Breeding & Fattening Unit

Brief description of the project(Annexure I)
 
The Canadian swine industry is an important part of global agriculture. The success of the Canadian industry owes much to advances made in Canadian genetic improvements and high health standards in the breeding sector. The development of the superior genetic quality of Canada’s swine industry, through performance testing and genetic improvement programs, is largely responsible for the progress made over the years. Canadian swine genetics are well suited to today’s pork quality needs. Canadian pigs are lean, fast growing, have a low feed conversion, a high lean carcass yield and superior eating qualities. Genetic improvement continues to be a leading factor for profitable pig production.

In India commercial hog production is relatively small, undeveloped and social and economic considerations make it a challenge to develop an efficient swine industry structure. Apart from the apparent challenges, the swine industry in India is intended to grow in all States to meet the needs of producers and for consumers for high quality pork products in niche markets.

Polar Genetics India Pvt. Ltd. has been identified as a Group that has the capacity, expertise and technical knowledge to lead the project in India. We have been identified as the key player to develop long-term cooperative relationships between all partners involved in the project.

The purpose of the project is to establish and operate a 50-sow purebred nucleus or multiplier piglet’s production unit, with project activities being overseen by a Board of Directors. For the development of a piggery unit in India, the project would require live pigs, frozen semen, computer record-keeping programs and equipment to be supplied from Polar Genetics India and Canadian partners. Computer record keeping based on Canadian Centre for Swine Improvement Programs will include detailed measurements of breeding pigs for herd replacement selections. The genetic evaluation program will be utilized to improve the genetic value of the herd as per India’s needs.

The project will also look to develop and maintain a high health status in their herds to ensure maximum production efficiency in productivity and performance. Consultation services are available for all fields in of swine improvement so that the gains from improved genetics can be fully captured. Assistance in health monitoring, nutrition, environmental controls and project planning are available for this project. Polar Genetics India Pvt. Ltd believes that this opportunity will result in positive impacts for long-term development of the swine industry in India. With the support of the Government of India and Canadian partners, Polar Genetics India is confident that the project can be successful and India’s swine industry can be developed.

Project description (Annexure II)
 
Land
The farmer should be owner or occupier of approximately 1 - 2 acres land. The land should be away from human habitat and other adjoining pig farms (if any). The selection of land will be done by Polar genetics India.

Site Development
Polar Genetics India will develop the site according to international standards. The crossbred multiplier breeding unit will be organized in a single housing site. The advantage of developing the site by farm management expertise shall be that the farmer will have significant economic benefit having
1. More effective disease control site due to bio security norms.
2. Optimum performance with maximum cost efficiency to meet the pigs nutritional requirements.
3. Precise record keeping using specialized computerized system.

Nucleus and multiple Herd
The purpose of the project is to eventually operate a 50-sow purebred nucleus or multiplier piglets production unit. The operation will reflect a 50 sow farrow-wean construction, with piglets further contracted to grazer farm/separate empty barns or purpose-built on site. Polar Genetics Canada and Polar Genetics India Pvt. Ltd. will work in cooperation with Indian farmers to operate the 50 sow operation unit. The unit will market any cull slaughter hogs and cull breeding herd animals. The commercial breeding unit will develop as a high health confinement facility, where the breeding stock is free from major economic animal diseases. High health breeding stock importation will initially consist of 50 purebred females and 4 purebred males to fill the breeding facility, thereby beginning the production process. Breeding stock for the unit would be sourced from Polar Genetics India, pigs which are selected for maternal traits and high productivity. With the cooperation of Polar Genetics India and Polar Genetics Canada crossbred of Yorkshire, Landrace and Duroc shall be supplied. The cross breeding will lead to high productivity with improved meat quality.
In full production, this purebred breeding herd could produces approximately 1,200 piglets annually, of which approximately 20 piglet /week shall be sold to Grazer Farming Unit.

Breeding/ Semen
The breeding farm, based on assembly line production, is a critical area that requires smooth operation in terms of ease and safety of breeding sows, whether by natural boar service or A. I. Established breeding procedures will be essential to ensure a high conception and farrowing rate and will provide high productivity from the herd. Appropriate centralized software and hardware for accuracy and ease of record keeping will be used to maintain productivity and performance records. Some of the breeding management will utilize A. I. from frozen boar semen as a basis for reducing genetic lag and easing worker loads. Semen will be purchased from Polar Genetics Canada; a high level facility for quality semen production. Gilts may be bred by natural service. It is still necessary for breeding boars to be kept in the herd to assist with heat detection, especially where the sows are being inseminated artificially.

