape cost 200,000 Baht
Swine Sale permission in the province 100 Baht
Others 20,000 Baht
Total 220,100Baht

Source: http://www.dld.go.th/inform/law/minis_order/duty2546.html
Investment cost
According to the information that we has received from ….. ….. The owner of

close system swine farm in Mae Lao district Chiang Rai province that has investment
cost;

Price per No of
No List price Percent
1 unit unit
1 Land 200,000 4.03%
2 office 300000 1 300,000 6.05%
3 Swine house 1,350,000 2 2,700,000 54.41%
Warehouse
6 100,000 1 100,000 2.02%
storage
7 Biogas pond 10,125 4 40,500 0.82%
8 Housing Workers 100,000 1 100,000 2.02%
9  10,000 2 20,000 0.40%
10 Dynamo 25,000 4 100,000 2.02%
11 Truck 385,000 1 385,000 7.76%
12 swine cage 2,800 30 84,000 1.69%
13 Pick-Up Car 650,000 1 650,000 13.10%
14  2,500 12 30,000 0.60%
15 Breeder pound 2,800 30 84,000 1.69%
16 Stud cage 3,500 10 35,000 0.71%
Treatment pond
17 20,000 2 40,000 0.81%
Fee
18 Exhaust fans 1,150 16 18,400 0.37%
bowels of the
19 10,000 1 10,000 0.20%
earth fee
20 !"#$% 2,800 20 56,000 1.13%
21 cooling pad 1,200 8 9,600 0.19%
22 Computer 30,000 1 30,000 0.60%
Total 4,962,500 100%
Depreciation

Depreciation
Annual Monthly
Investment Amount Depreciation
Depreciation Depreciation
Office 20 years 15,000.00 1,250.00
300,000.00
Swine house 20 years 135,000.00 11,250.00
2,700,000.00
Warehouse
20 years 5,000.00 416.67
storage 100,000.00
Biogas pond 20 years 2,025.00 168.75
40,500.00
Housing
20 years 5,000.00 416.67
Workers 100,000.00
Breeder pound 20 years 4,200.00 350.00
84,000.00
 21 years 1,000.00 83.33
20,000.00
Dynamo 5 years 5,000.00 416.67
100,000.00
Truck 5 years 19,250.00 1,604.17
385,000.00
Swine cage 5 years 4,200.00 350.00
84,000.00
Pick-Up Car 5 years 32,500.00 2,708.33
650,000.00
 5 years 1,500.00 125.00
30,000.00

Stud cage 5 years 1,750.00 145.83


35,000.00
Treatment pond
5 years 2,000.00 166.67
Fee 40,000.00
Exhaust fans 5 years 920.00 76.67
18,400.00
bowels of the
5 years 500.00 41.67
earth fee 10,000.00
!"#$% 5 years 2,800.00 233.33
56,000.00
cooling pad 5 years 480.00 40.00
9,600.00
Computer 3 years 1,500.00 125.00
30,000.00
Total 4,792,500.00 239,625.00 19,968.75
Depreciation year 1
Investment Amount Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec Total
Office 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 15,000.00
300,000.00
Swine house 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 135,000.00
2,700,000.00
Warehouse
416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04
storage 100,000.00
Biogas pond 40,500.00 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 2,025.00
Housing
416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04
Workers 100,000.00
Breeder
84,000.00 350 350 350 350 350 350 350 350 350 350 350 350 4,200.00
pound
 20,000.00 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 999.96

Dynamo 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04
100,000.00
Truck 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 19,250.04
385,000.00
Swine cage 84,000.00 350 350 350 350 350 350 350 350 350 350 350 350 4,200.00

Pick-Up Car 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 32,499.96
650,000.00
 30,000.00 125 125 125 125 125 125 125 125 125 125 125 125 1,500.00

Stud cage 35,000.00 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 1,749.96
Treatment
40,000.00 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 2,000.04
pond Fee
Exhaust fans 18,400.00 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 920.04
bowels of
10,000.00 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 500.04
the earth fee
!"#$% 56,000.00 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 2,799.96

Cooling pad 9,600.00 40 40 40 40 40 40 40 40 40 40 40 40 480.00

Computer 30,000.00 125 125 125 125 125 125 125 125 125 125 125 125 1,500.00

Total 4,792,500.00 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 239,625.12
Depreciation year 2

Investment Amount Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec Total

Office 300,000.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 15,000.00

Swine house 2,700,000.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 135,000.00
Warehouse
100,000.00 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04
storage
Biogas pond 40,500.00 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 2,025.00
Housing
100,000.00 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04
Workers
Breeder
84,000.00 350 350 350 350 350 350 350 350 350 350 350 350 4,200.00
pound
 20,000.00 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 999.96

Dynamo 100,000.00 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04

Truck 385,000.00 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 19,250.04

Swine cage 84,000.00 350 350 350 350 350 350 350 350 350 350 350 350 4,200.00

Pick-Up Car 650,000.00 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 32,499.96

 30,000.00 125 125 125 125 125 125 125 125 125 125 125 125 1,500.00

Stud cage 35,000.00 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 1,749.96
Treatment
40,000.00 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 2,000.04
pond Fee
Exhaust fans 18,400.00 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 920.04
Bowels of
10,000.00 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 500.04
the earth fee
!"#$% 56,000.00 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 2,799.96

Cooling pad 9,600.00 40 40 40 40 40 40 40 40 40 40 40 40 480.00

Computer 30,000.00 125 125 125 125 125 125 125 125 125 125 125 125 1,500.00

Total 4,792,500.00 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 239,625.12
Depreciation year 3

Investment Amount Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec Total

Office 300,000.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 15,000.00

Swine house 2,700,000.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 135,000.00
Warehouse
100,000.00 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04
storage
Biogas pond 40,500.00 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 2,025.00
Housing
100,000.00 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04
Workers
Breeder
84,000.00 350 350 350 350 350 350 350 350 350 350 350 350 4,200.00
pound
 20,000.00 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 999.96

Dynamo 100,000.00 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04

Truck 385,000.00 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 19,250.04

Swine cage 84,000.00 350 350 350 350 350 350 350 350 350 350 350 350 4,200.00

Pick-Up Car 650,000.00 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 32,499.96

 30,000.00 125 125 125 125 125 125 125 125 125 125 125 125 1,500.00

Stud cage 35,000.00 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 1,749.96
Treatment
40,000.00 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 2,000.04
pond Fee
Exhaust fans 18,400.00 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 920.04
Bowels of
10,000.00 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 500.04
the earth fee
!"#$% 56,000.00 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 2,799.96

Cooling pad 9,600.00 40 40 40 40 40 40 40 40 40 40 40 40 480.00

Computer 30,000.00 125 125 125 125 125 125 125 125 125 125 125 125 1,500.00

Total 4,792,500.00 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 19,968.76 239,625.12
Depreciation year 4

Investment Amount Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec Total

Office 300,000.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 15,000.00

Swine house 2,700,000.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 135,000.00

Warehouse storage 100,000.00 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04

Biogas pond 40,500.00 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 2,025.00

Housing Workers 100,000.00 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04
Breeder pound 84,000.00 350 350 350 350 350 350 350 350 350 350 350 350 4,200.00
 20,000.00 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 999.96
Dynamo 100,000.00 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04

Truck 385,000.00 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 19,250.04

swine cage 84,000.00 350 350 350 350 350 350 350 350 350 350 350 350 4,200.00

Pick-Up Car 650,000.00 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 32,499.96

 30,000.00 125 125 125 125 125 125 125 125 125 125 125 125 1,500.00

Stud cage 35,000.00 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 1,749.96

Treatment pond Fee 40,000.00 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 2,000.04

Exhaust fans 18,400.00 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 920.04
Bowels of the earth
10,000.00 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 500.04
fee
!"#$% 56,000.00 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 2,799.96

Cooling pad 9,600.00 40 40 40 40 40 40 40 40 40 40 40 40 480.00

Total 4,762,500.00 19,843.76 19,843.76 19,843.76 19,843.76 19,843.76 19,843.76 19,843.76 19,843.76 19,843.76 19,843.76 19,843.76 19,843.76 238,125.12
Depreciation year 5

Investment Amount Jan Feb Mar April May June July Aug Sep Oct Nov Dec Total

Office 300,000.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 15,000.00

Swine house 2,700,000.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 135,000.00
Warehouse
100,000.00 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04
storage
Biogas pond 40,500.00 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 2,025.00
Housing
100,000.00 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04
Workers
Breeder
84,000.00 350 350 350 350 350 350 350 350 350 350 350 350 4,200.00
pound
 20,000.00 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 999.96

Dynamo 100,000.00 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04

Truck 385,000.00 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 1,604.17 19,250.04

Swine cage 84,000.00 350 350 350 350 350 350 350 350 350 350 350 350 4,200.00

Pick-Up Car 650,000.00 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 2,708.33 32,499.96

 30,000.00 125 125 125 125 125 125 125 125 125 125 125 125 1,500.00

Stud cage 35,000.00 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 145.83 1,749.96
Treatment
40,000.00 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 166.67 2,000.04
pond Fee
Exhaust fans 18,400.00 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 76.67 920.04
bowels of the
10,000.00 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 41.67 500.04
earth fee
!"#$% 56,000.00 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 233.33 2,799.96

Cooling pad 9,600.00 40 40 40 40 40 40 40 40 40 40 40 40 480.00

Total 4,762,500.00 19,843.76 19,843.76 19,843.76 19,843.76 19,843.76 19,843.76 19,843.76 19,843.76 19,843.76 19,843.76 19,843.76 19,843.76 238,125.12
Depreciation year 6

Investment Amount Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec Total

Office 300,000.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 1,250.00 15,000.00

Swine house 2,700,000.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 11,250.00 135,000.00

Warehouse
100,000.00 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04
storage

Biogas pond 40,500.00 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 168.75 2,025.00

Housing
100,000.00 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 416.67 5,000.04
Workers
Breeder
84,000.00 350 350 350 350 350 350 350 350 350 350 350 350 4,200.00
pound

 20,000.00 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 83.33 999.96

Total 3,344,500.00 13,935.42 13,935.42 13,935.42 13,935.42 13,935.42 13,935.42 13,935.42 13,935.42 13,935.42 13,935.42 13,935.42 13,935.42 167,225.04
Operation Cost

Raw material Cost


Our farm was breeding the swine in lot and there are 500 pigs in one lot therefore
we will estimate raw material per lot
Piglet 1000/a pig 500 pigs = 500,000 Baht
Pig Food 455 baht/ a bag 2600 bags = 1,183,000 Baht
Total 1,683,000 Baht

Direct Labor Cost


We will employ 1 family that was unemployment and does not have anything to
do and provide income for them about 6,000 baht per month. We will provide house and
food for them.
Veterinarian fee 6,000 Baht/Month
Foreman 5,000 Baht/Month
Foreman assistant 4,000Baht/Month
Total 21,000Baht/Month
Management analysis

- Administration cost
We estimate the administration cost per month.

No List Amount Percent


1 Electricity 3,000 30%
2 Telephone 1,000 10%
3 Internet 590 5.9%
4 others 5,410 54.1%
Total 10,000 100%
Chapter 5: Financial Analysis

Income Statement

Income statement of year Month Month Month Month Month Month Month Month Month Month Month Month
1 1 2 3 4 5 6 7 8 9 10 11 12
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total
Sale in Units 0 0 0 0 - - - - 240 260 240 260 1,000
Sale revenue 0 0 0 0 - - - - 1,464,000 1,586,000 1,464,000 1,586,000 6,100,000
sale fertilizer 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 19,200
Total Sale 0 0 0 0 2400 2400 2400 2400 1466400 1588400 1466400 1588400 6,119,200
Less Cost of goods sold 0 0 0 0 240,000 260,000 240,000 260,000 1,000,000
Gross margin - - - - 2,400 2,400 2,400 2,400 1,226,400 1,328,400 1,226,400 1,328,400 5,119,200
Operating expenses 0 0 0 0 -

Pig food cost 0 0 0 0 1,183,000 1,183,000 1,183,000 1,183,000 4,732,000

Operating income 0 0 0 0 -1,180,600 2,400 -1,180,600 2,400 43,400 1,328,400 43,400 1,328,400 387,200
Marketing expense 0 0 0 0 - - - - 43,920 47,580 43,920 47,580 183,000
Administration expense -
Salaries 0 0 0 0 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 168,000
Electricity 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 24,000
Telephone 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 8,000
Internet 590 590 590 590 590 590 590 590 590 590 590 590 4,720
Others 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 43,280
Total Administrative 10,000 10,000 10,000 10,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 248,000
Total Marketing
10,000 10,000 10,000 10,000 31,000 31,000 31,000 31,000 74,920 78,580 74,920 78,580 431,000
administrative Expense

