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M/s.

Goat Farm

PROJECT REPORT

ON

M/s. Goat Farm

LOCATION:

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TABLE OF CONTENTS

S.NO PARTICULARS
1. PROJECT AT A GLANCE

2. INTRODUCTION

3. SCOPE OF THE PROJECT

4. CONSTITUTION AND SECTOR

5. BACKGROUND OF THE PROMOTER

6. LOCATION AND ITS ADVANTAGES

7. FEEDING MATERIALS

8. PROJECT COST & MEANS OF FINACNE

9. DETAILED NOTES ON ESTIMATED PROJECT COST

10. DETAILED NOTES ON MEANS OF FINANCE

11. SWOT ANALYSIS

12. IMPLEMENTATION SCHEDULE

13. PROJECT BENEFITS

14. UTILITIES AND SERVICES

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01. PROJECT AT A GLANCE

1. Name of the Firm : M/s. Goat Farm

2. Unit Address :

3. Line of Activity : Goat Farm

4. Sector : Small Scale

5. Constitution : Proprietary

6. Names of the Promoter :

7. Project Cost & Means of Finance: (Rs. in Lakhs)


Project cost Amount Means of Finance Amount
Land Own Capital
Building(Shed & Civil Term Loan
Works)
Animals
Equipments
Rucurring Expenses

Total Total

Promoter Contribution: %

8. Financial Ratios on Completion of the Project

Debt Equity Ratio :

Working Capital Requirement Lakhs

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.
02. INTRODUCTION

 History

The domestication of animals was carried out during Neolithic times along with the cultivation
of cereals. First goats and sheep, second cattle and pigs, and finally draft animals such as
horses and asses were domesticated.

The wild goat , the chief ancestral stock from which the various breeds of domestic goats
have been derived, is found in the barren hills of Baluchistan and the western Sind. In
northeast Quetta, it is replaced by markhor (capra falconeri), also found in Turkestan,
Afghanistan, Baluchistan and Kashmir. The Circassian goat is said to be the descendent of
the markhor. By far the most important variety is the bezoar goat , which ranges from the
Sind in the east through Iran and Asia Minor to Crete and the Cyclades in the west, although
in many parts of this area it has disappeared. From Iran it extends into Russian Turkestan
and the Caucasus, and into western Asia Minor.

The goat was the earliest ruminant to be domesticated. The Harappa toys contain
representations of a goat. Two seals from Mohanjo-daro show a wild bezoar goat with
enormous curled horns, and a bearded domestic male goat with side-spreading horns. The
Gaddi goat, which greatly resembles the ancestral wild goat, was used as a beast of burden
in the mountains and is still used in the Himalayan region of India for carrying salt and food
grains.

There are many wild varieties of Goat  in the mountains from Afghanistan to Armenia, and
they are probably the ancestors of the domesticated Goat of India as well as of Arabia. The
inhabitants of Mohanjo-daro and Harappa already possessed domesticated Goat. Though
Goat were probably first domesticated in the mountains of Iran, Turkestan and Baluchistan,
we find them early in history, and they served a useful purpose in the economies of the
Mesopotamian and northern Indian civilizations. They provided milk, meat and clothing for
the inhabitants of the cold north (Randhawa, 1980).

 General

Sheep and goats are important species of livestock for India. They contribute greatly to the
agrarian economy, especially in areas where crop and dairy farming are not economical, and
play an important role in the livelihood of a large proportion of small and marginal farmers
and landless labourers.

Population statistics of these species from the 1977 census are not yet fully in. However, in
important States, for which statistics are available, changes in the Goat population ranging
from -15.35% to +17.39% and in the goat populations from -7.14% to +31.25% have been
observed. According to the 1972 census, the country had 40 m Goat, which contributed
approximately $175 m (Rs 1 400 m) per year to the national economy, based on a rough
estimate of production of 34.3 m kg of wool, 101 m kg of mutton, and 14.6 m skins, in
addition to manure, casings, offal, etc. Similarly, according to the 1972 census, the country
had 68 m goats which contributed approximately $458 m (Rs 3 655 m) per year by producing
about 255 m kg of meat, 34.9 m skins and 590 m kg of milk. Goats contribute 35% of the
total meat (excluding poultry) and 3% of the total milk produced in the country (NCA, 1976).
India exported wool and woolens worth $143.7 m (Rs 1 150 m) in 1978–79, of which carpets
constituted almost 71% (WWEPC, 1980). Export earnings from finished leather and leather
goods, including raw and processed sheep-and goat-skins, reached $326.1 m (Rs 2 609 m)

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during 1978–79 (EPCFL & IM, 1980). In 1978, there were 40.43 m sheep and 70.20 m goats
in India, producing 118 m kg of mutton and 276 m kg of chevon, 717 m kg of milk, 33.3 m kg
of wool and 26 117 and 71 148 m tonnes of fresh sheep and goat-skins, respectively (FAO,
1979).

The productivity of Indian sheep and goats is low, yet considering the nutritional and physical
environmental conditions under which they are reared, it cannot be considered inefficient.
Major reasons for this low productivity are inadequate grazing resources, disease problems
and serious lack of organized efforts for genetic improvement. There is little selection of rams
and bucks used for breeding, and much inter-mating among neighbouring breeds takes
place.

Goat development activities undertaken in different States of the country during recent years
have not made much impact. Goat-rearing continues to be a backward profession, primarily
in the hands of poor, landless or small and marginal farmers who own either an
uneconomical holding or no land at all, and thus graze their Goat on natural vegetation and
crop stubbles supplemented by tree loppings. Almost no developmental effort has been
made for improving goats. Large areas formerly available for livestock grazing, because they
were not considered suitable for crop production, have now been put under cereals. The
density of livestock per unit of grazing area has greatly increased, owing to increases in their
numbers and the shrinkage of grazing land. This has resulted in further reducing grazing
potential through the replacement of more nutritious perennial grasses (Lassirus, Cenchrus,
Sehima, Dicanthium, etc) and perennial legumes by grasses of poor quality such as Aristida,
Heteropogon and Andropogon. Because of the non-availability of the necessary grazing
lands, Goat-owners practise migrant grazing over extensive areas in the same State or even
neighbouring States, sometimes including goats within their Goat flocks. In the northern hilly
region, where goat flocks are generally large, a similar migration takes place.

Indian sheep and goats breed throughout the year. There is usually no control on the
breeding season, as the rams and bucks remain with the flocks, but occasionally breeding is
restricted by typing the prepuce with a cotton tape, in order to ensure that the lambs are
dropped during the favourable season, from the point of view of both nutrition and the
physical environment.

Sheep and goat mortality is quite high. Of the bacterial and viral diseases, pneumonia in
various forms (particularly pulmonary adenomatosis), Goat-pox, enterotoxaemia and anthrax
in sheep, and pneumonia, clostridial diseases and lumbar paralysis in goats are common
and result in high mortality. Internal and, to some extent, external parasites also cause large
morbidity and economic loss.

Breeds

India's vast genetic resources in sheep and goats are reflected by the availability of 40
breeds of sheep and 20 breeds of goats. In the strict sense, there are no specific breeds,
since the majority of them do not have specified defined characters. Neither are there
breeding societies or agencies to register animals of particular breeds, maintain flock books
and ensure the purity of the breed. A population of sheep or goats in a given locality, with
characters distinct from other populations in the vicinity and with a distinct local name, has
usually been considered as a breed. There has been little effort to conserve and further
improve the native breeds. At a few Central and State Government farms, some important
breeds of sheep and goats are maintained for purebreeding and producing stud rams for
distribution to the farmers.

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Most of the breeds of sheep and goats in India have evolved naturally through adaptation to
agro-ecological conditions; to a limited extent there has been artificial selection for specific
needs. These breeds have generally been named after their place of origin or on the basis of
prominent characteristics. A few breeds, e.g. Hissardale, Kashmir Merino and Nilgiri, are
cross-breds involving native and exotic fine/dual/mutton breeds. The numbers and
distribution of Hissardale and Nilgiri are very limited, whereas the Kashmir Merino, though
large in numbers, has no definite level of exotic finewool inheritance and has involved almost
all the native breeds of Jammu & Kashmir.

Most of the breeds of sheep and goats are very well adapted to the harsh climate, long
migration, and lack of vegetation and drinking water. A large proportion of sheep and goats
(more particularly the latter) are of nondescript or mixed breeds.