Bio security
Appropriate health and bio-security protocols will be developed in conjunction with the available veterinarian identified and will be applied on site. The sites will meet all bio-security protocols/conditions with regard to surrounding pig units to ensure the health status of the breeding herd is maintained. A one-half kilometer radius free of other pigs will surround the sites. As well, minimum-distance sitting from neighboring residences is considered a requirement, to ensure the support of the local community.
Lagoons for liquid manure storage will meet all engineering specifications to ensure environmental guidelines are satisfied. Biogas production facilities can be established on site.

Feed supply (Pigs will strictly be fed on prescribed feed)
Feed represents an important operating cost in any commercial swine project. Feed will be supplied from a Polar Genetics India. Consistency of feed quality will be assured and planned production goals making optimum use of available feeds and striking balance in the swine herd will be monitored. Importation of protein supplements and vitamin/mineral premixes can be procured from Canadian/Indian sources.
Adequate feed tonnage manufacture is necessary as is the presentation of feed to the sows and growing pigs. Ad lib feeding of nursery piglets and grower pigs should be considered a benefit to growth rate and feed efficiency. Good equipment design from Canadian sources will ensures low feed wastage by pigs eating at the trough.
Benefits of split sex feeding include:

a) Lower feed costs
b) Prevent over or under feeding
c) Improved feed conversions
d) Improved growth rates

Management
Polar Genetics India has the technical and management capabilities to supply live pigs, frozen semen, computer record-keeping programs and Canadian equipment for the development of a pig operation in India. The project will look to develop and maintain a high health status in their herds to ensure maximum production efficiency in productivity and performance.

Consultation services are also available for all areas of swine improvement so that the gains from improved genetics can be fully captured. Assistance in health monitoring, nutrition, staff training, environmental controls as well as project planning are available for this project through a team of specialized partners that would need to be developed.

Centralized Computer record keeping based on the CCSI (Canadian centre for swine improvement) e-Farm management and improvement program will include detailed measurements and exotic genetic lineage on pigs for herd replacement selections. The CCSI database genetic evaluation program will be utilized for calculating EBVs (estimated breeding values). These are web-based programs that can be accessed on the Internet anywhere, anytime, for input and output of data transfers. Such programs will also track litter size and growth rate.

Risk
Investing in a purebred breeding pig production unit is subject to numerous risks. Efforts have been made to identify the major risk factors in putting this proposal together. Management specialists of the potential project activities will work diligently to manage these factors throughout the life of the project.

The following have been identified as potential risks that could be associated to the project:

a) The market may not be expected to develop quickly
b) Additional capital contributions could be requested
c) Cyclical market pricing nature of the hog industry
d) Changing environmental standards and regulations.
e) Animal disease breakouts


Terms & Conditions (Annexure IV)
 
PAYMENT SCHEDULE
1st Month
At the time of LOI – Rs 5.0 lakh
1. The farmer will have to pay Rs. 5.0 lakh as consultancy fee at the time of signing an intent to start the piggery farm.
2. The company officials will make a visit to the site and start the process of designing the outlay of the farm.
3. Thereafter fabrication team makes the visit for outlaying the final plan of sheds.

At the time of MOU – Rs. ……. lakh (for civil & fabrication work)
4. Farmer enters into MOU with company.
5. Commissioning and erection of whole plant is started.

Booking amount of Sows – Rs……… lakh
6. The farmer will have to book 20 sows at the first go.

2nd Month
Rest amount of civil & fabrication work – Rs. ….. lakh
1. Civil work will be completed in second month.
2. Fabrication work will be at its peak.

3rd / 4th Month
1. Completion of farm is done within this month.
2. Procurement of 11 livestock is done.
3. Farm operation will start.
Booking amount of sows – Rs…….. Lakh

4. The farmer will have to book next lot of sows.
5. Company will provide all medical consultancies, trained staff for farm visits

5th Month
1. Procurement of 11 livestock is done.

Booking amount of sows – Rs……….Lakh
2. The farmer will have to book next lot of sows.

6th Month
1. Procurement of 11 livestock is done.
Booking amount of sows – Rs……… Lakh

2. The farmer will have to book next lot of sows.

7th Month
1. Procurement of 11 livestock is done.

8th Month
1. Procurement of 11 livestock is done.

TAXES & DUTIES
Feed will also be provided by the company (at the cost of farmer including the logistics plus applicable taxes)

CONCLUSION
The project looks to setting up a farm as a facility in modern pig production and has identified the production and management expertise through cooperation efforts taking advantage of knowledge and technology transfer. In addition, the initiative will help India achieve a higher level of productivity and improved efficiency through the development of the Indian swine industry with Canadian superior genetics.

Canadian partners believe that this opportunity will result in positive impacts for long-term development of the swine industry in India. With the support of the Government of India, Canadian partners are confident that India's swine industry can be developed.

We believe that this opportunity will result in a profitable business as it ensures through buy back guarantee. The farmer will be free from the invested amount in a period of two to two and a half years from the date of production. (i.e. 1200 piglet/yr @ Rs………./piglet)