A

BUSINESS PLAN

ON

NATURAL MILK

PROTSAHAN 2012

PREPRAID BY:

BHARAT VAGHASIYA

VAMJA RAVI

PRADIP DESAI

STD: MBA (SEM-3)

SUBMMITTED TO: GANPAT UNIVERSITY

K.K PAREKH INSTITUTE OF MANAGEMENT

AMRELI
 INDEX

PAGE
NO PARTICULARS NO:

Introduction Of Dairy Farm Business

Source of idea
Company Profile Of Natural Milk
Scope For Dairy Farming And Its National Importance

Objectives Of Our NATURAL MILK Business Plan

Mission

PRODUCTION Department
Finance Department
Marketing Department

SWOT Analysis Of Our Natural Milk Business Plan

Conclusion
EXECUTIVE SUMMARY:

In the present era there is a wide market of dairy farm product and also very high
demand of it. In our NATURAL MILK business plan we have to produce the milk with
high fat and pure natural milk. And we should used the wastage and produce the
electricity and save in the inventor. And we sell our milk to potential customer with
reasonable price so we penetrate the market in local areas and also to sell supplier
who produce various milk product.

In our NATURAL MILK BUSINESS to simply analysis how to marketing our business
and also to given our finance plans which area to expense or invest our finance. Our
main motives are milk is essential element of human and want to be a strong
supplier in the local market.

In our NATURAL MILK BUSINESS plan only produce the natural milk and sell to
customer with better services to personally meet the customer.
Introduction
Dairying is an important source of subsidiary income to small/marginal farmers and
agricultural laborers. The manure from animals provides a good source of organic
matter for improving soil fertility and crop yields. The goober gas from the dung is
used as fuel for domestic purposes as also for running engines for drawing water
from well. The surplus fodder and agricultural by-products are gainfully utilized for
feeding the animals. Almost all draught power for farm operations and transportation
is supplied by bullocks. Since agriculture is mostly seasonal, there is a possibility of
finding employment throughout the year for many persons through dairy farming.
Thus, dairy also provides employment throughout the year. The main beneficiaries of
dairy programmers are small/marginal farmers and landless laborers.
Sources of idea

Our father main business is agriculture and 35 years ago they started a very small
business of milk. He is providing milk to the urban people, in a first year only 3 liters
is transform to the customer, they have providing a good qualitative milk so that now
a day he is success in to the market. Our father idea is very good but they do not
have enough capital or labor for expansion of the business. Our future planning is
expansion of the business and creating new innovation in business like producing
electricity.
 COMPANY PROFIL OF NATURAL MILK

 Type : Private

 Industry : Dairy Farm

 Founded at : Ishwariya ,Amreli,

 Phone no. : (02792)211203

 Email id : naturalmilk12@gmail.com
 Founder(s) : Ravi Vamja

Bharat Vaghasiya

Pradip Desai

 Headquarters : Amreli, Gujarat, India

 Key people : Ravi Vamja (Executive Chairman)

Bharat Vaghasiya (CEO & MD)

Company logo:
Scope for Dairy Farming and its National Importance

 The total milk production in the country for the year 2008-09 was estimated at
108.5 million metric tons and the demand is expected to be 180 million tons
by 2020.
 To achieve this demand annual growth rate in milk production has to be
increased from the present 2.5 % to 5%. Thus, there is a tremendous
scope/potential for increasing the milk production through profitable dairy
farming.
Objectives of our NATURAL MILK business plan:

 To produced milk at minimum cost with high fat.

 To satisfied customer need and wants for pure and qualitative milk.
 To Home delivery facility should be provided.

MISSION:

 To Maintain the Top Position In the local Milk Market.

 To provide maximum satisfaction to the customers.
PRODUCTION AND DEVELOPMENT

A dairy farm production plan should address all relevant issue around land, building
and equipment, feed and milk production, heard management expansion and
constriction it will emphasize those areas most important to the dairy farm for the
period being planned.

LAND BUILDING AND FACILITY

The renovation to milk house and parlous must meet current day milk industry
regulation site aspect are very important sufficient land manure storage and water
supply are all critical factors. Generally, substantial renovation may require updating
facility to meet present day municipal and provincial codes.

The scheme should include information on land, livestock markets, availability of

water, feeds, fodder, veterinary aid, breeding facilities, marketing aspects, training
facilities, experience of the farmer and the type of assistance available from State
Government, dairy society/union/federation.

Loan from banks with refinance facility from NABARD is available

for starting dairy farming.

