Sinamangal, Kathmandu

Project Management

A project plan for Reducing goat meat import in Nepal

Submitted To: Dr. Mahendra Prasad Shrestha

Submitted by:

Dipendra NepalDipta Raj Parajuli

Dipesh RijalRameshwor Prajapati

MBAe (VII Trimester)

TABLE OF CONTENTS

1. INTRODUCTION........................................................................................................................................1

1.1 BACKGROUND........................................................................................................................................11.2 OBJECTIVES............................................................................................................................................31.3 LIMITATIONS OF THE STUDY..................................................................................................................4

2. METHODOLOGY.....................................................................................................................................5

2.1 THE STRUCTURE OF THE PROJECT..........................................................................................................52.2 DATA COLLECTION AND ANALYSIS.......................................................................................................5

3 SWOT ANALYSIS....................................................................................................................................8

WEAKNESSES AND THREATS........................................................................................................................8STRENGTH AND OPPORTUNITY.....................................................................................................................8

4. STRATEGY..............................................................................................................................................10

4.1 REQUIREMENTS....................................................................................................................................104.1.1 Service Provider in Goat Promotion...........................................................................................104.1.2 Live Goat Marketing....................................................................................................................104.1.3 Live Goat Marketing for Meat Purpose.......................................................................................11

4.2 IMPLEMENTATION.................................................................................................................................142.2.1 Establish Farmer Managed Boer Goat Breeding Centers...........................................................142.2.2 Strengthen and Expand Goat Resource/Breeding Centers..........................................................142.2.3 Support Existing Commercial Goat Farms..................................................................................15

5. MILESTONES, ACTIVITIES AND SCHEDULE................................................................................15

6. CONCLUSION.........................................................................................................................................18

7. RECOMMENDATION............................................................................................................................18

8. Reference....................................................................................................................................................20

1. Introduction

Livestock production is an important agricultural sub-sector in Nepal, accounting for

approximately 39 percent of agricultural GDP. Numerous people are involved in the

production, slaughtering, processing, and trading of livestock and livestock products.

Over 2 million households own cattle, and over 1.4 million households raise chickens.

Livestock is also an integral part of the agricultural production system in Nepal.

Livestock are used for draft power in cultivation, and their dung is used to help enrich

soil fertility. In the Terai, bullocks and buffalo bulls pull carts used to ferry around

people, agricultural commodities, and inputs, while in the Hills and the Mountains,

mules, donkeys, yaks, and even sheep and goats are used to transport goods. In addition

to their use in production, livestock is also an important source of animal protein for farm

families through the consumption of milk, milk products, eggs, and meat, and an

important source of cash income. Sales of livestock, livestock products, and livestock

services make up a considerable proportion of the average farmers cash income.

By contrast, livestock production is the fastest growing sub-sector that makes a major

contribution to the agricultural sector overall.

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1.1 Background

Goat rearing is an appropriate intervention in a capital scarce situation and that it can

contribute significantly to household income without interfering with the main

occupation of the women.

The goat backyard based production systems are less capital-intensive than larger

enterprises and can often be financed by dormant rural savings.

These farmers largely depend on livestock for their existence. Traditionally, they are bulk

producers of milk and meat and most of them are unable to meet the requirements set by

financial institutions and other loan giving agencies for agricultural loans. Thus, the small

and land less farmers can get neither the opportunity to generate sufficient income to

support the family nor to extend the livestock activities. So, it is important to review the

present approach to not only to increase livestock productivity, but also to increase cash

income and self employment and thereby improve the lives of these farm families.

Increased production efficiency can be expected from goats because they have higher

reproductive efficiency with the potential for increased litter size, shorter gestation

intervals and relatively higher fertility compared to large ruminants. For these reasons,

small-scale farmers are more inclined to raise goats when feed is a major constraint.