Among the Indian Goat breeds, the most important in number and distribution are Marwari
and Sirohi. The Marwari covers the greater part of the arid northwestern region, in both
Rajasthan and Gujarat. It is highly migratory, following a transhumant system of
management, and has made the greatest impact on other breeds, especially those with very
coarse and hairy fleeces, Changthangi. The Changthangi covers most of the central part of
the southern peninsula, being distributed in the States of Maharashtra, Andhra Pradesh and
Karnataka.

There has been a very great amount of inter-mixture among indigenous breeds. Crossing
with exotic breeds has also been undertaken in order to upgrade the local breeds and to
develop new ones, but no serious consideration has been given to genetic improvement.

Goat population by States


(millions)

State 2010 2011 2012 2013 2014 2015


Andhra Pradesh 10.19 7.85 8.30 8.00 8.34 7.06
Assam 0.03 0.17 0.05 0.07 0.03 N/A
Bihar 0.91 1.05 1.15 1.25 0.98 1.12
1.48
Gujarat 3.64 3.70 1.65 1.72 1.59
  
Maharashtra     2.09 2.20 2.13 N/A
Jammu & Kashmir 0.98 1.47 1.16 1.15 1.07 1.22
Kerala 0.43 0.10 0.02 0.01 0.01 0.01
Madhya Pradesh 0.69 0.90 1.00 1.01 1.01 0.97
Tamil Nadu 7.93 7.04 7.15 6.62 5.39 5.18
Karnataka 4.35 4.06 4.77 4.75 4.66 4.12
Orissa 0.68 1.08 0.96 1.18 1.37 N/A
0.44
Punjab 0.85 1.23 0.93 0.44 N/A
      
Haryana       0.52 0.46 0.54
Rajasthan 5.39 7.37 7.34 8.81 8.56 9.99
Uttar Pradesh 1.64 2.18 2.46 2.62 1.96 N/A
West Bengal 0.62 0.62 0.54 0.64 0.81 N/A
Delhi 0.00 0.00 0.00 0.00 0.01 N/A

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Himachal Pradesh 0.63 0.70 0.66 0.81 1.04 1.06
Total 38.96 39.28 40.22 42.01 39.99

There are many reasons to raise Goat. The reason(s) why a person chooses to raise Goat
will have a significant impact on the breed(s) that are raised and the manner in which the
Goat are fed, managed, and marketed. 

Economic

Traditionally, Goat have been raised on farms and ranches for the purpose of generating an
income for the farm and family. While some farms make a majority of their income from
raising Goat, Goat production is more often a secondary or tertiary enterprise on a farm. In
fact, Goat raising compliments many other agricultural enterprises. It is a popular enterprise
for many part-time and lifestyle farmers.

There can be numerous tax advantages to raising Goat or engaging in similar agricultural
activities. Some people raise Goat for the primary purpose of having their land holdings
taxed at (lower) agricultural rates. The legal definition of a farm (for real estate tax purposes)
varies by state.

While all agricultural enterprises are expected to eventually generate a profit (and pay
taxes!), many people raise Goat (and other livestock) as a "tax write-off." Farm expenditures,
including capital purchases, can be written off against ordinary income. Most Goat-related
purchases are exempt from sales tax.

Environmental

Some people keep Goat to improve and/or maintain their landscapes. Due to their small size,
upland grazing preferences, and desire for a mixed diet, Goat are ideal for vegetation control,
especially where the primary vegetation is grass and forbs. Their small hooves minimize soil
compaction and erosion. They shy away from fragile riparian areas.

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In fact, the opportunities for fee-based grazing by sheep (and goats) are expanding as
society seeks more environmentally-friendly ways to control invasive weeds and other
unwanted vegetation. But even when they're not being used to clean up a landscape, Goat
(and other livestock) keep land open and helps to preserve rural landscapes 

Quality of life

Many families enjoy the agricultural lifestyle and wish to expose their children to plant
cultivation, animal husbandry, and other aspects of the rural way-of-life. Goat are an ideal
small farm (or ranch) enterprise. They're especially suitable for women and children, due to
their small size and gentle nature. 

Showing (or exhibiting) Goat can be an enjoyable activity for people of all ages, but
especially youth. Goat and lambs make excellent 4-H and FFA projects. In fact, 4-H and FFA
is how many people get started in the Goat business. Goat are also suitable projects for
home scholars . There are many science fair projects that can be done with Goat and Sheep.

There is a certain satisfaction to growing your own food and fiber. Many people keep a few
Goat to provide meat, dairy products, and/or fiber for their family. Small flock owners
contribute to the supply of local food. Some people wish to support livestock conservation
efforts by raising and helping to preserve a rare or heritage breed of Goat. 

Many people raise Goat because of their desire to train and trial herding dogs, usually Border
Collies. It is hard to train and work a herding dog without having access to a flock of Goat.
Hair Goat are usually kept for this task, as they are more tolerant of the heat and rigorous
workouts. Wethers are often preferred because they can be worked on a year-round basis.

Goat raising can be an enjoyable activity for retired persons. Goat are easier to handle than
larger livestock and the investment in breeding stock, equipment, and facilities is usually
much less. In some situations, the Goat enterprise can supplement the retirement income.
Empty-nesters and single people may keep Goat so they have something to care for. 

Increasingly, people are keeping Goat (and other farm animals) as pets or companions.
Wethers and ewes should be chosen for this purpose. Intact males and horned animals
should not be kept as pets. Goat are a good choice because they do not require shearing.
Bottle babies make the best pets because they will bond to whoever feeds them. Goat are
social animals. Pet Goat should be kept in pairs or small flocks. 

The love of Goat and animal husbandry is the motivation for many shepherds, both
commercial producers and lifestyle farmers. In fact, if you don't genuinely like Goat, there's a
lot easier ways to make money or spend your leisure time.
Meat, or milk,?

Goat are multi-purpose animals, raised for their meat, milk, hides, and skins. While they have
been used to control unwanted vegetation for centuries, grazing as a fee-based service is a
relatively new opportunity for US Goat producers. Goat are also a popular research model
and some producers have developed businesses supplying animals or other products (e.g.
blood) to bio-science.

Thus, one of the first and most important decisions a shepherd must make is to decide which
aspect(s) of Goat production to focus on. While most Goat breeds are multi-purpose, most
are best suited to either meat, milk, or wool production -- seldom all three. Production
practices usually vary according to the purpose of the flock.

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Meat Goat

In the India, most Goat and lambs are meat-type animals kept primarily for the production of
lambs for meat. Meat production is also a significant profit center in Goat dairying.

Meat Goat producers sell either slaughter lambs or feeder lambs. Slaughter lambs are
usually purchased for immediate slaughter. In the India, the average slaughter weight for a
lamb processed in a federally-inspected plant is about 136 lbs. Lambs sold into ethnic
markets tend to be much lighter, usually less than 100 lbs. Increasingly, there is a market for
slaughter lambs of any weight.

Feeder lambs are lambs that are usually fed to heavier weights before being harvested.
Feeder lambs vary in weight, usually from 50 to 100 lbs., with the demand usually being the
highest for 60-90 lb. lambs. Increasingly, lamb feeders are having to compete with the ethnic
markets for light weight lambs.

In a meat Goat enterprise, the primary factors which determine profitability are percent lamb
crop, lamb growth rates, and market prices. Unless forage resources are abundant or feed
costs are very low, it is difficult to make a profit from a ewe that weans only one lamb,
especially in areas where predation is high.

Lamb Feeding

Commercial lamb feeding is a traditional Goat enterprise in the US and is becoming more
popular in other countries. In some parts of the US, lamb feeding is a seasonal enterprise,
occurring primarily in the fall and winter, after pastures have stopped growing and crop
residues are available for grazing. In other areas (e.g. Texas, Colorado, and the Corn Belt),
lamb feed lots operate year-round. Many farmers feed their own lambs out.

In a lamb feeding enterprise, feeder lambs (50 to 100 lbs.) are purchased and fed to finish
weights of 100 lbs. or more. Besides the purchase price of the lambs, the major cost in
finishing lambs is feed. Lambs can be finished on a variety of diets: complete pelleted
rations, whole grain rations, or high-forage diets. Cheap gains can often be put on lambs on
pasture or crop aftermaths. Lambs can also be finished on various by-products feeds.