For obtaining bank loan, the farmers should apply to the nearest branch of a
commercial bank, regional rural bank or co-operative bank in their area in the
prescribed application form which is available in the branches of financing banks.
Technology

Horsepower Steam Engine:

Horsepower Steam Engine:

Close-up views of our steam engine parts

This steam engine is capable of putting out enough power to drive a 500-watt
generator, depending on the pressure from your boiler. When the neighbors run out
of gasoline and diesel fuel you will still have power from wood, trash, coal or
whatever else is available.
MILKING MACHINE

Dairy cattle are milked by machine. Milking machine design and function is critical
for rapid and efficient removal of milk without damage to the teat or gland and with
minimal risk for transmitting pathogenic microorganisms that might cause mastitis.
The only way for mastitis-causing organisms to enter the teat is through the streak
canal. This is the same route by which milk leaves the gland, therefore, anytime that
the streak canal is opened to remove milk the gland is susceptible to potential
intramammary infection.

Much of the recommended process of milking relates directly or indirectly to control

and prevention of mastitis. The physical and functional interface between the teat
and the machine are carefully designed to minimize the chances of intramammary
infection occurring as a result of milking. Although the milking machine may only
account for 5-10% of mastitis cases, proper milking machine function must be
maintained over time. Incorrect vacuum or pulsator settings or worn teat cup liners
all can enhance the role of the milking machine in contributing to intramammary
infection.
 Model Unit Cost and Economics of a 10 Buffalo Unit

A. Project Cost Rs.

Cost of milch animals including transportation cost : 4,50,000

Cost of construction of shed for adult animals : 5,00,000

Cost of construction of shed for calves : 3,00,000

Cost of equipment :

Horsepower Steam Engine 47,000

Milking machine 15,000

Other expanses 1,38,000

Total cost : 14,50,000

or say : 16,00,000

Margin 15%

Bank Loan : 12,32,500

Owner capital 6,00,000

B. Techno economic parameters

Type of Animal : Buffalo

No. of Animals : 10

Cost of Animal (Rs./animal) : 44000

Transportation Cost/Animal : 1000

Average Milk Yield (liter/day) : 14

Floor space (sqft) per adult animal : 60

No. of laborers : 2

Salary of laborer per month (Rs.) : 6000

Cost of electricity and water/animal/year (Rs.) : NILL

Selling price of milk/liter (Rs./kg) : 46

PROFIT AND LOSS ACCOUNT

particular RS particular RS
Depreciation on 6200 Milk sailing 23,95,680
machine
salary 1,44,000 Wastage Sailing 52,000
Transportation 15,000 Electricity(appx.) 60,000
Other expanses 50,000
Animal food 10,26,000
Net profit 12,41,200
total 25,07,680 total 25,07,680
Marketing

The marketing plan will review the 4p’s of marketing: product, price, place and
promotion helping to ensure that you have a mix of products (EG: milk components,
breeding stock, calf rearing services) most desire by consumers or farm customer
which you can sell profitably.

Dairy product marketing

Now day natural milk is not available in easily. We are producing and providing good
qualitative milk in market. We want to sell milk to various parties like.

Potential customer

maul dairy

Electricity

Through the dairy farm business plan not only producing milk but also to produce
electricity. This electricity to use in our business and also sale from the market and
generate an income. Behind of electricity we reduced cost of goods sold and earning
high return to this business.
Political and legal

Our business plan is dairy farm, now a day government is helpful to the new
entrepreneur; government should providing subsidy, loan, and infrastructure facility
and so on.

Pricing

We are deciding price of milk to the response of customer preference and competitor
price, we are producing natural milk and our price is high compare to other milk
supplier.

SWOT ANALYSIS OF OUR NATURAL MILK BUSINESS PLAN:

 STRENGTH
 milk are pure and natural
 Used The Wastage And Produce The Electricity
 Weakness:
 Low Availability Of Raw Milk
 Less Number Of Buffalos
 OPPORTUNITIES:
 Milk is an essential commodity used by everyone.
 There is no strong supplier in the market.
 THREATS:
 There Is Always A Possibly Of A Competitor Entering The Market.
 CONCLUSION:

 Finally We Can Say The Dairy Farm Product Is Essential Used In The Human
Life And Never Ended Of Milk Demand Also In Future To Increase The
Demand Of Milk Because Day By Day To Increase The Price Of Milk Pouch
But Also Increase The Demand.
 In Our Business Plan Produced The Qualitative Milk For The General Public.
And Sell To Local Market And Also To Sole Customer.
 Our Business Plan Has Not A Large Scale So Never Capture The Whole
Market Because Day By Day To Increase The Competitor In The Market And
Various Kind Of Product Provide With Services.
 In our Business Also Produce Electricity By Using The Wastage Of Material
With Biogas Plant.
 Finally We Can Say Our Business Plan Is Good For Small And Local Market
And First Motive Is To Capture The Local Customer.