Compound feed production as a business will be a profitable enterprise only if everything is properly organized. The agricultural industry today presents many perspectives. The constant growth of farms makes the demand for their services. People who contain large numbers of livestock always need nutritious and balanced animal feed. Therefore, the production of animal feed is one of the most successful business formats.
The main advantage of this area is the simplicity and ease of marketing. Agriculture often lacks feed, so even a novice entrepreneur has every chance to gain a foothold in this industry. In this review, we will examine what constitutes the production of animal feed as a business, and features of this area. In addition, we will make an approximate plan.
Production Features
Despite the fact that agricultural feed is today a highly demanded product, a newcomer to this business will definitely have to take into account the requirements of customers. Experienced farmers will never buy poor quality feed. It is imperative that the product you produce is balanced. It should contain all the trace elements and vitamins needed by the animal. Only in this case the livestock will be healthy. To do this, it is not necessary to adhere to ready-made recipes. You may well create new varieties of feed. Such diversity will attract new customers.
Raw materials
What is feed production as a business? The plan of this enterprise must necessarily include such an important point as raw materials. Typically, entrepreneurs use legumes and grains for production. Hybrid varieties may also be used in some cases. Compound feed production will produce regular profits only if you start to produce quality products. A farmer can easily determine how balanced a meal is. They very often give up poor composition of cheap products in favor of more expensive ones that are high in natural protein, trace elements, vitamins and other useful trace elements. If an entrepreneur can create a really good feed recipe, his products will always be in demand.
Profitability
How profitable is the production of compound feed at home? Of course, enterprises with large raw material production demonstrate the highest profits. However, to open such a business, quite large investments will be required - starting from 2 million rubles. But small entrepreneurs also have a right to exist. Of course, their level of profitability will be much more modest.
Before starting the production of animal feed as a business, you need to think about the distribution channels of finished products. Typically, entrepreneurs in this area work with consumers such as nurseries, farms, zoos and private individuals. In order to prevent products from stocking up in warehouses, most should be sold to wholesale customers. For this, it is recommended that at the initial stage of doing business, enter into supply contracts. You can also try to offer your services to government organizations. However, the most promising buyers are private households. Firstly, they are interested in buying a quality product, and secondly, they are willing to pay a high price for the goods.
Types of feed
What are they like? How to start a feed production business? We determine that granular raw materials can be intended for the preparation of feed for various animals and birds. Typically, cereals are the main ingredient. In order for the composition to promote livestock growth, it is necessary to add nutritional protein supplements to it. In addition, vitamins E, A and D must be included. Microelements and amino acids are also included in the feed. For individuals of different ages, the composition of the raw material may vary. Basically, the concentration of biologically active substances will change.
The relationship of composition and quality indicators
Many today are interested in a business plan for the production of animal feed. The requirements for this product are mainly based on providing animals with all the necessary nutrients.
The following indicators will depend on the composition of the feed:
- livestock growth and development rate;
- physical activity;
- speed of gaining muscle and fat mass;
- wool growth rate;
- egg production;
- the amount of milk received.
A balanced and nutritious diet is especially needed for birds and animals kept in closed enclosures and pens. The fact is that such individuals do not have enough free space to maintain the necessary level of physical activity. Therefore, their development and growth has to be stimulated with food.
Who is suitable for
Who can establish the production of animal feed? The idea of a business is perfect for owners of their own households. They can not only save a significant amount on the manufacture of feed, but also independently control their composition, select only the highest quality ingredients that are optimally suited for birds and animals.
Many farmers prefer to buy feed from large suppliers. Therefore, a business plan for the production of animal feed can be especially useful for novice entrepreneurs.
Product range
Large farms choose large producers also because of the wide variety of products. Indeed, different animals require different sets of ingredients and nutrients. Many manufacturers still create special product lines for young individuals, pregnant and lactating animals, and adults. The first category is characterized by a high content of nutrients.