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Goat Dairying

Goat have been milked for thousands of years and were milked long before the first cow was
milked. The world's commercial dairy Goat farm is concentrated in Europe and the countries
on or near the Mediterranean Sea. The dairy Goat farm is very small in the India. Most Goat
dairies are located in the Upper Midwest (Wisconsin and Minnesota), California, and the New
England states.

Goat's milk is usually made into gourmet cheeses. Some milk is made into yogurt and ice
cream. Fresh Goat's milk is seldom consumed. Milk can be sold to a processor for
conversion to cheese (or other products) or the milk can be processed on-farm by the
producer and marketed as a value-added product.

While any breed of Goat can be milked, there are specialized dairy Goat breeds, much like
there are specialized breeds of cattle and goats for dairy production. The two dairy Goat
breeds raised in the US are the East Friesian and Lacaune. The Awassi, a dairy breed from
the Middle East, was recently introduced to the US via embryos and semen.

Non-dairy breeds which are best adapted to dairy production are Dorset and Polypay. They
only produce 100 to 200 pounds of milk per lactation, while crosses between domestic
breeds and specialized dairy breeds average 250 to 650 pounds of milk per lactation. There
is some interest in creating a dairy hair Goat by crossing the Katahdin with the Lacaune.

The nutritional requirements of dairy ewes are significantly higher than for ewes being raised
for meat and/or wool. Total feed requirements will depend genetics and length of lactation. It
is important to note that some feeds can impart undesirable flavors to the milk (e.g. fish
meal) and should not be fed in large quantities during lactation. Dairy ewes have the highest
water requirement of any class of Goat at approximately three gallons per head per day.

While most non-dairy producers wean their lambs at 60 days of age or later, dairy lambs are
weaned at 30 days of age or younger, so that the ewes can be milked when they are still
producing significant amounts of milk. Milking facilities and equipment will be the biggest
expense in a dairy Goat operation. The type of milking parlor may vary according to the size

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of the operation. Producers milking less than 50 ewes may utilize a platform for milking,
whereas a "pit" parlor is desirable for larger operations. 

After milk is cooled, it can be shipped to a processing plant or frozen for later use or
shipment. While fresh milk may result in a product of slightly higher quality, frozen milk has
been shown to produce very acceptable products. The ability to freeze milk on the farm and
deliver large quantities to the processor at infrequent intervals allows the establishment of
Goat dairies great distances from a processing plant. 

Crossbred, Purebred, or Registered? :


A crossbred is an animal whose sire (father) and dam (mother) are of different breeds or
breed types, while a purebred animal's parents are of the same breed or type. A registered or
pedigreed animal has a known ancestry. However, it could be crossbred (percentage
purebred) or purebred (fullblood), depending upon the requirements of its breed association. 

Most Goat breeds have closed flock books, meaning only 100% purebred animals with
registered parents can be registered in the flock book. Some breed associations have open
flock books (e.g. Katahdin and Dorper) which allow percentage animals to be recorded by
the breed association. Percentage Goat are usually recorded as part of an upgrading
program.

While purebred Goat usually sell for higher prices than crossbred Goat and registered
animals tend to cost more than non-registered animals, breed type (or purity) or registration
status is in no way indicative of quality or productivity. In fact, crossbred animals tend to be
hardier and more productive than their purebred counterparts. 

The "superiority" of crossbred animals is due to "heterosis" or "hybrid vigor," a natural


phenomenon whereby the performance of the crossbred offspring is superior to the average
performance of the parent breeds. Heterosis is maximized when a crossbred ewe is mated to
a crossbred ram. Heterosis is expressed in both the crossbred lamb and the crossbred dam.
The effects are additive.

Heterosis occurs to a lesser extent in the newer "composite" breeds, such as Katahdin and
Polypay. Another advantage to crossbreeding is breed complementarity. Breed
complementarity is when the weakness(es) of one breed are offset by the strength(s) of the
other breed(s) and vice versa.

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For example crossing a Suffolk to Katahdin to produce crossbred lambs balances the
superior growth and meat type of the Suffolk with the outstanding maternal characteristics of
the Katahdin.

Unless the objective is to raise and market purebred and/or registered Goat, it is almost
always better to raise crossbred Goat. This is especially true for beginners. It's better to
practice shepherding with hardier, less expensive animals. As shepherds, we also tend to
make excuses for purebred animals that we pay a lot for.

Breed Categories

Alternate
Name Picture Origin Purpose
Name

Abkhasian,
Abaza --- Turkey Milk, Meat
Abkhazskaya

Abergelle

Adamello Bionda
blond dell'Adamello

Abyssinian
Afar short-eared,
Adal, Danakil

Agew Ethiopia

Agrupación de
Spain
las Mesetas

Albatinah Oman

Algarvia Portugal

Aljabal
Oman
Alakhdar

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Alternate
Name Picture Origin Purpose
Name

Alpine
polychrome,
Alpine American French Alps Milk
Alpine, French
Alpine

Altai Mountain --- --- Altai Republic Fiber

--- Adi Keçi Turkey Fiber, Milk

Andaman
local

Anglo-Nubian Nubian Great Britain Fiber, Milk

Angora --- Central Anatolia Region Fiber

Appenzell
--- Switzerland Milk
Goat

Aradi Aardi, A'ardiyah

Arapawa Island
Arapawa Arapaoa Island Meat, Milk
Goat

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Alternate
Name Picture Origin Purpose
Name

Argentata
--- --- Sicily Milk
dell'Etna

Arsi-Bale --- --- Ethiopia ---

Pack, Meat, Milk, Fi
Asmari --- Gujeri Afghanistan
bre

Aspromonte

Assam Hill --- --- India ---

Aswad --- --- Saudi Arabia ---

Attappady
India
black

Attaouia Morocco

Auckland
--- --- Auckland Island Meat
Island

Australian
Australia
brown

Australian
--- Australia Fiber
Cashmere

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Alternate
Name Picture Origin Purpose
Name

Australian
Miniature --- Australia Pet, milk
Goat

Bagot --- Rhone ---

Banatian
--- --- Banat ---
White

Barbari --- India, Pakistan Meat

Beetal --- Punjab region Meat, Milk

Benadir --- --- Southern Somalia Meat, Milk

Bhuj --- --- Northeastern Brazil Meat, Milk

Bilberry --- Waterford ---

Bionda
Lombardy Milk
dell'Adamello

Reproduction, Meat, 
Black Bengal --- India, Bangladesh
Skin

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Alternate
Name Picture Origin Purpose
Name

Africander,
Boer South Africa Meat, Reproduction
Afrikaner

Booted --- --- Switzerland Meat, Milk

British Alpine --- England Milk

Brown
--- --- Czech Republic Milk
Shorthair

Agrupación
Canary Island --- Canary Islands Milk
caprina canaria

Canindé --- --- Northeastern Brazil Meat

Carpathian --- --- Southeast Europe Meat, Milk

Nepal (High
Chyangra --- Wool, Meat
mountains) Himalayas

Chamba Himalaya

Chamois
Chamoisee Switzerland Meat, Milk
Coloured goat

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Alternate
Name Picture Origin Purpose
Name

Changthangi Pashmina Tibet Fiber, Meat

Chappar --- --- Sindh Meat

Charnequeira --- --- Portugal Meat, Milk

Chengde
--- --- Northern Hebei Fiber, Meat
Polled

Chigu --- --- India Fiber, Meat

Chué --- --- Northeastern Brazil Meat

Corsican --- --- Corsica Milk

Dera Din
--- --- Pakistan Milk
Panah

Damani --- --- Pakistan Milk

Aleppo, Baladi,
Chami,
Damascus --- Syria Milk
Damascene,
Halep, Shami

Danish
--- Denmark Milk
Landrace

Don --- --- Don River Milk, Skin, Fiber

Duan --- --- Guangxi Meat

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Alternate
Name Picture Origin Purpose
Name

Dutch
--- Netherlands Milk
Landrace

Dutch
--- --- Netherlands Milk
Toggenburg

Erzgebirge --- Saxony Milk

Fainting Myotonic United States Meat

Frisa
Italy meat
Valtellinese

Finnish
--- Finland Milk
Landrace

Garganica --- Agrigentina Gargano Milk, Skin

Northern Afghanistan, Balochistan,
Girgentana --- Milk
and Kashmir

Göingeget --- --- Sweden ---

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Alternate
Name Picture Origin Purpose
Name

