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Small dairy project on installment

King Carlos feeding his dairy calves.

King Carlos feeding his dairy calves.

Here is one investment scheme in a small dairy project that is especially designed for OFWs, retirees, and aspiring agri-entrepreneurs. It can be obtained through installment if one does not have the cash right away.

This is the Dairy Gold dairy investment scheme being offered by King Ranch Dairy Farm, which has a thriving milking herd in Rosario, Batangas. It is run by the father-and-son tandem of Alex and King Carlos. Based on their own experience, small scale dairying can be a good money-making proposition that can be undertaken in many parts of the country.

Here is how the scheme works. The investor can choose from three packages what he thinks best suits his circumstances. Package A consists of three Holstein-Sahiwal heifers that are already three months pregnant. Package B consists of five heads while package C consists of 10 animals.

The Holstein-Sahiwal crosses from New Zealand have been proven to be highly adaptable to the tropical climate of the Philippines. Each cow is priced at P130,000 and can be paid on installment within 12 months.

How soon can that investment be recovered? King Carlos explains that in a few more months after the recipient receives his pregnant animals, the cows will give birth and start producing milk up to 300 days. In the first year of milking, one cow can give an average of 10 liters a day which can be sold for P50 per liter or P500 per day for each animal.

As per their experience, King said, one can make a profit of P11,500 per month from each cow by selling the raw milk at P50 per liter. That means P138,000 per head in one year. Of course that could vary depending on how the animals are managed. He said that generally the cost of the cow and other expenses can be recovered in 16 months.

Aside from dairy farmer’s income from milk, the calves are an additional bonus. A female calf when raised to breeding age will normally fetch P80,000, according to King. On the other hand, a male that is raised for slaughter may sell for R40,000 in less than one year. When it is raised for breeding, the bull can fetch P55,000 per head.

The project does not require a big farm land. One hectare is enough to take care of the three cows in package A. The animals can be confined and fed on a cut-and-carry basis. The five-cow package can be taken care of by a two-hectare land. On the other hand, the 10-cow herd will need only three hectares in the first five years. By that time the herd would have increased and a bigger area may be required.

Each package includes a dairy farming starter pack composed of animal healthcare kit that consists of medicines, vitamins and minerals, and forage production kit that includes planting materials of Mombasa grass, star grass, and pakchong 1 or super napier.