HATTON NATIONAL BANK LTD
COLOMBO
AGRICULTURE OPERATIONAL MANUAL
(VOLUME II)
TECHNO-ECONOMIC ASPECTS
March 2013
Hatton National Bank Ltd – Colombo
Index
Chapter
No.
Title
Page
T1
Crop Loans
3
T2
Plantation and Horticulture
Development loans
23
T3
Coconut Cultivation
33
T4
Farm mechanization loans
69
T5
Financing allied activities
97
T6
Poultry Development Loans
108
T7
Loans For Minor Irrigation
155
T8
Fishery development loans
168
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Chapter – T 1
CROP LOANS
1.0
Introduction:
The term 'crop loan' is commonly used for loans given to farmers for Seasonal
Agricultural Operations (SAO). It covers all expenses right from preparatory
activities necessary for raising various crops till their harvesting. These activities
include, ploughing, preparing land for sowing, weeding, transplantation, purchasing
and supply of inputs like fertilizer, pesticides and seeds and labour for all the
operations in the field for raising and harvesting crops. Thus the credit required to
meet all the expenditure for raising crops till the crops are harvested is considered as
“production credit” and is commonly known as “crop loan”. Since cultivation of
crops is seasonally recurring in nature, it is referred to as “Seasonal Agricultural
Operations”.
The period of such a loan is generally one crop season. In most of the regions of the
country there are basically two crop seasons:
♦ Yala – Starting from May to August e.g., paddy, onion, vegetables (beans,
carrots, cabbages beet-root leeks etc.)
♦ Maha – from October to late January e.g., Paddy Maize, Greengram,
Kurakkan,Thus, crop loan is required for four to six months in most of the
regions of the country, but the loan period often gets extended for early
requirement of cash for storing seeds and other inputs and in the post harvest
period for sale of the produce. In general, the time provided is at least two
months over the period that the crop takes from sowing to harvesting. For
some crops like banana, pineapple, sugarcane, which take longer time, crop
loan is provided for over a year up to 18 months. Thus the maximum period
under crop loan for such crops is generally upto18-20months.
2.0
Techno economic aspects of crops:
There are a number of techno- economic aspects of crops which are relevant in the
context of providing bank loans to intending borrowers. The following are the
important aspects discussed in the crop wise list given in the table at the end of this
chapter.
2.1
Crop season:
The planting and harvesting seasons vary with crops and locations. The planting
season from the point of view of financing banks is important for planning the peak
lending in tune with demand for loans. It is the planting season and the period
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immediately thereafter the bulk of the disbursements to input suppliers take place.
Branches therefore have to plan well ahead of the planting season to maximize the
credit off take. Noting the harvesting season is a part of loan follow- up and recovery
processes. The harvesting season, followed by on farm processing and time required
for marketing would decide the fixation of repayment schedules.
2.2
Crop duration:
The crop duration, generally classified as short (0-6 months), medium (6-12 months)
and long duration (>12 months) is an important aspect in agricultural advances.
While crop duration is relevant in case of seasonal / annual crops, the number of
crops per year is important in case of perennial crops. The crop duration and number
of crops per year is important for cash flow calculations and should be considered
carefully depending upon the crop being financed on a case to case basis.
2.3
Planting material:
The planting material could be seeds or seedlings as in case of many seasonal and
annual crops. In case of perennial crops the planting material may be seedlings,
rooted cuttings, grafts, budded plants or tissue cultured plants. If the planting used
is seeds, the ‘seed rate’, meaning the seed required per acre/ hectare becomes the
basis for costing. In case of seedlings and other plant material based on the spacing
the plant density is worked out to arrive at costing. The sourcing of plant material is
important both from qualitative and costing angle.
2.4
Gestation period:
In case of perennial crops the pre–bearing period or the time taken for
commencement of yielding is referred to as gestation period. In estimating the
development cost of horticulture and plantation crops the gestation period is to be
considered carefully as applicable to the specific crops being financed. The
development cost of plantation and horticulture crops expressed on a per acre/ per
hectare basis generally takes into account the first year planting cost plus the cost of
maintenance during the gestation period.
3.0
Seasonality in crop loans:
Credit delayed is credit denied. The crop loans should be made available in time to
meet the crop production requirements at various stages. Proper planning should be
done to collect and process the loan applications. A definite calendar of operations
should be prepared in respect of crop loans. Branches should identify the major
crops grown in their operating areas, ascertain the major cultivation seasons and the
sowing/transplanting periods and chalk out a calendar of operations well in advance
of each season. Based on the cropping pattern and calendar of operations, branches
should plan in such a way that loan applications are entertained well ahead of the
season, so that the loans can be disbursed, on getting sanction from the sanctioning
authority, coinciding with the sowing/transplanting period.
3.1
Crop could be classified broadly under three categories:
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Annual Crops:
Cereals
Pulses
Oil Seed Crops
Fiber Crops
Perennial Crops
:
:
:
:
:
Paddy, Maize, Jowar, Wheat etc.
Black Gram, Green Gram, Red Gram etc.
Ground Nut, Sunflower etc.
Cotton, Jute etc.
Tea, Coffee, Rubber, fruit Crops etc.
Based on season:
Maha (Oct to Jan)
:
Yala (May to Aug) :
Paddy, Maize, Greengram, Kurakkan etc.
Paddy, onion, vegetables
(Beans, carrots, cabbages, beet-root leeks etc.)
4.0
Scrutiny of applications:
Crop loan applications if properly filled in will provide the vital information needed
for credit evaluation and sanction. The data and facts mentioned in the application
are to be thoroughly scrutinized and verified during the Field/Farm Visit. The
scrutiny should ensure the following critical points are verified:
n Suitability of the
Ø proposed cropping pattern in regard to soil conditions,
Ø irrigation facilities
Ø quality inputs supply availability
Ø post harvest sales arrangements
Ø Farmer’s own involvement in farm activities and his experience
and ability etc.
n Loan evaluation should specify
Ø the loan amount recommended crop-wise,
Ø Considering the quantum of loan proposed to be sanctioned, if
it is considered necessary break-up for loan disbursements in
“cash” and ‘ kind” component is to be prescribed, for
monitoring end use of funds and
Ø indicative loan drawls,
n Periods of drawls for various crops and for various operations to plan
disbursements
n Period of harvest and marketing to be noted for proper follow up and
recovery
n Due dates to be diarized for follow up
n Security for the loan to be ascertained
5.0
Appraisal of Crop Loans:
The crop loan applications can be accepted under New Comprehensive Rural Credit
Scheme (NCRCS) or the bank’s own scheme. The flow chart of crop loan appraisal
system given in the Annexure-2 shows how the applications under NCRCS scheme
or the bank’s own scheme are taken-up for financing. The eligible crops under
NCRCS are specified by Central Bank of Sri Lanka (CBSL), whereas the crop loan
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under banks owns scheme could cover all the crops including those listed under
NCRCS. The appraisal of crop loans in terms of cost of cultivation, loan amount
differ between NCRCS and bank’s own scheme. Similarly, there are differences in
terms of ceiling on cropped area, rate of interest, security, disbursement and
repayment stipulations. These norms / guidelines are given in detail under
Annexure – 1 at the end of this chapter.
5.1
Scale of finance:
The quantum of finance for which a farmer is eligible is to be decided with reference
to the crop and the extent of land where the crop is proposed to be raised. It should
be ensured that the purpose(s) for the loan is to cover cultivation expenses like (i)
inputs purchases like seeds, organic manures, fertilizers and pesticides, (ii) labour
cost, (iii) farm equipment hire charges, if incurred and (iv) transportation cost for
transporting inputs to the farm and the harvested produce for sale to the market
place.
The cost of cultivation may vary from farmer to farmer depending upon the area of
cultivation, soil fertility, the type and variety of crop raised, and certain other factors.
But it is not possible for a bank to accommodate this variation among different
farmers. Therefore, it is convenient to fix crop wise per acre/hectare 'scale of finance'
(SOF), which would satisfactorily meet the requirement of majority of cultivators in
the area. With a view to minimizing the chances of under financing as well as over
financing, the Central Bank of Sri Lanka (CBSL), in consultation with Department of
Agriculture lays down the “scale of finance” reckoning the prevalent cost of inputs
and labour. The scale of finance announced by CBSL for the cropping season for
different crops is in Annexure -3.
CBSL undertakes a periodic review of SOF and announces the revision in the scale of
finance applicable for different crops. This will be communicated to branches
through a circular. Branches will have to adhere to the revised scale of finance if and
when so announced through the circular.
The farmer's requirement of cultivation expenses may be classified into two
categories: outlays which can be met primarily in “cash” like that for hiring of
labour (component “A”) and those which can be disbursed in kind as in the case of
purchase of improved variety of seeds, chemical fertilizers and pesticides
(component “B”). This facilitates monitoring the “end use of loan funds, the Branch
can, where it considers necessary, sub-divide the loan sanctioned under (i) “kind
component” where the loan is directly disbursed to the input suppliers for purchase
of seeds, fertilizers and pesticides and (ii) “cash component” where the loan is
disbursed in cash to the borrower for meeting expenses like cost of labour for various
operations like ploughing, planting/sowing, weeding, harvesting etc.
There may arise instances where there may be necessity to deviate from the laid
down scale of finance under the Bank’s own scheme. In such cases, the applicant can
be asked to submit an estimation of the cultivation expenses and the expected
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surplus. AO should thoroughly scrutinize the estimation sheet and confirm if the
working reflect the considering the good credit standing of the applicant.
5.2
Limits:
Normally limits are worked out on the basis of Scale of Finance (SOF). It
should be borne in mind that these SOF parameters take margins into
account. Therefore no separate margins need to be stipulated where the limits
are worked out as per SOF. In exceptional cases for progressive farmers the
bank may consider some relaxation in SOF. Based on the inputs received from
the farmer, AO can determine the cost of cultivation expenses using the work
sheet in Annexure.
5.3 Security/Collateral:
An essential feature of the crop loan system is that cultivator's eligibility for crop
loan and the quantum are determined not with reference to any tangible security he
offers but on the basis of the farm size, the crop he grows and the surplus he is likely
to generate on sale of produce. The repayment of the loan is expected out of the sale
proceeds of the crops. In sum, it is the cash surplus that generated from the activity
financed shall always be the source of repayment and as such is the primary security.
Collateral securities are sometimes taken by bankers as an alternate repayment
source for the loan. Collateral acts more as a deterrent on the borrower from
willfully defaulting on his loan commitment to the Bank. Further, if the bank had
encumbered his land or other properties, the borrower will be constrained to enlarge
his indebtedness, and also it will be the indicator for other financing agencies.
5.4
Repayment:
The due date for repayment of crop loans should be so fixed that it is not too distant
from the harvest and at the same time, a reasonable time is given to the cultivator to
process and to market the produce. No crop loans should be allowed a repayment
period of more than 12 months except in the case of banana, sugarcane and
pineapple where the period of loans may be allowed to run upto 18 to 20 months
depending on the variety. In the case of crop loans to be operated in over draft, it is
enough if the month alone during which the loan is to be repaid is mentioned under
repayment column without mentioning the actual due date. As a thumb rule 2
months grace period may be allowed, for repaying the crop loan, from the month of
harvesting of the crop for marketing and realizing the sale proceeds.
Adverse seasonal factors or natural calamities may result in failure of crops in certain
areas. In such cases, short term loans can be converted into medium term loans
repayable in two or three easy installments from future crops. Fresh short term
finance for raising crops may also be provided to such borrowers.
For ensuring banks to absorb the risk of non repayment of loans by the farmers when
the crops are damaged due to wide' spread natural calamities and not to disqualify
the farmers from fresh borrowings, there is a process known as conversion which
enables farmers to borrow fresh crop loan for the next crop season pending
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repayment of earlier loans. In this regard branches can be guided by the bank’s
guidelines issued from time to time.
5.5
Check list for appraisal:
The check list covering technical feasibility and other aspects of crop loan appraisal is
given under Annexure -4. The agricultural Officer / Manager appraising crop loan
proposals can use this check list to ensure that all the aspects of crop loan appraisal
are complied with before sanction is accorded.
Mode of Disbursement:
6.0
The disbursement of crop loan may be in one lump sum or in stages. In most
small loans, generally being crop loans, Banks tend to disburse the amount
directly to borrower for ease of loan administration. The end use is verified
later during farm visits.
Generally, a farmer can get a better price for inputs by paying cash and if
bank insists on paying direct to supplier, the farmer may feel that he is being
made to pay a higher price.
However, as earlier stated, if the crop loan is bifurcated into a ‘cash
component’ and “kind component”, cash component of the loan amount
would be disbursed directly to borrower to meet expenses relating to
production such as wages etc; ‘kind component’ would be released direct to
the suppliers of inputs for purchase of inputs such as seeds, fertilizers,
pesticides etc. under due authorization from the borrower to debit his loan
account and pay the suppliers for inputs supplied /services rendered.