Golden
--- Guernsey Milk
Guernsey

Grisons
--- --- Switzerland Milk
Striped

Guddi --- --- Himalayas ---

Hailun --- --- Heilongjiang Milk

Haimen --- --- Zhejiang Meat

Hasi --- --- Northeastern Albania Meat, Milk

Hejazi --- --- Arabian Peninsula Meat

Hexi
--- --- Northern Gansu Fiber
Cashmere

Hongtong --- --- Hongdong County Milk

Huaipi --- --- Henan Meat

Huaitoutala --- --- Qinghai Animal fiber

Hungarian
--- --- Hungary Milk
Improved

Icelandic Settlement Iceland Fiber, meat

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Alternate
Name Picture Origin Purpose
Name

Irish --- Ireland Meat, Milk

Jamnapari Jamunapari India Milk

Jining Grey --- --- Shandong Fiber, Skin

Jonica --- --- Province of Taranto Milk

Kaghani --- --- Hazara Meat

Kalahari Red --- South Africa Meat

Kalbian --- Australia Meat

Kamori --- Sindh Milk

Kinder --- United States Meat, Milk

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Alternate
Name Picture Origin Purpose
Name

Kiko --- New Zealand Meat

Korean Black
--- --- Korea Meat
Goat

Cretan, Agrimi,
Kri-kri Eastern Mediterranean Meat
or Cretan Ibex

American
La Mancha United States Meat, Milk
Lamancha

Laoshan --- --- Shandong Milk

Majorera --- Fuerteventura Canary Islands Milk

Maltese --- --- Malta Milk

Massif Central --- --- France Milk, Meat

Markhoz Maraz Iran Mohair, Milk

Messinese Nebrodi Province of Messina Milk

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Alternate
Name Picture Origin Purpose
Name

Oberian,
Mini Oberhasli Miniature Pacific Northwest US Milk
Oberhasli

Mountain
Moxotó Northeastern Brazil Meat
Goat

Murcia- Murciano
--- Southeastern Spain Milk
Granada Granadina

Murcian,
Murcien,
Murciana --- Murcia Meat, Milk
Murciene, Royal
Murciana

Nachi --- --- Punjab region Meat

Nigerian
--- West Africa Milk
Dwarf

Nigora goat --- United States Fiber, Milk

North
American
Cashmere

Nera
--- Switzerland meat, milk
Verzasca

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Alternate
Name Picture Origin Purpose
Name

Norwegian --- Norway Meat, Milk

Oberhasli Swiss Alpine Oberhasli Milk

Orobica --- Bergamo Alps Milk

Peacock --- Switzerland Milk

Pinzgauer --- Austria meat

Philippine --- --- Philippines Meat

Poitou --- Western France Milk

Pridonskaya --- --- Russia Milk, Meat, Wool

African pygmy,
Pygmy Cameroon Meat, Milk, Pet
American pygmy

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Alternate
Name Picture Origin Purpose
Name

Pygora --- Oregon City Fiber

Pyrenean --- France and Spain Meat, Milk

Qinshan --- --- Jining Skin

Red Boer --- --- South Africa Meat, Pet

Red
--- --- Syria Milk
Mediterranean

Repartida --- --- Northeastern Brazil Meat

Rove --- France Meat

Russian White --- --- Russia Milk

Saanen --- Saanen Milk

Sable Saanen --- --- United States Milk

Valdostana --- Italy meat, milk

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Alternate
Name Picture Origin Purpose
Name

Sahelian --- --- West Africa Goatskin, Meat, Milk

San Clemente
--- San Clemente Island ---
Island

Sarda --- --- Sardinia Milk

Sirohi Ajmeri -- ---

Swedish
--- --- Northern Sweden Milk
Landrace

Somalia, Djibouti and
Somali --- Milk, Meat, Skin
northeastern Kenya

Spanish Brush, scrub Spain Meat

Stiefelgeiss --- St. Gallen Meat

Surati --- --- Maharashtra ---

Tauernsheck --- Austria Milk

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Alternate
Name Picture Origin Purpose
Name

Thuringian --- Thuringia Milk

Toggenburg --- Toggenburg Milk

Uzbek Black --- --- Uzbekistan Fiber

Valais
--- Southern Switzerland Meat, Milk
Blackneck

Verata --- --- Vera Meat, Milk

West African
African dwarf West and Central Africa ---
Dwarf

White
--- --- Czech Republic Milk
Shorthaired

Xinjiang --- --- Xinjiang Fiber, Meat, Milk

Xuhai --- --- Jiangsu Meat

Yemen
--- --- Yemen ---
Mountain

Zalawadi --- Tara bakari Gujarat Fiber, Meat, Milk

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Alternate
Name Picture Origin Purpose
Name

Zhiwulin Black --- --- Shaanxi Fiber, Meat

Chung-wei,
Zhongwei --- Chzhun'veiskay China Fiber, Pelt
a

Oftentimes, it is more useful to look at breed "types" rather than individual Goat breeds.
Breed types tend to share common characteristics and can usually be substituted for one
another in a breeding program. There are several ways in which Goat breeds can be
categorized: purpose, use, face color, fiber type, and various physical or performance
attributes. 

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Purpose 
The most useful way to categorize Goat breeds is by their primary purpose: meat, wool, or
dairy. While most Goat breeds are dual-purpose (i.e. they produce both meat and wool) and
some are even triple-purpose (dairy, meat, and wool), most Goat breeds excel in either the
production of meat, wool, or dairy -- seldom two or all three.

Thus, if you want to milk Goat, you shouldn't choose a meat breed, even though it produces
milk to feed its lambs. Nor should you choose a wool breed, if your primary purpose for
raising Goat is meat production, even though wool breeds are harvested for meat.

Use
Goat breeds are often categorized as to whether they are more suitable as a ram or ewe in
the breeding program. Ram or "sire" breeds excel in growth and carcass (meat)
characteristics whereas ewe or "dam" breeds excel in fitness (e.g. longevity, parasite
resistance) and reproductive traits (early puberty, prolificacy, milk production). 

Sire breeds are often called "terminal sires" because the offspring from their matings are all

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marketed (terminated) whereas lambs sired by a ewe breed ram, such as FinnGoat, are
usually kept as flock (ewe) replacements.

The most popular terminal sire breed in the India is the Suffolk. Hampshires are also popular
for this purpose. In Europe, the Texel is the most popular sire of market lambs. Texels are
becoming increasing popular as a terminal sire breed in the US.

Some Goat breeds are considered dual-purpose, because they have traits which make them
suitable as either a ram or ewe breed. Examples of dual purpose breeds include the Dorper,
Dorset, Columbia, and North Country Cheviot.

Face Color 

In some countries, black-face Goat are strongly discriminated against because the dark
fibers and hairs in their fleeces can contaminate a wool clip. In Australia, they developed the
White Suffolk breed to prevent this problem. There is some effort in the India to develop a
whiteface terminal sire breed.

Fiber or Coat Type 

The most common way to categorize Goat is according to the type of fibers they grow or the
type of coat they have. All Goat grow both hair and wool fibers. Hair breeds have more hair
fibers than woolly fibers and usually shed their coats annually. Some hair breeds have few if
any wool fibers in their coats, especially if they are being raised in a warm climate. Hair Goat
usually do not require shearing, crutching, or docking. 

Other characteristics

Type of Tail
Some breeds are grouped together because they have a special kind of tail. Fat-tailed or fat-
rumped breeds make up about 25 percent of the world sheep population. They are well-
adapted to arid regions and are found mostly in Africa and Asia. Among INDIA breeds, the
Karakul is fat-tailed, while the Tunis and Dorper have fat-tail origins. The Awassi (recently
introduced via semen) is also a fat-tailed sheep.

The INDIA is home to several breeds of the Northern European short or rat-tail variety of
sheep: Finnsheep, Romanov, East Friesian, Shetland, Icelandic, and Soay. The tails of these
short-tailed breeds do not need to be docked. In addition to their unique tails, these breeds
are known for their prolificacy (large litters). 

