a case study on emu farming in anand

Prepared by : DhavalKumar K Padhiyar

ACASE STUDY ON

EMU FARMING IN ANAND DISTRICT OF GUJARAT

STATE.

FLOW OF PRESENTATION

Introduction

Objective

What is Emu ?

What are the products of Emu and their uses?

Emu farming in India

Establishment of Emu farming project

Conclusion

References

DHAVAL K PADHIYAR MBA-IAB


INTRODUCTION

Emu farming is an emerging concept and diversifying conventional poultry industry.

This case study is based on the emu farming done by Emu Gujarat research and development centre which is biggest farm in Gujarat.

The owner of the farm is Mr. Mahesh Patel

The business is being handled by Mr. Priyank Patel

The natural alternative livestock business that has grown with the idea of doing the Business Naturally was started in the year 2007 in Village Ratanpura, District, Anand, India with 30 pairs of Emu birds and increased to more than 780 pairs of good breeders over a period of 5 years


CONT…

A key growth being its Services offered to the customers round the clock and being a significant player in the emerging Emu Industry has provided more than 6000 Emu birds and became a leader to set up more than 27 farms in 3 different states.

Dr. Mahesh Patel, the Founder of SETU Emu Farms, founded the NGO in the year 2002. Under his dynamic leadership, SETU has emerged as a leading Emu Farm driven by its own strategies of maintaining the Client Relationship and Technical Assistance round the clock.


OBJECTIVES

To study emu farming in Anand

To study about emu products and its uses.

Study of emu business plan and income.

To study about current market scenario of emu farming in Anand.


WHAT IS EMU ? The Emu is the largest native bird to Australia and the second

largest flightless bird in the world, surpassed only by ostrich.

The genus and species name of the Emu are Dromaius Novaehollandiae.

Emu birds are members of the ratite family along with Ostrich, Kiwi etc.

Emu’s are raised throughout the world and have adapted to a variety of conditions ranging from the cold winters to the extreme heat.

Normally Emu's lives up to the age of 30 years.

The Emu is a friendly bird, which can easily live in the grassy plains and dry open farms.

Emu height is 5 and 6 feet and weigh between 45 to 60 Kg.


EMU PRODUCTS

Emu eggs

Emu chicks

Emu oil

Emu meat

Emu feather

Emu skin

Emu nail


EMU EGGS

A mature Emu can lay 10 to 60 eggs in a year

The season of laying eggs is October to march.

Each Emu egg weigh 400 to 600 g with length of 15 to 19 cm and width 16 to 18 cm.

The current price of 1 Egg of emu is 1200-2000 INR.


EMU CHICKS

Emu chick weighs approximately 70% of emu egg weight, Emu chick breeds naturally or by using incubator at temperature of 37-40 degree centigrade.

Average incubation time ranges from 48 to 52 days.

Price of Emu chicks vary depending on its age.


CURRENT PRICE OF EMU CHICKS IN

GUJARATAge Price/pair (INR)

3 -4 month 6,000

6 month 8,000

12 month 14,000

18 -24 month 23,000 *

2-3 years 27,000 *

3-4 years 36,000 *

* The birds are being sold with buy back agreement


EMU OIL

Traditionally Emu oil has been used for treatment of muscle and joint pains. Clinical experience with Emu oil has shown that its two major benefits are its anti-inflammatory properties and its ability to penetrate the skin.

A mature emu having weight of 60- 70 kg can produce 6 to 10 liter of oil.

Research and development of Emu oil using in cosmetics and pharmaceuticals is rapidly expanding

Price of emu oil is 3000-4500 INR.


EMU MEAT

“Low on cholesterol, high on protein”

The most important is of course, its meat which is 97 to 98% fats free. Emu meat is rich in proteins; it contains plenty of iron, vitamin B-12, hence as the modern research shows 'emu meat is an excellent diet for people suffering from heart–ailments

Each bird can yield about 25 kg of meat.