7.0
•
Borrower should be given freedom to use the limit as per his credit
requirement. It is possible that a borrower may approach the bank to disburse
the loan (or part of it) on disbursement basis because he had already incurred
those expenses during planting season. It is also possible that in some cases
the borrower may not be in a position to produce receipts or other supporting
papers for his purchases / expenses. Such a request can be favorably
considered provided the AO / Branch Manager is satisfied about the inputs
having been purchased/assets having been created. AO should certify the
same before disbursement in such cases.
•
Similarly where cash disbursal has been made (credit to borrower’s SB
account), the AO will follow up with the borrower to obtain receipts /
invoices where possible.
Post Disbursement Aspects:
Manager/ Field Officer should visit the borrower’s farm at least twice during the
currency of the loan. The first visit should be made sometime after disbursement to
verify whether the crops have been raised according to the pattern given in the loan
application. Besides verifying the utilization, the visit will also help to establish
personal contact with the farmer who becomes aware that the Bank takes interest in
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his activities and progress. The opportunity could also be utilized to provide
guidance and advice on cropping pattern, pest control, input application etc. The
second visit should be around the period of harvest. This would help to assess the
crop condition, probable income and period of income and to prepare the ground
for recovery in time from out of harvest proceeds. Wherever possible more frequent
contact with the borrowers should be maintained.
The borrowers should be informed of the due date well in advance and recovery
should be arranged to be effected by keeping close touch with them during
harvesting and marketing seasons.
8.0
Other Aspects relevant to crop loans:
8.1
Estimating crop loan at the Macro level based on PLP:
There is a methodology to develop Potential Linked Plans at Regional Office level.
Accordingly, macro level data like) land holding distribution based on the size of the
land holdings, b) area under cultivation crop-wise area for the last 5 years, c)
distribution of gross cropped area among farmers (d) crop yield (e) price realized etc.
Based on such and other macro level data credit off take potential the extent of loan
requirement can be broadly estimated. Some general information like new crops
introduced, thrust areas decided by the Government, tie up arrangements for
marketing and present cropping pattern are also to be collected. Depending on the
past trend, acreage under those crops which are not expected to be covered through
bank finance should be excluded. The resultant crop-wise acreage, which is expected
to be covered through bank finance, should be multiplied with ‘scale of finance’ (per
hectare finance fixed for a particular crop) to give the total financial requirement. The
potential for crop loan thus worked out is to be allocated by RO to various branches.
The PLP exercise is considered a helpful guide for macro level credit planning at RO
or district level and the projections are utilized by bank branches for planning their
credit activities.
8.2
Schematic lending – cluster approach:
Wherever possible, branches may formulate schemes covering a large group of
farmers in a compact area for cultivation of crops. Such schematic lending, besides
helping the branches in reducing the cost of supervision and follow-up may also
facilitate sanction of higher discretionary powers (wherever necessary) than those
being vested with the branches by controlling Offices under such specific schemes
sanctioned by them. In areas where marketing or processing units are operating,
special schemes for cultivation of crops like sugarcane, cotton, coffee, banana etc.
under tie-up arrangement with such agencies can be formulated and financed.
8.3
Comprehensive crop development:
Comprehensive programs for productivity improvement of specific selected crops
can be launched in a compact area. The crop selected should preferably be a
commercial crop. In extensive food crop growing areas food crops can be also taken
up. The branches should select compact areas and concentrate on productivity
improvement. A comprehensive scheme should be drawn up, if necessary in
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consultation with experts in the line, with details of coverage of area, seasonality in
lending, quantum of loan per acre, seasonality in recovery and provision of inputs
etc. Under the scheme the bank can take responsibility to provide the farmers all
assistance, both monetary and non-monetary for successful raising of this crop.
Simultaneously branches should take all efforts to popularize the scheme in the area
and improve the coverage. The main focus should be on more coverage, adequate
and timely credit, provision of inputs services and technical guidance ensuring
optimum yield per acre and profitable marketing.
8.4
♦
Identify a suitable compact area with adequate potential and infrastructure
and with a wide credit gap.
♦
Select a suitable crop for intensive development.
♦
Convene a meeting of the farmers to explain the bank’s endeavour, facilities
available from the bank, profitability of crop and package of practices to be
followed.
♦
Draw up a comprehensive scheme indicating the area to be covered, scale of
finance to be adopted, provision of inputs and stages of disbursements,
seasonality in lending and recovery targeted optimum yield per acre,
arrangements for storing, processing and profitable marketing and forward
to Regional Office/ e for sanction of overall limit.
♦
Enlist assistance of the experts to draw a profitable crop rotation and
selecting suitable crops/ varieties.
♦
Enlist maximum number of farmers to be covered and complete formalities
relating to collection of applications etc. well ahead of the season and prepare
a calendar of operations to ensure provision of timely credit, inputs and
services.
♦
Take steps to popularize and provide the package of practices by circulating
adequate literature on these crops as well as conducting result and method
demonstrations by coordinating with the extension agencies of the
Government and Universities.
♦
Arrange for processing, storage and marketing of produce.
♦
Examine the export potential and arrange for export marketing wherever
possible.
♦
Make arrangements for periodic group discussions of farmers, branch
officials and crop specialists.
Overdraft facility for multiple crops:
Farmers may be raising different crops in different seasons during the same year. In
such cases, the total annual crop loan requirements of the farmers for raising various
crops can be sanctioned by way of aggregate “overdraft limit” instead of providing
multiple crop loans of fixed tenor .This will also obviate the need for submitting crop
loan application for each crop to be raised by the applicant during the year and the
need for obtaining fresh documents every time. The proposal for such overdraft limit
should clearly indicate the nature of crops proposed to be raised, extent of cultivation
of each crop, season for sowing and other operations and harvest of crops. Branches
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should ensure that the drawl and remittance in the overdraft limit synchronize with
the period of cultivation and harvest of crops respectively. The overdraft limit is
valid for one year and when continuance of the limit is required, proposal for
renewal should be obtained well ahead of the date when the limit will lapse.
The annual credit requirement can be obtained in the following tabular form for
quick assessment of the seasonal requirements, the drawing power and for fixing the
repayment schedule
Season
S. No
Crop
Extent
Planting
Harvesting
Eligible
loan
amount
Time
schedule for
disbursement
Time
schedule for
recovery
The total credit requirement, assessed as above for all the crops, should constitute the
eligible quantum of the applicant and the loan documents should be obtained for this
aggregate amount. Branches should adhere to the disbursement and recovery
schedule depending on the seasonality of each crop as per the calendar of cropping
operations worked out. Branch should also ensure that the borrower adheres to the
proposed cropping pattern.
8.5
Crop loans for seed production:
Quality seed is one of the essential inputs for good crop production. This can be
either to the units directly engaged in production of seed or indirect production
through contracting out for production. Indirect production includes production of
hybrid/high yielding seeds by the farmers under tie-up with reputed producers of
seeds. These entities will arrange for supply of foundation/ registered seed in case of
high yielding varieties or parent material in case of hybrid seed, to the farmers and
procure the produce from the farmers. These agencies should have adequate
facilities to carry out processing of the seed produced. Thus providing crop loans to
seed production activities can enhance crop loan portfolio of the bank substantially.
8.6
Contract farming:
Contract Farming is an attempt to bring together the growers and the end users by
avoiding the middlemen and thus getting an assured market and better price for the
farmers. At the same time the users get an assured source of suppliers of agri
commodities in required quantities and of quality.
Contract farming is defined “as agricultural production carried out according to an
agreement between a buyer and farmers, which establishes conditions for the
production and marketing of a farm product or products. Typically, the farmer
agrees to provide agreed quantities of a specific agricultural product. These should
meet the quality standards of the purchaser and be supplied at the time determined
by the purchaser. In turn, the buyer commits to purchase the product and, in some
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cases, to support production through, for example, the supply of farm inputs, land
preparation and the provision of technical advice.
The contract requires the farmer to plant the agreed crop on his land, and to deliver
to the contractor a quantum of produce (calculated based on projected yield and
agreed acreage). The prices are also pre-agreed. On its part the corporate generally
supplies the farmers with seeds, other inputs and technical advice where necessary.
While the basic structure of contract farming is same, the terms and nature of the
contract may differ according to variations in the nature of crops, agencies, farmers,
and technologies available, etc.
The forward sale agreement system already in practice could be used by branches to
enhance their participation under contract farming.
Crop list – Techno economic aspects
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Crop list - techno economic aspects
Planting Harvesting
Crop duration(months)
Short Medium
Long
(0-6)
(>12)
(6-12)
Plant
harvests per year
Season (months)
Type of loan
density
Planting
material
Spacing
Repayment
seed rate/ Gestation Economic yield (t /
Rooted
period
life
ha
cuttings /
Crop
Development
loan
loan
ha
1.0 Cereals
1.1 Paddy
} Irrigated
M
P
seed
30 kg
8
P
} Rainfed
Y
P
seed
150 kg
5
P
1.2 Maize
Y &M
P
seed
60x30 cm
20 kg
5
P
1.3 Sorghum
Y &M
P
seed
60x30 cm
8-10 kg
3
P
1.4 Finger millet
M
P
seed
30x15 cm
3 kg
3
P
M
P
seed
40 x10 cm
30 kg
0.8
P
Y &M
P
seed
30x15 cm
35-40 kg
1.5
P
Y &M
P
seed
40x5 cm
50 kg
3
P
Y&M
P
seed
45x15 cm
1.5 - 3
P
Y&M
P
seed
60x25 cm
1-2.5
P
4.1 Big onion
Y&M
P
seed
² kg
100-156 plants/ m
6-8.5
15-25
P
4.2 Chilli
Y&M
P
seed
45x30 cm (RF), 60x45
74,000cm
plants/ha
(I)
(RF), 37000 plants/ha
1-3.0
(I)
P
4.3 Potato
Y&M
P
15-25
P
1.5 Kurakkan
2.0 Pulses
2.1 Blackgram
2.2 Chickpea
2.3 Cowpea
2.4 Greengram
2.5 Lentils2.6 Pigeonpea
2.7 Red dhal
2.8 Soyabeans
3.0 Oilseeds
3.1 Gingelly
3.2 Groundnut
3.3 Mustard
3.4 Sesame
3.5 Sunflower
13-16 kg
4.0 Commercial crops
4.4 Red onion
4.5 Sugar cane
4.6 Tobbaco
Page 1
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period
(years)
Hatton National Bank Ltd – Colombo
Crop list – Techno economic aspects
Page 2
Planting Harvesting
Crop duration(months)
Short Medium
Long
(0-6)
(>12)
(6-12)
per year
Season (months)
harvests
Crop list - techno economic aspects
Planting
material
Plant
Spacing
density
seed
rate /
Gestation Economic yield (t /
ha
period
life
ha
Type of loan
Development
period
loan
loan
(years)
5.0 Horticulture crops
5.1 Vegetables
x Upcountry
5.1.1 Beans
x Bush bean
Y&M
x
seeds
50x10 cm
75 kg
6 - 10
x
x Pole bean
Y&M
x
seeds
60x45 cm
50 kg
9 - 12
x
Y&M
x
seeds
30x10 cm
10-11 mt/yr
5.1.4 cabbage
Y&M
x
seeds
50x40 cm
200-250 g
11.2
x
5.1.5 Carrot
Y&M
x
seeds
25x3 cm
4 kg
15-40
x
Y&M
x
seeds
15x10 cm
3000-4000 g
30-40
x
Y&M
x
seeds
25x30 cm
5 kg
20-50
x
x
seeds
80x50 cm
300-400 g
10
x
15
x
20-25
x
5.1.2 Beetroot
x
5.1.3 Butter bean
5.1.6 Green bean
5.1.7 Knolkhol
5.1.8 Leeks
5.1.9 Longbean
5.1.10 Radish
5.1.11 Tomato
5.1.12 winged bean
Y&M
x
5.1.15 Bitter gourd
Y&M
x
seeds
1.5 x 1.0 m
5.1.16 Brinjal
Y&M
x
seeds
90x60 cm
5.1.17 Capsicum
Y&M
x
5.1.18 Ladies finger (okra)Y & M
x
seeds
90x60 cm
x
seeds
x Lowcountry
5.1.13 Ashplantain
5.1.14 Ashpumpkin
250 g
6-15
x
4.5 kg
10-15
x
3x3 m(local var.),1 kg
2.5x2.5 m (Ruhunu)
15-25 t
x
5.1.19 Luffa
5.1.20 Pumpkin
Y&M
5.1.21 Snake gourd
5.1.22 leafy vegetables
P a g e |14 Agriculture Operational Manual - Techno-Economic Aspects March 2013
Repayment
Crop
Hatton National Bank Ltd – Colombo
Crop list – Techno economic aspects
Page 3
Crop duration(months)
Short Medium
Long
(0-6)
(>12)
(6-12)
per year
Season (months)
Planting Harvesting
harvests
Crop list - techno economic aspects
Planting
material
Plant
Spacing
density
seed
rate /
Gestation Economic yield (t /
ha
period
life
ha
5.2 Fruit crops
5.2.1 Amberalla
5.2.2 Avocado
5.2.3 Banana
5.2.4 Beli
5.2.5 Carambola
5.2.6 Citron
5.2.7 Dragon fruit

5.2.8 Durian

cuttings/
2x2 m
seedlings
10 tonne
5.2.9 Grape fruit
5.2.10 Grapes

2025Mt
5.2.11 Guava
5.2.12 Jack fruit

5.2.13 Lime

5.2.14 Lomonime

5.2.15 Mandarin
5.2.16 Mango
Y&M
budded/grafted
10x10 material
cm

5.2.17 Mangosteen

5.2.18 Melons
5.2.19 Papaya
2.5x2.5 m

5.2.20 Pineapple
10000 plants
5.2.21 Passion fruit
seedlings/cuttings/grafts/seed
5.2.22 Pomogranate
5.2.23 Rambutan
10x10m

100 plants
100-150 kg
5.2.24 Strawberry
5.3 Roots, tuber and rhizome
5.3.1 Cassava
5.3.2 Dioscorea
Y
M
tubers
1x1m (greater yam), 1x0.5 m (lesser yam)
corms
1x1m
5.3.3 Innala
5.3.4 Kiri Ala

4000 mother corms/acre
16-18
55,000-60,000 cuttings
18-22
5.3.5 Manioc
5.3.6 Sweet potato
Y&M
vine cuttings
90x20cm

P a g e |15 Agriculture Operational Manual - Techno-Economic Aspects March 2013
Type of loan
Repayment
Crop
Development
period
loan
loan
(years)
Hatton National Bank Ltd – Colombo
Crop list – Techno economic aspects
Planting Harvesting
Crop duration(months)
Short Medium
Long
(0-6)
(>12)
(6-12)
Plant
Planting
year
Season (months)
harvests per
Page 4
material
Spacing
density
seed rate /
Gestation Economic yield (t /
period
life
ha
ha
6.0 Plantation crops
6.1
Coconut
6.2
Rubber
6.3
Tea
end of
rainy
season
7.0 Spices
7.1
Betel
7.2
Cardamom
7.3
Cinnamon
bark
seeds,
twice rooted
colour into
brown
in a
year
1.2 x 0.6 m
13890
cuttings 1.2 x 0.9 m
and air
1.2 x 1.2 m
layering
9260
6950
2 to 2 ½
70 - 80
470 kg of
years
years
quills/ha.