EBIT -10,000 -10,000 -10,000 -10,000 -1,211,600 -28,600 -1,211,600 -28,600 -31,520 1,249,820 -31,520 1,249,820 -43,800
Interest 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 266,667
Interest income -43,333 -43,333 -43,333 -43,333 -1,244,933 -61,933 -1,244,933 -61,933 -64,853 1,216,487 -64,853 1,216,487 -310,467
Tax income -13,000 -13,000 -13,000 -13,000 -373,480 -18,580 - 373,480 -18,580 -19,456 -364,946 -19,456 -364,946 -823,032
-
Net income -30,333 -30,333 -30,333 -30,333 -43,353 - 871,453 -43,353 -45,397 851,541 -45,397 1,581,433 512,565
871,453
Month Month Month Month Month Month Month Month Month Month Month Month
Income statement of year 2
13 14 15 16 17 18 19 20 21 22 23 24
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total
Sale in Units 250 250 250 250 250 250 250 260 250 250 250 250 3,010
Sale revenue 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,586,000 1,525,000 1,525,000 1,525,000 1,525,000 18,361,000
Sale fertilizer 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 28,800
Total Sale 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,588,400 1,527,400 1,527,400 1,527,400 1,527,400
Less Cost of good sold 250,000 250,000 250,000 250,000 250,000 250,000 250,000 260,000 250,000 250,000 250,000 250,000 3,010,000
Gross margin 1,277,400 1,277,400 1,277,400 1,277,400 1,277,400 1,277,400 1,277,400 1,328,400 1,277,400 1,277,400 1,277,400 1,277,400 15,379,800
Operating expenses -
Pig food cost 1,183,000 1,183,000 1,183,000 1,183,000 1,183,000 1,183,000 7,098,000
Operating income 94,400 1,277,400 94,400 1,277,400 94,400 1,277,400 94,400 1,328,400 94,400 1,277,400 94,400 1,277,400 8,281,800
Marketing expense 45,750 45,750 45,750 45,750 45,750 45,750 45,750 47,580 45,750 45,750 45,750 45,750 550,830
Administration expense
Salaries 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 252,000
Electricity 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 36,000
Telephone 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 12,000
Internet 590 590 590 590 590 590 590 590 590 590 590 590 7,080
Others 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 64,920
Total Administrative 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 372,000
Total Marketing
76,750 76,750 76,750 76,750 76,750 76,750 76,750 78,580 76,750 76,750 76,750 76,750 922,830
administrative Expense
EBIT 17,650 1,200,650 17,650 1,200,650 17,650 1,200,650 17,650 1,249,820 17,650 1,200,650 17,650 1,200,650 7,358,970
Interest 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 400,000
Interest income -15,683 1,167,317 -15,683 1,167,317 -15,683 1,167,317 -15,683 1,216,487 -15,683 1,167,317 -15,683 1,167,317 6,958,970
Tax income -4,705 350,195 -4,705 350,195 -4,705 350,195 -4,705 364,946 -4,705 350,195 -4,705 350,195 2,087,691
Net income -10,978 817,122 -10,978 817,122 -10,978 817,122 -10,978 851,541 -10,978 817,122 -10,978 817,122 4,871,279
Month Month Month Month Month Month Month Month Month Month Month Month
Income statement of year 3
25 26 27 28 29 30 31 32 33 34 35 36
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total
Sale in Units 250 250 250 250 250 250 250 260 250 250 250 250 3,010
Sale revenue 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,586,000 1,525,000 1,525,000 1,525,000 1,525,000 18,361,000
Sale Fertilizer 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 28,800
Total Sale 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,588,400 1,527,400 1,527,400 1,527,400 1,527,400 18,389,800
Less Cost of goods sold 250,000 250,000 250,000 250,000 250,000 250,000 250,000 260,000 250,000 250,000 250,000 250,000 3,010,000
Gross margin 1,277,400 1,277,400 1,277,400 1,277,400 1,277,400 1,277,400 1,277,400 1,328,400 1,277,400 1,277,400 1,277,400 1,277,400 15,379,800
Operating expenses -
Pig food cost 1,183,000 1,183,000 1,183,000 1,183,000 1,183,000 1,183,000 7,098,000
Operating income 94,400 1,277,400 94,400 1,277,400 94,400 1,277,400 94,400 1,328,400 94,400 1,277,400 94,400 1,277,400 8,281,800
Marketing expense 45,750 45,750 45,750 45,750 45,750 45,750 45,750 47,580 45,750 45,750 45,750 45,750 550,830
Administration expense -
Salaries 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 252,000
Electricity 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 36,000
Telephone 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 12,000
Internet 590 590 590 590 590 590 590 590 590 590 590 590 7,080
Others 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 64,920
Total Administrative 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 372,000
Total Marketing
76,750 76,750 76,750 76,750 76,750 76,750 76,750 78,580 76,750 76,750 76,750 76,750 922,830
administrative Expense
EBIT 17,650 1,200,650 17,650 1,200,650 17,650 1,200,650 17,650 1,249,820 17,650 1,200,650 17,650 1,200,650 7,358,970
Interest 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 400,000
Interest income -15,683 1,167,317 -15,683 1,167,317 -15,683 1,167,317 -15,683 1,216,487 -15,683 1,167,317 -15,683 1,167,317 6,958,970
Tax income -4,705 350,195 -4,705 350,195 -4,705 350,195 -4,705 364,946 -4,705 350,195 -4,705 350,195 2,087,691
Net income -10,978 817,122 -10,978 817,122 -10,978 817,122 -10,978 851,541 -10,978 817,122 -10,978 817,122 4,871,279
Income statement of year 4 Month Month Month Month Month Month Month Month Month Month Month Month
37 38 39 40 41 42 43 44 45 46 47 48
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total
Sale in Units 250 250 250 250 250 250 250 260 250 250 250 250 3,010
Sale revenue 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,586,000 1,525,000 1,525,000 1,525,000 1,525,000 18,361,000
Sale Fertilizer 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 28,800
Total sale 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,588,400 1,527,400 1,527,400 1,527,400 1,527,400 18,389,800
Less Cost of goods sold 250,000 250,000 250,000 250,000 250,000 250,000 250,000 260,000 250,000 250,000 250,000 250,000 3,010,000
Gross margin 1,277,400 1,277,400 1,277,400 1,277,400 1,277,400 1,277,400 1,277,400 1,328,400 1,277,400 1,277,400 1,277,400 1,277,400 15,379,800
Operating expenses -
Pig food cost 1,183,000 1,183,000 1,183,000 1,183,000 1,183,000 1,183,000 7,098,000
Operating income 94,400 1,277,400 94,400 1,277,400 94,400 1,277,400 94,400 1,328,400 94,400 1,277,400 94,400 1,277,400 8,281,800
Marketing expense 45,750 45,750 45,750 45,750 45,750 45,750 45,750 47,580 45,750 45,750 45,750 45,750 550,830
Administration expense -
Salaries 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 252,000
Electricity 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 36,000
Telephone 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 12,000
Internet 590 590 590 590 590 590 590 590 590 590 590 590 7,080
Others 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 64,920
Total Administrative 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 372,000
Total Marketing
76,750 76,750 76,750 76,750 76,750 76,750 76,750 78,580 76,750 76,750 76,750 76,750 922,830
administrative Expense
EBIT 17,650 1,200,650 17,650 1,200,650 17,650 1,200,650 17,650 1,249,820 17,650 1,200,650 17,650 1,200,650 7,358,970
Interest 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333
Interest income -15,683 1,167,317 -15,683 1,167,317 -15,683 1,167,317 -15,683 1,216,487 -15,683 1,167,317 -15,683 1,167,317 6,958,970
Tax income -4,705 350,195 -4,705 350,195 -4,705 350,195 -4,705 364,946 -4,705 350,195 -4,705 350,195 2,087,691
Net income -10,978 817,122 -10,978 817,122 -10,978 817,122 -10,978 851,541 -10,978 817,122 -10,978 817,122 4,871,279
Income statement of year 5 Month Month Month Month Month Month Month Month Month Month Month Month
49 50 51 52 53 54 55 56 57 58 59 60
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total
Sale in Units 250 250 250 250 250 250 250 260 250 250 250 250 3,010
Sale revenue 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,525,000 1,586,000 1,525,000 1,525,000 1,525,000 1,525,000 18,361,000
Sale fertilizer 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 2,400 28,800
Total Sale 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,588,400 1,527,400 1,527,400 1,527,400 1,527,400 18,389,800
Less Cost of goods sold 250,000 250,000 250,000 250,000 250,000 250,000 250,000 260,000 250,000 250,000 250,000 250,000 3,010,000
Gross margin 1,277,400 1,277,400 1,277,400 1,277,400 1,277,400 1,277,400 1,277,400 1,328,400 1,277,400 1,277,400 1,277,400 1,277,400 15,379,800
Operating expenses -
Pig food cost 1,183,000 1,183,000 1,183,000 1,183,000 1,183,000 1,183,000 7,098,000
Operating income 94,400 1,277,400 94,400 1,277,400 94,400 1,277,400 94,400 1,328,400 94,400 1,277,400 94,400 1,277,400 8,281,800
Marketing expense 45,750 45,750 45,750 45,750 45,750 45,750 45,750 47,580 45,750 45,750 45,750 45,750 550,830
Administration expense -
Salaries 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 21,000 252,000
Electricity 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 3,000 36,000
Telephone 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 1,000 12,000
Internet 590 590 590 590 590 590 590 590 590 590 590 590 7,080
others 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 5,410 64,920
Total Administrative 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 372,000
Total Marketing
76,750 76,750 76,750 76,750 76,750 76,750 76,750 78,580 76,750 76,750 76,750 76,750 922,830
administrative Expense
EBIT 17,650 1,200,650 17,650 1,200,650 17,650 1,200,650 17,650 1,249,820 17,650 1,200,650 17,650 1,200,650 7,358,970
Interest 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 33,333 400,000
Interest income -15,683 1,167,317 -15,683 1,167,317 -15,683 1,167,317 -15,683 1,216,487 -15,683 1,167,317 -15,683 1,167,317 6,958,970
Tax income -4,705 350,195 -4,705 350,195 -4,705 350,195 -4,705 364,946 -4,705 350,195 -4,705 350,195 2,087,691
Net income -10,978 817,122 -10,978 817,122 -10,978 817,122 -10,978 851,541 -10,978 817,122 -10,978 817,122 4,871,279
Statement of Cash Flow

Statement of cash flow


Year 1 January February March April May June July August September October November December
Cash flow from operating activity
Cash inflow
Cash received on cash sale - - - - 2,400 2,400 2,400 2,400 1,466,400 1,588,400 1,466,400 1,588,400
Adjust depreciation 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677
Adjust for income tax - - - - 720 720 720 720 439,920 476,520 439,920 476,520
Other
Cash inflow from operating
22,677 22,677 22,677 22,677 25,797 25,797 25,797 25,797 1,928,997 2,087,597 1,928,997 2,087,597
activity
Cash out flow
Purchasing inventory - - - - 1,183,000 - -1,183,000 - -1,183,000 -1,183,000
Cash paid for operating expense -3,000 -21,000 -21,000 -21,000 -21,000 -21,000 -21,000 -21,000 -21,000
Cash paid for income tax -13,000 -13,000 -13,000 -13,000 -373,480 -18,580 -373,480 -18,580 -19,456 -364,946 -19,456 - 364,946
Other cash expense
Cash out flow from operating -
-13,000 -13,000 -13,000 -16,000 -39,580 -1,577,480 -39,580 -1,223,456 -385,946 -1,223,456 -385,946
activity 1,577,480
Net cash flow from Operating -
9,677 9,677 9,677 6,677 -13,783 -1,551,683 -13,783 705,541 1,701,651 705,541 1,701,651
activity 1,551,683
Cash flow from selling and
administrative activity
Cash outflow
Marketing expense - - - - - - - - -43,920 -47,580 -43,920 -47,580
Administrative expense -10,000 -10,000 -10,000 -10,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000
Cash outflow from S and A
-10,000 -10,000 -10,000 -10,000 -31,000 -31,000 -31,000 -31,000 -74,920 -78,580 -74,920 -78,580
activity
Net cash flow -10,000 -10,000 -10,000 -10,000 -31,000 -31,000 -31,000 -31,000 -74,920 -78,580 -74,920 -78,580
Cash flow from financing activity
cash inflow
Borrowing cash 8,000,000 - - - - - - - - - - -
Other
Cash inflow from financing
8,000,000 - - - - - - - - - - -
activity
cash outflow
Repayment the principle
Interest payment -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333
Cash outflow from financing
-33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333
activity
Net cash flow from investment
8,033,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333
activity
-
Net cash increase or decrease 8,055,688 -10,979 -10,979 -10,979 -52,319 -1,590,219 -52,319 597,288 1,589,738 597,288 1,589,738
1,590,219
Beginning cash - 8,055,688 8,044,708 8,033,729 8,019,750 6,429,531 6,377,212 4,786,993 4,734,673 5,331,961 6,921,699 7,518,987
Ending cash 8,055,688 8,044,708 8,033,729 8,019,750 6,429,531 6,377,212 4,786,993 4,734,673 5,331,961 6,921,699 7,518,987 9,108,724
Statement of cash flow
Year 2 January February March April May June July August September October November December
Cash flow from operating activity
Cash inflow
Cash received on cash sale 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,588,400 1,527,400 1,527,400 1,527,400 1,527,400
Adjust depreciation 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677
Adjust for income tax 458,220 458,220 458,220 458,220 458,220 458,220 458,220 476,520 458,220 458,220 458,220 458,220
Other
Cash inflow from operating
2,008,297 2,008,297 2,008,297 2,008,297 2,008,297 2,008,297 2,008,297 2,087,597 2,008,297 2,008,297 2,008,297 2,008,297
activity
Cash out flow
Purchasing inventory -1,183,000 - -1,183,000 - -1,183,000 - -1,183,000 - -1,183,000 -1,183,000
Cash paid for operating expense - 21,000 - 21,000 - 21,000 - 21,000 - 21,000 - 21,000 - 21,000 - 21,000 - 21,000 - 21,000 - 21,000 - 21,000
Cash paid for income tax -4,705 -350,195 -4,705 -350,195 -4,705 -350,195 -4,705 -364,946 -4,705 -350,195 -4,705 -350,195
Other cash expense
Cash out flow from operating -
-371,195 -1,208,705 -371,195 -1,208,705 -371,195 -1,208,705 -385,946 -1,208,705 -371,195 -1,208,705 -371,195
activity 1,208,705
Net cash flow from Operating
799,592 1,637,102 799,592 1,637,102 799,592 1,637,102 799,592 1,701,651 799,592 1,637,102 799,592 1,637,102
activity
Cash flow from selling and
administrative activity
Cash outflow
Marketing expense -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750
Administrative expense -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000
Cash outflow from S and A
-76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750
activity
Net cash flow -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750
Cash flow from financing activity
cash inflow
Borrowing cash - - - - - - - - - - - -
Other
Cash inflow from financing
- - - - - - - - - - - -
activity
Cash outflow
Repayment the principle
Interest payment -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333
Cash outflow from financing
activity -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333
Net cash flow from investment
activity -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333
Net cash increase or decrease 756,175 1,527,019 689,509 1,527,019 689,509 1,527,019 689,509 1,589,738 689,509 1,527,019 689,509 1,527,019
Beginning cash 9,108,724 9,864,900 11,391,919 12,081,427 13,608,446 14,297,955 15,824,974 16,514,482 18,104,220 18,793,729 20,320,748 21,010,256
Ending cash
9,864,900 11,391,919 12,081,427 13,608,446 14,297,955 15,824,974 16,514,482 18,104,220 18,793,729 20,320,748 21,010,256 22,537,275
Statement of cash flow
Year 3 January February March April May June July August September October November December
Cash flow from operating activity
Cash inflow
Cash received on cash sale 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,588,400 1,527,400 1,527,400 1,527,400 1,527,400
Adjust depreciation 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677
Adjust for income tax 458,220 458,220 458,220 458,220 458,220 458,220 458,220 476,520 458,220 458,220 458,220 458,220
Other
Cash inflow from operating
2,008,297 2,008,297 2,008,297 2,008,297 2,008,297 2,008,297 2,008,297 2,087,597 2,008,297 2,008,297 2,008,297 2,008,297
activity
Cash out flow
Purchasing inventory -1,183,000 - -1,183,000 - -1,183,000 - -1,183,000 - -1,183,000 -1,183,000
Cash paid for operating expense -21,000 -21,000 -21,000 -21,000 -21,000 -21,000 -21,000 -21,000 -21,000 -21,000 -21,000 -21,000
Cash paid for income tax -4,705 -350,195 -4,705 -350,195 -4,705 -350,195 -4,705 -364,946 -4,705 -350,195 -4,705 -350,195
Other cash expense
Cash out flow from operating
-1,208,705 - 371,195 -1,208,705 - 371,195 -1,208,705 - 371,195 -1,208,705 -385,946 -1,208,705 - 371,195 -1,208,705 - 371,195
activity
Net cash flow from Operating
799,592 1,637,102 799,592 1,637,102 799,592 1,637,102 799,592 1,701,651 799,592 1,637,102 799,592 1,637,102
activity
Cash flow from selling and
administrative activity
Cash outflow
Marketing expense -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750
Administrative expense -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000
Cash outflow from S and A
-76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750
activity
Net cash flow -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750
Cash flow from financing activity
cash inflow
Borrowing cash - - - - - - - - - - - -
Other
Cash inflow from financing
- - - - - - - - - - - -
activity
cash outflow
Repayment the principle
Interest payment -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333
Cash outflow from financing
-33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333
activity
Net cash flow from investment
33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333
activity
Net cash increase or decrease 756,175 1,527,019 689,509 1,527,019 689,509 1,527,019 689,509 1,589,738 689,509 1,527,019 689,509 1,527,019
Beginning cash 22,537,275 23,293,451 24,820,469 25,509,978 27,036,997 27,726,506 29,253,524 29,943,033 31,532,771 32,222,280 33,749,298 34,438,807
Ending cash 23,293,451 24,820,469 25,509,978 27,036,997 27,726,506 29,253,524 29,943,033 31,532,771 32,222,280 33,749,298 34,438,807 35,965,826
Statement of cash flow
Year 4 January February March April May June July August September October November December
Cash flow from operating activity
Cash inflow
Cash received on cash sale 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,588,400 1,527,400 1,527,400 1,527,400 1,527,400
Adjust depreciation 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677
Adjust for income tax 458,220 458,220 458,220 458,220 458,220 458,220 458,220 476,520 458,220 458,220 458,220 458,220
Other
Cash inflow from operating
2,008,297 2,008,297 2,008,297 2,008,297 2,008,297 2,008,297 2,008,297 2,087,597 2,008,297 2,008,297 2,008,297 2,008,297
activity
Cash out flow
Purchasing inventory -1,183,000 - -1,183,000 - -1,183,000 - -1,183,000 - -1,183,000 -1,183,000
Cash paid for operating expense -21,000 -21,000 -21,000 -21,000 -21,000 -21,000 -21,000 -21,000 -21,000 -21,000 -21,000 -21,000
Cash paid for income tax -4,705 -350,195 -4,705 -350,195 -4,705 -350,195 -4,705 -364,946 -4,705 -350,195 -4,705 -350,195
Other cash expense
Cash out flow from operating
-1,208,705 -371,195 -1,208,705 -371,195 -1,208,705 -371,195 -1,208,705 -385,946 -1,208,705 -371,195 -1,208,705 -371,195
activity
Net cash flow from Operating
799,592 1,637,102 799,592 1,637,102 799,592 1,637,102 799,592 1,701,651 799,592 1,637,102 799,592 1,637,102
activity
Cash flow from selling and
administrative activity
Cash outflow
Marketing expense -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750
Administrative expense -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000
Cash outflow from S and A
-76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750
activity
Net cash flow -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750
Cash flow from financing activity
cash inflow
Borrowing cash - - - - - - - - - - - -
Other
Cash inflow from financing
- - - - - - - - - - - -
activity
cash outflow
Repayment the principle
Interest payment -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333
Cash outflow from financing
-33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333
activity
Net cash flow from investment
33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333
activity
Net cash increase or decrease 756,175 1,527,019 689,509 1,527,019 689,509 1,527,019 689,509 1,589,738 689,509 1,527,019 689,509 1,527,019
Beginning cash 35,965,826 36,722,001 38,249,020 38,938,529 40,465,548 41,155,056 42,682,075 43,371,584 44,961,322 45,650,830 47,177,849 47,867,358
Ending cash 36,722,001 38,249,020 38,938,529 40,465,548 41,155,056 42,682,075 43,371,584 44,961,322 45,650,830 47,177,849 47,867,358 49,394,377
Statement of cash flow
Year 5 January February March April May June July August September October November December
Cash flow from operating activity
Cash inflow
Cash received on cash sale 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,588,400 1,527,400 1,527,400 1,527,400 1,527,400
Adjust depreciation 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677 22,677
Adjust for income tax 458,220 458,220 458,220 458,220 458,220 458,220 458,220 476,520 458,220 458,220 458,220 458,220
Other
Cash inflow from operating
2,008,297 2,008,297 2,008,297 2,008,297 2,008,297 2,008,297 2,008,297 2,087,597 2,008,297 2,008,297 2,008,297 2,008,297
activity
Cash out flow
Purchasing inventory -1,183,000 - -1,183,000 - -1,183,000 - -1,183,000 - -1,183,000 -1,183,000
Cash paid for operating expense -21,000 -21,000 -21,000 -21,000 -21,000 -2,000 -21,000 -21,000 -21,000 -21,000 -21,000 -21,000
Cash paid for income tax -4,705 -350,195 -4,705 -350,195 -4,705 -350,195 -4,705 -350,195 -4,705 -350,195 -4,705 -350,195
Other cash expense
Cash out flow from operating
-1,208,705 -371,195 -1,208,705 -371,195 -1,208,705 -371,195 -1,208,705 -385,946 -1,208,705 -371,195 -1,208,705 -371,195
activity
Net cash flow from Operating
799,592 1,637,102 799,592 1,637,102 799,592 1,637,102 799,592 1,701,651 799,592 1,637,102 799,592 1,637,102
activity
Cash flow from selling and
administrative activity
Cash outflow
Marketing expense -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750 -45,750
Administrative expense -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000 -31,000
Cash outflow from S and A
-76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750
activity
Net cash flow -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750 -76,750
Cash flow from financing activity
cash inflow
Borrowing cash - - - - - - - - - - - -
Other
Cash inflow from financing
- - - - - - - - - - - -
activity
cash outflow
Repayment the principle
Interest payment -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333
Cash outflow from financing
-33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333
activity
Net cash flow from investment
33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333 -33,333
activity
Net cash increase or decrease 756,175 1,527,019 689,509 1,527,019 689,509 1,527,019 689,509 1,589,738 689,509 1,527,019 689,509 1,527,019
Beginning cash 49,394,377 50,150,552 51,677,571 52,367,080 53,894,098 54,583,607 56,110,626 56,800,135 58,389,872 59,079,381 60,606,400 61,295,909
Ending cash 50,150,552 51,677,571 52,367,080 53,894,098 54,583,607 56,110,626 56,800,135 58,389,872 59,079,381 60,606,400 61,295,909 62,822,927
Balance sheet