Price of emu meat vary from 400 to 1200 INR/ Kg. Emu Chicken Lean Pork Lamb

Fats (g) 2.4 3.5 25.0 23.4

Protein (%) 20.9 20.1 20.2 16.6

Energy (kcal) 446.5 125.0 147.0 NA

Iron(mg) 3.0 1.0 1.0 1.55

Cholesterol (mg) 51.7 80.0 65.0 73


EMU – FEATHERS, SKIN/LEATHER, NAILS

Emu Feathers are double quilted, attractive and velvety to the touch. They are soft, light and non-allergic, which makes them the ideal material for fashion industries, art and craft industries.

Emu Skin is very soft and smooth; hence it has a great demand in international leather industry for producing new fashionable goods. A fully grown up bird can yield 6 to 8 sq. ft. leather

Emu Nails are polished, finished and designed in different ways to be used as various jewelry pieces for woman


EMU FARMING IN INDIA

The Government as per 1972 forest animal husbandry act for protection and raring of forest animals, has permitted Emu farming which offers great opportunity for foreign investments and export.

From a single farm in 1996, there are today 1000 emu farms in 14 states, with a majority of them in Andhra Pradesh, Maharashtra and other progressive states of India. The reason for the growth of emu farms today is the increasing demand for the bird’s meat and oil, which is believed to have medicinal properties, especially for treating joint pains. The population of Emu in India is above 2 lakhs.

There are around 40 Emu farms in Gujarat; that includes Surat, Palanpur, Mehsana, Vadodara, Anand, Rajkot, Bhavnagar and Kheda.


EMU ASSOCIATIONS IN INDIA

Indian Emu Association, Hyderabad

National Emu Association, Mumbai

Maha Emu Association, Baramati, Maharashtra

Emu Farmer Association, Pune


Establishment of

Emu Farm


REQUIREMENT FOR ESTABLISHMENT OF EMU FARM FOR MINIMUM 10 PAIR IN ANANDLand: For minimum 10 pairs of Emu (20 birds) minimum land

requirement of land is 100X50 sq ft. land. This land requirement is for mature emus. The land requirement is same for emu chicks because they require space for running for their better growth.

Fencing and small shelter :Fencing should be of welded wire or should be chain link with opening of (2 inch X 2 inch) non climbing wire. The height of fence should be 6 feet.

Normally in India two types of Emu pen (fencing) have been observed.

1. One pair per pen = size (10X50) square feet

2. Colony pen= size (50X100) square feet for 10 pairs=5000 square feet.

The size of shelter can be of 200 to 400 sq feet for 10 pairs. Which can be made of coconut leaves or asbestos sheet or plastic sheet.


CONT…

Water :Mature Emu needs 4-6 liter of clean water daily, one should make sure that a bird have access to clean fresh drinking water as daily water intake for each bird is most crucial for proper feed utilization and feed digestion

Feed : Emu need balanced diet for their proper growth and reproduction, in commercial farms average feed intake per Emu is 450g to 900 g. daily depends on breeding and non-breeding seasons. Emu eats Fruits, flowers, insects, seeds and green vegetables, stone, shell etc. Emu require 3 times food per day.


CONT…

Incubation and hatching facility :The incubation period of Emu eggs is 48 to 52 days. Length and successful incubation is greatly influenced by maintaining proper temperature and humidity in the incubator.

Labour: Single person can handle up to 100-400 of Emu birds.


FINANCIAL ASSISTANCE

With a view to diversify poultry industry, the Centre has launched Poultry Venture Capital Fund. "As part of this scheme, 50 per cent of the loan availed from banks is interest-free, once emu-farming project is approved by NABARD.

For obtaining bank loan, the farmer should apply to the nearest branch of a Commercial or Cooperative or Regional Rural Banks in their area in the prescribed forms which is available in the branches of financing banks.

Minimum 15% of down payment has been considered to be collected from the beneficiaries and maximum 85% of total finance outlay is considered as bank loan.


REPAYMENT OF LOAN

The loan can be repaid within 7 years in suitable monthly installments(6 installment /year) during October to march only.

The project report should be attached with land/ property paper (7/12 *8A) training certificate, buy back guarantee or agreement.