Seeds( 15
to 20
7.4
Cloves
7.5
Cocoa
7.6
Ginger
months
6.0 m x 7.25 m
old
seedlings
)
rainy
season
seed( 4
months)
or
3mx3m
vegetativ
1100
4th year
e
7.7
Lemongrass
7.8
Nutmeg and
Mace
7.9
1
10 months
2-3
seeds or
mont by
hs
suckers
rainy
season
seeds
Maha and
Pepper
Yala rains
rooted
twice
pepper
a year
cuttings
60 cm x 60 cm
3 months
6mx6m
2.5 x 2.5 m
1700
7.10 Turmeric
7.11 vanilla
weather
is not too
shoot
cuttings
rainy or
8 feet x 5 feet
too dry.
P a g e |16 Agriculture Operational Manual - Techno-Economic Aspects March 2013
Type of loan
Crop
Development
loan
loan
Repayment
period
(years)
Hatton National Bank Ltd – Colombo
PADDY CULTIVATION
The key aspects that should be borne in mind in paddy cultivation are briefly
discussed below.
Selection of quality seeds:
Selecting good quality seeds to harvest a healthy crop is very important.
That's why cultivators go for pure seeds for their chosen rice variety, which
are full and identical in size, free of weed seeds, and seed-borne diseases,
insects and other matter.
By using quality seeds;
§
It will minimize seeding attempts
§
Produce a good quality crop
§
Reduction in replanting
§
Uniformity in plant size
§
Resistance to pests and other diseases which would affect Paddy
cultivation
Important Rice Varieties incude traditional varieties like .Samba, Sri Lankan
Red Rice, Keeri Samba, Supiri Samba, Supiri Nadu, Nadu Rice, Badhabath etc.
and hybrid varieties viz. BG-300, BG 94-1, Bg-403 and BG-407 etc.
Preparation of Land:
Land preparation refers to the procedure of arranging the cultivation area, in
the best possible condition for Rice cultivation, ensuring the land is level and
hydrated matching to the needs and requirements of the rice seeds planted.
Preparation is done via machineries or by water buffaloes.
Crop Establishment:
Crop Establishment refers to managing a series of steps that includes, seeding,
seed germination, seedling emergence and its development up until its stage
of maturity, with other factors such as soil, climatic, biotic, machinery and
management procedures. Crop Establishment can be done in two methods;
Transplanting:
This method is much favoured across Asian countries, which also requires
more labour and back-breaking effort. It is the process where selected seeds
are planted on a seed bed, where the seeds are allowed to grow until they are
mature enough to go to the field. After that, pre-germinated seedlings are
manually transferred from the seed bed to the wet field.
Direct Seeding:
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It is the process where dry seeds or pre-germinated seeds and seedlings are
spread throughout the cultivation area by hand or planted by machinery.
Irrigation and Management:
Cultivated paddy has a higher sensitivity towards water shortages. They are
in need of a steady supply of water, and it tends to immediately react by
developing symptoms of water stress when the supply is disturbed and drop
below the required.
Therefore to ensure golden crop the cultivators should always maintain a
sound water management systems ensuring sufficient amounts of water
reaches every rice plant from its birth to the final stage of its life.
Nutrient Management:
Like every living being, plants also need varying nutritional factors at various
stages of life. By maintaining the situation of a flooded rice field; farmers and
cultivators have the ability to preserve soil organic matter as well as receive
free nitrogen from natural sources. If the Nutrient Management halts by
maintaining the above level, you will produce a crop of about 3 tons per
hectare, without artificially applied nitrogen fertilizer. If a higher yield is the
target, more nutrients should be provided.
Crop Health Management:
Crop Health management is essential. As the crop flourishes, it charm pests
and diseases of various kinds to thrive in the crops' healthy grow. Before
using pesticides and other artificial methods, it is best to prevent any negative
conditions from continuing, which might attracts rodents, harmful insects,
viruses, diseases, and weeds.
Another method that could be adopted is to create an anti-eco-system for the
pests and diseases, which would naturally decrease the negative impacts from
unwelcoming guests and situations to the minimal.
Harvesting:
Harvesting refers to the best period to collect mature rice crop from the rice
field. Rice crops usually mature within and around the period of 115-120 days
after crop establishment. It can be done both manually and mechanically.
Though manual harvesting is common across Asia, it is highly a labour
intensive process which requires 40 to 80 man-hours per hectare.
Post-Harvesting:
Post-Harvest procedures are undergone depending on their immediate usage
after harvesting. Preliminary stages that quickly follow harvesting stage are
drying, storing, milling, and final processing. Out of the abovementioned
P a g e |18 Agriculture Operational Manual - Techno-Economic Aspects March 2013
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stages, drying is the most important factor as the storage capability is
determined according to retained moisture levels. Delays In drying, partly
drying or ineffective drying will reduce the quality and will lead to a greater
loss of harvested crop.
System of Rice Intensification (SRI)
Package of Practices:
Selection of Land: Medium Upland, Medium Lowland & Lowland areas are
very much suitable for
SRI cultivation. In case of Medium Upland &
Medium Lowland, the presence of irrigation facility would be helpful for the
cultivation.
Land preparation: 4-5 ploughing is required for preparing the land & in the
last ploughing, we need to ensure it is upto a depth of 6 inches
Selection of Seed: For Medium Lowland & Lowland, any improved variety
of 150 days duration and for
Medium Upland, any improved variety of 120 days duration can be selected
Seed Requirements: 1 Kg seed is required for 33 decimal plot or 3 Kg for 1
acre of land
Seed Treatment: Take a bucket of clean water; put the entire seed in the
bucket full of water for 12 hours. Then take it out and dry it in shade and add
Bavistin Powder (Carbendazim) @ 3 gm/kg of seed & keep the seed in a wet
gunny bag for germination
Nursery Preparation: For 1 acre of ‘Transplanting’, we need to prepare 6
small beds (size 20 ft X4 ft). Prepare drain for drainage of excess water during
heavy rain on four sides of the bed. Apply 25 kg of FYM in each of the bed.
Then spread the treated and partly germinated seeds in the nursery bed very
thinly. We have to develop the nursery bed in a corner of our main field for
easy transplantation.
Main Field Preparation: During the last ploughing, we need to apply 35 Kg
DAP & 20 Kg MOP on 1 acre of main field and mixing it with the soil
properly. In the main field also, we need to prepare drains (4 sides of the
main field as well as in the middle of the plot at a distance of every 20 ft).
Transplantation: Take seedlings of 8-14 days old for transplantation
(depending upon occurrence of a good rain). Pull the seedlings from the
nursery bed very carefully (do not disturb the roots) by using a Spade or
Kadai or Plate
P a g e |19 Agriculture Operational Manual - Techno-Economic Aspects March 2013
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As the nursery plot is in the corner of the main field therefore, we need not
carry the seedlings very far. The spacing we need to follow is 10 inch X 10
inch and transplant single seedling maintaining the proper
Spacing (take a rope of 40-50 ft length & mark it after every 10 inch by a
nail/wood/plastic etc.). After completing one row, the rope can be shifted for
transplantation of another row.
Inter-culture & Top dressing:
1. First top dressing is usually done 15-20 days after transplanting (Weeding
is done & application of Urea @ 12 Kg/acre is recommended)
2. Second top dressing is usually done 30-35 days after transplanting
(Weeding is done & application of 10 Kg MOP and 18 Kg Urea is
recommended for 1 acre of land)
3. Third top dressing is usually done 45-50 days after transplanting (Weeding
is is done & application of 10 Kg MOP and 12 Kg Urea is recommended for 1
acre of land)
Detail of Investment for one acre of SRI cultivation: (approx)
S.No.
Input Requirement
1
Seed
2
Bavistin Powder
3
Fertilizers
a
• DAP
b
• MOP
c
• Urea
Total Cost/acre For one Acre
Quantity
Amount in LKR
3Kg
10 Gm
45
10
35 Kg
40 Kg
42 Kg
Appx.LKR
420
280
252
1,000
Input cost indicated need to be verified
Important points to be taken care of during the practice:
1. There is no need of holding water of 2-2.5 inch on the main field but
maintaining a water of 0.5 inch is sufficient
2. There must be provision of alternate drying and soaking of the plot, which
will help positively in the production
3. For crop protection –visiting the plot regularly should be ensured
4. Put some sticks inside the plot to help birds to come and sit, which will help
us in protecting the crop
Expected Yield:
6-8 Tons/Ha can be achieved by following the PoP
P a g e |20 Agriculture Operational Manual - Techno-Economic Aspects March 2013
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Vegetable Cultivation
•
Upcountry vegetable farming system – Upcountry vegetable farming
system is the major vegetable production farming system in Sri Lanka.
The vegetables that are resistant to cool climate are cultivated in areas
like Nuwara Eliya due to their cool climate. Most of the planting
material and seeds are imported. Continuous cultivation is done on
high sloppy lands in small plots, with soil conservation methods. This
farming system can supply the entire upcountry vegetable
requirements.
•
Agro-well related vegetable farming system: It is essential to store
water for dry season in Dry zone and Intermediate zone. One of the
major problems in using agro well water is the accumulation of
chemicals in ground water, due to application of agro chemicals.
•
Protected culture: In this system high value and quality crops are
cultivated in polytunnels. This system is used to reduce the damage as
much as possible due to external environment, provide optimum
condition to get maximum yield with high quality crops. Also modern
cultivation methods are used in this system.
Selection of suitable crop:
• Climatic requirements: The main factors are rainfall pattern,
temperature, wind and relative humidity. It has to be ensured that the
climatic conditions are suitable for the crop chosen. E.g., due to low
temperature, some crops are restricted to Nuwara Eliya district.
• Soil properties: Soil texture, structure and toxic substances affect to
plant growth. Nutrients’ absorption of the plants grown depends on
alkalinity/ soil acidity. For instance, for paddy cultivation, soils with
high water holding capacity is needed and if the soil is of high salinity,
suitable variety should be selected. For crops like potato, loose soil is
suitable, while deep soil is suitable for perennial crops.
• Growing season: Some crops are sensitive to amount and period of sun
light. The intensity of sun light is high in Yala season than in Maha
season. Therefore some crops give higher yield in Yala season. But some
rice varieties are not light sensitive. Also the period of time that receives
sunlight in Maha season is shorter than the Yala season. But higher yield
can be obtained by cultivating in proper season for light sensitive
varieties.