Balance sheet 1 January February March April May June July August September October November December
Asset
Current asset
Cash 8,000,000 - - - 2,400 2,400 2,400 2,400 1,466,400 1,588,400 1,466,400 1,588,400
Inventory 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500
Office suppliers 30,000 29,167 28,333 27,500 26,667 25,833 25,000 24,167 23,333 22,500 21,667 20,833
land 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000
Other current asset 2,417,021 2,440,531 2,464,042 2,734,772 2,290,663 2,787,373 2,337,683 544,338 1,252,868 937,725 2,029,780
Total current asset 8,230,000 2,646,188 2,668,864 2,691,542 3,555,339 3,110,396 3,606,273 3,155,750 2,825,571 3,655,268 3,217,292 4,430,513
Fixed Asset
Operating fixed
1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000
asset
( Accumulative
-4,438 -8,875 -13,313 -17,750 -22,188 -26,625 -31,063 -35,500 -39,938 -44,375 -48,813 -53,250
depreciation)
Administrative asset 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500
( Accumulative
-18,240 -36,479 -54,719 -72,958 -91,198 -109,438 -127,677 -145,917 -164,156 -182,396 -200,635 -218,875
depreciation)
Total fixed asset 5,419,823 5,397,146 5,374,469 5,351,792 5,329,115 5,306,437 5,283,760 5,261,083 5,238,406 5,215,729 5,193,052 5,170,375
Total asset 13,649,823 8,043,333 8,043,333 8,043,334 8,884,453 8,416,834 8,890,033 8,416,833 8,063,978 8,870,997 8,410,344 9,600,888
Liability and Equity
Liability
Tax payable 13,000 13,000 13,000 13,000 13,000 373,480 18,580 373,480 18,580 19,456 364,946 19,456
Long term note
8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000
payable
Other 5,606,490 - - - - - - - - - - -
Total liability 13,619,490 8,013,000 8,013,000 8,013,000 8,013,000 8,373,480 8,018,580 8,373,480 8,018,580 8,019,456 8,364,946 8,019,456
Equity
Retain earning 30,333 30,333 30,333 30,333 871,453 43,353 871,453 43,353 45,397 851,541 45,397 1,581,433
Owner equity - - - - - - - - - - - -
Total owner equity 30,333 30,333 30,333 30,333 871,453 43,353 871,453 43,353 45,397 851,541 45,397 1,581,433
Total liability and
13,649,823 8,043,333 8,043,333 8,043,333 8,884,453 8,416,833 8,890,033 8,416,833 8,063,977 8,870,997 8,410,343 9,600,889
Equity
Balance sheet 2 January February March April May June July August September October November December
Asset
Current asset
Cash 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,588,400 1,527,400 1,527,400 1,527,400 1,527,400
Inventory 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500
Office suppliers 20,000 19,167 18,333 17,500 16,667 15,833 15,000 14,167 13,333 12,500 11,667 10,833
land 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000
Other current asset 529,086 1,704,229 576,106 1,751,250 623,127 1,798,271 670,148 1,833,462 717,169 1,892,313 764,190 1,939,333
Total current asset 2,867,986 4,042,296 2,913,339 4,087,650 2,958,694 4,133,004 3,004,048 4,227,529 3,049,402 4,223,713 3,094,757 4,269,066
Fixed Asset
Operating fixed
1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000
asset
( Accumulative
-57,688 -62,125 -66,563 -71,000 -75,438 -79,875 -84,313 -88,750 -93,188 -97,625 -102,063 -106,500
depreciation)
Administrative asset 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500
( Accumulative
-237,115 -255,354 -273,594 -291,833 -310,073 -328,313 -346,552 -364,792 -383,031 -401,271 -419,511 -437,750
depreciation)
Total fixed asset 5,147,698 5,125,021 5,102,344 5,079,667 5,056,989 5,034,312 5,011,635 4,988,958 4,966,281 4,943,604 4,920,927 4,898,250
Total asset 8,015,684 9,167,316 8,015,683 9,167,317 8,015,683 9,167,317 8,015,683 9,216,487 8,015,683 9,167,317 8,015,684 9,167,316
Liability and Equity
Liability
Tax payable 4,705 350,195 4,705 350,195 4,705 350,195 4,705 364,946 4,705 350,195 4,705 350,195
Long term note
8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000
payable
Other
Total liability 8,004,705 8,350,195 8,004,705 8,350,195 8,004,705 8,350,195 8,004,705 8,364,946 8,004,705 8,350,195 8,004,705 8,350,195
Equity
Retain earning 10,978 817,122 10,978 817,122 10,978 817,122 10,978 851,541 10,978 817,122 10,978 817,122
Owner equity - - - - - - - - - - - -
Total owner equity 10,978 817,122 10,978 817,122 10,978 817,122 10,978 851,541 10,978 817,122 10,978 817,122
Total liability and
8,015,683 9,167,317 8,015,683 9,167,317 8,015,683 9,167,317 8,015,683 9,216,487 8,015,683 9,167,317 8,015,683 9,167,317
Equity
Balance sheet 3 January February March April May June July August September October November December
Asset
Current asset
Cash 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,588,400 1,527,400 1,527,400 1,527,400 1,527,400
Inventory 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500
Office suppliers 10,000 9,167 8,333 7,500 6,667 5,833 5,000 4,167 3,333 2,500 1,111 556
land 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000
Other current
809,931 1,986,354 856,951 2,033,375 903,972 2,080,396 950,993 2,115,587 998,014 2,174,438 1,045,590 2,221,736
asset
Total current asset 3,138,831 4,314,421 3,184,184 4,359,775 3,229,539 4,405,129 3,274,893 4,499,654 3,320,247 4,495,838 3,365,601 4,541,192
Fixed Asset
Operating fixed
1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000
asset
( Accumulative
-110,938 -115,375 -119,813 - 124,250 -128,688 -133,125 -137,563 -142,000 -146,438 -150,875 -155,313 -159,750
depreciation)
Administrative
4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500
asset
( Accumulative
-455,990 -474,229 -492,469 -510,709 -528,948 -547,188 -565,427 -583,667 -601,906 -620,146 -638,386 -656,625
depreciation)
Total fixed asset 4,875,573 4,852,896 4,830,219 4,807,541 4,784,864 4,762,187 4,739,510 4,716,833 4,694,156 4,671,479 4,648,802 4,626,125
Total asset 8,014,404 9,167,316 8,014,403 9,167,316 8,014,403 9,167,317 8,014,403 9,216,487 8,014,403 9,167,317 8,014,403 9,167,316
Liability and Equity
Liability
Tax payable 3,425 350,195 3,425 350,195 3,425 350,195 3,425 364,946 3,425 350,195 3,425 350,195
Long term note
8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000
payable
Other
Total liability 8,003,425 8,350,195 8,003,425 8,350,195 8,003,425 8,350,195 8,003,425 8,364,946 8,003,425 8,350,195 8,003,425 8,350,195
Equity
Retain earning 10,978 817,122 10,978 817,122 10,978 817,122 10,978 851,541 10,978 817,122 10,978 817,122
Owner equity - - - - - - - - - - - -
Total owner equity 10,978 817,122 10,978 817,122 10,978 817,122 10,978 851,541 10,978 817,122 10,978 817,122
Total liability and
8,014,403 9,167,317 8,014,403 9,167,317 8,014,403 9,167,317 8,014,403 9,216,487 8,014,403 9,167,317 8,014,403 9,167,317
Equity
Balance sheet 4 January February March April May June July August September October November December
Asset
Current asset
Cash 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,588,400 1,527,400 1,527,400 1,527,400 1,527,400
Inventory 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500
Office suppliers 6,667 6,111 5,556 5,000 4,444 3,889 3,333 2,778 2,222 1,667 556 278
land 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000
Other current asset 814,544 1,989,410 842,770 2,035,875 907,474 2,082,340 953,940 2,116,976 1,000,405 2,175,271 1,047,426 2,222,014
Total current asset 3,140,111 4,314,421 3,167,226 4,359,775 3,230,818 4,405,129 3,276,173 4,499,654 3,321,527 4,495,838 3,366,882 4,541,192
Fixed Asset
Operating fixed
1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000
asset
( Accumulative
-110,938 -115,375 -119,813 -124,250 -128,688 -133,125 -137,563 -142,000 -146,438 -150,875 -155,313 -159,750
depreciation)
Administrative asset 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500
( Accumulative
-455,990 -474,229 -474,229 -510,709 -528,948 -547,188 -565,427 -583,667 -601,906 -620,146 -638,386 -656,625
depreciation)
Total fixed asset 4,875,573 4,852,896 4,848,458 4,807,541 4,784,864 4,762,187 4,739,510 4,716,833 4,694,156 4,671,479 4,648,802 4,626,125
Total asset 8,015,683 9,167,317 8,015,684 9,167,316 8,015,683 9,167,316 8,015,684 9,216,487 8,015,683 9,167,317 8,015,683 9,167,317
Liability and Equity
Liability
Tax payable 4,705 350,195 4,705 350,195 4,705 350,195 4,705 364,946 4,705 350,195 4,705 350,195
Long term note
8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000
payable
Other
Total liability 8,004,705 8,350,195 8,004,705 8,350,195 8,004,705 8,350,195 8,004,705 8,364,946 8,004,705 8,350,195 8,004,705 8,350,195
Equity
Retain earning 10,978 817,122 10,978 817,122 10,978 817,122 10,978 851,541 10,978 817,122 10,978 817,122
Owner equity - - - - - - - - - - - -
Total owner equity 10,978 817,122 10,978 817,122 10,978 817,122 10,978 851,541 10,978 817,122 10,978 817,122
Total liability and
8,015,683 9,167,317 8,015,683 9,167,317 8,015,683 9,167,317 8,015,683 9,216,487 8,015,683 9,167,317 8,015,683 9,167,317
Equity
Balance sheet 5 January February March April May June July August September October November December
Asset
Current asset
Cash 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,527,400 1,588,400 1,527,400 1,527,400 1,527,400 1,527,400
Inventory 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500 591,500
Office suppliers 30,000 29,167 28,333 27,500 26,667 25,833 25,000 24,167 23,333 22,500 21,667 20,833
land 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000
Other current asset 791,211 1,966,354 838,231 2,013,375 885,252 2,060,396 932,273 2,095,587 979,294 2,154,438 1,026,315 2,201,459
Total current asset 3,140,111 4,314,421 3,185,464 4,359,775 3,230,819 4,405,129 3,276,173 4,499,654 3,321,527 4,495,838 3,366,882 4,541,192
Fixed Asset
Operating fixed
1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000 1,065,000
asset
( Accumulative
-110,938 -115,375 -119,813 -124,250 -128,688 -133,125 -137,563 -142,000 -146,438 -150,875 -155,313 -159,750
depreciation)
Administrative asset 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500 4,377,500
( Accumulative
-455,990 -474,229 -492,469 -510,709 -528,948 -547,188 -565,427 -583,667 -601,906 -620,146 -638,386 -656,625
depreciation)
Total fixed asset 4,875,573 4,852,896 4,830,219 4,807,541 4,784,864 4,762,187 4,739,510 4,716,833 4,694,156 4,671,479 4,648,802 4,626,125
Total asset 8,015,684 9,167,316 8,015,683 9,167,316 8,015,683 9,167,317 8,015,683 9,216,487 8,015,683 9,167,317 8,015,684 9,167,317
Liability and Equity
Liability
Tax payable 4,705 350,195 4,705 350,195 4,705 350,195 4,705 364,946 4,705 350,195 4,705 350,195
Long term note
8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000 8,000,000
payable
Other
Total liability 8,004,705 8,350,195 8,004,705 8,350,195 8,004,705 8,350,195 8,004,705 8,364,946 8,004,705 8,350,195 8,004,705 8,350,195
Equity
Retain earning 10,978 817,122 10,978 817,122 10,978 817,122 10,978 851,541 10,978 817,122 10,978 817,122
Owner equity - - - - - - - - - - - -
Total owner equity 10,978 817,122 10,978 817,122 10,978 817,122 10,978 851,541 10,978 817,122 10,978 817,122
Total liability and
8,015,683 9,167,317 8,015,683 9,167,317 8,015,683 9,167,317 8,015,683 9,216,487 8,015,683 9,167,317 8,015,683 9,167,317
Equity