(A)FIXED CAPITAL INVESTMENT FOR 10 PAIRS

Fixed Capital investment Rate(INR)/unit Total amount (INR)

Fencing (1800 sq feet) 20 36000

Emu shelter 10000

3 month old bird, (vaccinated ,gender checked)

6000 60000

Feed and water post 5000

Water source (tube well) 60,000

Insurance of birds 7 % 4,200

Emu transportation cost 16000

Total 1,91,200


(B)WORKING CAPITAL FOR

INITIAL 15 MONTHFirst 15 month working capital

Rate (INR)/unit Total (INR)

Labour charge 2000/month 30,000 Average feed 600 g per bird per day; per month cost =(30x20x0.600)

18/kg

6480/month

97,200

Per bird per month cost 324/bird per month

---

Consulting charges 3000/month 45,000 Vitamin, medicine etc 5,000 Total 1,77,200

Total capital requirement= A+B =3,68,400/- INR


ANNUAL RECURRING

EXPENSES FOR 10 PAIR OF EMU Particular First 15

months2nd year12 months

3rd year 12 months

4th year 12 months

5th year 12 months

6th year 12 months

Feeding charges(INR)

97200 97200 97200 97200 97200 97200

Labour charges(INR)

30000 24000 24000 24000 24000 24000

Other misc expenses (vitamin, mineral etc) (INR)

5000 5000 5000 5000 5000 5000

Total (INR) 1,32,200 1,26,200 1,26,200 1,26,200 1,26,200 1,26,200


ANNUAL INCOME FROM PROJECT

particulars 1st year 2nd year 3rd year 4th year 5th year 6th year

Sale of eggs@ 1200 per egg; 15 eggs by each pair=150 egg from 1st laying year .(INR)

1,80,000

20 eggs by each pair=200 egg from 2nd laying year (INR)

2,40,000

30 eggs by each pair=300 egg from 3rd laying year (INR)

3,60,000

35 eggs by each pair=350 egg from 4th laying year (INR)

4,20,000

40 eggs by each pair=400 egg from 5th laying year(INR)

4,80,000

40 eggs by each pair=400 egg from 6th laying year (INR)

4,80,000

Total income from 1st to 6th year is 21,60,000/- INRValue of live bird =45000x10 =4,50,000/- INRTotal =26,10,000/- INR


ANNUAL PROFIT

Particular 1st year 2nd year 3rd year 4th year 5th year 6th year

Total annual income

1,80,000 2,40,000 3,60,000 4,20,000 4,80,000 4,80,000

Total annual recurring expenses

1,32,200 1,26,200 1,26,200 1,26,200 1,26,200 1,26,200

Annual gross surplus

47,800 1,13,800 2,33,800 2,93,800 3,53,800 3,53,800

Total gross profit in laying years =13,96,000 /- INRLive birds value =4,50,000 /- INRTotal =18,46,000 /- INR


MARKET FOR EMU PRODUCTS

The Emu Market in India is very fragmented and there is very little access to information about buying or selling of Emus and their products.

The main market for Emu meat, oil and eggs are Maharashtra, Haryana, Andhra Pradesh , Tamilnadu, Karnataka, Kerala, Punjab and Andaman Nicobar.

The market for Emu products is in developing stage

Currently there is no such market available for Emu products in Gujarat except egg and chicks

The current scenario is that of buy back of eggs and selling of chicks.


FUTURE DEVELOPEMENT

Emu feed industry.

Emu oil based industry .

Emu feather industry.

Emu leather industry.


CONCLUSION

For the farmers having less land(1 vigha or less) or having land in small parts can establish emu farm, labour requirement is very less as well as it is profitable business. Scope of Emu farming is very bright in Gujarat.

Setu seva emu farm provides consultancy for establishment of the project.

The key step for increased egg and bird production is GOOD FEED management and GOOD FARM ENVIRONMENT with good Farmed birds


REFERENCES

Dr Esakkimuthu V., Dr Srinivasa T., Dr. sethuraman B.,(2008) “Emu farming : status and Challenges”, Technical digest issue 11, january 2008, NABARD

http://www.agricultureinformation.com/forums/questions-answers/84020-emu-farming-profitable-business-2.html accessed on 20/04/2013

www.emugujarat.com accessed on 01/04/2013

www.emufarmstamilnadu.com/emu-farming-project-report.html accessed on 04/04/2013

http://www.emufarmingindia.com/buy_and_sell.html accessed on 29/04/2013

www.tallbirdemu.com accessed on 25/04/2013


Thank you

a case study on emu farming in anand

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