• Labor availability and cost: Labor cost is one of the major costs in
farming activities. Deployment of modern farming equipments will
P a g e |21 Agriculture Operational Manual - Techno-Economic Aspects March 2013
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economise to a certain extent on this cost. It is important to reckon labor
requirement while selecting the crops. For instance, continuous shoot
removal is needed for some tomato varieties.
• Inputs availability: Inputs availability like quality seeds, fertilizer and
water should be reckoned. High expenditure is needed when importing
some seeds. Some times higher expenditure associated with transporting
raw material like fertilizer. Select drought resistant crops and varieties
when selecting crops for water scared areas.
• Market demand: Vegetables are most perishable and as such need to be
sold within the shortest time. The final objective is achieved by selling
after harvesting in crop cultivation. The profit or loss depends on
demand in the market. And market demand is also different. Hence
proximity to the demanding market needs to be considered first. And
there is a huge difference between customer demand and export
demand. Therefore select and cultivate crops based on the target market.
Also it is important to select crops based on storage facilities, processing
facilities and transport facilities. Because, refrigerator facilities are
needed to store harvest for long period of time some crops. Also
transport facilities should be selected according to the distance to
market. Otherwise necessary actions should be taken to store by post
harvest methods. Therefore cultivation and variety should be selected
after considering all the necessary factors.
Chapter – T 2
Plantation and Horticulture Development loans
P a g e |22 Agriculture Operational Manual - Techno-Economic Aspects March 2013
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The term Plantation crops refers to those crops which are cultivated on an
extensive scale in a large contiguous area, owned and managed by an
Individual or a company. The crops include tea, coffee, rubber, cocoa,
coconut, arecanut, oil palm, cashew, cinchona etc. These plantation crops are
high value commercial crops of greater economic importance and play a vital
role in economy.
•
They contribute to national economy by way of export earnings.
•
Plantation industry provides direct as well as indirect employment
lo millions of people.
•
Plantation industry supports many by-product industries and also
many rural industries.
•
These crops help to conserve the soil and ecosystem.
Plantation crops are often classified as beverages (tea, coffee, cocoa), nuts
(coconut, arecanut and cashew) spices (cinnamon, cardamom, pepper,
nutmeg and clove) and other crops like rubber. Plantation crops in most of the
cases are also unique in requiring invariably further processing before
consumption.
Horticulture as a terminology is all encompassing to include a wide variety of
crops, (i) growing of fruits (Pomology) (ii) cultivation of vegetables including
potato and tuber crops (Olericulture) (iii) commercial flower production
(Floriculture) (iv) Medicinal and aromatic crops (v) Mushroom production. In
promoting crop diversification horticulture crops are important and have
several distinct advantages:
•
Produce higher biomass than field crops per unit area resulting in
efficient utilization of natural resources
•
Are highly remunerative for replacing subsistence farming and thus
alleviate poverty level in rainfed, dryland, hilly, arid and coastal
agro ecosystems
•
Have potential for development of wastelands through planned
strategies
•
Need comparatively less water than food crops
•
Provide higher employment opportunity
•
Are important for nutritive security
•
Are environmental friendly
•
Are high value crops with high potential of value addition
•
Have high potential for foreign exchange earnings and
P a g e |23 Agriculture Operational Manual - Techno-Economic Aspects March 2013
Hatton National Bank Ltd – Colombo
•
1.0
Make higher contribution to GDP
Plantation crops
A subsistence form of agriculture prevailed in Sri Lanka before the 16th
century. But with the arrival of the Portuguese in the early part of this
century, plantation agriculture began to develop. Tea and rubber were
introduced to the country in 1870s and cultivation of these crops together
with coconut expanded rapidly in the subsequent years. Large extent of forest
lands were cleared and brought under these crops resulting in distinct
plantation crops sector. The plantation crops sector started in the 16th century
continues to be an important contributor to the economy of the country and
uses a large percentage of the agricultural land. Tea, rubber, coconut and the
minor export crops such as cinnamon, cardamom, cocoa etc are considered as
plantation crops.
Plantation crops like Tea, Rubber and Coconut are cultivated in varying
extents of land and contribute nearly 3% of the GDP as at FY 20091 employs
around 750,000 people. The total annual foreign exchange earned by this
sector is in the region of Rs. 160 billion i.e., nearly 20% of the total export
earnings and 84% of the total agricultural exports.
1.1
Plantation crop status – 2011:
Particulars
Units
Tea
Rubber
Coconut
Production
Kg mn
328.6 (a)
157.9
2808
Total extent
Ha ‘000
222
127
395
Extent bearing
Ha ‘000
185
-
-
-
-
102
-
Cost of production
Rs / kg
350.00 (b)
120.50
-
Cost of production
Rs / nut
-
-
10.00
Colombo auction
Rs / kg
360.68
508.8
-
Export (f.o.b)
Rs / kg
510.41
535.4
-
Production price
Rs /nut
-
-
27.56
Export (f.o.b)
Rs / nut
-
-
39.15 (d)
Replanting
Ha
1202
2847
1518
New planting
Ha
28
1534
1501
1.3 (c)
1.2
1.4
Area under tapping
Average price
Value added as % of GDP
Source : CBSL Annual Report 2011
(a) Including green tea (b) includes green leaf suppliers profit margin (c) in
growing and processing only (d) Three major coconut kernel products
1
Source: Agriculture in Sri Lanka P a g e |24 Agriculture Operational Manual - Techno-Economic Aspects March 2013
Hatton National Bank Ltd – Colombo
only Due to various Land Reform Acts enacted by successive governments
since independence especially after 1956, the large estates have been
fragmented. There are small holders of tea, rubber and coconut who
cultivate extents of lands as small as 0.5 ha
2.0
Horticulture crops:
Fruit and Vegetable Sector has much potential to contribute to increase the
level of national income, export revenue, generate new employment
opportunities, increase farm income and enhance the nutrition and health of
the people. The potential for cultivating fruit and vegetable crops for the
domestic and export markets is high.
Sri Lanka’s per capita consumption of fruits and vegetables remains far below
the required average daily intake – as against the recommended daily intake
of 200g of vegetables, average per head consumption in Sri Lanka is only
about 94g per day With economic growth and increasing income levels of the
people there will be increasing demand for fruits and vegetables in the local
market and the supply has to be increased as indicated above to match the
increasing demand.
The opening up of the North and the East, which are mainly agriculture
producing areas increases the potential to grow fruits and vegetables in Sri
Lanka. The strategic location (altitude and longitude – nearness to equator)
makes the country ideal for growing varied kinds of fruit crops. The Sri
Lankan fruits and vegetables are in high demand abroad. However, a major
challenge faced by exporters is not lack of demand, but finding exportable
quality fruits and vegetables in sufficient quantities for export.
The sector is dominated by small scale informal farmers and a major source of
income and employment in the regions. The government has recognized the
need to get the formal private Sector involved in this sector, especially in the
areas of processing, developing seed and plant material and provision of
modern technology, machinery, equipment and other related services.
According to statistics available with the Department of Agriculture, out of
the total agricultural land under cultivation in Sri Lanka about 20% is used to
grow fruits and vegetables.
Table 1: Area, production and productivity of fruit crops - 2009
Crops
Extent (ha)
Production (mt)
Productivity
(t/ha)
Avocado
2286
12076
5.28
Banana
48044
383784
7.99
Cashew
21836
6305
0.29
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Guava
1287
4556
3.54
Lime
10302
4490
0.44
552
1748
3.17
Mango
26120
67941
2.60
Orange
5354
4145
0.77
Papaw
6120
24258
3.96
Passion
fruit
466
409
0.88
Pineapple
4782
51611
10.79
Pomegranat
e
843
5499
6.52
Rambutan
4687
29490
6.29
Watermelon
159
8349
52.51
132838
604661
Mandarin
Total
Source: Dept. of Agricultural Statistics, 2010
Table 2: Area, production and productivity of vegetable crops - 2009
Crop
A.
Up
country
Production (mt)
Average
yield (t/ha)
Ø
Beans
7910
40153
5.08
Ø
Beetroot
2693
26664
9.90
Ø
Cabbage
4016
62774
15.63
Ø
Carrot
2896
35830
12.37
Ø
Knolkhol
1435
12289
8.56
Ø
Leeks
1680
26793
15.95
Ø
Radish
3342
33889
10.14
Ø
Tomato
7137
73917
10.36
31109
312309
Total (A)
B.
Low
country
Extent (ha)
Ø
Ash plantain
8449
77633
9.19
Ø
Ash pumpkin
976
9582
9.82
Ø
Bitter gourd
4170
39692
9.52
Ø
Brinjal
10762
106381
9.88
Ø
Capsicum
3287
14406
4.38
Ø
Cucumber
3092
31757
10.27
Ø
Okra
7230
56549
7.82
Ø
Red pumpkin
9197
107319
11.67
Ø
Snake gourd
3167
33421
10.55
Total (B)
50330
476740
Grand total (A+B)
81439
789049
Source: Dept. of Agricultural Statistics, 2010
3.0
Other Critical Points to be considered for Loan Appraisal
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3.1
In areas where the subject plantation / horticulture crop is not a
traditional one, it is necessary to study the various requirements of the
crop and confirm that all the requisites like climate, soil, water for
irrigation etc. are congenial for the selected crop. In this regard, the
branch may get the opinion of the commodity Board
concerned/Department of Horticulture on the suitability of the area
and ascertain the extent of technical guidance that can be made
available to the farmers by them. Without such technical guidance a
crop in a non-traditional area can be difficult to be taken up by farmers
3.2
Factors like average rainfall, temperature (minimum and maximum),
humidity, etc., should be examined. Areas subject to frequent hail
storms, thunder storms etc., and occurrence of frost or frequent
fluctuations in minimum and maximum temperatures particularly
during the flowering season should be avoided.
3.3
Suitability of soil for the proposed crop should also be considered. For
example, while fruits can be grown in a wide range of soils, porous,
well drained and at least 15 cm. deep soils are to be preferred. The soil
should be of uniform texture with a water table at least below 3 m. Soils
with hard pan, Kankar etc. and those which are either very heavy or
very light should be avoided. The pH requirement which varies among
the crops should also be carefully examined by soil and water analysis.
3.4
Based on the topography, the requisite soil and water conservation
measures including drainage facilities have to be determined and
provided for in the project cost.
3.5
Suitable fencing is a must to protect the orchard and plantations from
menace of cattle and wild animals and poaching by the intruders.
However, huge investment on this, disproportionate to the project
outlay should be avoided. While barbed wire fencing may be preferred
in case of estate plantation, it is advisable to advocate for live fencing in
respect of smaller holdings
3.6
Source and adequacy of irrigation to provide lift irrigation as well as
supplementary irrigation, particularly during the hot periods should be
carefully examined. The suitability of the water should also be ensured
by proper water analysis if necessary.
3.7
Wherever feasible water saving devices like sprinklers, drip irrigation,
etc. should be considered subject to financial viability.
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3.8
The project should take into account the requirement of crop specific
infrastructural / investments such as erection of trellis for grapes,
propping for bananas, staking for tomato etc. In case of plantations like
coffee, tea and rubber arrangement/availability of processing facilities
must be ensured. In respect of large plantations, necessary provision for
construction /remodeling/ renovation/ extension of processing houses
with required machinery and equipment must be made in the project
3.9
Availability of quality planting materials of high-yielding, pest/disease
resistant clones should be ensured. In respect of large plantations,
establishment of own nurseries can be included as a part of the project.
Certain crops require special practices for preparing the planting
materials like grafting in mango, layering in guava, budding in roses
etc. Adoption of tissue culture planting material can also be considered
wherever required.
3.10 There are various forms of layout to be considered along with spacing
while taking up the plantations or orchards. The forms of layout include
square system, triangular/hexagonal system, rectangular system and
hedge system (single/double/triple). While the square system is
suitable in flat areas which facilitate cross-wise cultivation, the
triangular/hexagonal system is found better for undulating areas where
cultivation is not to be done for fear of soil erosion. The latter system
also accommodates 15 per cent more number of plants. Rectangular
planting with lesser spacing between the plants in the row and wider
spacing between the rows is also followed on the hilly slopes. Hedge
system which is essentially a high density method of planting is
popular in crops like pine apple, tea etc.
3.11 Whether the farmers are receptive to modern practices as recommended
by the Department of Agriculture/Horticulture/ Universities/Research
institutions in the area need careful consideration especially when a
crop is grown for the first time in the area.
3.12 Wherever desirable, inter-cropping must be done as it gives reasonable
returns to the grower even during the gestation period of main crop,
besides keeping the plenty of inter-space available between the plants
weed-free during the initial years under cultivation. The inter-crops
should be raised only where the lands are flat or the slopes are gentle.