  
  (Fixed Loan Structure Settings)

Loan Amount 8,000,000 Baht


Interest Rate per year 5% per month

)*+,-.#$/*%0 (Installment) ,-67,8$


+1 23
.#$/*%01$,45 .#$/*%0,-6 %+,-.#$/*%0 (Principal)
8,000,000
1 1 33,333 - 33,333 8,000,000
2 1 33,333 - 33,333 8,000,000
3 1 33,333 - 33,333 8,000,000
4 1 33,333 - 33,333 8,000,000
5 1 33,333 - 33,333 8,000,000
6 1 33,333 - 33,333 8,000,000
7 1 33,333 - 33,333 8,000,000
8 1 33,333 - 33,333 8,000,000
9 1 33,333 - 33,333 8,000,000
10 1 33,333 - 33,333 8,000,000
11 1 33,333 - 33,333 8,000,000
12 1 33,333 - 33,333 8,000,000
13 2 33,333 - 33,333 8,000,000
14 2 33,333 - 33,333 8,000,000
15 2 33,333 - 33,333 8,000,000
16 2 33,333 - 33,333 8,000,000
17 2 33,333 - 33,333 8,000,000
18 2 33,333 - 33,333 8,000,000
19 2 33,333 - 33,333 8,000,000
20 2 33,333 - 33,333 8,000,000
21 2 33,333 - 33,333 8,000,000
22 2 33,333 - 33,333 8,000,000
23 2 33,333 - 33,333 8,000,000
24 2 33,333 - 33,333 8,000,000
25 3 33,333 - 33,333 8,000,000
26 3 33,333 - 33,333 8,000,000
27 3 33,333 - 33,333 8,000,000
28 3 33,333 - 33,333 8,000,000
29 3 33,333 - 33,333 8,000,000
30 3 33,333 - 33,333 8,000,000
31 3 33,333 - 33,333 8,000,000
32 3 33,333 - 33,333 8,000,000
33 3 33,333 - 33,333 8,000,000
34 3 33,333 - 33,333 8,000,000
35 3 33,333 - 33,333 8,000,000
36 3 33,333 - 33,333 8,000,000
37 4 33,333 - 33,333 8,000,000
38 4 33,333 - 33,333 8,000,000
39 4 33,333 - 33,333 8,000,000
40 4 33,333 - 33,333 8,000,000
41 4 33,333 - 33,333 8,000,000
42 4 33,333 - 33,333 8,000,000
43 4 33,333 - 33,333 8,000,000
44 4 33,333 - 33,333 8,000,000
45 4 33,333 - 33,333 8,000,000
46 4 33,333 - 33,333 8,000,000
47 4 33,333 - 33,333 8,000,000
48 4 33,333 - 33,333 8,000,000
49 5 33,333 - 33,333 8,000,000
50 5 33,333 - 33,333 8,000,000
51 5 33,333 - 33,333 8,000,000
52 5 33,333 - 33,333 8,000,000
53 5 33,333 - 33,333 8,000,000
54 5 33,333 - 33,333 8,000,000
55 5 33,333 - 33,333 8,000,000
56 5 33,333 - 33,333 8,000,000
57 5 33,333 - 33,333 8,000,000
58 5 33,333 - 33,333 8,000,000
59 5 33,333 - 33,333 8,000,000
60 5 33,333 - 33,333 8,000,000
61 6 33,333 - 33,333 8,000,000
62 6 33,333 - 33,333 8,000,000
63 6 33,333 - 33,333 8,000,000
64 6 33,333 - 33,333 8,000,000
65 6 33,333 - 33,333 8,000,000
66 6 33,333 - 33,333 8,000,000
67 6 33,333 - 33,333 8,000,000
68 6 33,333 - 33,333 8,000,000
69 6 33,333 - 33,333 8,000,000
70 6 33,333 - 33,333 8,000,000
71 6 33,333 - 33,333 8,000,000
72 6 33,333 - 33,333 8,000,000
73 7 33,333 - 33,333 8,000,000
74 7 33,333 - 33,333 8,000,000
75 7 33,333 - 33,333 8,000,000
76 7 33,333 - 33,333 8,000,000
77 7 33,333 - 33,333 8,000,000
78 7 33,333 - 33,333 8,000,000
79 7 33,333 - 33,333 8,000,000
80 7 33,333 - 33,333 8,000,000
81 7 33,333 - 33,333 8,000,000
82 7 33,333 - 33,333 8,000,000
83 7 33,333 - 33,333 8,000,000
84 7 33,333 - 33,333 8,000,000
85 7 33,333 - 33,333 8,000,000
86 8 33,333 - 33,333 8,000,000
87 8 33,333 - 33,333 8,000,000
88 8 33,333 - 33,333 8,000,000
89 8 33,333 - 33,333 8,000,000
90 8 33,333 - 33,333 8,000,000
91 8 33,333 - 33,333 8,000,000
92 8 33,333 - 33,333 8,000,000
93 8 33,333 - 33,333 8,000,000
94 8 33,333 - 33,333 8,000,000
95 8 33,333 - 33,333 8,000,000
96 8 33,333 8,000,000 8,033,333 8,000,000
Total 3,199,968 8,000,000 11,199,968
Chapter 6: Risk management

External forces

- Economic condition

The trend towards the rising price of swine in 2008


In 2008, the number of swine which Thailand could produce was 14.062 million
swine. It shows that the amount of swine production was slow down from 2007. However, a
growing trend towards the price for swine increased continually during 2007 midyear due to
many factors.
1. A downward trend of the amount of swine raisers
Swine raisers faced with a fall in profits during 2007 midyear because of a decline in
swine production and an increase in production cost. According to price increases of swine,
swine raisers had to reduce swine production or go out of business. The high price of oil and
the high cost of food raw material for swine were the cause which affected price increases of
swine. It made swine raisers lose money rather than gaining profit for nearly 4 months. They
must sell at only 100 baht per 3 kilograms of pork while the human consumption was
decreasing. Therefore, the amount of finishing swine which was sold to the market
decreased.
2. The epidemic condition
Porcine Epidemic Diarrhea (PED) spread in piglets during November 2007 to
February 2008. PED caused damage to them which reduced the number of piglets in markets.
Therefore, the forecast of the amount of swine was not sufficient for the market demand
during 2008 midyear. In addition, the high cost of food raw materials for swine caused the
low immunity in swine because swine raisers cannot seek food raw materials which had high
quality. Some swine farm did not have vaccine for swine. Therefore, all swine farms in the
country got high risk of Foot and mouth rot disease within 2008.
3. An upward trend of the export of swine and its product
It was not only the demand of domestic consumers, but there were also the needs of
neighboring countries, especially China. The China government faced with the Porcine
Reproductive and Respiratory Syndrome (PRRS) problem and they had changed a policy
from domesticating swine for households into commerce. Therefore, the amounts of swine
decreased and were not enough for consumer within the country. These were the cause why
they needed to import swine from Thailand. In addition, Japan was another country that
believed in the quality and standard of processed pork in Thailand, so it expanded the swine
export from Thailand.
4. A growing tend of the feed price
Raw materials for the animal feed rose up continuously as a result of the rise of the
crude oil price. It made the production cost increase because the cost of animal feed had the
proportion approximately 70 percent of cost of swine production. The important factor which
made the raw material price to produce animal feed higher is competition for taking raw
materials to produce ethanol in the world market. Therefore, raw materials which were used
for the animal feed production were not enough and also influenced to the feed.

Year 2008

2008 Average Highest Lowest Average Cost


The price of piglets,
1,400 1,800 1,000 1,300
16 kilograms
The price of
53 59 42 53
finishing swine

The price of pork 115 130 100 -

In 2008, the average swine price was 53 baht / kilogram. However, the cost of swine
production was very high because of an increase in the price of food raw materials and rising
in death rate of swine.

Forecast for 2009

2009 Average Highest Lowest Average Cost


The price of piglets,
1,400 1,700 1,100 1,200
16 kilograms
The price of
54 58 46 51
finishing swine

The price of pork 115 125 100 -


There are many external factors which affects to the price of swine. The main factor
is the rising crude oil prices which impacts on the rise in food raw materials for swine. All
swine farms in Thailand normally cannot avoid facing the variable swine price. Therefore,
risk acceptance is the best way that Pig Kingdom Farm selects to manage the risk because we
do not have the power to control the swine price. However, we try to reduce the cost of our
farm whether the price of swine fluctuates or not. There are several ways that can help our
farm save costs. For example, dried pig excrements that are fermented inside a biogas pond
are changed to an electric current to use within households. Dried pig excrements can also be
processed to organic fertilizer which can be sold to farmers or agriculturalists and can be
used to enrich plants which are taken to be a food for swine. Thus, this is the way that can
reduce costs for a pig feed when the price of food raw materials increases.

Low swine prices


Low and expensive swine prices are the issues which have happened a long time ago
in Thailand. The fluctuations in swine prices are called “the cycle of swine” or “the cycle of
swine prices”. The major cause of the cycle of swine results from the biological
characteristics of swine. The winter is the best period of swine growth and the summer is the
slow period of swine growth because they eat less food. The most of swine raisers in
Thailand also plan to breed and produce swine depending on current prices of swine. It is the
determination of breeding the next lots of swine which should be increased or decreased.
Furthermore, the very good swine prices which increase in swine production are the main
motivation for new agriculturalists to do swine farm business. Therefore, the end result of
these situations is a flood of swine in a market which are the main cause of problem of low
swine prices. Pig Kingdom Farm uses the risk acceptance to manage the risk by reducing
swine prices for a sale. In addition, we must deliver swine to our customers for free in order
to release swine from our farm in a difficult situation.

Source:
http://www.thaivetcentral.com/veterinarywithanimals/economicaniml/72-pig-2551.html
http://www.cpffeed.com/%E0%B8%82%E0%B8%B2%E0%B8%A7%E0%B8%AA%E0%B
8%B2%E0%B8%A3/%E0%B8%82%E0%B8%B2%E0%B8%A7%E0%B8%AA%E0%B8
%B2%E0%B8%A3/tabid/64/articleType/ArticleView/articleId/285/--.aspx
http://www.nidambe11.net/ekonomiz/2007q2/2007may18p6.htm
http://www.scb.co.th/LIB/th/article/mong/2550/m1954.html
Government stability
Ministry of Commerce Thailand sets the standard in solving the problem of price rise
for swine.
- Marketing and the price of swine
- Track and check the retail price of swine very closely.
- Meet institute involved with swine such as Department of Livestock, Office
of Agricultural Economics, Swine Thailand, Swine raisers. They have to consider the
price of living swine and the wholesale and retail price of pork which suit the cost of
production in each a production period. Moreover, the consideration of the price
issues should provide benefits to a person who involve with swine such as swine
raisers, entrepreneurs, and consumers.
- Marketing management by direct contact between swine raisers and pork
sellers in order to sell the special price for consumers

- Build the confidence of people or consumers in the cases of swine influenza.


Although government tries to solve the problem of price rise for swine, there are
many people still get a lot of impacts in the difficult situations, especially minor swine raisers
and minor swine sellers. Pig Kingdom is one of the minor swine raisers which receive the
adverse effect of price rise for swine; therefore, we decides to accept the risk because we
have less power to negotiate with government while major swine raisers have more power to
bargain. They can adjust themselves to the bad situation better than minor swine raisers.
Moreover, they can manage the effective operation, especially sanitary control standard for
production system which can help to reduce the cause of pig disease epidemic.

Source: http://www.ryt9.com/s/cabt/564023

A decrease in the number of customer needs


There are many factors which maybe reduce the customer needs in Chiang Saen
district. The main factors which we see are the rise of swine price as a result of the rise of
crude oil price. The disease epidemic condition of swine, especially swine influenza is
another problem which makes consumers loses confidence in pork consumption. Hence, risk
reduction is the way that Pig Kingdom Farm selects to manage the risk. Firstly, pig
excrements are useful for our farm. It can be helped to save costs within the farm and it also
is the supporting product of our farm. Secondly, we reduce the swine production in the
condition of customer need decrease. Lastly, if we are in a difficult situation, we have to sell
swine in large amount with the cheap price in order to release swine from our farm.