Prolificy
Some breeds of sheep are noted for the birth of large litters. Prolific breeds of Goat include
Osamanabadi Goat, Sirohi, Black Bengal , Jamunapari, Tellichery or Malabar, Barbari,
Beetal, Kanni adu, Kodi adu, Changthangi Goat.. 

A single gene affecting prolificacy has also been isolated in Icelandic and Cambridge Goat.
In most Goat breeds, litter size is a quantitative trait affected by many different genes.
Despite its low heritability, prolificacy or litter size is a trait that most Goat producers should
select for, assuming the environment is conducive to the rearing of multiple lambs.

Rare and Heritage Breeds 

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There are many organizations and individuals dedicated to the preservation of rare and
heritage breeds of livestock. While heritage breeds are usually no longer of commercial
significance, it is important to preserve their genetics for reasons of biodiversity and historical
relevance. 

In addition, some of the heritage breeds may be hardier than many of the more popular
breeds that have been exploited by the show ring or single trait selection. Heritage breeds
are especially ideal for small, hobby farms or historical farms or estates..

5. Level of care

Adaptability 
While any breed of Goat can be raised in any geographic location, it makes sense to choose
breeds which are best adapted to the environment in which they are going to be raised. For
example, fine wool breeds and hair Goat (of desert origin) are good choices for hot, dry
climates where feed may be scarce. Where it's hot and humid, the Gulf Coast Native or hair
Goat (of tropical origins) are good choices, because of their heat tolerance and parasite
resistance. 

In cold, wet areas where feed is abundant, the long wool and meat breeds are good choices.
Since dairy breeds and prolific breeds are usually raised under intensive management
systems, environmental adaptation may be of less importance. Some Goat are adaptable to
different climates. For example, hair sheep will grow thicker coats (i.e. more wool) when they
are raised in colder climates.

Level of Reproduction
Not all shepherds desire large litters of lambs. Nor can all production environments support
prolific ewes. On the other hand, ewes that produce only one lamb may not be profitable
unless feed costs and overhead are very low. Breed choice can have a large impact on the
reproductive rate of the flock. Prolific breed ewes will produce litters of lambs (3 or more).  

Ewes containing 50 percent or more of a prolific breed will drop lamb crops in excess of 200
percent. Ewes containing 25 percent of a prolific breed are capable of producing 200 percent
lamb crops. Under proper management and nutrition, many breeds are capable of producing
a 200 percent lamb crop. 

Of course, any breed of Goat can be selected to produce larger lamb crops, though it
requires a long-term commitment, as litter size is only about10 percent heritable. In addition,
a high litter size is only advantageous if quality lambs are produced and the extra lambs can
be raised to market profitably. It is important that litter size be matched to the production
environment.

When to Lamb
In temperate climates, most Goat are seasonal breeders, i.e. "programmed" to mate in the
fall when day length is shorter and to lamb in late winter or spring, when the pasture begins
to grow. To produce "out-of-season" lambs, that go against this "norm," you need to select a
breed that is able to breed at different times of the year. 

In the INDIA, the Dorset is best known for its ability to lamb year-round, though there are

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considerable differences for this trait within the breed. In fact, the Horned Dorset is usually
considered to be superior to the Polled Dorset with respect to out-of-season breeding. This is
because many Polled Dorsets have been bred for show ring qualities and not production
traits.

Other breeds with extended breeding seasons include fine wool sheep (e.g. Rambouillet and
Merino), hair sheep, Finnsheep, Polypay, and Karakul. The breeds which are most seasonal
in their breeding habits are the long wool breeds and meat breeds of British origin.  

Any breed of Goat can be selected for the ability to lamb in the fall. Spring breeding can also
be achieved with light or hormonal manipulation. CIDR's were recently approved by the FDA
for use in sheep. The introduction of a ram may also stimulate estrus activity in seasonally
anestrous ewes.

Level of Care
Goat raising is more labor intensive than raising beef cattle, but there are breeds of Goat
which are naturally hardy or have been selected for their easy or self-care nature. Such
breeds include hair sheep, Border and North County Cheviots, Coopworths, fine wool
breeds, and some of the rare or heritage breeds (e.g. Soay, Shetland, Icelandic).

Those breeds which generally require a higher level of care (or labor) include the British
meat breeds, long wool breeds, prolific breeds, and dairy breeds. Of course, any flock of
Goat can be selected and managed to minimize care (labor). In other words, if you want to
work hard raising Goat, you can. If you want the Goat to work for you, you need to favor
easy-care traits (e.g. unassisted lambing, minimal hoof trimming, minimal deworming) in your
management and selection program.

Ram Breed Selection

Before choosing a breed of ram, you need to determine his primary purpose. Will he be used
to sire market lambs or do you want him to sire ewe lamb replacements? Or both? For
producing replacements, you need a ram with the appropriate type of wool/coat and
reproductive characteristics.

For market lamb production, you need a ram that will sire lambs that are suitable for your
target market(s). For example, if you want to produce lambs for the mainstream, heavy lamb
(100-140 lbs) markets, your choice of a ram breed would be very different from the ram
breed you would choose to sire lambs for the hot house (35 to 50 lbs) or ethnic markets (60-
100 lbs.)

This is because lambs sired by large-framed breeds such as the Suffolk and Columbia are
not very desirable at light weights because they have inadequate muscling and fat.
Conversely, lambs sired by small and medium sized breeds such as the Dorset and
Southdown, will likely get too fat if they are fed to heavy weights, as these lambs are more
ideally suited to the lighter weight lamb markets.

Some producers have been able to create a demand for the meat from certain breeds of
Goat. For example, many ethnic buyers like hair sheep lambs because they are accustomed
to similar-looking Goat in their homelands. Hair sheep and coarse, long wooled breeds are
ideally suited to the freezer market, because their meat has a milder flavor than lambs from
fine-wool breeding. At the same time, it is important to remember than diet exerts a larger
influence on lamb flavor than genetics.

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In fact, diet should also be considered when choosing the sire of market lambs. Lambs sired
by small and medium-sized breeds will fatten more easily on pasture diets than lambs sired
by large framed breeds. Conversely, lambs with a higher genetic potential for growth should
probably be favored in feed lot finishing systems. Parasite resistance is another important
trait to consider (in a ram breed) when the aim is to finish lambs on grass.

Purebred rams are often favored over crossbred rams because there will be more uniformity
in their offspring. However, crossbreed rams tend to be superior in their breeding ability.

03. SCOPE OF THE PROJECT

The firm is to setup a envisaged project is to setup at Kondakarla village

atchtapuram mandal Anakapalli, Visakhapatnam District for SRI SAI VENKATA

MARUTHI GOAT FARM. The firm is promoted by Mr S.SRINIVAS. The firm

acquired the land Kondakarla village near Anakapalli, Visakhapatnam. The

total project out lay is Rs.320.00 Lacs.

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04. CONSTITUTION & SECTOR

CONSTITUTION:
The Proprietary Concern by name and style “K.K. GOAT FARM”. The line of
activity is to GOAT FARM. The Firm is proposed to be set up at Kata No.
84/219, Plot No. 119/650, Mouza P. Haripuram Village, PO. Kollala,
Kashinagar Block, Gajapathi Dist, Odisha.. The Firm is a proprietary Concern
and the proprietor is Mr.S.SRINIVAS

SECTOR:
The Firm comes under Agriculture Sector and also under Priority Sector.

05. BACKGROUND OF THE PROMOTER

PROMOTER:

M/S –GOAT FARM, is established by Mr

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06. LOCATION AND ITS ADVANTAGES

Land:
The proposed location of the Firm is situated at. The site is located
centrally notified backward area. The location of the farm has considerable
influence on the techno- economical facility of the project. There are various
factors contributing the functioning of the farm and following are the primary
factors taken into consideration.

Reasons for Selection of the Site:

Adequate Feeding materials

Adequate labor at economical rate.

Adequate supply of water throughout the year.

The site is well connected with road facility.

Banking facilities and Government support.

Adequate Transport facilities for economical transportation of finished

product.

Nearest to the market.

Availability of labour at economical rate.

Adequate power supply.

As the area is developed, the setting up of the farm in this region will

help the people to progress both socially and economically.