Where the slopes are very steep, inter cropping should be avoided. The
selection of inter crop should be such that it should not interfere with
the cultivation of main crop. Once the main crop comes to yielding
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stage, the raising of inter-crops should be stopped lest their cultivation
adversely affects the yield of the main crop.
3.13 Cultivation of inter-crops (If the chosen intercrop has a long life, as for
example, pine apple in coconut garden or pepper vine on the shade
trees grown in coffee plantation, the cost of rising the inter-crop can be
taken as capital cost. If the inter-crop is seasonal, provision for raising
the inter-crop in the first year can be made.)
3.14 Where planting of trees is taken up on field bunds (e.g. coconut), the
loan requirement may be decided based on the input cost worked out
on individual plant/tree basis.
3.15 Shade raising of shade trees (temporary/permanent) to protect the
plants from the scorching effect of sun as required in some plantations
like coffee, tea etc., should be looked into. However it may be noted that
this is losing popularity because better results are being obtained
without shade or with very light shade where other practices, such as
trimming, weeding, and fertilization are followed
3.16 Infrastructure: Infrastructural facilities like construction of
labour/supervisor quarters, processing houses, laying of farm roads etc.
may also be included to the extent they are necessary, taking into
account that such investments do not affect project viability.
3.17 The planting material of the required quantity and quality is procured
by beneficiary from reliable sources such as nurseries of Universities or
State Government or any other nurseries approved by the concerned
department of the State Government etc
3.18 Make a realistic estimate of yield and price in respect of horticultural
and plantation crops in view of the fact that the price is actually a
forecast of the price in the distant future which may be even 6 to 8 years
in the case of crops with long gestation period and that most of the
horticultural crops like mango, grapes etc. are perishable which is one
of the critical factors for unpredictable price fluctuations both in the
domestic as well as export market. In this regard, the yield fluctuations
due to alternate bearing tendency of some crops like mango and
vagaries of nature affecting other crops should also be taken into
account in estimation of income. The price and yield as reported by the
Commodity Boards and Research Directorates, and also the local
opinion are the guiding factors in determining the yield, price and
income calculations.
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5.19
It is important to follow standard practices regarding:
•
The pits dug will be of standard size and with recommended spacing
and number of plants.
•
The pits will be filled with top soil, cattle manure and phosphate before
planting is done.
•
Proper and adequate soil conservation and drainage arrangements
shall be ensured.
•
Adequate and suitable fencing arrangements will have to be provided
as per local practices for protecting the estate/orchard from cattle and
trespassers.
•
Only high yielding recommended varieties shall be planted in place of
traditional varieties and use of tissue culture plants advocated for
uniform yield shall be encouraged.
•
The young saplings will be stacked immediately after planting and
shade cover provided wherever necessary and properly irrigated.
•
Pot watering of plants shall be done during dry months of first 2 or 3
seasons in respect of plants to be raised under rain fed condition.
Water saving devices like sprinklers, drip may be suggested for
installation for ensuring better water use efficiency.
•
The recommended fertilizer application and plant protection schedules
shall be followed.
•
Mixed cropping is advisable wherever possible as in the case of coffee,
areca nut and coconut.
•
Wherever feasible, the beneficiaries shall raise proper intercrops
during first 4 or 5 years so as to improve returns.
•
Installation of processing equipment, civil and engineering works shall
be carried out according to approved plans, designs and estimates.
6. Package of practices of Selected Crops
Appendices A-1 to A-6, B-1 and B2 and C detail the recommended input
requirements and package of practices, right from choice of planting
material, planting method, application of manures and fertilizers, plant
protection measures and cultural practices for select plantation and
horticulture crops listed below. These recommended practices and input
requirements may vary suited to the climatic and soil conditions obtaining in
the country. It would therefore be desirable for the branches to access the
package of practices developed by the Department of Agriculture,
Government of Sri Lanka (to check with Dev. Division availability and
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source). This will be an important input in crop costing of plantation and
horticulture crops.
Package of Practices for Select Crops
Appendix Ref No
Crop
A-1
Vegetable Crop - Tomato
A-2
Fruit Crop - Mango
A-3
Plantation crop - Coconut
A-4
Plantation crop – Tea Plantation
A-5
Plantation crop - Rubber
A-6
Spice Crop - Cinnamon
B-1
Protected cultivation of rose
B-2
Production Technology for Tropical Orchids
C
Mushroom Cultivation
Crop costing and income assessment sheet (Annexure-1) can be used as a
general template to convert the information available in to cost quantification
and income calculations.
7. Application and Appraisal forms
The specific application meant for plantation and horticulture loans has to be
obtained from the applicant. The agriculture officer can help the applicant in
filling-up some of the aspects in the application form that relates to project
cost estimation, yield assessment and income expenditure calculations. For
appraising the loans for plantation and horticulture development, the AO can
use the specific format meant for the purpose. The crop costing and income
assessment sheet (Annexure - 1) provides a structured analysis of the
assumptions, cost particulars, cost of cultivation/maintenance and the
assessment of yield/income on a year to year basis over the project period.
The check list for appraisal of plantation and horticulture development loans
given in Annexure - 2 would be useful to ensure that all the critical issues are
taken care of in the process.
8. Financing Floriculture Units
From the AgStat data (2007) it is found that there is substantial agriculture
holdings under flower crops in Kandy, Gampaha, Kurunegala where the
holdings are more than 1000. There are number of other districts where the
holdings under flower crops range from 200 to 600. The flower crops grown
are roses, carnations, orchids and anthuriums. In Nuwara Eliya district in
addition to these crops gerbera, alstromeria and medona lily are also grown.
Floriculture as an activity is both a high-tech farming and export oriented,
having promotional importance from the policy point of view. Production
technology for cultivation of rose and tropical orchids, as stated earlier, is
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detailed in Appendix- B1 & B2 and this could serve as a model for the
branches to promote finance to floriculture activities feasible in their area.
9. Mushroom Cultivation
The details on mushroom cultivation covering paddy straw mushroom,
oyster mushroom and button mushroom given in Appendix-C is a useful
reference for the branches to promote lending to this promising activity.
Chapter – T 3
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COCONUT CULTIVATUION
Planting coconut seed nut directly on the field is not recommended and
seedlings reached up to 7-10 months, laid in a nursery are only recommended
for the field establishment. In this process it enables to grow seedlings
vigorously and uniformly.
Method of Nursery Management:
01. Selection of the Nursery Site. : Proposed land should be flat and low
gradient. Soil should be well drain sandy or sandy loam soil. Adequate
amount of sunlight, scattered shade and water source in close
proximity are fundamental factors in selecting the land. Uniform level
of shade can be provided by establishing a Gliricidia fence.
02. Nursery Beds. Width of the nursery should be decided based on the
feasibility of management practices including routine activities. Length
of the nursery can be determined by the length and shape of the lands.
It is feasible to have 5 seedling layers per one bed.
The seed bed should be averagely 15–25 cm above the ground level
while distance among two seed nuts layers should be positioned at 25
cm distance. Seed nuts should be laid in trench in which the depth is
10-15 cm. The distance between two adjacent seed nuts should be 15
cm. Seed nuts place horizontally and simply cover with soil so that
upper surface of the seed nut is merely visible. Seed nuts that are laid
in any trench should be placed in to one direction and opposite
direction to the adjoining rows.
03. Moisture conservation in Soil bed: Normally Coconut fronds or 3-5
cm dimension coir layers can be utilized as mulch for the seed bed. If in
case coir dusts are used as a mulching material should rotate the
material. In areas where above components are not freely available, can
shift to saw dust, paddy husks and weed thrash as a mulching
material.
04. Irrigation: Regular application of water is compulsory under dry
weather conditions. Watering is necessary if there is no rain
continuously for about 6 days, watering should be done at least once in
four days. (0.25 mm of rain is received it be considered as a rainy day)
05. Weed control: Weeding helps in moisture conservation of the seed bed
and reduce the impact on seedbeds. Therefore it is essential to practice
weeding once a month or twice corresponding with the prevailing
weather conditions.
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06. (a) Termites attack. : Considerable impact is done by termites in seed
nurseries. Further, termites highly damage to seed nuts by attacking
the kernel parts. Therefore great attention is required in this regard.
Recommended pesticides / Dosage: (i)Soak in cloropyrifos - Seed nuts
should be soaked 3 minutes in 20 % cloropyrifos, 3-5 ml mix in one liter
of water. (ii) Spread to the soil - 15-25ml of 20% cloropyrifos mix in 5
litter of water is adequate for one square meter of land, to be spread.
(b) Plesispa attack: Plesispa attacks on young coconut leaves by
sucking cell sap. Therefore chlorophylls deteriorate and retard the
growing of seedling and possibly under severe attack, seedling may be
fatal.
07. Removal of non-geminated seedling: It allows to laid seed nuts for
about 5 month time until it is germinated in the seed bed. Seed nuts
which are failed to germinate will be removed after 5 months time. It is
believed that 80% of seed nuts germinate after 5 months from lying.
08. Removal of low quality seedling: Laid seed nuts start to germinate 2½
months from laying and allow them to grow until 5 months time. Once
rejected seed nuts are removed from the field, germinated seedlings
are removed after 7 months times from the laying when disease
affected and low quality seedlings are removed from the nursery.
Seedlings which are completed 7 months are recommended for field
establishment.
09. Production of poly bags seedlings Nursery preparations of seed nuts:
Seed nuts should be laid vertically in a pre nursery until they produce
a sprout and transferred to poly bag.
9.1Mixture of poly bag seedling: The mixture should compose of surface soil,
cow dung and coir dust. Areas where coir dust is not freely available saw
dust can be used instead of it. When using saw dust aware on fungal
diseases which seedling are prone to be. Ratio of the mixture - Top soil 3
Part + Cow dung 2 Part + Coir Dust 1 Part.
9.2 Material used for poly bag: Black polythene with 12’’ 6’’ is used to
prepare this polybags.
10. Selecting of mother palms & seed nuts: In order to full fill the annual
seedling requirement existing model gardens are not adequate.
Therefore high quality seed nuts are selected from identified seed
gardens.
Approved types of hybrid seedling by nurseries of the board
1. Tallx tall
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2. Dwarf x tall
3. Morock tall
4. Plus palms
Selecting mother palms give an opportunity to produce high quality seedlings
with optimum genetic potential. Selecting of mother palms is done by
professionals based on scientific criteria accepted by Scientist.
This procedure is as follows.
1. First identity high yielding lands
2. Out of them find out high yield blocks
3. By applying relevant agronomic practices for that block select high
yielding plants.
Morphological features of a good palm
•
Stout, sturdy & straight (erect) stem and closely set leaf scars.
•
Short leaves in the crown should be in a spherical orientation
should compose with 25-30 fully opened fronds with bunches in
different ages.
•
Petiole of seed bunches should not be lengthy and should strong
enough to hold bunch of seed nuts by fronds and medium sized
sufficient number of nuts should be in a bunch.
Lands which contain above mentioned palms should poses below mentioned
criteria.
i) Land extent more than 5 acres
ii) Production of 3500 nuts per acre per year and 55 mature palms per
acre should be remaining in the land.
iii) Bearing palms with the age of 15-45 palms.
Selecting mother palms done methodically after a studying of all factors
above mention. Selected 100 palms randomly covering the selected
land/block and harvest the seed nut from palms. Count the average number
of seed nut per palms. And select palms which shows the yield more than the
average
•
Exclude palms which shows unusual morphological features
•
Collect 03 seed nuts randomly from those palms and record the weight
of a seed nuts (husk is removed) and should be more than 2100g.
•
Palms which are selected in that should be marked properly as plus
palms.
•
Selecting of the nursery.
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•
After selecting high quality palms. Pick seed nut separately from
selected palms (Never allow to mix the selected seed nut with seed nut
which harvest from un selected palms.)
•
Next pest attacked seed nuts should be removed and cover to protect
from sunlight until send them to the nursery.
•
Corresponding with the prevailing weather conditions.
•
Main objective of the Coconut Cultivation Board is to provide
necessary guidance and support to
Coconut growers spread around the country. The Coconut Cultivation
Board is the main arm for development and assistance in development
of production and productivity of land under coconut. This includes
materials & inputs, financial assistance and extension service and all
forms of regulations and directions. Further, certified seedlings are also
produced to meet growers’ demand by the CCB.
With those objectives, the Coconut Cultivation Board was established
on 30th March 1972 under the provisions given in Coconut
Development Act No. 46 of 1971.
Currently, Coconut Cultivation Board possess network of 17 Regional
Offices throughout the island. Apart from that, there are 36 Seedling
Nurseries, around 50 Fertilizer Stores and 12 Model Gardens are
functioning as supporting wings. Nurseries are capable to produce
1,694,400 poly bag seedlings and 2,429,000 bear root seedlings, per year
to carry out above mentioned development assistance in an advanced
manner
There are two training centers at Lunuwila and Medamulana. They are
in the form of an extension centre equipped with qualified staff to
conduct training courses.