Swine disease
The disease is one factor of external force that has more effect to swine farm business
because if the swine get virus disease and bacteria, it can make swine get sick and then it will
be the negative impact for our business. There are two mains of disease that can damage the
swine farm.
- Swine influenza
Swine influenza is breathing system communicable disease and infect between swine,
it is occurring from Virus A and there are many type of virus H1N1 H1N2 and H3N2 (it can
infect from swine to people). Normally it will contract in swine; however it can be direct
contract to people which the swine get pathogen (virus) from environment and the group that
high opportunity to get risk to be infect with this virus is swine raisers, swine provider,
swine merchant and consumer that consume half-cooked of food. This reason can be most
important problem that effect to Pig Kingdom swine farm but if swine raisers attend about
breeding, cleanliness of swine’s house, feed of swine and health of swine, it will be safety
and reprieved from Swine influenza.
- Porcine Reproductive and Respiratory Syndrome (PRRS)
It is serious epidemic of swine that damage to economic because it will happen all
swine of age and spread out rapidly so swine raiser have to find the way to protect this
disease such as checking the cleanliness of swine’s house, pig’s excrement and urinate.
Although this disease don’t have vaccine but we can decrease the risk that emphasize for
control the factor cause of PRRS such as concern about sterilize before come into swine’s
house area. For the protection, we have to manage in the right way there are cleaning swine’s
house everyday, limited the number of swine in each of sty and vaccinate protect disease
follow vaccine program.
Diseases problem can make Pig Kingdom Farm get negative impact including direct
impact and indirect impact. Direct impact is a decreasing in the number of customer or sale
decrease, when the news of Swine influenza spread widely in society many people do not
consume pork because they concern about their safety so swine seller have to decrease order
to buy swine from swine farm. Indirect impact is unceasingly from direct impact, if customer
do not to buy pork; swine seller decrease the number to buy swine and then will remain many
swine in swine farm so this situation influence to the price of swine decrease. All of the
reason Pig kingdom Farm choose risk reduction for maintain and prevent these problem that
can occur in every time so Pig Kingdom Farm have to pay more attend about feeding
hygienic practice including with cleaning of swine, swine’s house, sty and environment. If
Pig Kingdom Farm perform like this, it will safety and keep our high quality of swine as
well.

Competitors
The number of the middle size of swine farm in the area of Chiang Saen district, is
still less. The quality control of the swine farm is not good enough. The management within
the organization includes the human resource and the financial management is not accurate.
In addition, the ability to solve the problems in the farm is still not correct. The errors that
occur will consequently change the faults to the way of learning and developing new skills
which can be applied to use positively. Another thing that the errors will help is increasing of
the competition among the entrepreneurs. However, there is one more reason that helps in
decreasing of the risk condition for the business is the entrepreneurs and customers know
more about the root of the problems and they can solve it accurately. In other words, the
entrepreneurs and the customers are able to buy the product they choose, so we can forecast
that the owner of the swine farm in Chiang Sean will be increased in amount.
Due to the facts of the customer numbers increasing continuously and the people
moved to live in Chiang Saen for more job opportunity, the topic of doing this business in the
Chiang Saen area attracts the investors. More people included the farmer of the neighbor
districts, such as the farm from the San That village; want to invest the swine farm business
in this particular district. It is good because there will always be the movement and
developing of the business. All will be result as the decreasing of pig price but increasing in
the market share.
The risk condition that occurs is the way to the standard and the quality control of our
swine farm. Learning and observing the strategies of the competitor to adapt and develop
our strategies will be the good idea. Moreover, being friendly and having the nice
relationship with the customers and the suppliers will help in the way to run the business
because the customers, the suppliers, and our company can be the supporter for each other.
Legal and regulatory risk
We have to practice following the law and regulation of Animal Husbandry
Department. The swine farm should concern about the regulation strictly. If farm does not
practice following the regulation, it will get risk to go out of business because this business
can create many problems to environment, communities, sellers and consumers
For the swine farm establishment, there are many things which we have to practice
following the regulation of Animal Husbandry Department such as register for the swine
farm establishment, the swine farm management, and swine health management.

- Register for the swine farm establishment


Every entrepreneur of swine farm must request for register and then send the aim and
the involved evidence such as, facility layout, certificate and license of veterinarian to
Animal Husbandry Department in that area.
There are many benefits for register for the swine farm establishment; for example,
the swine farm can sell swine to slaughterhouse and Animal Husbandry Department will
send veterinarian to local farm and give vaccine which is suitable for the quantity of swine in
the farm.

- Managing in Swine farm


We can divide in to 3 parts; there are management of swine house, human resources,
and swine feeding.
Management of swine house
Swine house and food container for swine have to clean and dry all the time.
We can use sterile liquid medicine suitably according to the control of Animal
Husbandry Department. Moreover, we have to check and repair the swine house in
order to provide safety for swine and workers.

Management of HR
Swine farm does not need to use more human resource, but we need enough
labor for the quantity of swine. We separate the duty and responsibility of each
person clearly and every worker should receive health check program every year.
Veterinarian who control and take care of swine health must have the license for
healing animal disease and the permission from Animal Husbandry Department to
work in swine farm.
Management of swine feeding
We have to concern about the quality. If we want to buy feed for swine, we
should buy from a seller who has the permission. However, if we want to mix feed
for swine by ourselves, we have to make sure that the feed have the high quality and
nutrient following legislation of quality control of animal fee. Furthermore, the site
for storing the feed should clean and dry and free from bugs.

- Management of swine health


This is the important things for every swine farm because if swine is healthy, it means
that our farm pay more attention to swine. The swine will have the standard of weight, so we
can sell them to customer and make them satisfy in our product. We must control the system
for disease prevention, including the sterilize system before entering to the swine house, the
system for damaging bacteria and controlling the disease, the system for protecting the swine
infection.

- Managing of environment
This part is important for swine farm because this is critical problem that can provide
the negative impact on environment and other sectors who involve with swine farm. Thus,
we must have the treatment system for garbage, pig excrement, swine carcass, and
wastewater. We also have to control the treatment system in order to prevent impact on t
communities and environment.
- Garbage: cleaning and eliminating the garbage at sanitation district.
- Pig excrement: transforming the pig excrement transform to organic
fertilizer which can reduce the noxious odor.
- Swine carcass: managing the swine carcass in the right hygienic conditions.
- Wastewater: having the appropriate and standard wastewater system.

- Rules and other legal regulations


1. The animal medical control regulation (ISO 7001-1997)
2. The act of legislation concerns the animal’s remedies control 1962
3. The act of legislation concerns the animal feed quality 1982
4. The standard and quality of the swine farm’s waste water
5. The standard and quality of the swine farm’s using water
From the rule and regulation of the swine establishment, Pig Kingdom Farm
selects risk control to be the way for solving the problem and practicing strictly in our
farm. In addition, we have to pay attention about the new rule that Animal Husbandry
Department may launch to practice in the farm. If we do not follow the rule and
regulation, we will get the risk and we may get out of business.

Source:
http://natres.psu.ac.th/department/animalscience/515-
408/word_files/standard%20of%20farm.htm
http://www.dld.go.th/certify/certify/page/knowledge/data/7001-2540.doc
http://www.kodmhai.com/m4/m4-2/H2/m13-22.html
http://www.acfs.go.th/km/act_food_animal_quality_2525.php
http://www.pcd.go.th/Info_serv/reg_std_water04.html

Internal forces

- Operational risk

Communities
Swine farm always creates more pollution which consists of odor, sound, pig
excrement as well as wastewater. These pollution can affect to communities located
surrounding Pig Kingdom Farm. Local people may stage a protest against our swine farm
and they may petition the government to close the farm.
Pig Kingdom Farm selects risk reduction to reduce and protect the swine farm from
problems which disturb local communities. The first problem is odor from swine which we
use microbe chemical such as Effective Microorganisms (E.M.) to strew in the area of swine
house, pig excrements, wastewater pond as well as around the swine farm. The second
problem is wastewater within the swine farm which we try to prevent and eliminate the
problem by using the effective wastewater pond. It consists of fermenting pond, dregs thick
liquid pond, and the area for dried pig excrement which reduce the effect on communities.
The last problem is the sound from the swine farm. However, we can reduce this problem
because our swine farm is located far from communities more than 2 kilometers. It can help
to reduce the problem which impacts on local communities. It can help to reduce the problem
which impacts on local communities. In addition, Pig kingdom farm always check and
control our farm system quality in every two week to control the quality and problem and it
can reduce problem which affects communities. Pig Kingdom farm will be the sponsor in
many activities of communities around the farm such as in festival event, sport event, or
many important events. This way can increase the interaction and good relationship with
community and it can reduce the petition problem about the smell, sound and wastewater to
government.

The risk of technology used in the farm


We should regularly check all the equipments in the farm in order to protect the risk
which can occur within the farm, environment, and communities. The users need to carefully
learn how use and control machine and equipment.

Exhaust Fan
The good ventilation is the system which creates air flow performance. The air
transfers a balance between inside and outside. There are 2 systems of ventilation; natural
ventilation and fan ventilation.
The ventilation fan or exhaust fan is popular to use in 2 sizes which are 36 inches and
48 inches. The 36 inches of fan has the absorption performance about 181 – 255 cubic meters
per minute and the 48 inches of fan has higher absorption performance about 538 – 623 cubic
meters per minute. When the fan is set up, we have to consider the air flow in the farm and
where is appropriate place to set up the fan and bring the air to inside.

The way to clean and protect the exhaust fan


1. Prepare the old newspaper for lay all the fan materials, to protect the items from
sewage.
2. Remove the cover by roll Clockwise and remove the blade, it is better to wear the
grooves to protect your hands.
3. Remove the outside cover until sees the screw that sticks with the base of fan by
using screwdriver.
4. Remove the fan base out of the outside cover.
5. Clean the blade by using water and dishwashing liquid or detergent but should not
use with strong thing to rub because it will create the mark.
How to control of the exhaust fan
We always clean the blade and grating. The fan should be set in the appropriate speed
because it will help to absorb the air in the farm and save the cost of electricity. We should
set up the exhaust fan in the appropriate size for the good healthy swine. A worker can
reduce the cost of electricity by regularly checking the equipments and repairing as soon as
possible if it is ruined because it can take the risk in the swine farm.

Source:

http://store.tkc.go.th/multimedia/webmaster/New%20TKC/Evap/chicken_feed_closed_system

.html
http://www.panasonic.co.th/web/pid/2652

http://www.patana-chai.com/index.php?option=com_content&view=article&id=6&Itemid=12

Cooling pad
The cooling pad is made from paper or synthetic fabrics that have the ability to
absorption. It links a waterspout into the cooling pad in front of the exhaust fan when the fan
works by absorbing the heating water inside the farm to the outside. The gravitation of fan
will absorb the air flow from the opposite side through the wet cooling pad and make the air
flow to inside the farm become cool.
The way to clean the cooling pad has 2 ways to do as following;
1. Use the water spraying to clean the dust.
2. Let the cooling pad dry and use the soft brush clean the outside of the pad
to clear the dust, and then open the water to clean the dirt again.

Source:
http://www.u-saveplus.com/faq.htm
http://evaporative-hybridcool.blogspot.com/
Dynamo
Dynamo is the important one of the farm system because the dynamo generate
electricity machine to use in the farm.
The way to control dynamo is one thing that we should consider by checking from
1. Lamp and Control Panel equipments.
2. The protecting joints equipment.
3. The ground connection and the system of line correct or not.
4. Fuel, lubricant, and cooling water.
5. Air filter, belts, and resin pad.
6. The barrier of ventilation air system.
7. Battery and charger that need to be cleaned every 6 months.
Dynamo is very important to the swine farm and is the source of energy all the
whole farm, so we should take care regularly every 6 month.

Source:
http://www.u-saveplus.com/faq.htm
http://evaporative-hybridcool.blogspot.com/
Investment cost and income of Pig Kingdom farm

Year 1
Investment cost is in the first fourth month that we have establish the Pig kingdom
farm therefore for the firth fourth month we do not have income to the farm.

Month Number List Income Expense Total

1 1 Land 500,000

Others 20,000

Total -520,000

2 2 Swine house 800,000

1 Storage where house 100,000

1 Office 250,000

1 worker housing 100,000

others 20,000

Total -1,270,000

3 4 Fermentation gas wells 250,000

2 Wastewater treatment pond 250,000

8 Ventilators 9,200

4 cooling pad 4,800

4 dynamo 100,000

50 Water tank, Food tray 67,200

water and electricity system 50,000

Others

Total -731,200

4 2 Dried swine excrement panel 20,000

1 computer 25,000
Telephone
1 3,000

1 Pick-Up car 650,000

2 Labor cost 3,000

Administration cost 20,000

others 20,000
Total -738,000

5 1 Truck 385,000

12 Piglet iron restraint 30,000

500 Piglet #1 500,000

5 Labor cost for move swine 2,500

swine food 1,183,000

2 labor cost 21,000

administration cost 20,000

others 20,000

Total -1,740,500

6 5 Labor cost for transport 2,500

Labor cost 21,000

Administration cost 20,000

Others 20,000

Total -63,500

7 500 Piglet #2 500,000

Piglet food 1,183,000

labor cost 21,000

Administration cost 20,000

others 20,000

Total -1,244,000

8 labor cost 21,000

Administration cost 20,000

Others 20,000

Total -61,000

9 240 Sell swine #1 1,464,000

Sell swine excrement 2,400

500 Piglet #3 500,000

Piglet food 1,183,000

5 Labor cost of transport 2,500

labor cost 21,000

Administration cost 10,000


Others 10,000

Total -260,100

10 260 Sell swine #1 1,586,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,547,400

11 260 Sell swine #2 1,586,000

Sell swine excrement 2,400

500 Piglet #4 500,000

Piglet food 1,183,000

5 Labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000
-
Total 138,100

12 240 Sell swine#2 1,464,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,425,400
-
Total of years 1 3,793,600

From the table have show the investment and income of Pig kingdom in year 1.After
we have calculate the different of income and cost of investment is 3,792,600 baht that we
lost in the first year of Pig kingdom farm.
Year 2

In years 2 the farm has own regular customer therefore the sale quit stable and the
farm has buy their own swine breeder that can help to decrease the cost of piglet.