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Financial assistance available from banks / NABARD for GOAT FARM
NABARD is an apex institution for all matters relating to policy, planning and operation in
the field of agricultural credit. It serves as refinancing agency for the institutions providing
investment and production credit for agriculture and rural development. It promotes
development through a well organised Technical Services Department at the Head Office
and Technical Cells at each of the Regional Offices.
Loan from banks with refinance facility from NABARD is available for starting For obtaining
bank loan, the farmers should apply to the nearest branch of a Commercial, Co-operative or
Regional Rural Bank in their area in the prescribed application form which is available in the
branches of financing bank. The Technical officer attached to or the Manager of the bank can
help / give guidance to the farmers in preparing the project report to obtain bank loan.
For Goat development schemes with very large outlays, detailed reports will have to be
prepared. The beneficiaries may utilise the services of NABARD Consultancy Services
(nabcons) having good experience in developing livestock projects for preparation of the
project report to avail the bank loan for the items such as purchase of breeding animals,
construction of sheds, purchase of equipments etc. The cost of land is not considered for
loan.

Scheme Formulation
A scheme can be prepared by a beneficiary after consulting local technical persons of State
Animal Husbandry Department, DRDA, Goat development Corporation, Co-operative society
/ union / federation and commercial farmers. If possible, the beneficiaries should also visit
progressive Goat farmers and government / agricultural university Goat farms in the vicinity
and discuss the profitability of FARM. A good practical training and experience in GOAT
FARM will be highly desirable. The Goat co-operative societies established in the villages as
a result of efforts by the Goat Development Department of State Government / Goat
Development Board would provide all supporting facilities, particularly marketing of live
animals and wool. Nearness of the Goat farm to such a society, veterinary aid and breeding
centre should be ensured. 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, Goat society / union / federation. The scheme should also include
information on the number of and types of animals to be purchased, their breeds, production

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performance, cost and other relevant input and output costs with their description. Based on
this, the total cost of the project, margin money to be provided by the beneficiary,
requirement of bank loan, estimated annual expenditure, income, profit and loss statement,
repayment period, etc. can be worked out and included in the scheme .

07. FEEDING MATERIALS

Required feeding materials are available in open market and the others can

be got from Gajapathi dist, which is near to the proposed Farm. There is no

problem anticipated regarding the availability of raw materials.

MAINTENANCE
Housing for Goat

Housing needs for Goat vary by climate, season(s) of lambing, and management
preferences of the shepherd. If lambing will occur during periods of inclement weather, more
elaborate housing is usually required. If lambing will occur on pasture during periods of mild
weather, simple shelters may be all that is needed.

Lambing percentages are usually higher when shed lambing is practiced. Housed Goat have
lower nutritional requirements, whereas Goat kept outside have fewer respiratory problems.

In addition, most operations need facilities where they can store feed, bedding, and
equipment. Hay stored in a barn or shed will maintain its quality better than hay that is stored
outside, even if the hay is covered. Equipment will last longer if it is housed under a roof.

Barns (and similar structures) are often built for the comfort and convenience of the
shepherd. During cold or inclement weather, it is easier and more enjoyable to care for Goat
that are housed. However, housing costs can add significantly to the investment costs of a
Goat enterprise.

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08. MARKETING

Lamb Marketing

Most Goat operations derive the majority of the income from the sale of lambs. As a result,
lamb prices have a large influence on profitability and viability of the Goat enterprise. There
are numerous options for marketing lambs and pros and cons to each method.

Lamb

Lamb vs. mutton

Lamb is the meat from a Goat that is less than one year of age. Mutton is the meat from a
Goat that is older than one year. Yearling mutton is intermediate between lamb and mutton
and comes from a yearling, a Goat between 1 and 2 years of age. Mutton has a stronger
flavor than lamb and is usually less preferred by consumers.

In the live animal, age is determined by the teeth (front incisors). In the carcass, age is
determined by the presence or absence of a spool or break joint. The break joint is a
cartilaginous area of the cannon bone that is not ossified (bony).  This joint ossifies with age
to become what is called a spool joint.

A lamb carcass has two break joints on the front shanks. The joints are red, moist, and
porous. The ribs of a lamb carcass vary in shape and have some redness on the exposed
surfaces. A mutton carcass has two spool joints. The ribs are wide, flat, and the color of
mature bone. A yearling carcass usually has at least one spool joint.

Demand for lamb

In the India, the per capita consumption of lamb is very low, less than 1 lb. per person. The
"average" American (of northern European descent) does not consume much lamb;
however, lamb holds a significant meaning in the observances of many religions and is a
dietary staple in many parts of the world. Lamb is the preferred meat for many Christian,
Jewish, and Muslim holidays. 

In the INDIA, the primary consumers of lamb are Middle Easterners (primarily Muslims),
Orthodox Christians (Greeks, Italians, Ethiopians), Jews, and Hispanics. Most lamb is
consumed on the East and West Coasts and in major metropolitan areas where large ethnic
populations exist. The demand for lamb is usually inelastic, meaning it is not overly sensitive
to price.

Lamb grading standards

Carcass
Lamb quality and yield grade standard shave been in existence for many years. Quality
grades indicate the palatability and eating characteristics of meat. INDIA lamb grades are
Prime, Choice, Good, and Utility. From 1989 to 2008, more than 90 percent of lamb
carcasses graded Choice. Fatter lambs grade Prime. With the ethnic market's preference for
lighter, leaner lambs, more lambs grading Good and Utility are showing up in the market

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place.

Yield grade standards estimate the percentage of closely trimmed, boneless retail cuts from
the leg, loin, rib, and shoulder. They are based primarily on the amount of external fat in the
carcass. The grades are 1, 2, 3, 4, and 5, with 1 being the leanest and 5 being the fattest.
Most lambs grade 2 or 3. In the commodity market, yield grade 1s, 4s, and 5s are usually
discriminated in price. 4s and 5s are too fat and heavy, while 1s lack sufficient fat cover and
quality.

Live
INDIA grades for live lambs are the same as the carcass grades. Because so many lambs
grade Choice, some states (e.g. Virginia and West Virginia) have split the Choice grade into
two grades. A Blue-O or Blue (Back) lamb is a Prime or high Choice lamb that is expected to
have a higher dressing percentage than a Red-O or Red (Back) lamb.

Some states in the Northeast (e.g. New York) have modified the INDIA grading standards to
better fit the needs of the ethnic markets. Lambs are graded as Blue, Red, or Green,
regardless of weight. Blue lambs are fatter and thicker than red lambs. Green lambs are thin
and/or in poor body condition; they are not considered market ready.

Feeder lambs

Feeder lambs are lighter-weight lambs (60 to 90 lbs.) that are usually sold to feed lots for
further finishing. They are sold according to weight and frame size, e.g. large, medium, and
small. Some states have devised their own grading standards for feeder lambs, primarily
separating lambs by weight. 

Feeder lamb grades have become less important, as almost any lamb is now deemed a
potential slaughter lamb, regardless of weight or condition. Lambs traditionally fed to heavier
finish weights are now sometimes bought by ethnic slaughterhouses, which prefer leaner,
lighter weight lambs for their holiday kill.

Grading is very useful. It provides an uniform description of livestock for commercial buyers.
It allows livestock to be co-mingled at the market place. It provides a uniform means to report
prices. With grades and other descriptors, you can compare prices of lambs sold in any part
of the India. Direct marketers can use reported market prices to help them price their lambs.

Age, weight, and sex

The age and weight at which lambs are slaughtered varies. Market weights varies from a 30-
lb. hot house lamb to a 160-lb. extra-heavy commodity lamb. While the average weight of a
slaughter lamb in the INDIA is about 135 pounds, the ethnic markets tend to prefer lighter
weight lambs.

Lambs are marketed between the ages of 2 and 14 months. Two-month old lambs are sold
as hot house lambs, whereas some feed lot lambs still have their milk teeth and spool joints
at 14 to 15 months of age. A hot house lamb is a milk-fed lamb that is usually born out-of-

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season (fall or early winter) and raised indoors. Hot house lambs are a delicacy favored by
Orthodox Christians, especially at the Easter and Christmas holidays.

Consumers generally show no significant preference for meat from whether, ewe, or ram
lambs. Ram lambs are leaner and gain faster than ewe and whether lambs, but some
(commodity) markets will discount intact ram lambs.

Shrink (drift)

Shrink is an important component of lamb marketing, especially when negotiating price.