•
•
•
•
Coconut Cultivation Board.
9/428, Denzil Kobbekaduwa Mawatha,
Battaramulla, Sri Lanka.
General Tele : +94 (11) 2861331/32
Fax : +94 (11) 5549507/5635623
E-mail : [email protected]
•
Coconut is a long – term crop and if properly cared it expected to be
productive for over 60 years. Therefore, taking appropriate decision at
the time of establishing a new plantation is very crucial. Adhering to
an optimally suited planting density with distances fitting to mono or
multiple cropping, selection of planting material adapted to the soil
and climate, appropriate planting and care after planting are essential
factors requiring the attention of the grower at the time of
establishment. Most coconut growers, especially small holders are
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often not thoughtful about these crucial factors that determine the
establishment of a uniform and a highly productive plantation.
•
Planting
seedlings: When filling the planting holes arrange two
layers of husk Or coir dust at the bottom of the planting hole. Fill the
hole with topsoil mixed with 1 kg dolomite, organic manure (5 kg
wood ash or 10kg dry cow dung or 5 kg goat dung) and 1 kg young
palm mixture. ( Composition is given below )
Wetland Intermediate Zones
Wet and intermediate zone
Fertilizer
Amount (g)
Dry Zone
Fertilizer
Amount (g)
Urea
250
Urea
250
Eppawela Rock
Phosphate
750
Eppawela
Phosphate
Rock
500
Muriate of
potash
250
Muriate of potash
250
Young Palm Mixture: The planting hole should be filled with the
above mixtures up to 20 cm below the ground level. But in case of
lands with poorly drained soils, the planting hole should be filled up to
the ground level with the above mixture. If the soil is frequently under
water logged conditions during the rainy season planting holes should
be raised a little above the ground level. When seedlings are
transplanted ensure that seed nut of the seeding is not buried deeper in
the above soil mixture. Buried collar region of the seeding leads to
rotting during heavy rainy days.
•
When poly-bagged seedlings are used for field planting, first cut and
remove the bottom of the poly bag with a knife. Then place the
bottomless poly-bagged seeding in the center of the above prepared
hole after removing the soil to accommodate the poly bag in the soil
mixture. Finally lift and remove the poly bag carefully without
disturbing the soil in the poly bag and roots of the seeding. In areas
where black beetle damage is high poly bag may be lift half way and
tied it up to the base of seeding to cover the collar region of seeding
(picture 9) and made a few holes on the poly bag to facilitate the
aeration. This poly bag should be removed after 3-4 months from
planting.
•
However in poorly drained soils the tying of poly bag around the base
may increase the of collar rot during rainy season. In such situation
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remove the poly bag completely from the collar region to facilitate the
direct exposure to sunlight.
•
It is advisable to carryout preventive treatment against possible termite
attack. This is done by immersing the nut of the seeding for a few
minutes with one of the following insecticide solution. (In the case of
poly bagged seeding drench around with 1 liter of below solutions for
one seeding after field planting)
•
Time of Planting: Seeding should be planted with the onset of rains
but towards the end of rainy season in excessively water logging areas.
Planting with the rains enables the seeding for root development
before the dry season. Planting should be planned in Yala season for
the wet zone and Maha season for the dry zone. It is advisable to dig
the holes and fill them during the inter-monsoonal periods. Rows of
the coconut should be in east-west direction when square or
rectangular planting is adapted. Irrigating the seedling during dry
season and soil moisture conservation practices will help proper
growth of seeding.
•
Infilling: At the end of the 1st Year after planting, all weak seeding
should be removed and vacancies should be filled in order to get a
uniform plantation. It is recommended that infilling should be
complete before the end of 5 years from the date of planting.
1. Basin irrigation (50-70%)
2. Picher irrigation (60-70%)
3. Hose irrigation (75-85%)
4. Drip irrigation >95%
5. Girdle irrigation (75-80%)
6. Sprinkler irrigation (60-70%)
Basin irrigation
A basin of shallow depth (about 10 cm) is prepared around the base of the
palm, and the basins of adjacent palms are interconnected with furrows.
Water is allowed to flow freely from the furrows to the basin. This method
is not suitable for undulating lands. Even in flat lands, considerable land
preparation is required initially to allow free flow of water.
The water requirement for this method is high as considerable amount of
water is lost due to soil absorption, leaching, and evaporation. This
method is particularly not suitable for sandy soils due to heavy losses of
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water by percolation. Furthermore, it is difficult to apply a fixed volume of
water to a palm by this method.
Picher irrigation
This method is useful to protect seedlings in the dry and dry intermediate
zones where mortality rate is high. Following are the steps in the pitcher
irrigation
•
Take two unglazed clay pots having capacity of 15-20 liters and
make a hole at the bottom of each pot and insert a 2feets long
rope.
•
Paint one side of the pot so that water will not seep through.
•
Bury the clay pot up to the neck at 0.7 m distance to the plant
with painted surface away from the plant placing the rope in the
direction of the plant.
•
Fill the pot with water, keep the mouth of the pot closed and top
up regularly. Generally, during the dry weather, it may
necessary to fill it in twice a week.
Although the water is used efficiently in this method, the rate of water
flow to the plant is very slow. Therefore, the method is not very suitable
for adult palms.
Hose irrigation: An underground PVC pipes network to supply water to
outlets is more suitable for coconut plantation. One inch diameter and 100 ft
long rubber hoses are used to irrigate 16 palms within the one outlet. This
would facilitate other practices in the estate such as weeding, picking and
transport of nuts. Also it facilitates to irrigate intercrops and maintenance is
very easy and profitable. The pipe system consist main line sub main line and
risers. At the end of each riser, 1”ball valves are installed to deliver water to
palms.
Drip irrigation: Drip irrigation system is feasible in coconut lands. Drip
irrigation involves the wetting of a smaller soil volume in the root zone to
provide the water requirement of plant. Advantages of this system are as
follows.
•
It requires relatively less water as the system can be designed for
efficient use of water.
•
The water usage can be regulated.
•
Fertilizer could be added to the irrigation water, thereby saving cost
of fertilizer application.
•
Intercrops also could be irrigated with simple modification to the
system.
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•
The system can be operated with minimum labor.
The high capital investment
disadvantages of this system.
and
maintenance
problems
are
the
Girdle irrigation
Pipe network and other accessories are similar to the drip irrigation. But
perorated poly ethylene tube ring is used around the base of the palm in
order to drippers. Less maintenance problems compare with the drip
irrigation. Installation cost is similar to drip irrigation.
Spray jet irrigation
Pipe system and other accessories are similar to the drip irrigation. Small
sprayers are used to irrigate the root zone of coconut in order to drippers.
Advantages of this method are as follows
•
Less clogging problems
•
Keeping a good microclimate around the coconut palm
•
Less maintenance problems compare with the drip irrigation.
•
Installation cost is similar to drip irrigation.
Sprinkler irrigation
Sprinkler irrigation requires a high capital investment and abundant supply
of water. As the water is sprinkled all over the surface, individual trees
cannot be irrigated and wastage of water is high.
However this system is suitable for commercial nurseries where seedlings are
closely spaced and places where annuals and pasture are grown as
intercrops.
Irrigation Rate depends on soil parameters (water holding
capacity/texture/depth /infiltration-lateral and vertical) and the effective
root system of the plant.
Irrigation frequency depends on the evapo-transpiration of the plant/soil
system/canopy/root system/atmospheric evaporative demand/relative
humidity/temperature/wind/etc
Suitability of an irrigation system depends on
1 Plantation type (large/small, age, mono/intercrop….)
2 Water resources (surface, deep aquifer, quantity, quality…)
3 Soil landscape (topography, soil texture and depth….)
4 Economics and resources (capital, maintenance, labor, efficiency….)
EFFECT OF WATER DEFICIENCY FOR GROWTH AND PRODUCTION
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Decrease in the production of female flowers, reduce nut setting, increase
button nut shedding, increase immature nut fall, reduce nut size, reduce nut
production ,reduce copra out-turn, dropping /wilting of leaves, and death of
coconut seedlings/palms are the result of water deficit during prolong rain
free periods. Coconut yields of 4500-8000 nuts/ac/yr or more have been
achieved in several well managed coconut states even under rain fed
conditions. In most states are at least few (10%) palms yielding more than 80
nuts/palm/yr even during the drought.
Studies show that about 2/3 of the potential coconut production is generally
lost due to either poor nut setting or immature nut fall as a result of water
deficit conditions. A coconut palm yielding 80-120 nuts/palm/yr in good
rainy years may reduce its yield to 40 nuts/palm/yr or less after a drought
period. But with appropriate supplementary irrigation, the coconut yield
could be maintained at a stable high yield of 100-140 nuts/palm/yr or more,
continuously, irrespective of the drought. Research conducted at the coconut
research institute and elsewhere has shown that the supplementary irrigation
of coconut increases nut yield by 30-60% and copra yield by 54% or more.
Hence supplementary irrigation could increase the coconut yield.
Installation of an irrigation system is expensive and requires some scientific
knowledge. It is essential to have a continuous supply of irrigation water even
during the drought (adequate underground, aquifer, and river). Further, the
irrigation should be implemented as a complete package including relevant
fertilizer/agronomic/management practices.
Fertilizer Application
Coconut palm being a perennial with a life span of 60 years or more requires a
regular supply of nutrients plant nutrients to sustain its growth and yield in
its production period it is revealed that 45% of the variation in yield influence
by nutrients. In coconut growing soils, considerable amount of nitrogen (N)
phosphorus (P), Potassium (K) and magnesium (Mg) are depleted from the
soil, as a result of continuous removal of Nut and other parts of the palm.
In Sri Lankan soils the average palm yielding 50 nut7500nut/ hectare/year)
nuts/palm/year is of the order of 765g of N (Urea equivalent of 1663g) 140g
of P2O5 (Eppawala Rock phosphate equivalent of 475g) 883g of K2O (muriate
of potash equitant of 1475g) and 219g Mg (Dolomite equivalent of 1100g. In
that contest the relative magnitude of nutrients removed by the palms is in
the priority order K>N>Mg>P. The above estimate annual depletion of
nutrients is a very valuable guide for determining fertilizer requirement of the
palm.
1
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Fertilizer for high breed (CRI65,CRISL98) & tapping coconut
2
Method of fertilizer application for adult palms
3
Fertilizer Mixtures for adult coconut palms
4
Method of fertilizer application for young palms
5
Method of fertilizer application at the time of planting
6
Sufficiency Ranges of Nutrients
7
The nutrient requirement in coconut
8
Fertilizer application
Coconut is a perennial crop which uses only 25% of the soil. It’s root system is
spread horizontally 2m radius from the base of the palm and vertically the
greatest concentration of roots is in the top meter of the soil.Therefore, there is
great potential for growing other crops which is called intercrops under
coconut plantations.
It is obvious that, as a mono-crop coconut is a poor use of land. Growing
other crops under coconut (Intercropping or Multi Cropping) and raising
livestock not only intensifies land use but also bring in additional income.
There are several agronomic, ecological and socio-economic considerations
associated with intercropping under coconut. The coconut palms require a
continuous supply of water. Therefore, it is recommended to practice
intercrops areas where there is no moisture stress.
Under the irrigation facilities intercrops can be practices in all zones. If there
is no irrigation facility during the dry period, it is best that intercropping is
limited to wet and wet intermediate zones.
Factors to be considered when selecting a intercrop.
1. Agro climatic zone, wet zone, intermediate zone or dry zone
2. Age of the coconut plantation generally intercrops can be grown
during the first five years of plantation and then from 25 years. During
the period of 5-25 years, sunlight is inadequate for most crops.
3. Marketability of the area
4. Planting material availability
Labour use efficiency and labour availability
General guidelines for intercropping under:
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1. There should be adequate sunlight available for intercrops.
2. Ensure that there will be no competition between coconut and other
crops for moisture.
3. Ensure that both crops (Coconut and intercrop) should be receive
adequate fertilizer.
4. Soil should not have been degraded different crops require different
soil types. Always correct crop should be chosen. In most cases failure
of intercropping is due to the wrong choice of the intercrop.
Agronomic and socio-economic advantages of intercropping
1. Increase the land use efficiency
2. Improve soil fertility by building up organic matter.
3. Reduce soil erosion and temperature
4. Provide additional income
5. Reduce the risk and uncertainty in agriculture
6. Increase employment opportunities.
7. Provide micro environment for early bearing of coconut.
What can be grown in coconut plantations. A vast range of intercrops can be
grown under coconut by considering following factors.