Month Number List Income Expense Total

13 250 Sell swine#3 1,525,000

Sell swine excrement 2,400

500 Piglet #5 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

14 250 Sell swine#3 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration 10,000

Others 10,000

Total 1,486,400

15 250 Sell swine #4 1,525,000

Sell swine excrement 2,400

500 Piglet #6 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000
- 199100
Total

16 250 Sell swine #4 1,525,000


Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

17 250 Sell swine #5 1,525,000

Sell swine excrement 2,400

500 Piglet #7 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

18 250 Sell swine #5 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

19 250 Sell swine #6 1,525,000

Sell swine excrement 2,400

500 Piglet #8 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

20 250 Sell swine #6 1,525,000


Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

21 250 Sell swine #7 1,525,000

Sell swine excrement 2,400

500 Piglet #9 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

22 250 Sell swine#7 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

23 250 Sell swine #8 1,525,000

Sell swine excrement 2,400

500 Piglet #10 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

24 250 Sell swine #8 1,525,000

Sell swine excrement 2,400


2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

total of years 2 7,723,800


-
cost from years 1 3,793,600

Total profit of operation in 2 years 3,930,200

The sum of profit in year 2 is 7,723,800 baht and the average profit in years 2 is
643,650 baht moreover that show the farm can get every cost that has investment back and
get pro fit 3,930200 baht from the operation in 2 years.
Year 3

In years 3 after the farm have their own regular customer; the sale will be stable .And
after operating in 2 years past the cost in every lot of swine quit stable there for the profit of
every lot quit stable.

Month Number List Income Expense Total

25 250 Sell swine #9 1,525,000

Sell swine excrement 2,400

500 Piglet #11 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

26 250 Sell swine #9 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

27 250 Sell swine #10 1,525,000

Sell swine excrement 2,400

500 Piglet #12 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

28 250 Sell swine #10 1,525,000


Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

29 250 Sell swine#11 1,525,000

Sell swine excrement 2,400

500 Piglet #13 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

30 250 Sell swine #11 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

31 250 Sell swine #12 1,525,000

Sell swine excrement 2,400

500 Piglet #14 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

32 250 Sell swine #12 1,525,000


Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

33 250 Sell swine #13 1,525,000

Sell swine excrement 2,400

500 Piglet #15 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

34 250 Sell swine #13 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

35 250 Sell swine #14 1,525,000

Sell swine excrement 2,400

500 Piglet #16 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

36 250 Sell swine #14 1,525,000

Sell swine excrement


2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

Total pro fit of years 3 7,723,800

Profit from 2 Years Before 3,930,200

Profit of operation in 3 Years 11,654,000

The total profit in years 3 is 7,723,800 baht, and the average profit per month in years
3 is 643,650 baht per month. The total profit for operating in 3 years is 11,654000 baht.
Year 4

In Years 4 the income and cost will stable therefore the profit of years 4 is stable.

Month Number List Income Expense Total

37 250 Sell swine #15 1,525,000

Sell swine excrement 2,400

500 Piglet #17 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

38 250 Sell swine #15 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

39 250 Sell swine #16 1,525,000

Sell swine excrement 2,400

500 Piglet #18 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

40 250 Sell swine #16 1,525,000

Sell swine excrement 2,400


2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

41 250 Sell swine #17 1,525,000

Sell swine excrement 2,400

500 Piglet #19 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

42 250 Sell swine#17 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

43 250 Sell swine #18 1,525,000

Sell swine excrement 2,400

500 Piglet #20 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

44 250 Sell swine#18 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000


Administration cost 10,000

Others 10,000

Total 1,486,400

45 250 Sell swine #19 1,525,000

Sell swine excrement 2,400

500 Piglet #21 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

46 250 Sell swine #19 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

47 250 Sell swine #20 1,525,000

Sell swine excrement 2,400

500 Piglet #22 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

48 250 Sell swine #20 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000


Other 10,000

Total 1,486,400

Total pro fit of years 4 7,723,800

Profit from 3 Years Before 11,654,000

Profit of operation in 4 Years 19,377,800

The profit of firth years of year 4 is 7,723,800 baht and the average profit per month
is 643,650 baht and the total profit for operation in 4 years is 19,377,800 baht.
Years 5

In Years 5 the income and cost will stable therefore the profit of years 5 is stable.

Month Number List Income Expense Total

49 250 Sell swine #21 1,525,000

Sell swine excrement 2,400

500 Piglet #23 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

50 250 Sell swine #21 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

51 250 Sell swine #22 1,525,000

Sell swine excrement 2,400

500 Piglet #24 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

52 250 Sell swine #22 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000


Administration cost 10,000

Others 10,000

Total 1,486,400

53 250 Sell swine #23 1,525,000

Sell swine excrement 2,400

500 Piglet #25 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

54 250 Sell swine #23 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

55 250 Sell swine #24 1,525,000

Sell swine excrement 2,400

500 Piglet #26 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

56 250 Sell swine #24 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000


Others 10,000

Total 1,486,400

57 250 Sell swine #25 1,525,000

Sell swine excrement 2,400

500 Piglet #27 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

58 250 Sell swine#25 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,486,400

59 250 Sell swine #26 1,525,000

Sell swine excrement 2,400

500 Piglet #28 500,000

Piglet food 1,183,000

5 labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -199,100

60 250 Sell swine #26 1,525,000

Sell swine excrement 2,400

2 labor cost 21,000

Administration cost 10,000

Others 10,000
Total

1,486,400

Total pro fit of years 5 7,723,800

Profit from 4 Years Before 19,377,800

Profit of operation in 5 Years 27,101,600

The profit of firth years of year 4 is 7,723,800 baht and the average profit per month
is 643,650 baht and the total profit for operation in 4 years is 27,101,600 baht

The graph show the profit in 5 years

Conclusion
Pig kingdom farm was investment the first fourth month and after that from month
fifth to month twelfth in the first years the pig kingdom farm has the different from the cost
and income is -3,793,600 baht and in the second years the pig kingdom farm giant the profit
is 7,723,800 baht and in the third years The farm gain the highest pro fit is 7,723,800 baht
and the fourth years, fifth years the pig kingdom farm giant profits 7,723,800 baht and the
sum of profit when minus the cost in five years is 27,101,600 baht.
The problem in sale decrease

Sale decrease can be occurs by many things such as epidemic in swine, new
competitors, problem in operation of the farm and others.
These table will show the profit when sale decrease 5 percent in each month.

Investment cost and Income of Pig Kingdom farm

Year 1

Investment cost is in the first fourth month that we have establish the Pig kingdom
farm therefore for the firth fourth month we doesn’t have in come to the farm.
In month fifth we start to pick the piglet to the farm and begin to tack care the piglet
therefore in this month we doesn’t have the income and after we take care the swine in first
lot 2 month we will pick the second lot of swine to the farm.

Month Number List Income Expense Total

1 1 Land 500,000

Others 20,000

Total -520,000

2 2 Swine house 800,000

1 Storage where house 100,000

1 Office 250,000

1 worker housing 100,000

others 20,000

Total -1,270,000

3 4 Fermentation gas wells 250,000


Wastewater treatment
2 pond 250,000

8 Ventilators 9,200

4 cooling pad 4,800

4 dynamo 100,000

50 Water tank, Food tray 67,200


water and electricity
system 50,000

Others

Total -731,200
Dried swine excrement
4 2 panel 20,000

1 Computer 25,000

1 Telephone 3,000

1 Pick-Up car 650,000

2 Labor cost 3,000

Administration cost 20,000

Others 20,000

Total -738,000

5 1 Truck 385,000

12 Piglet iron restraint 30,000

500 Piglet #1 500,000


Labor cost for move
5 swine 2,500

swine food 1,183,000

2 Labor cost 21,000

administration cost 20,000

Others 20,000

Total -1,740,500

6 5 Labor cost for transport 2,500

Labor cost 21,000

Administration cost 20,000

Others 20,000

Total -63,500

7 500 Piglet #2 500,000

Piglet food 1,183,000

Labor cost 21,000

Administration cost 20,000

Others 20,000
Total -1,244,000

8 Labor cost 21,000

Administration cost 20,000

Others 20,000

Total -61,000

9 240 Sell swine #1 1,464,000

Sell swine excrement 2,400

500 Piglet #3 500,000

Piglet food 1,183,000

5 Labor cost of transport 2,500

Labor cost 21,000

Administration cost 10,000

Others 10,000

Total -260,100

10 260 Sell swine #1 1,506,700

Sell swine excrement 2,280

2 Labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,467,980

11 260 Sell swine #2 1,506,700

Sell swine excrement 2,280

500 Piglet #4 500,000

Piglet food 1,183,000

5 Labor cost of transport 2,500

2 Labor cost 21,000

Administration cost 10,000

Others 10,000
Total -217,520

12 240 Sell swine#2 1,390,800

Sell swine excrement 2,280

2 Labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,352,080

Total of years 1 -4,025,760

From the table have show the investment and income of Pig kingdom in year 1.After
we have calculate the different of income and cost of investment is 4,025,760 baht that we
lost in the first year of Pig kingdom farm.
Year 2
These tables show the sale decrease 5 percent per month from the sale forecast that
we have established.

Month Number List Income Expense Total

13 250 Sell swine#3 1,448,750

Sell swine excrement 2,280

500 Piglet #5 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

14 250 Sell swine#3 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration 10,000

Others 10,000

Total 1,410,030

15 250 Sell swine #4 1,448,750

Sell swine excrement 2,280

500 Piglet #6 500,000

Piglet food 1,183,000

5 labor cost of 2,500


transport

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

16 250 Sell swine #4 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

17 250 Sell swine #5 1,448,750

Sell swine excrement 2,280

500 Piglet #7 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

18 250 Sell swine #5 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

19 250 Sell swine #6 1,448,750


Sell swine excrement 2,280

500 Piglet #8 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

20 250 Sell swine #6 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

21 250 Sell swine #7 1,448,750

Sell swine excrement 2,280

500 Piglet #9 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

22 250 Sell swine#7 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000


Administration cost 10,000

Others 10,000

Total 1,410,030

23 250 Sell swine #8 1,448,750

Sell swine excrement 2,280

500 Piglet #10 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

24 250 Sell swine #8 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

total of years 2 6,807,360


-
cost from years 1 3,793,600

Total profit of operation in 2 years 3,013,760

From the table have show the profit from sale decrease 5 % per month they get in

years 2 is 6,807360 baht and the average profit per month is 567,280baht
The profit was decrease 916,440 baht per year and decrease 76,370baht per month
when compare with the sale forecast.
Year 3

These tables show the sale decrease 5 percent per month from the sale forecast that
we have established.

Month Number List Income Expense Total

25 250 Sell swine #9 1,448,750

Sell swine excrement 2,280

500 Piglet #11 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

26 250 Sell swine #9 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

27 250 Sell swine #10 1,448,750

Sell swine excrement 2,280

500 Piglet #12 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000


Administration cost 10,000

Others 10,000

Total -275,470

28 250 Sell swine #10 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

29 250 Sell swine#11 1,448,750

Sell swine excrement 2,280

500 Piglet #13 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

30 250 Sell swine #11 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

31 250 Sell swine #12 1,448,750

Sell swine excrement 2,280


500 Piglet #14 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

32 250 Sell swine #12 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

33 250 Sell swine #13 1,448,750

Sell swine excrement 2,280

500 Piglet #15 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

34 250 Sell swine #13 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000
Total 1,410,030

35 250 Sell swine #14 1,448,750

Sell swine excrement 2,280

500 Piglet #16 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

36 250 Sell swine #14 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

Total pro fit of years 3 6,807,360

Profit from 2 Years Before 3,013,760

Profit of operation in 3 Years 9,821,120

From the table have show the profit from sale decrease 5 % per month they get in year
3 is 6, 807,360 baht and the average profit per month is 567,2800baht.
The profit was decrease 916,440 baht per year and decrease 76,370baht per month
when compare with the sale forecast.
Year 4

These tables show the sale decrease 5 percent per month from the sale forecast that
we have established.

Month Number List Income Expense Total

37 250 Sell swine #15 1,448,750

Sell swine excrement 2,280

500 Piglet #17 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

38 250 Sell swine #15 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

39 250 Sell swine #16 1,448,750

Sell swine excrement 2,280

500 Piglet #18 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000


Administration cost 10,000

Others 10,000

Total -275,470

40 250 Sell swine #16 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

41 250 Sell swine #17 1,448,750

Sell swine excrement 2,280

500 Piglet #19 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

42 250 Sell swine#17 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

43 250 Sell swine #18 1,448,750

Sell swine excrement 2,280


500 Piglet #20 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

44 250 Sell swine#18 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

45 250 Sell swine #19 1,448,750

Sell swine excrement 2,280

500 Piglet #21 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

46 250 Sell swine #19 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000
Total 1,410,030

47 250 Sell swine #20 1,448,750

Sell swine excrement 2,280

500 Piglet #22 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

48 250 Sell swine #20 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

Total pro fit of years 4 6,807,360

Profit from 3 Years Before 9,821,120

Profit of operation in 4 Years 16,628,480

From the table have show the profit from sale decrease 5 % per month they get in
years 4 is 6, 807,360 baht and the average profit per month is 567,2800baht.
The profit was decrease 916,440 baht per year and decrease 76,370baht per month
when compare with the sale forecast.
Year 5

These tables show the sale decrease 5 percent per month from the sale forecast that
we have established.

Month Number List Income Expense Total

49 250 Sell swine #21 1,448,750

Sell swine excrement 2,280

500 Piglet #23 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

50 250 Sell swine #21 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

51 250 Sell swine #22 1,448,750

Sell swine excrement 2,280

500 Piglet #24 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000


Administration cost 10,000

Others 10,000

Total -275,470

52 250 Sell swine #22 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

53 250 Sell swine #23 1,448,750

Sell swine excrement 2,280

500 Piglet #25 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

54 250 Sell swine #23 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

55 250 Sell swine #24 1,448,750

Sell swine excrement 2,280


500 Piglet #26 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

56 250 Sell swine #24 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

57 250 Sell swine #25 1,448,750

Sell swine excrement 2,280

500 Piglet #27 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

58 250 Sell swine#25 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000
Total 1,410,030

59 250 Sell swine #26 1,448,750

Sell swine excrement 2,280

500 Piglet #28 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -275,470

60 250 Sell swine #26 1,448,750

Sell swine excrement 2,280

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,410,030

Total pro fit of years 5 6,807,360

Profit from 4 Years Before 16,628,480

Profit of operation in 5 Years 23,435,840

From the table have show the profit from sale decrease 5 % per month they get in
years 5 is 6, 807,360 baht and the average profit per month is 567,2800baht.
The profit was decrease 916,440 baht per year and decrease 76,370baht per month
when compare with the sale forecast.
Sale Forecast Decrease 5 % different of sale decrease 5%
- 3,763,600 - 4,025,760 -262,160

7,723,800 6,807,360 916,440

7,723,800 6,807,360 916,440

7,723,800 6,807,360 916,440

7,723,800 6,807,360 916,440

27,131,600 23,203,680 3,927,920

Conclusion
Pig kingdom farm was investment the first fourth and after that from month fifth to
month twelfth in the first years the pig kingdom farm has the lost is 3,763,600 baht when
compare with sale forecast that have decrease 5 percent in each month the result is the lost
increase 262,160 baht in first years. And in the second years the pig kingdom farm giant the
profit is 7,723,800 baht when compare with sale forecast that have decrease 5 percent in each
month the result is the pro fit will decrease 916,440 baht and in the third years The farm gain
the highest pro fit is 7,723,800 baht when compare with sale forecast that have decrease 5
percent in each month the result is the pro fit will decrease 916,440 baht and the fourth years
the pig kingdom farm giant the profit 7,723,800 baht when compare with sale forecast that
have decrease 5 percent in each month the result is the pro fit will decrease 916,440 baht ,
fifth years the pig kingdom farm giant profits 7,723,800 when compare with sale forecast
that have decrease 5 percent in each month the result is the pro fit will decrease 916,440 baht
and the sum of profit when minus the cost in five years is 27,131,600 baht when compare
with sale forecast that have decrease 5 percent the result is the pro fit will decrease 3,927,920
baht.
These table will show the profit when sale decrease 10 percent in each month.