Shrink is the amount of weight that a lamb loses during transport to market. Shrink is mostly
loss of stomach contents or “gut fill” during the first 20 hours off feed. After the first 20 hours,
the lamb’s body compensates for restricted water and feed intake by drawing moisture and
nutrients from carcass tissue.

Shrink due to trucking is highest in the first 50 to 75 miles. Length of transport increases the
amount of shrink. Lambs lose more weight in hot weather than cold weather. Lambs
consuming grass or forage diets will shrink more than those consuming concentrate diets.
Young lambs shrink more than older lambs. Five to 8 month old lambs usually shrink five
percent or more from farm to market weight.

Some buyers will apply a "pencil shrink" to lambs: 3 to 4 percent of the scale weight will be
deducted from the lamb. When lambs are sold on the rail, shrink is not important, as gut fill is
removed before the carcass is weighed. When making marketing decisions, shrink needs to
be considered as a cost. Shrink can be reduced some with proper handling.

Marketing options

Lamb marketing options fit into two broad categories: commodity and direct (to the
consumer).

Commodity marketing

Regardless of geographic location, the vast majority of lambs are sold into the commodity
market. This would include selling lambs at a public livestock auction; to an order buyer,
broker, or dealer; at a buying station; to a feed lot; through a co-op or marketing pool; or to
an abattoir. In the commodity market, you are selling a bulk, generic product. Identity is
generally lost in the marketing process. 

Commodity marketing favors large commercial and low-cost producers and those in close
proximity to terminal markets. A terminal market is one in which lambs are bought for
immediate slaughter. At many other sale barns, lambs are bought for resale at terminal
markets. 

Public livestock auctions 

Though marketing practices vary by geographic region and size of operation, the most
common method to sell lambs is to take them to a public livestock auction (also called
auction barn, sale barn, or stockyard). Some sale barns organize special sales prior to the
major Christian and Muslim holidays. Special graded sales are usually a better marketing

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option for quality lambs than weekly sales. Some sales will grade the lambs and co-mingle
them into larger lots. Other sales will offer each owner's lambs separately.

There are numerous advantages to selling lambs at a sale barn. It is easy. It is convenient. It
is always available. There are usually sales every week. Payment is guaranteed and prompt.
There are also several disadvantages. Price is not known ahead of time and can fluctuate
widely from week-to-week, as local supply and demand vacillate. There are fees to pay:
sales commission, yardage, and insurance. The prices received at local (low volume) sale
barns may be significantly less than the prices paid at regional or terminal (high volume)
markets. Lambs marketed at sale barns may undergo significant stress.

Public livestock auctions perform several important functions in the lamb industry. They are a
place of price discovery. Price discovery is the process of determining price in the
marketplace by the interactions of buyers and sellers. It is where supply meets demand. Very
often the prices received at auction barns are used to negotiate private treaty sales of lambs.
Sale barns give small producers more clout in the market place, as larger groups of lambs
are almost always more appealing to buyers.

Dealers, brokers, and order buyers

In lieu of selling lambs through a livestock auction, lambs can be sold to a livestock dealer,
broker, or order. Selling to a middleman saves the costs associated with selling lambs at an
auction barn. Price is negotiated ahead of time. The lambs may be picked up directly from
the farm or it may be necessary to transport the lambs to a buying station. When selling
lambs in this manner, it is important to know what lambs are worth to make sure a fair price
is being paid. The buyer should be licensed and bonded. A cash transaction is
recommended.

Marketing alliances and co-ops

Groups of producers sometimes work together to form marketing alliances or co-ops.


Usually, a co-op contracts slaughter and sells whole carcass or cuts to grocery chains or
other retail outlets. The co-op establishes standards (weight, grade, etc.) for the type of
lambs they will purchase. Unfortunately, few cooperative marketing schemes are sustained
over the long run.

Abattoir
Abattoir is the French word for a slaughterhouse or meat processor. Many producers, both
large and small, market their lambs directly to a processor. The lambs may be purchased live
or on a carcass basis. The price may be a spot cash price, a forward price, or a formula
price. 

Value-based marketing is possible when lambs are marketed directly to the processor.
Prices are based on the individual value of each lamb (carcass). Grid pricing offers a base
price, with a matrix of premiums and discounts, usually based on carcass weight, yield, and
quality grade. "Hitting the grid" can add value to the lamb, while "missing the grid" can reduce
the value of the lamb. A pricing grid can be developed for any carcass characteristic with an
economic value.

Direct marketing

Direct marketing is when lambs are sold directly to the consumer. Direct marketing takes

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many forms: freezer lambs; selling lambs at farmers' markets; selling meat via the internet;
including lamb in a (community-supported agriculture) subscription; on-farm sales of live
animals or meat; and selling wholesale or retail cuts to restaurants or retail outlets. Direct
marketing is also called niche and value-added marketing. The volume of product sold is
usually much less when lambs are marketed directly to the consumer versus selling
commodity lambs. 

In direct marketing, a larger share of the consumer's dollar is retained by the producer. Thus,
the income potential for direct marketing is substantially higher than for commodity
marketing, though costs (processing, transportation, etc.) are also much higher. The labor
associated with selling one lamb can be especially high. 

Direct marketing favors small-scale producers and those in close proximity to population
centers. It favors producers with "people skills." Marketing tends to require a different skill set
than producing. Successful direct marketers are passionate about what they are selling.
Many experts feel that direct marketing is the only way for small-scale producers to compete
with larger producers, due to the economies of scale.

Selling carcasses

Selling whole or half lambs for consumers to put into their freezers is the most common form
of direct marketing lamb. "Freezer" lambs are usually sold live. If the lamb is processed in a
federally-inspected plant, the lamb can be sold by hanging weight. The producer usually
transports the lambs to the processor. The customer provides cutting instructions and pays
for processing. The meat is stamped "not-for-resale." Processing charges vary considerably
by plant and location. Federally-inspected plants usually charge more than custom-exempt
plants. 

Customers for the freezer trade vary in the type of lamb they prefer to buy: size, age, diet,
etc. Grain-fed lamb is considered to be a premium product, because it produces milder-
flavored lamb. At the same time, there is a growing market for grass-fed and naturally-raised
lamb. Grass-fed lamb tends to be more healthful. Success in the freezer trade starts with
having a good processor. Good customer service will lead to repeat customers and referrals. 

Meat (retail, case-ready cuts)

More and more producers are selling lamb (and mutton) at farmers' markets. Buying "local" is
growing in popularity. In order to sell lamb at a farmers' market, the lamb must be processed
in a INDIA-inspected plant. The meat must be labeled. Requirements for selling meat at a
farmers' market will vary by state and market. Product liability insurance may be required. 
There may be licensing requirements.

There many ways to cut up a lamb carcass and customers will vary in their preferences. The
five primal cuts of a lamb carcass are the leg, loin, rack, shoulders, and foreshank and
breast. Different retails cuts may be obtained from the primal cuts. Sometimes, whole lambs
are purchased for roasting. Sometimes, the entire lamb is cut into chunks.

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Approximate yield (lbs) of various cuts from lamb carcasses
Carcass weight 41-55 55-65
   Foresaddle 21-25 25-35
   Hindsaddle 20-25 25-30
   Leg 6-9 9-13
   Loin 6-8 8-11
   Sirloin < 2 2-3
   Tenderloin < 0.5 0.5-1.5
   Rack 4-5 5-7
   Shoulder 14-19 19-23
   Flank < 0.5 1-1.5
   Breast < 2 2-3
   Foreshank 0.5-1 1-1.5
Source: Institutional Meat Purchase Specifications (IMPS, 1996)

View chart showing retail cuts of lamb ->

Slaughter options

Slaughter choices dictate direct marketing options for lamb and mutton.

On-farm

INDIA regulations permit on farm slaughter by the producer or owner of the animal. The
producer may not slaughter an animal for a customer, but the customer may slaughter it
himself. The producer must not assist the customer in any manner. The customer must
provide his own knives. Animals must be sold (live) prior to slaughter. 

It is important to note that some states do not permit on-farm slaughter by the customer.
Producers are advised to check local and state laws pertaining to on-farm slaughter of
livestock. Unfortunately, INDIA's on-farm slaughter exemption is open to interpretation. Some
people will claim that by allowing a customer to slaughter a lamb on a farm, the farm is a
"slaughter facility" and requires licensing. Others claim that there is no law that prohibits a
person from slaughtering his own livestock.