1. Soil type
2. Rainfall
3. Soil depth
4. Sunlight availability
Depending on the soil depth : Deep rooted crops – Cocoa, Coffee, Cinnamon,
Nutmeg, Citrus Shallow rooted crops – Cardamon, Pepper Pasture, Grasses,
Betel Depending on the age of the coconut plantation
0-5
years
25-45
years
45-60
years
Annual
Ginger, Turmeric, Cereals
and Pulses (Yams &
Tubers) (Sweet Potato,
Colocasia, Innala) Chilies,
Vegetables
Yams & Tubers
Ginger
Turmeric
Yams & Tubers (Cassava,
colocasia) (Innala, Sweet
potato) Cereals and Pulses,
Chilles,Vegetables
Semi Perennial
Pineapple
Passion fruit
Banana
Papaya
Pineapple,
Banana,
Passion fruit,
Papaya
Perennial
Cocoa, Coffee, Pepper,
Clove Nutmeg, Cardamom,
Pasture, Fodder
Cinnamon, Citrus, Pasture,
Cashew, Betel.
Intercrop Models:
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1. Nutmeg / Coconut Intercrop Model
2. Rabutan / Coconut Intercrop Model
3. Arricanut / Coconut Intercrop Model
4. Papaya / Coconut Intercrop Model
5. Passion fruit / Coconut Intercrop Model
6. Banana / Coconut Intercrop Model (Double Raw System)
7. Cocoa / Coconut Cocoa / Coconut Intercrop Model (Double Raw
System)
8. Pineapple / Coconut Intercrop Model (Double Raw System)
9. Pineapple / Coconut Intercrop Model (Triple Raw System)
How to plant intercrops
1. Orient intercrop rows in the east-west direction
2. Select the correct spacing (leave at least 2m from coconut)
3. Correct and recommended planting holes
4. Plant with the onset of South-West monsoon
5. Apply fertilizer for intercrop
Animal Husbandry in Coconut lands
There is a great potential for rearing animals in coconut lands to maximize the
land use efficiency by providing organic manure and to get an additional
income.
Especially in coconut triangle this potential is very high and micro
environment under coconut plantations is highly ideal for animal growth and
performance.
Potential for rearing animals under coconut plantations:
1. Coconut palm is utilized only 25% of the land area and rest is available
for animal rearing.
2. The mean annual temperature in Coconut plantations is 2-3 lesser than
outside temperature. This temperature is ideal for animal growth.
3. Grass and fodder can be easily grown in coconut lands in the wet and
intermediate zonesBenefits of animal husbandry in coconut lands:
1. Maximum land utilization
2. Organic manure for coconut palm
3. Additional income
4. Facilitate the integrated farming systems which related to crop and
animal integration.
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Animal husbandry could be practiced easily in coconut lands located in wet
and intermediate zones where grass can be grown easily.
Types of animals could be reared under coconut plantations.
•
Cattle
•
Goat
•
Sheep
•
Poultry
•
Turkey
•
Duck
•
Fish
•
Pig
Cattle management under coconut is mainly important for milk production
and manure production.
A. Diseases
The coconut palm is affected by a number of diseases, some of which are
lethal while others gradually reduce the vigour of the palm causing severe
loss in yield. A brief account of the important coconut diseases is given.
1. Bud rot
2. Leaf rot
3. Stem Bleeding
4. Root (wilt) disease
5. Tanjavur wilt
6. Mahali
7. Crown chocking
8. Leaf blight or Grey Leaf Spot
9. Tatipaka Disease
B. Pests
The major insect pests of the coconut palm are the rhinoceros beetle, the red
palm weevil, the black headed caterpillar, the cockchafer beetle and the
coreid bug. Adopt suitable remedial measures as and when required. The
following table gives the major symptoms and control measures.
1. Mealy bugs and Scale insects
2. Termites
3. White grub
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4. Eriophid Mite of Coconut
5. Slug Caterpillar
Kapruka Purawara Development Program
In view of development of the coconut industry Kapruka Purawara is a joint
intervention of entire sector. This program conducts in an identified
Divisional Secretariats in an island wide. Correspondent to the number of
Divisional Secretariats covers under the Kapruka Purawara programs for the
duration of 2011 – 2016 are mention below.
Year
Number of DS Divisions
2011
22
2012
28
2013
30
2014
30
2015
35
2016
35
Total
180
•
Kapruka Purawara program has been designing in accordance with the
“Mahinda Chinthana Idiri Dekma”. Therefore the objectives to be
completed under the Kapruka Purawara program are as follows :
•
Enhancement of the productivity of coconut lands in identified
Divisional Secretariats
•
Promotion of planting coconut in potential lands in the selected
divisions.
•
Increase coconut yield by 80 nuts per palm per annum in those DS
Divisions.
•
Identification and promotion of coconut based novel industries.
•
Identification of new possibilities of employment opportunities.
•
Dissemination of new research and development knowledge among
the growers of the DS divisions.
•
In recognized divisions under the program will be develop as a
regulation body.
•
Expansion of market opportunities for coconut and coconut based
products.
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•
Give opportunities for the volunteer in provisioning for the coconut
and coconut based industries.
BANANA
After achieving self-sufficiency in food grain production, supply of nutritious
and balanced diet should be the highest priority. For good health fruit
consumption per day per capita is recommended as120 grams. Banana is one
of the most nutritious, energetic and delicious fruits of the world. It is equally
suitable both for large scale cultivation as well as for home scale cultivation.
The banana is considered to be one of the most primitive, cultivated tropical
fruits. It is not only the staple food of millions of people, but also the most
important commercial fruit of the tropical areas of the world now. The
cultivated banana is botanically named as Musa paradisiaca belonging to the
family Musaceae. It is believed to have originated in the hot tropical regions of
south East Asia. It is extensively grown in many countries like Mexico, Egypt,
Israel, South Africa, Indonesia, Philippines, Brazil, and Sri Lanka. Next to
Brazil, India is the second largest banana producing country in the world.
Banana is a rich source of energy in the form of sugars and starch, available
almost throughout the year and is the cheapest fruit. Almost all the parts of a
banana plant are useful and today, it is the leading tropical fruit in the world
market with a highly organized and developed industry.
Uses and Composition: Banana is the cheapest and most nourishing of all
fruits. It has got a number of uses. Almost all the parts of banana are useful in
some or other ways. Various industrial and medicinal uses of banana are
summarized here.
A. Industrial importance:
1. Banana is used in the processing industry to prepare products such as banana
pulp, canned slices, jam, flakes, juice, banana figs, chips, fruit bar, powder,
etc.
2. In some parts banana is cultivated exclusively for leaves to make dinner
plates and wrapping material.
3. Banana sheaths and leaves are used for making crude ropes.
4. Starch is manufactured from the pseudo stem.
5. Used in the food industry, eg. for preparing baby food from Kunnan and
Nendran varieties.
6. 6.Unripe banana fruits as well as the inner core of the pseudo stem are used
for cooking as vegetable.
7. Used in the manufacture of beer and (pure and denatured) alcohol.
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8. Yeast of good quality can be made out of banana flour which can replace malt
in breweries.
9. The juice from the pseudo stem can be used in dyeing industry.
10. Fiber production and paper making from fiber are commercial possibilities.
11. Banana is used as feed for cattle and pigs in some countries.
12. It is one of the largest single trade items in International fruit trade.
B. Medicinal values:
•
Banana flour made into gruel and diluted with milk is good for
patients suffering from gastritis.
•
Banana ash is rich in alkaline salts and, therefore, checks acidity in
stomach, heart bum and colic pains.
•
Ripe fruits taken with tamarind and salt are said to control dysentery.
•
Fruits of 'Poovan' are believed to be good even for diabetics.
•
Ulcers are cured by smearing a paste of aromatic and sweet -fruits of
Devakadali variety of banana.
•
Ayurvedic medicines are prepared from ripe banana fruits.
Composition of banana fruit
Sl. No
1
2
3
4
5
6
7
8
9
10
11
12
13
Components
Moisture
Carbohydrate
Crude fibre
Protein
Fat
Ash
Phosphorus
Calcium
Iron
B-Carotene
Riboflavin
Niacin
Ascorbic acid
Amount
70%
27.0%
0.5%
1.2%
0.3%
0.9%
290.0 ppm
80.0 ppm
6.0 ppm
0.5 ppm
0.5 ppm
7.0 ppm
120.0 ppm
Nutritive Values:
Energy
116.0
Protein
1.2g
Fat
0.3g
Carbohydrates
27.2g
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Calcium
17.0g
Phosphorus
36.0mg
Iron
0.9mg
Carotene
78.0ug
Thiamine
50.0ug
Riboflavin
80.0
Vat. C
7.0
(per 100g edible portion )
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Medicinal Values / Uses: Ripe Fruit : Good source of energy; readily
digestible fruit useful for feeding children suffering from diarrhea Useful for
treatment z of gastro intestinal disorders, constipation, arthritis, anemia and
allergies. Unripe fruit: Useful for urinary tract disorders, obesity, and
disorders of menstruation
Major Growing Areas: All island except very high cultivations
Nature of cultivation: Large, medium,&small scale orchards and home
gardens.
Recommended Varieties
1. Embul
2. Kolikuttu
3. Anamalu
4. Seen kesel
5. Rathambala
6. Embon
Value Added Products - Salads, chips, flour
Economics of Cultivation: Cultivation of banana is a highly paying
agricultural venture. Generally, a farmer can generate Rs 35 to 40 thousand
from one hectare of banana plantation. However, the net profit is highly
varying from region to region depending on the soil and climatic conditions,
varietal suitability, protection of plantation from attack of insect pests and
diseases, availability of production inputs, etc. The economics of banana
cultivation can be worked out by using following format.
Following are the various cost components to be considered while
considering a project for financing banana cultivation:
A. Fixed cost:
1. Cost of the land Rs
2. Cost of farm building, storage, structure, etc. Rs
3. Cost of fencing Rs
4. Cost of windbreaks Rs
5. Cost of clearing, leveling and bunding of the land Rs
6. Cost of lay-out Rs
7. Cost of digging and filling pits Rs
8. Cost of machines, instruments and other accessories Rs
9. Cost of roads and paths Rs
10. Cost of permanent irrigation system Rs
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11. Cost of raising plant material Rs
B. Recurring cost:
1.
Cost of manures and fertilizers Rs
2.
Cost of insecticides, fungicides and weedicides Rs
3.
Cost of farm power
a. Diesel, petrol and electricity Rs
b. Livestock and their feed Rs
4.
Cost of transportation Rs
5.
Cost of farm labour (paid and unpaid)
a.
b.
c.
d.
e.
f.
g.
h.
i.
j.
k.
Land preparation Rs
Irrigation Rs
Weeding Rs
Application of fertilizers and manures Rs
Application of plant protection chemicals Rs
Different intercultural operation Rs
Harvesting Rs
Grading Rs
Ripening Rs
Storing and marketing Rs
Any other labour involvement Rs
6. Interest on fixed cost@
% Rs
7. Rent or revenue on the land Rs
8. Depreciation
a. Farm structure Rs
b. Farm machinery Rs
9. Repairs and maintenance Rs
Total recurring cost Rs
C. Income:
1. Yield of the fruits Rs
2.
Any other material such as leaves, stem etc. Rs
Gross income Rs
(Net profit = Gross income -Total recurring cost)
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Mango
Introduction:
Mango, popularly known as the king of fruit, belongs to Anacardeaceae
family of trees. Taste, flavor and fragrance of mango is very characteristic to
the same.
Mango was originated in India. Though it is not endemic to Sri Lanka, it is
seen growing in many parts of the country. It is very rare to find a home
garden without a mango tree in our country except in certain upcountry
areas. Present extent under mango in Sri Lanka is about 27,500 Ac.
Predominately, it is grown in Kurunegala, Anuradhapura, Hambanthota,
Puttalam, Moneragala, Jaffna districts and in Mahaweli Systems H & C. As a
fresh fruit, mango has a high demand in local markets. Likewise, a
considerable amount of foreign exchange could be earned by exporting both
fresh and processed mango products.
At present Sri Lanka export about 80,000 Mt. Therefore, plans are under way
to increase the extent under mango to about 17, 481 Ac by year 2020.
Nutritional Aspects
Nutrient level per 100g of mango flesh
Water
81.0 g
Energy
74 k cal
Protein
0.6 g
Lipids
0.4 g
Carbohydrates
16.9 g
Calcium
14 mg
Phosphorus
16 mg
Iron
1.3 mg
Carotene
2743 micro g
Thiamin
80 micro g
Riboflavin
90 micro g
Niacin
0.9 mg
Vitamin C
16 mg
Consumption of a medium size mango could provide the daily requirement
of Vitamins A and C. The level of various nutrients may vary depending on
the cultivar, ripeness of the fruit and area of cultivation.
Mango is consumed as ripe and unripe fresh fruit as well as various
processed products. Pickles and chutneys are made from unripe mango.
Different types of drinks, jams, jellies are prepared using ripe fruit. Likewise,
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dried and dehydrated mango pieces and mango powder is also seen in the
market.
Medicinal properties:
Both unripe and ripe mango has medicinal properties. A drink made out of
unripe mango is used as a remedy to prevent various body ailments caused
by a raise in ambient air temperature. Unripe mangoes are also used in
treating stomach problems and to stimulate bile formation and in treatment of
blood related diseases.