Investment cost and income of Pig Kingdom farm

Year 1

Investment cost is in the first fourth month that we have establish the Pig kingdom
farm therefore for the firth fourth month we doesn’t have in come to the farm.
In month fifth we start to pick the piglet to the farm and begin to take care of the
piglet therefore in this month we doesn’t have the income and after we take care the swine in
first lot 2 month we will pick the second lot of swine to the farm.

Month Number List Income Expense Total

1 1 Land 500,000

Others 20,000

Total -520,000

2 2 Swine house 800,000

1 Storage where house 100,000

1 Office 250,000

1 worker housing 100,000

Others 20,000

Total -1,270,000

3 4 Fermentation gas wells 250,000


Wastewater treatment
2 pond 250,000

8 Ventilators 9,200

4 cooling pad 4,800

4 dynamo 100,000

50 Water tank, Food tray 67,200


water and electricity
system 50,000

Others

Total -731,200
Dried swine excrement
4 2 panel 20,000

1 computer 25,000

1 Telephone 3,000

1 Pick-Up car 650,000

2 Labor cost 3,000

Administration cost 20,000

others 20,000

Total -738,000

5 1 Truck 385,000

12 Piglet iron restraint 30,000

500 Piglet #1 500,000


Labor cost for move
5 swine 2,500

swine food 1,183,000

2 labor cost 21,000

administration cost 20,000

others 20,000

Total -1,740,500

6 5 Labor cost for transport 2,500

Labor cost 21,000

Administration cost 20,000

Others 20,000

Total -63,500

7 500 Piglet #2 500,000

Piglet food 1,183,000

labor cost 21,000

Administration cost 20,000

others 20,000

Total -1,244,000

8 labor cost 21,000

Administration cost 20,000

Others 20,000
Total -61,000

9 240 Sell swine #1 1,464,000

Sell swine excrement 2,400

500 Piglet #3 500,000

Piglet food 1,183,000

5 Labor cost of transport 2,500

labor cost 21,000

Administration cost 10,000

Others 10,000

Total -260,100

10 260 Sell swine #1 1,427,400

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,388,560

11 260 Sell swine #2 1,427,400

Sell swine excrement 2,160

500 Piglet #4 500,000

Piglet food 1,183,000

5 Labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000
-
Total 296,940

12 240 Sell swine#2 1,317,600


Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,278,760
-
Total of years 1 4,257,920

From the table have show the investment and income of Pig kingdom in year 1.After
we have calculate the different of income and cost of investment is 4,257,920 baht that we
lost in the first year of Pig kingdom farm.
Year 2

These tables show the sale decrease 10 percent per month from the sale forecast that
we have established.

Month Number List Income Expense Total

13 250 Sell swine#3 1,372,500

Sell swine excrement 2,160

500 Piglet #5 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

14 250 Sell swine#3 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration 10,000

Others 10,000

Total 1,333,660

15 250 Sell swine #4 1,372,500

Sell swine excrement 2,160

500 Piglet #6 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total - 351,840

16 250 Sell swine #4 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

17 250 Sell swine #5 1,372,500

Sell swine excrement 2,160

500 Piglet #7 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

18 250 Sell swine #5 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

19 250 Sell swine #6


1,372,500

Sell swine excrement 2,160

500 Piglet #8 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

20 250 Sell swine #6 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

21 250 Sell swine #7 1,372,500

Sell swine excrement 2,160

500 Piglet #9 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

22 250 Sell swine#7 1,372,500

Sell swine excrement 2,160


2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

23 250 Sell swine #8 1,372,500

Sell swine excrement 2,160

500 Piglet #10 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

24 250 Sell swine #8 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

total of years 2 5,890,920


-
cost from years 1 3,793,600

Total profit of operation in 2 years 2,097,320

From the table have show the profit from sale decrease 10 % per month they get in

years 2 is 5, 890,920 baht and the average profit per month is 490,910 baht.
The profit was decrease 1,832,880 baht per year and decrease 152,740 baht per month
when compare with the sale forecast.
Year 3

These tables show the sale decrease 10 percent per month from the sale forecast that
we have established.

Month Number List Income Expense Total

25 250 Sell swine #9 1,372,500

Sell swine excrement 2,160

500 Piglet #11 500,000

Piglet f 1,183,000
labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

26 250 Sell swine #9 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

27 250 Sell swine #10 1,372,500

Sell swine excrement 2,160

500 Piglet #12 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000


Administration cost 10,000

Others 10,000

Total -351,840

28 250 Sell swine #10 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

29 250 Sell swine#11 1,372,500

Sell swine excrement 2,160

500 Piglet #13 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

30 250 Sell swine #11 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

31 250 Sell swine #12 1,372,500

Sell swine excrement 2,160


500 Piglet #14 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

32 250 Sell swine #12 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

33 250 Sell swine #13 1,372,500

Sell swine excrement 2,160

500 Piglet #15 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

34 250 Sell swine #13 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000


Others 10,000

Total 1,333,660

35 250 Sell swine #14 1,372,500

Sell swine excrement 2,160

500 Piglet #16 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

36 250 Sell swine #14 1,372,500

Sell swine excrement

2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

Total pro fit of years 3 5,890,920

Profit from 2 Years Before 2,097,320

Profit of operation in 3 Years 7,988,240

From the table have show the profit from sale decrease 10 % per month they get in

years 3 is 5, 890,920 baht and the average profit per month is 490,910 baht.
The profit was decrease 1,832,880 baht per year and decrease 152,740 baht per month
when compare with the sale forecast.
Year 4

These tables show the sale decrease 10 percent per month from the sale forecast that
we have established.

Month Number List Income Expense Total

37 250 Sell swine #15 1,372,500

Sell swine excrement 2,160

500 Piglet #17 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

38 250 Sell swine #15 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

39 250 Sell swine #16 1,372,500

Sell swine excrement 2,160

500 Piglet #18 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000


Administration cost 10,000

Others 10,000

Total -351,840

40 250 Sell swine #16 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

41 250 Sell swine #17 1,372,500

Sell swine excrement 2,160

500 Piglet #19 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

42 250 Sell swine#17 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

43 250 Sell swine #18 1,372,500

Sell swine excrement 2,160


500 Piglet #20 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

44 250 Sell swine#18 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

45 250 Sell swine #19 1,372,500

Sell swine excrement 2,160

500 Piglet #21 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

46 250 Sell swine #19 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000
Total 1,333,660

47 250 Sell swine #20 1,372,500

Sell swine excrement 2,160

500 Piglet #22 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

48 250 Sell swine #20 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

Total pro fit of years 4 5,890,920

Profit from 3 Years Before 7,988,240

Profit of operation in 4 Years 13,879,160

From the table have show the profit from sale decrease 10 % per month they get in
years 4 is 5, 890,920 baht and the average profit per month is 490,910 baht.
The profit was decrease 1,832,880 baht per year and decrease 152,740 baht per month
when compare with the sale forecast.
Year 5

These tables show the sale decrease 10 percent per month from the sale forecast that
we have established.

Month Number List Income Expense Total

49 250 Sell swine #21 1,372,500

Sell swine excrement 2,160

500 Piglet #23 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

50 250 Sell swine #21 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

51 250 Sell swine #22 1,372,500

Sell swine excrement 2,160

500 Piglet #24 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000


Administration cost 10,000

Others 10,000

Total -351,840

52 250 Sell swine #22 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

53 250 Sell swine #23 1,372,500

Sell swine excrement 2,160

500 Piglet #25 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

54 250 Sell swine #23 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

55 250 Sell swine #24 1,372,500

Sell swine excrement 2,160


500 Piglet #26 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

56 250 Sell swine #24 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

57 250 Sell swine #25 1,372,500

Sell swine excrement 2,160

500 Piglet #27 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

58 250 Sell swine#25 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000
Total 1,333,660

59 250 Sell swine #26 1,372,500

Sell swine excrement 2,160

500 Piglet #28 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -351,840

60 250 Sell swine #26 1,372,500

Sell swine excrement 2,160

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,333,660

Total pro fit of years 5 5,890,920

Profit from 4 Years Before 13,879,160

Profit of operation in 5 Years 19,770,080

From the table have show the profit from sale decrease 10 % per month they get in
years 5 is 5, 890,920 baht and the average profit per month is 490,910 baht.
The profit was decrease 1,832,880 baht per year and decrease 152,740 baht per month
when compare with the sale forecast.
different of sale decrease
Sale Forecast Decrease 10 % 10%

- 3,763,600 - 4,257,920 - 494,320

7,723,800 5,890,920 1,832,880

7,723,800 5,890,920 1,832,880

7,723,800 5,890,920 1,832,880

7,723,800 5,890,920 1,832,880

27,131,600 19,305,760 7,825,840

Conclusion
Pig kingdom farm was investment the first fourth and after that from month fifth to
month twelfth in the first years the pig kingdom farm has the lost is 3,763,600 baht when
compare with sale forecast that have decrease 10 percent in each month the result is the lost
increase 494,320 baht in first years. And in the second years the pig kingdom farm giant the
profit is 7,723,800 baht when compare with sale forecast that have decrease 10 percent in
each month the result is the pro fit will decrease 1,832,880 baht and in the third years The
farm gain the highest pro fit is 7,723,800 baht when compare with sale forecast that have
decrease 10 percent in each month the result is the pro fit will decrease 1,832,880 baht and
the fourth years the pig kingdom farm giant the profit 7,723,800 baht when compare with
sale forecast that have decrease 10 percent in each month the result is the pro fit will decrease
1,832,880 baht , fifth years the pig kingdom farm giant profits 7,723,800 when compare
with sale forecast that have decrease 10 percent in each month the result is the pro fit will
decrease 1,832,880 baht and the sum of profit when minus the cost in five years is
27,131,600 baht when compare with sale forecast that have decrease 5 percent the result is
the pro fit will decrease 7,825,840 baht.
These table will show the profit when sale decrease 15 percent in each month.

Investment cost and income of Pig Kingdom farm

Year 1

Investment cost is in the first fourth month that we have establish the Pig kingdom
farm therefore for the firth fourth month we doesn’t have in come to the farm.
From the graft show investment cost that high in second month because we have
building the swine house after that the cost decrease in third month and fourth month because
in this 2 month we have investment in facility and others expends.
In month fifth we start to pick the piglet to the farm and begin to tack care the piglet
therefore in this month we doesn’t have the income and after we take care the swine in first
lot 2 month we will pick the second lot of swine to the farm.

Month Number List Income Expense Total

1 1 Land 500,000

Others 20,000

Total -520,000

2 2 Swine house 800,000

1 Storage where house 100,000

1 Office 250,000

1 worker housing 100,000

others 20,000

Total -1,270,000

3 4 Fermentation gas wells 250,000


Wastewater treatment
2 pond 250,000

8 Ventilators 9,200

4 cooling pad 4,800

4 dynamo 100,000

50 Water tank, Food tray 67,200

water and electricity 50,000


system

Others

Total -731,200
Dried swine excrement
4 2 panel 20,000

1 computer 25,000

1 Telephone 3,000

1 Pick-Up car 650,000

2 Labor cost 3,000

Administration cost 20,000

others 20,000

Total -738,000

5 1 Truck 385,000

12 Piglet iron restraint 30,000

500 Piglet #1 500,000


Labor cost for move
5 swine 2,500

swine food 1,183,000

2 labor cost 21,000

administration cost 20,000

others 20,000

Total -1,740,500

6 5 Labor cost for transport 2,500

Labor cost 21,000

Administration cost 20,000

Others 20,000

Total -63,500

7 500 Piglet #2 500,000

Piglet food 1,183,000

labor cost 21,000

Administration cost 20,000

others 20,000

Total -1,244,000
8 labor cost 21,000

Administration cost 20,000

Others 20,000

Total -61,000

9 240 Sell swine #1 1,464,000

Sell swine excrement 2,400

500 Piglet #3 500,000

Piglet food 1,183,000

5 Labor cost of transport 2,500

labor cost 21,000

Administration cost 10,000

Others 10,000

Total -260,100

10 260 Sell swine #1 1,348,100

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,309,140

11 260 Sell swine #2 1,348,100

Sell swine excrement 2,040

500 Piglet #4 500,000

Piglet food 1,183,000

5 Labor cost of transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -376,360
12 240 Sell swine#2 1,244,400

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,205,440

Total of years 1 -4,490,080

From the table have show the investment and income of Pig kingdom in year 1. After
we have calculated the different of income and cost of investment is 4,490,080 baht that we
lost in the first year of Pig kingdom farm.
Year 2

These tables show the sale decrease 15 percent per month from the sale forecast that
we have established.

Month Number List Income Expense Total

13 250 Sell swine#3 1,296,250

Sell swine excrement 2,040

500 Piglet #5 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

14 250 Sell swine#3 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration 10,000

Others 10,000

Total 1,257,290

15 250 Sell swine #4 1,296,250

Sell swine excrement 2,040

500 Piglet #6 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000
-
Total 428,210

16 250 Sell swine #4 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

17 250 Sell swine #5 1,296,250

Sell swine excrement 2,040

500 Piglet #7 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

18 250 Sell swine #5 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290
19 250 Sell swine #6 1,296,250

Sell swine excrement 2,040

500 Piglet #8 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

20 250 Sell swine #6 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

21 250 Sell swine #7 1,296,250

Sell swine excrement 2,040

500 Piglet #9 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

22 250 Sell swine#7 1,296,250

Sell swine excrement 2,040


2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

23 250 Sell swine #8 1,296,250

Sell swine excrement 2,040

500 Piglet #10 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

24 250 Sell swine #8 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

total of years 2 4,974,480


-
cost from years 1 3,793,600

Total profit of operation in 2 years 1,180,880

From the table have show the profit from sale decrease 15% per month they get in
years 2 is 4, 974,480 baht and the average profit per month is 415,540 baht.
The profit was decrease 2,749,320 baht per year and decrease 229,093 baht per month
when compare with the sale forecast.
Year 3

These tables show the sale decrease 15 percent per month from the sale forecast that
we have established.