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On-farm slaughter remains an important aspect of the lamb market. Many ethnic customers
prefer to perform their own slaughter in accordance with their cultural and religious beliefs.
Disallowing on-farm slaughter by the customer could be perceived as a form of religious
discrimination. It may compromise the welfare of a lamb. On-farm slaughter spares the stress
of transport and allows the producer to ensure that ritual slaughter is performed in a humane
manner. 

INDIA allows the on-farm slaughter of poultry for resale, but not livestock. Eligible poultry
producers may process up to 20,000 chickens for resale to the public, but not a single Goat
or lamb can be processed for resale to the public.

Producing and selling Goat seedstock

Seedstock sales can greatly increase the income derived from a Goat enterprise. Seedstock
is another word for breeding stock, animals whose role is to be parents and contribute genes
to the next generation. 

Seedstock may be purebred or crossbred, registered or unregistered, rams or ewes. They


may be of any breed or breed cross, so long as there is a market for them. Some breeds and
breed crosses will have more ready markets. Demand will vary by geographic region and
segment of the Goat industry.

In the Goat industry, seedstock is produced by universities and agricultural research stations,
private companies, and individual producers. Breeding stock tends to sell for higher
(sometimes much higher) prices than lambs for meat. At the same time, production costs are
higher (sometimes much higher).

Most of the genetic improvement in the Goat industry occurs in the purebred flocks that
produce seedstock. These should be the "elite" flocks of their breed and the industry.
Selection should be for economically important traits. The traits that are emphasized in a
selection program will vary by breed and the role the breed plays in the commercial Goat
industry.

Economically important traits for commercial Goat production

Dam breeds Sire breeds


Libido
Early puberty Efficiency
Lamb vigor
Fertility Easy care
Lamb survival
Prolificacy Parasite resistance
Post weaning growth
Mothering ability Resistance to foot rot
Feed efficiency
Milk production Longevity
Carcass traits
Pounds of lamb weaned Fleece traits
Scrapie resistance

Though more difficult to quantify, Goat sold for breeding should be structural and
reproductively sound. Rams should be held to more stringent standards than ewes. 

Breed registries

Breed registries play an important role in the production and marketing of seedstock. Breed
associations set the standards for their breed, determine eligibility for registry, and advertise

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their breed to the Goat industry and agricultural community. Participation in the National Goat
Improvement Program (NSIP) is done through breed associations.

Higher standards of health

Goat producers that sell breeding stock should strive for high animal standards. Biosecurity
is of utmost importance. Closed flocks are recommended. Seedstock producers should enroll
their flocks in the Voluntary Scrapie Flock Certification Program, a monitoring program that
confers "scrapie-free" status after five years of scrapie-free monitoring. Rams should be
genotyped for scrapie. QQ rams should probably not be sold for breeding.

It goes without saying that seedstock flocks should be free from footrot, pinkeye, soremouth,
caseous lymphanenditis, epididymitis, and other contagious diseases. In the very least, the
presence of these diseases on a farm or in the past should be disclosed to potential buyers.
Ideally, the flock should be tested for OPP (ovine progressive pneumonia). Johne's disease
is another disease that is becoming of increased importance.

Performance record keeping

Seedstock producers should keep detailed on-farm records. Birth records should be
recorded. Lambs should be weighed to determine weaning weights and post-weaning rate-
of-gain. Weights should be adjusted for sex of lamb, type of birth and rearing, and age of
dam. Comparisons should be made among lambs in the same contemporary group (same
management and feeding regime).

Producers of terminal sire breeds (e.g. Suffolk, Hampshire, and Texel) are encouraged to
participate in central ram performance tests. A central performance test is where rams from
different flocks are brought to one central location where performance is recorded. 

The goal of a central performance test is to evaluate genetic differences among animals. Any
breed of ram can be consigned, but the data collected is of less importance to the maternal
breeds. Maternal traits are much harder to evaluate. 

Advertising

Seedstock do not sell themselves. Some forms are advertising are usually necessary. Signs
at the entrance to the farm on on the farm truck or trailer are a good start. Advertising in
newspapers and magazines should be considered. A web site is an excellent way to promote
breeding stock sales. There are many web sites that list farms for free. Exhibiting Goat at
shows, fairs, and festivals is another way to promote breeding stock.

Export

There is a growing export market for INDIA Goat genetics. India Livestock Genetics Export,
Inc. (ILGE) is a national not-for-profit trade association that facilitates the export of cattle,
swine, Goat, and goats to other countries.

There is a lot of paperwork associated with export sales. Animal health is the most important
aspect. Each country has requirements pertaining to the importation of live animals, semen,

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and embryos. Due to disease issues, some countries requirements are more stringent that
others. 

Diseases of concern for export include scrapie, bluetongue, foot-and-mouth disease, and
brucellosis. Due to diseases issues, semen and embryos have greater potential for export,
as they present limited disease risk. Scrapie and bovine spongiform encephalopathy ("mad
cow" disease) are the greatest barriers to international trade. 

10. PROJECT COST & MEANS OF FINANCE

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Rs in lacs

. Project Cost & Means of Finance: (Rs. in Lakhs)

Project cost Amount Means of Finance Amount


Land Own Capital
Building(Shed & Term Loan
Civil Works)
Animals
Equipments
Rucurring Expenses

Total Total

Partner’s Contribution %

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11. DETAILED NOTES ON PROJECT COST

Land:

The proposed Firm has already acquired land at The location is quite

suitable for setting up the Farm.

Buildings:

The Farm will proposed to construct premises with area of Sq. feet

with all necessary amenities at cost of Lacs

Animals

The Farm will proposed to purchase animals cost of lacs plus

insurance of Rs. & Transporting expenses of Rs. lacs..

Miscelleneous

The following machinery worth of Rs. lacs are required to run the Firm.
The Promoter have already approached reputed suppliers, and obtained
quotations and enclosed the same for your reference.

Recurring expenses:
An amount of Lacs provided recurring expenses

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12. DETAILED NOTES ON MEANS OF FINANCE

CAPITAL:
The Promoter capital was fixed at Rs. Lacs which will be contributed by
the Promoter and it will works out 26.67 % of the project cost of Lacs.

Term Loan:
The unit desires to avail Term Loan of Rs. Lacs. from   Bank/Financial Institute to meet part cost of the
project cost, which works out to 73.33 % of the total project cost of Rs. Lacs. The amount would be
repayable in 28 quarterly installments of Rs. Lacs each with a moratorium of nine months from the date
of commencement of Commercial Production.  However, the interest on the term loan would be
payable as and when it is applied on the account. The detail of the repayment programmed is placed in
this report.

13. SWOT ANALYSIS

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Strength:
1) The Firm is proposed
“K.K.GOAT FARM”.
2) The Promoter IS experienced in the line of activity for over half a
decade.
3) The products are essential with constant demand.
3) Availability of Labour.
4) Availability of raw material.

B) Weakness:
The Firm has to compete with the existing farms in the open market.
However, existing farms are far away from the raw material source the
Firm can compete with them. The Firm is one of its kinds in the area where
the market potential as well as raw material is substan tial.

C) Opportunities:
The Firm has an opportunity to enhance the existing Business and process
products.

(D) Threats:
The proposed Firm is a new Farm to the local market. The Processing of
lambs and its products in the Firm has to compete with the large farms,
which are in the market. In balance, there is adequate market share for
the Firm in view of the demand supply gap and also the possibilities of
export to other states keeping in view the eventual diversification into the
farming of Goats. The Firm would be in a position to counter in the threats
if any, because of Government and NABARD encouragement to small-
farms.

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14. UTILITIES AND SERVICES

POWER:

The Firm requires 25 H.P. of power supply under L.T. Limits. No

problems are anticipated with regard to obtaining of power supply.

WATER:

The Firm requires 1000 Liters of water per day, for domestic purpose. A

provision is made for bore well and overhead tank in the scheme under

the head Equipments.

EFFLUENTS:

There are no harmful effluents generated in the process. Pollution free

farm. No approval is required.

TRANSPORTATION:

The proposed Firm is located at from the proposed location. There is   no

problem for transportation of raw material and finished goods.

MANPOWER REQUIREMENTS:

The Firm will be employing 15 No of workers besides 3 No of

administrative staff. All the above persons can be recruited locally

without any difficulties.

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