Products are generally classified according to nutritional value. Concentrated feeds contain a large number of different nutrients. The balanced ones are additionally enriched with microelements and vitamins useful for animals. For daily use in farms, full-feed raw materials are usually used.
If you consider the production of animal feed as a business, then you can specialize in one type of feed, or several at once.
Release form
At the initial stage, you will also need to decide in what form you will begin to produce finished products.
The following options exist here:
- Granular feed: comes in the form of elongated or rounded lumps.
- Briquetted: this variety is characterized by an increased density of raw materials. It is made in the form of rectangular and square tiles.
The demand for a particular type of product for the most part depends on who the feed is made for. Large livestock farms prefer to buy products in briquettes. For poultry and pigs, loose and granular mixed feeds of medium grinding can be used. But how to determine which form of release will be more in demand? This question is asked by many of those who decided to immerse themselves in the production of animal feed as a business. Reviews from professionals will help you choose the right format. Specialists will also advise how to choose components and develop a composition. Note that after creating the recipe, you will definitely need to conduct the necessary laboratory tests and studies. The results of such an examination will prove the high quality of the nutritional value and usefulness of your products.
Business plan
What is he like? How to draw up an IP business plan? Combined feed production is an extremely specific type of activity that requires taking into account many factors. If necessary, here you can still take the help of specialists. Entrepreneurs with experience in the production of animal feed will help you correctly assess the real value of the finished product, determine the amount of necessary costs and the approximate demand for goods from farmers. If a novice entrepreneur is extremely serious and plans to open a large production with various product lines, then it is better to work in several directions at once. The wider the range of products, the more customers will be able to attract an entrepreneur. The end result will be a good profit for the entire enterprise.
What you need to get started
What is needed to establish the production of feed as a business? The first issue to take care of is the purchase of raw materials. As a rule, entrepreneurs in this area use meal and cake. High-quality straw and grain can also be used.
Additional components are:
- meat and bone meal;
- syrup;
- salt;
- vitamin and mineral supplements;
- protein premixes.
Production technology
What you need to know about this? The quality of the finished feed also depends on the production technologies used. For example, when releasing bird food, peeling grains is a must. For raw materials of a different type this is not required.
Most entrepreneurs today prefer to produce granular feed. This process consists of several stages. First, the raw materials are crushed on special equipment. The size of the obtained particles varies from 10 to 40 mm. After this, the raw materials obtained in the first stage are placed in a dispenser. There it is mixed with various additives. The quality of the finished product will depend on the accuracy of dosing of all ingredients. To mix all the components of the feed and turn them into a homogeneous mass, special equipment is used. After that, pellets are made using a press. Then the finished chilled products are packaged in bags.
In the production of bulk feed, the first process steps will be exactly the same. Packing of finished products is carried out immediately after mixing.
Room and equipment
What is needed to establish the production of feed? The idea of business requires significant costs to implement. If a novice entrepreneur decided to open a full-fledged automated production, he will need a fairly spacious room with professional equipment. It is also worth taking care of the place for storing raw materials and finished products in advance. There are no special requirements for the warehouse premises. The main thing is to be dry there.
All equipment in the production hall must be installed in accordance with the standards. Therefore, it is best to purchase specialized equipment from major suppliers who are also involved in debugging and installation. Ultimately, the quality of the finished product will depend on the quality of the technologies used. It should be borne in mind that the production of granular feed is a rather costly process. The purchase of one production line of sufficient capacity will cost you 1.5 million rubles.
Entrepreneurs reviews
Any type of business has its own characteristics. No exception and the production of feed as a business. Reviews of the owners of enterprises for the production of raw materials confirm this. Before starting such a business, it is worth thinking about distribution channels. If in the area where you plan to establish production, there are not enough consumers, the business may be unprofitable. Some difficulties still arise with the purchase of the necessary equipment. Choosing the right option can be quite difficult.