Month Number List Income Expense Total

25 250 Sell swine #9 1,296,250

Sell swine excrement 2,040

500 Piglet #11 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

26 250 Sell swine #9 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

27 250 Sell swine #10 1,296,250

Sell swine excrement 2,040

500 Piglet #12 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000


Administration cost 10,000

Others 10,000

Total -428,210

28 250 Sell swine #10 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

29 250 Sell swine#11 1,296,250

Sell swine excrement 2,040

500 Piglet #13 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

30 250 Sell swine #11 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

31 250 Sell swine #12 1,296,250

Sell swine excrement 2,040


500 Piglet #14 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

32 250 Sell swine #12 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

33 250 Sell swine #13 1,296,250

Sell swine excrement 2,040

500 Piglet #15 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

34 250 Sell swine #13 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000
Total 1,257,290

35 250 Sell swine #14 1,296,250

Sell swine excrement 2,040

500 Piglet #16 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

36 250 Sell swine #14 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

Total pro fit of years 3 4,974,480

Profit from 2 Years Before 1,180,880

Profit of operation in 3 Years 6,155,360

From the table have show the profit from sale decrease 15% per month they get in
years 3 is 4, 974,480 baht and the average profit per month is 415,540 baht.
The profit was decrease 2,749,320 baht per year and decrease 229,093 baht per month
when compare with the sale forecast.
Year 4

These tables show the sale decrease 15 percent per month from the sale forecast that
we have established.

Month Number List Income Expense Total

37 250 Sell swine #15 1,296,250

Sell swine excrement 2,040

500 Piglet #17 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

38 250 Sell swine #15 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

39 250 Sell swine #16 1,296,250

Sell swine excrement 2,040

500 Piglet #18 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000


Administration cost 10,000

Others 10,000

Total -428,210

40 250 Sell swine #16 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

41 250 Sell swine #17 1,296,250

Sell swine excrement 2,040

500 Piglet #19 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

42 250 Sell swine#17 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

43 250 Sell swine #18 1,296,250

Sell swine excrement 2,040


500 Piglet #20 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

44 250 Sell swine#18 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

45 250 Sell swine #19 1,296,250

Sell swine excrement 2,040

500 Piglet #21 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

46 250 Sell swine #19 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000
Total 1,257,290

47 250 Sell swine #20 1,296,250

Sell swine excrement 2,040

500 Piglet #22 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

48 250 Sell swine #20 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

Total pro fit of years 4 4,974,480

Profit from 3 Years Before 6,155,360

Profit of operation in 4 Years 11,129,840

From the table have show the profit from sale decrease 15% per month they get in
years 4 is 4, 974,480 baht and the average profit per month is 415,540 baht.
The profit was decrease 2,749,320 baht per year and decrease 229,093 baht per month
when compare with the sale forecast.
Year 5

These tables show the sale decrease 15 percent per month from the sale forecast that
we have established.

Month Number List Income Expense Total

49 250 Sell swine #21 1,296,250

Sell swine excrement 2,040

500 Piglet #23 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

50 250 Sell swine #21 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

51 250 Sell swine #22 1,296,250

Sell swine excrement 2,040

500 Piglet #24 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000


Administration cost 10,000

Others 10,000

Total -428,210

52 250 Sell swine #22 1,296,250

Sell swine excrement

2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

53 250 Sell swine #23 1,296,250

Sell swine excrement 2,040

500 Piglet #25 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

54 250 Sell swine #23 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

55 250 Sell swine #24 1,296,250


Sell swine excrement 2,040

500 Piglet #26 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

56 250 Sell swine #24 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

57 250 Sell swine #25 1,296,250

Sell swine excrement 2,040

500 Piglet #27 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

58 250 Sell swine#25 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000


Administration cost 10,000

Others 10,000

Total 1,257,290

59 250 Sell swine #26 1,296,250

Sell swine excrement 2,040

500 Piglet #28 500,000

Piglet food 1,183,000


labor cost of
5 transport 2,500

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total -428,210

60 250 Sell swine #26 1,296,250

Sell swine excrement 2,040

2 labor cost 21,000

Administration cost 10,000

Others 10,000

Total 1,257,290

Total pro fit of years 5 4,974,480

Profit from 4 Years Before 11,129,840

Profit of operation in 5 Years 16,104,320

From the table have show the profit from sale decrease 15 % per month they get in

years 5 is 4, 974,480 baht and the average profit per month is 415,540 baht.
The profit was decrease 2,749,320 baht per year and decrease 229,093 baht per month
when compare with the sale forecast.
Sale Forecast Decrease 15 % different of sale decrease 15%

- 3,763,600 - 4,490,080 -726,480

7,723,800 4,974,480 2,749,320

7,723,800 4,974,480 2,749,320

7,723,800 4,974,480 2,749,320

7,723,800 4,974,480 2,749,320

27,131,600 15,407,840 11,723,760

Conclusion
Pig kingdom farm was investment the first fourth and after that from month fifth to
month twelfth in the first years the pig kingdom farm has the lost is 3,763,600 baht when
compare with sale forecast that have decrease 15 percent in each month the result is the lost
increase 726,480 baht in first years. And in the second years the pig kingdom farm giant the
profit is 7,723,800 baht when compare with sale forecast that have decrease 15 percent in
each month the result is the pro fit will decrease 2,749,320 baht and in the third years The farm
gain the highest pro fit is 7,723,800 baht when compare with sale forecast that have decrease
15 percent in each month the result is the pro fit will decrease 2,749,320 baht and the fourth
years the pig kingdom farm giant the profit 7,723,800 baht when compare with sale forecast
that have decrease 15 percent in each month the result is the pro fit will decrease 2,749,320
baht , fifth years the pig kingdom farm giant profits 7,723,800 when compare with sale
forecast that have decrease 15 percent in each month the result is the pro fit will
decrease2,749,320 baht and the sum of profit when minus the cost in five years is 27,131,600
baht when compare with sale forecast that have decrease 5 percent the result is the pro fit will
decrease 11,723,760 baht
Summary

Sale Forecast Decrease 5 % Decrease 10 % Decrease 15 %

-3,763,600 -4,025,760 -4,257,920 -4,490,080

7,723,800 6,807,360 5,890,920 4,974,480

7,723,800 6,807,360 5,890,920 4,974,480

7,723,800 6,807,360 5,890,920 4,974,480

7,723,800 6,807,360 5,890,920 4,974,480

27,131,600 23,203,680 19,305,760 15,407,840

The problem in sale decrease

Sale decrease can be occurs by many things such as epidemic in swine, new
competitors, problem in operation of the farm and others.
The problem in the farm will be occurs when sale was decrease more than 15% per
month that will cause of surplus swine in the farm around 75 swine and it will cause of
decrease in sale around 222,093 baht per month that effect to profit decrease 222,093 per
month more over it will effect to cash liquidity in the farm so if this situation occurs more
than 3 month will effect to cash liquidity so much therefore we have 3 ways to protect and
decrease this problem are
1. If the sale decrease and have the surplus swine in the farm we will decrease in
buying of new piglet to the farm that will help to build the equilibrium point of demand and
supply in the farm.
2. Try to sale the surplus swine from last lot before sale the new lot of swine that will
help to control the age and quality for suitable for the demand of market.
3. Give the discount for the customer who buys the surplus swine, this way can help
to sale swine and increase sale moreover it can help to control the number of swine in the
farm to not more overcrowded and easy to control the quality of swine more than have the
surplus swine in the farm.
The best ways that can help to protect the sale decrease is analyses the situation of
market all time and try to find the equilibrium point of demand and supply and use it to be
the way to produce the swine and the last is have to control the quality of swine.
Chapter 7: Summary

Normally swine farm is quite popular business because it is dirty and has an
opportunity get risk from community so this is big problem of this business. However swine
farm has a few of competitor so it will be advantage of this business and from survey in
Chiang Saen, tendency of swine farm in Chiang Saen will increase and target group will also
expand too. Pig Kingdom Farm is the one of business would like o gain more profit though
selling quality of swine to market. The key to succeed in this business compose of good
planning, preparation of facing with unexpected problem, the solution and importance of the
capital together with profit. Another thing that we can notice is the need for big amount of
fund to doing swine farm so we need big amount of money to support, when business turn
critical situation.
For our vision and mission will be identical, we are going to be the best swine farm
which concern problems about air pollution, water pollution, and soil pollution. Therefore we
attend to control and manage swine farm following the standard of Animal Husbandry
Department, including fresh and clean, quality and healthy of swine. Although we practice
follow standard of Department of Livestock Development, it not mean we will not get risk or
any problem because doing real swine farm is not easy. We can find with problem that occur
from external and have an effect to swine farm. For example increasing the tend of swine
export and import, that is not only the demand of domestic consumers, but there are also the
needs of neighboring countries, even if the number of export and import of swine in
Thailand. Therefore we have to create strategy for decrease problem and will be secret of Pig
Kingdom Farm to do business smoothly. However if we create good strategy but we do not
have good operation include with Finance, Marketing, Human Resource and Operation,
swine farm can not run on smoothly, then we have to do everything to be balance.
Before we do real business, we going to know and do marketing analysis because
when do the business we will find with problem that occur form external factor. The external
factor can be affected to Pig Kingdom Farm both of direct and indirect. From survey, we
found 9 factors that can effect to Pig Kingdom Farm, There are Technology, Environment,
Social, Politic, Pollution Control Department, Ministry of Energy, Ministry of Agriculture,
The current situation and Economic. All of factor control Pig Kingdom Farm to practice in
standardization and have good management because if Pig Kingdom Farm ignore to attend
follow this factor, it may be make swine farm have some problem about sale because
customer do not trust and competitor will practice follow standardization.
Moreover swine farm have to think about competitor analysis, there are Competitor
Analysis; Pig Kingdom Farm selects Evaporative Cooling System or closed-system and the
advantages of closed-system are the cleanliness of the swine house more than opened-
system, the smell not bothers the local people than opened-system and we can better control
the swine diseases, so the swine in closed-system will be more high quality as the large swine
industry and stronger of investment. Customer Analysis; Consumers of Pig Kingdom Farm
are the retailer in the district and in a nearby district. Local people in Chiang Saen district
currently feed themselves swine in their household or buy from a nearby district. However, a
demand for swine in each day is not enough in the district and swine still lack good quality
and standard. Competitive Analysis; The competitors of Pig Kingdom Farm can be divided
into Local pork providers are the main competitors of Pig Kingdom Farm in Chiang Saen
district and some pork providers buy pork from Tesco Lotus in Mae Chan district and Macro
in Ban Du district in order to sell because pork is already packaged up an the price of pork is
cheaper than buying from wholesalers.
After that we have to do STP analysis, for segmentation Pig Kingdom Farm is the
business which is different from other general business. This business cannot separate the
segmentation in various sectors, but our swine farm divides the characteristic of our
customers according to the customers’ demands as 3 groups such as wholesale group, retail
group and household consumption. Target group, we separate the target from the occupations
of customer that they have different demand. Thus, we divide the target into 3 group,
Slaughter, Butcher and Villagers or local people. Last product positioning, we show
that Pig Kingdom Farm is the standard swine farm which we have the management and
operation systematically in sterilization, so we are one of the best swine farms in Chiang Rai
which our swine has the higher quality. Moreover, we can easily access our customers and
customer - The customers can have confidence of our swine which have the high quality
standard and safety. Moreover we attend in term of marketing mix to be clearly.
We are searching about Technical Feasibility Study and Product and operation
analysis. Pig Kingdom Farm have 2 product characteristics, there are core product and
supporting product.
Core product; we choose American landrace because they have good general
characteristics of Swine such as A white hog of long body length, having sixteen or
seventeen pairs of ribs, the arch of back is much less, pronounced than on most other breeds
of swine, the hair color must be white, dark skin spots are considered undesirable, a few
freckles on the skin are allowed but black hairs are not.
Supporting product is organic fertilizer produced from pig excrement. We sell
organic fertilizer to farmers or agriculturalists and it also is used within the Pig Kingdom
Farm, so it can help to generate indirect income and reduce the cost within the farm.
Production process
We have to taking care of Swine breeding and piglets after weaning
When piglets after weaning during 28 days of age, around 6 kilograms, we should
move sows out from piglets, but piglets still stay in the same corral around 3 to 5 days. After
that we will move piglets to take care in the corral of piglets for the prevention of stress
among piglets. Moreover, vitamins or antibiotic dissolved in water should be used to piglets
after weaning around 3 to 5 days.
Piglets are vaccinated at 6 weeks of age to protect Porcine Reproductive and
Respiratory Syndrome (PRRS). Sows and hogs are also vaccinated every 6 months (vaccine
to be available during 6 to 12 months).
Piglets are vaccinated at 7 weeks of age to protect mouth and feed rot. Sows and hogs
are also vaccinated repeatedly every 4 to 6 months (vaccine to be available during 4 to 6
months)
Piglets at half 2 months should take vermifuge and 21 days late give vermifuge again.
Sows and hogs should also take vermifuge every 6 months.

Feeding food to swine in each period


Each of period have to feeding swine in different way such as A period of weaning
piglets, A period of swine, weight 20 – 35 kilograms, A period of swine, weight 35 – 60
kilograms and A period of swine, weight 30 kilograms – delivery to market.
Moreover have to attend about Medicine and a cure for swine, there are 10 of
medicine that have to inject to swine such as
Antibiotics; The antibiotics actually is used to protect and heal such as Pneumonia,
Bronchitis, Scar fen, Gastrointestinal disease, Urinary tract infections, Uterine inflammation,
and Anemic.
Sulfa Drugs; medicine of this group is Trisulfan, Travertine, Vazlong, Sulfa Merasin,
Sulfa quinnoksaleen, Sulfadiazine, Sulfanilamide and Sulfa Tiazone etc.
Disinfectant; it is used to clean the swine house such as Isla, Sanctus saffron, Iodine,
Formalin, Copper sulfate, Light liquid zone, Caustic soda, Corrine, Lime, Onecline, and
Battles Biocline.
We have to inject vaccine follow table Vaccine injection for swine breeders.

Breed swine not only to inject vaccine but have to attend about good management to
be standardization and waste system. Waste Minimization & Quality control are prevention
and eliminating smell and waste from the swine farm consists of 3 processes. There are
Biogas pond, Pig excrement pond and Using Microbe Chemical.

The Age of Dose and


Type of Vaccine Note
Swine Injection
Vaccine injection every 6
Intramuscular
months in the next time
6 weeks Mouth and Feed rot injection 1 c.c.
and when vaccine dissolves
per pig
already, using within 1 hour
Porcine
Reproductive and Subcutaneous Vaccine injection every 4
7 weeks
Respiratory injection months in the next time
Syndrome (PRRS)

For income per year after deduct expense per year 7,723,800 baht.
Income after operating 5 years is 27,701,600 baht.

Swine Farm has many risks that effect to business. We divided into 2 main factors
there are external and internal. For example, the trend towards the rising price of swine in
2008, A downward trend of the amount of swine raisers, The epidemic condition and
growing tend of the feed price. Moreover there are direct risk that related with swine farm
business such as Swine disease, Competitors and Legal and regulatory risk (Register for the
swine farm establishment). All of them is about external risk but also has internal risk, it
about management include with Human resource, swine health, swine feeding and
management environment.
Pig Kingdom farm is the one of business that can gain more profit to owner and
investor, however swine farm have to practice follow the rule and regulation of Department
of Livestock Development, then both of owner and customer will be confidence each other.
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