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Production practices

Goats are grazed, fed on low quality crop residues and household waste. They have, due

to their smaller body size, obvious advantages over cattle as sources of meat and cash

income. Although cutting grass and grazing animals, are male dominated activities,

women play a very vital role in small ruminant activities, especially older women.

Children play a role in raising small ruminants and some about 4 hours a day. Women

clean goat houses and feed and water the animals.

Goat breeds

The major goat breeds found in Nepal are:

Khari,

Chyangra,

Sinhal,

Terai,

Jamunapuri crosses

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1.2 Objectives

The main objective of this project is to make our country Nepal self depended on goat

meat. Since we cannot drastically increase the production of the goat, for this purpose we

have kept 3 milestones. According to our milestones we will be decreasing the total

import of goat by 50% in 2012, by 75% in 2013 and by 100% in 2015. In the year 2015,

the demand of the goat will be fulfilled by the local produced goat breeds.

1.3 Limitations of the study

This study is focused mainly on reviewing the secondary information. One of the major

limitations in this project is lack of reliable and comprehensive information on

production, consumption, price and marketing channels and volumes going through these

channel and actors involved. Due to unavailability of reliable data on level of

consumption, supply of meat animals (goat) difficulties in projecting future demand and

supply for different geographical regions was encountered. Moreover, in absence of time

series information it was not possible to analyze in detail the historical gaps.

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2. Methodology

2.1 The structure of the Project

Firstly we will try to find out the projected goat meat for the five years from the data

collected. Then we will look for the different requirements that will be needed. Further

we will present the implementation plan to fulfill our objectives of reducing the total goat

import to 0 in year 2015.

2.2 Data Collection and Analysis

For this project the main source of the data is the secondary data.

To have the projection of figures, we have done the general ratio analysis. The analysis

has been shown in the tabulated form.

According to Development Indicator of ADB, the population of Nepal is 29.25 millions

(2009) with the annual population growth rate of 1.9. Now the population of Nepal from

year 2011 till next five years will be as projected below.

S.No. Year Population (millions)

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1 2011 30.38

2 2012 30.96

3 2013 31.55

4 2014 32.15

5 2015 32.76

From the data published by Ministry of Agriculture, the goat meat production of Nepal is

48472 Metric Tons (2009) with the annual meat production rate of 4.

S.No. Year Goat Meat (Metric Tons)

1 2011 52427.32

2 2012 54524.41

3 2013 56705.38

4 2014 58973.6

5 2015 61332.54

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According to Central Animal Quarantine Office, the net import of live goat is 295516

(2009) with the annual import rate of 6.8.

S.No. Year Net Import of Live Goat

1 2011 337073

2 2012 359994

3 2013 384474

4 2014 410618

5 2015 438540

We have taken on an average 21 kg per goats to estimate the total meat of goat from

import.

S.No. Year Net Import of Goat Meat (Metric Tons)

1 2011 7078.53

2 2012 7559.87

3 2013 8073.95

4 2014 8622.98

5 2015 9209.34

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3 SWOT Analysis

Weaknesses and Threats

Co-operation amongst existing small-scale goat farmers needed

Although goats are known to be highly resistant to diseases, other contamination

by insects, mites and other parasites which could prove detrimental to the health

of the goats

Theft of goats while out for grazing

Lack of funding and limited capital

Poor management practices

Strength and Opportunity

Low level of skill requirements and expertise for the operations of a goat farming

Goats can produce well in different environments and are widely distributed in

diverse habitats such as: mountain, hill, terai

Goats can live even when there are: water shortages, food shortages, very hot and

variable temperatures (changing from hot to cold.

Goats have a short gestation period (only 5 months) and often give twins. The

average kids per goat are thus 3 kids per annum.

Goats are well adapted to many environments

Goats are a very good source of income and food if well managed

Goat’s milk has more calcium, phosphorous and chlorine than cow’s milk. Goat’s

milk is better for the family as it has a “High Nutritional Content.” This means it

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is a very high quality food and very good for young and old. Some people cannot

drink cow’s milk. They have an “allergy” to it. This is why some children are

reared on goat’s milk when cow’s milk and all else has failed. Nobody is allergic

to goat’s milk. Higher prices can be obtained for goat milk.

In the space and using the same feed you need to keep a cow you can keep 6 to 10

goats. Goats thus do not need big areas to graze like cattle.

Goat farming uses small doses of medicine (drugs) which is cheap and easy to

maintain

Goats make very good manure. Droppings are used to improve crop yields

Goats require less labor and time per head compared to cattle

4. Strategy

4.1 Requirements

4.1.1 Service Provider in Goat Promotion

There are several service providers extending different services in following

Areas

Technical service: District Livestock Services Office and service centers, Agro-

vets

Financial services: Financial institutions (MFIs, Banks, Cooperatives), Poverty

Alleviation Fund, NGOs.

Marketing services: Private sectors (traders, meat entrepreneurs),

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Cooperatives, institutional consumers

The analysis of various actors mentioned reveals that there is not a single agency that is

strong enough to provide all kinds of services from single window. As a result, the

producers have to run around knocking different agencies for different services.

So we will work on to collaborate the different service providers so that the producers

will be benefited which helps in the production of the goat.

4.1.2 Live Goat Marketing

Live goats are marketed both for meat and breeding purpose. Live goats for breeding

purpose are procured in two ways.

i. By rearing farmers or the procurement committees formed by the farmers

groups.

ii. By the agency distributing the goats.

There are no established markets for buying breeding buck and doe where one can buy or

sale such animals. In most of the rural areas, buying and selling of breeding goats takes

place between farmers to farmers. The flow diagram of supply of breeding goats showing

different functionaries is presented below.

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Figure: Supply of Breeding Goats to Farmers

4.1.3 Live Goat Marketing for Meat Purpose

Live goat marketing for meat is largely a traditional business and it operates mostly

informally. There are different models in practice. In rural areas, where consumers have

direct contact with the producer farmers, there is no involvement of middleman. In the

district market centers (primary markets) and road side markets, the village traders and or

butchers/ vendors are involved between consumers and the producer farmers. But in

major markets like Kathmandu, Pokhara (terminal markets), many different supply

models operates involving different market functionaries. Nepal Food Corporation, a

subsidiary of the government sells some goats particularly during the major festival of

Dashain. The different supply chain and functionaries involved are presented below.

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Figure: Selling System of Goat Meat and Products

Figure: Marketing Channels for Goats and its Bi-Products

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4.2 Implementation

We will be following the 3 approaches listed below.

i. Establish farmer managed Boer goat breeding centers (targeted for promotion of

intensive goat production system).

ii. Strengthen and expand goat resource/breeding centers (targeted to meet the

demands of the poor farmers).

iii. Support the existing commercial farming systems.

2.2.1 Establish Farmer Managed Boer Goat Breeding Centers

Boer goat has gained worldwide (tropics to temperate) recognition for fast growth and

desirable meat quality. It reaches 40-50kg in 7 months of age and the mature weights for

buck and does are 90-130kg and 80-100kg respectively. It has received a high level of

appreciation by the Nepalese farmers too. Given the daily weight gain of 200gm/day

against 50-60gm/day for Khari goats, Boer has high potential to attract the youth and

increase the share of goat in national meat supply significantly.

2.2.2 Strengthen and Expand Goat Resource/Breeding Centers

We will have to manage the program to further expand the goat resource centers in

support of the poverty alleviation goat programs implemented by a number of agencies.

The goat resource centers should be supported with the followings.

i. Development and implementation of breeding plan.

ii. Recording facilities.

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iii. Pen construction on partnership basis.

iv. Intensification of farm boundaries with appropriate browse species.

v. Supply of improved (Boer) bucks.

vi. Business and technical skills.

vii. Necessary veterinary services through private practitioners and support to

maintain minimum basic veterinary drugs.

viii. Facilitation in borrowing.

ix. Implementation of insurance schemes.

x. Goat marketing.

2.2.3 Support Existing Commercial Goat Farms

We will have to support the existing commercial goat farms through training (feeding,

breeding, health, and business management), support in hygienic pen construction,

develop feed resource base, supply of improved bucks (Boer), and provision of veterinary

services through private service providers and support to maintain minimum basic

veterinary drugs, facilitation in borrowing, implementation of insurance schemes, and

goat marketing.

5. Milestones, Activities and Schedule

The projected goat meat in metric tones for the 5 successive years from 2011 to 2015 is

shown below.

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Goat Meat Forecast

59505.85 62084.28 64779.34 67596.58 70541.88

52427.32 54524.41 56705.38 58973.60 61332.54

7078.53 7559.87 8073.95 8622.98 9209.34

0.00

10000.00

20000.00

30000.00

40000.00

50000.00

60000.00

70000.00

80000.00

1 2 3 4 5

Year

Meat

(Metr

ic To

nes) Consumption

Production

Import

In order by meet our project objectives we will have the increase the production of goat

by 1, 79,997 in year 2012; 2, 88,356 in year 2013; 3, 69,556 in year 2014 and finally

4, 38,540 in year 2015 so that we are able to decreasing the total import of goat by 50%

in 2012, by 75% in 2013 and by 100% in 2015.

The chart of the Production forecast that will fulfill our objectives is given below

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Production Forecast

59505.85 62084.28 64779.34 67596.58 70541.88

7078.53 3779.94 2018.49 862.30 0.00

52427.32 58304.34 62760.85 66734.2870541.88

0.00

10000.00

20000.00

30000.00

40000.00

50000.00

60000.00

70000.00

80000.00

1 2 3 4 5

Year

Mea

t (M

etric

Ton

es) Consumption

Production

Import

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6. Conclusion

In order to meet our objective we have to emphasizing commercial production through

improved access to services, access to quality inputs like breeding stock, breeding

services, veterinary services, national disease control programs, marketing services and

enabling environment.

7. Recommendation

Improving relationships among stakeholders in the goat marketing chain for addressing

effective technology transfer, consumer education, the need to address environmental

concerns as well as establishing appropriate quality assurance, credit and marketing

management systems should receive attention.

The recommendation is as follows.

Strengthen and expand farmers managed 'Goat Resource Centers' for the supply

of quality breeding goats for distribution.

Increase the productivity, breeding efficiency and production of local goats,

crossbreds and exotic breeds to satisfy the needs and quality specifications

required by the market.

Train farmers in proper goat management prior to enrolling them on the goat

program. This includes a comprehensive and practical training on; goat health,

goat breed and selection, forages/ feed and feeding management, goat fattening

management, goat marketing and entrepreneurship development. In this way,

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losses are minimized benefiting goat raisers and resulting in increased

competitiveness.

Improve farmer’s knowledge about breed selection so as to overcome continuous

inbreeding. This is considered a serious limitation for goat breeding. In addition,

discourage the current practice of selecting healthy and good quality bucks for

religious sacrifices and the castration of good ones for meat production (negative

selection).

Ensure goat raisers have sufficient fodder and access to sources of alternative feed

supplementation options which is cost-effective (e.g. crop residues) throughout

the year. This is to ensure that goat raisers have access to a regular supply of

fodder and/feed so as to produce healthy goats which meets the market’s

requirements for goats with minimum body weight.

Strengthen market networks from villages, districts/ regional to national markets

and make marketing information system operational.

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8. Reference

http://www.doanepal.gov.np

http://www.adb.org/Documents/Fact_Sheets/NEP.pdf

http://www.moac.gov.np/publicatins/statistics/new/New Livestock.pdf

http://mof.gov.np/publication/budget/2010/survey.php

http://www.caqo.gov.np/index.php?pg=publications

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