Ripe mango has many medicinal properties. Consumption of ripe mango is
useful to overcome night blindness and to protect health of skin. There is a
common belief that consumption of ripe mango with cow’s milk helps gain
weight. Mango seeds, leaves and bark are used in the treatment of diarrhea
and disorders in reproductive system of women.
Recommended Varieties:
There are a wide range of mango cultivars presently grown in Sri Lanka. Out
of these, a number of best cultivars have been identified for cultivation under
various agro-ecological regions of the country. Use of such adaptable varieties
is necessary to get a higher yield from a mango tree. Fruit of different
varieties have its own characteristic flavor and taste. Cultivars recommended
for various agro-climatic regions of the country
Dry Zone
Karuthakolomban
Willard Vellaicolomban,
Ambalavi,
Chembatan,
Malwana(Underground)
Intermediate Zone
Karuthakolomban
Vellaicolomban
Willard
Bettiamba
Malwana(Underground)
Wet Zone
Vellaicolomban
Gira amba
Peterprasand
Dampara
Preparation of budded plants:
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Rootstocks must be raised first to produce budded mango plants. It is much
better to use seeds extracted from ripe fruit of cultivars Kohu amba, Wal
amba, Walu amba and Gira amba etc.
At first, remove the husk of the seed. Make a small cut at the distal end of the
seed and pull the husk away to get the seed inside without any damage to it.
When the cut is made at the distal end of the seed with husk, even if it cuts
the seed inside, it does not damage the embryo.
Extracted seeds may have mango weevils inside. When such seeds are
planted, whole seed may be destroyed. Therefore, dip the seeds in an
insecticide solution such as 'Dimethoate' before planting for a few minutes.
Use of fungicides such as 'Captan' at this time is helpful to protect the seeds
from fungal infections at the nursery.
Seeds treated with insecticide and fungicide solution must be planted in a
sandy seed bed. For the seed bed, use a 15-20 cm thick layer of sand. Sand
beds must be laid out in a place with slight shade. However, never under
trees such as mango or avocado. Then it is easy to protect the seedlings from
certain fungal diseases.
In the sand bed plant seeds in a row spaced 15-20 cm apart. Curved side of
the seed must be downward at planting. Spacing of 2-3 cm is allowed
between two seeds in a row.
After seeding, keep the sand bed moist at all times. Seeds germinate and
seedlings emerge 10-14 days after planting. About three weeks after
emergence, seedlings are suitable for transplanting in polyethylene pots or
any other secondary nursery.
If a media such as coir dust is used for germination of seeds, care must be
taken to maintain the appropriate moisture level. At high moisture levels,
seedling may be infected with fungal diseases. Plants hardened in the seed
bed may be transferred to polyethylene pots filled with a suitable media. Else
plants may be transplanted well prepared secondary nursery.
Planting in polyethylene pots:
Use pots made out of 200 gauge polyethylene to a dimension of 20 cm (8”)
diameter and 30 cm (1 ft) height. Potting mixture is prepared by mixing equal
parts of topsoil, sand and well composted cow dung or leaf litter together.
Use of one part of coir dust to four parts of above mixture is helpful to
improve the water holding capacity of the potting media.
Fill the polyethylene containers with the above mixture. Fill media only to
leave 2-3 cm from the top of the container. This is necessary to prevent
overflow of water when pots are irrigated.
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Planting in a secondary nursery:
If seedlings are not directly transplanted in a pot, it must be transferred to a
secondary nursery. To make a secondary nursery, prepare beds about 20 cm
in height filled with a mixture of top soil and well composted cow dung.
Have a drain between two beds to improve drainage.
Double row system of planting must be adopted in the secondary nursery. In
a single bed, two double rows are planted (four rows of seedlings). A spacing
of 45 cm is allowed between two double rows 30 cm is recommended within
the double row with triangular system of planting.
Plants in secondary nursery of polyethylene pots become ready for grafting 78 months after transplanting. The stem of the stock plant must attain pencil
thickness before grafting.
Selection of scion:
Take scions only from mother trees having good fruit quality characteristics.
For this purpose use trees giving fruit with quality specific to the cultivar and
that bears well annually.
Scion wood must be collected from branches bearing fruit. Avoid use of water
shoots.
As for budding, a bud just below the apical bud of the scion wood is used.
Grafting is done with a piece of shoot with apical bud.
Methods of budding:
Both patch budding and grafting can be adopted for mango. Patch budding is
more suitable for the wet zone while grafting is suitable for the dry zone.
For grafting, shoots with mature leaves around apical bud is the most
suitable. Before grafting, the shoots must be conditioned.
One week before grafting, remove all the leaves in the selected scion wood.
Then cut the defoliated scion stick to about 10-15 cm length. The basal end is
axed to form a wedge. In the rootstock, cut back the plant at a place where
stem thickness is equal to that of the scion wood. Then carefully split the stock
stem stump down and insert the scion and tightly wrap the union with a
polyethylene tape.
To prevent drying off of the scion wood, cover it with a polyethylene bag. Or
else keep the grafted plants inside a propagator. These kinds of measures will
ensure a high success rate of grafting.
For budding, use a piece of bark with a single bud collected from a fruit
bearing shoot of a selected mother tree.
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Remove a rectangular shaped piece of bark at 20-25 cm height of the stock
plant. Then insert the scion with the bud into the stock plant and tightly wrap
with a polyethylene tape.
For success of budding it is essential that the size and shape of the scion wood
and that of the cut made on the stock plant match closely.
When stock plants taken from seedbed is transplanted into polyethylene pots
directly and grafted, a plant ready for field planting can be produced in 7-8
months. However, when stock plants are transferred to a secondary nursery
and grafted, it takes about 16 months to produce a plant ready for field
planting. Thus the cost of production of such plants increases invariably.
Climatic requirements:
Mango tree is well adapted to tropical and subtropical environmental
conditions. It can be cultivated until up to 1300 m above mean sea level.
However, commercial cultivations are limited to areas below 600 m above
mean sea level.
Optimum temperature for mango cultivation is 27-30C. Mango is successfully
cultivated in areas where annual rainfall range from 500-2500 mm. For a
successful crop, most important thing is the distribution of rainfall rather than
the amount. A dry period of 3-4 months is an essential prerequisite for
successful flowering of mango. Rains at flowering may affect yield due to
pollen wash off.
Soil:
Mango can be cultivated in a wide range of soil conditions. A well drained
soil with 2 M depth is the best. Soil pH must be 5.5-6.5. Soils with high clay
content or with frequent water logging are not suitable for successful
cultivation of mango.
Field preparation:
Mango is cultivated both as a home garden crop and a commercial scale crop.
Before establishment of a commercial cultivation, clear the land and plow and
harrow. At the same time, take steps to adopt appropriate soil conservation
measures.
Spacing
Within row (m)
Between row (m)
For Willard
7
10
For Other Cultivars
10
10
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For the particular cultivar of interest, stake out land accordingly. In a land
with a loose soil, a planting hole measuring 60 cm x 60 cm x 60 cm is
sufficient. For heavy soils use of 90 cm x 90 cm x 90 cm planting holes
recommended.
Fill the planting hole with well composted organic materials and top soil two
weeks before planting. Heap the soil to about 6 inches above the ground level
over the planting hole.
Planting materials:
Budded planting materials are recommended for planting. Use of these
planting materials ensure the preservation of fruit quality characteristics of
the cultivar, early bearing and ease of crop husbandry in the mango
cultivation.
It is advisable to use planting materials certified by the Department of
Agriculture. Those planting materials are sold with a label indicating the
cultivar name and a number of identification on it.
Whenever seedlings are used as planting materials, it takes along time to bear.
Also it is difficult to guarantee the fruit quality characteristics of the cultivar.
Time of planting:
Planting can be commenced with the onset of Maha rains in the dry zone. In
intermediate and wet zones, planting is possible with onset of Maha or Yala
rains.
For a home garden, planting is possible at any time of the year except during
periods of heavy rains. If a prolonged dry condition exists, plants must be
irrigated as and when necessary.
Use only very vigorous plants for field planting. Minimize the stress during
field planting by hardening plants exposing to direct sunlight and with less
water application. This hardening helps to improve the success rate of field
establishment. At the time of planting remove the cover. Cut around the edge
of the bottom of the pot and remove the intermingled roots by pruning tap
root.
•
Place the plant in such a way that the base of the plant in the pot is aligned
with the ground level. Then remove the polyethylene bag with two
longitudinal cuts from bottom up.
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•
•
•
•
•
After removing the polyethylene cover, fill the planting hole with soil and
slightly tighten the soil. These steps help reduce root damage due to
breaking and splitting of potting media block.
Allow the plant to grow directly up. Use a stick closer to the plant and
tighten it into the stick carefully. - To minimize water loss under dry
weather conditions, remove half of each mature leaf.
Use mulch around the plant using easily available mulching material such
as dry grass or salvenia. Mulching helps to reduce soil temperature in the
root zone. Weed control also become easy. It also reduces drying of soil
and wind erosion of soil.
After planting watering is an essential requirement. Construct a basin
around plants to control runoff of applied water.
Provide shade appropriately to protect plants from heavy sunlight.
Crop Management:
Training of trees: Training gives a tree good appearance, management of the
tree becomes easy, high yields with quality fruit is possible and pest and
disease incidence minimized. Training of trees must be started right from the
early stages of growth. Pay special attention to train trees from the time of
planting.
Allow a plant to grow as a single stem up to about 1/2 M. Let the first branch
form at 1/2 M height. Then at about 15-20 cm spacing allow growing 3-4
branches around the tree. Let these branches to grow in opposite directions to
give a good appearance to the tree. This is also important to minimize break
of branches at latter stages of growth. Natural shading of branches also
minimized when branches are equally well distributed around the tree.
Shoots that do not receive sufficient sunlight do not produce enough food
reserves for the tree. Thus, fruit set in such branches are not satisfactory. Such
branches must be removed. Also diseased, dead and intermingling branches
must be removed. In removing branches the cut must be very close to the
main stem or limb when pruned. Prune trees under dry weather conditions.
Apply a paint mixed with a fungicide to the cut surface.
Weed Control: It is not essential to weed the whole land area in a mango
cultivation. Most important thing is to keep the area around the base of the
tree weed free. Thus keep only the area under canopy cover weed free by use
of a mamoty. However until the end of first year after planting, it is important
to have an area extending up to about 60 cm away from the tree without
weeds. During this period use dry grass as a dead mulch. Use a slasher to
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move down the weeds among trees. In doing so the grass in this area can be
maintained as live mulch. Then erosion due to wind and rain can be
countered.
Irrigation:
Especially in areas when prolonged dry periods exist, it is imperative to
irrigate the plants in the first three years after planting. Frequency and
amount of irrigation depend on rainfall and soil properties. For mango the
most critical periods of moisture requirements from flowering to fruit
maturity and leaf bud burst to leaf maturity. From leaf maturity up to flower
bud burst irrigation must be withheld. Irrigation during this period adversely
affect flowering.
Fertilizer application:
Wet Zone:
Un-bearing trees: Annual dose of fertilizer per plant (g)
-
Urea
Rock Phosphate
MOP
At planting
115
230
105
A year later
115
230
105
Thereafter, until the bearing stage, use the above mixture with annual
increments of 60g urea, 115g rock phosphate and 55g of muriate of potash.
Bearing trees:
Annual fertilizer dose per plant (g)
-
Urea
Rock Phosphate
MOP
At fruiting
215
325
380
Thereafter, until the bearing stage, use the above mixture with annual
increments of 110g urea, 165g rock phosphate and 190g of muriate of potash.
After several years the maximum recommended dose per tree is 870g urea,
1295g rock phosphate and 1515g of MOP.
Dry and Intermediate Zones:
Un-bearing trees:
Annual dose per plant (g)
-
Urea
TSP
MOP
At planting
160
195
90
A year later
160
195
90
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Thereafter, until the bearing stage, use the above mixture with annual
increments of 80g urea, 100g rock phosphate and 45g of muriate of potash.
Bearing trees:
Annual dose per plant (g)
-
Urea
TSP
MOP
At fruiting
235
160
515
Thereafter, until the bearing stage, use the above mixture with annual
increments of 120g urea, 80g TSP and 260g of muriate of potash.
After several years the maximum recommended dose per tree is 945g urea,
630g rock phosphate and 2055g of MOP.
Table 1. Nutrient Requirements (g/tree) of Bearing Mango Trees.
A. For Dry and Intermediate Zones
Age of Tree=>
4
5
6
7
8
9
10
Nutrient
N
108 162 216 270 324 378
432
P 2O 5
72
108 144 180 216 252
288
K 2O
306 459 612 765 918 1071
1224
B. For Wet Zone
Age of Tree=>
Nutrient
4
5
6
7
8
9
10
N
100
150
200
250
300
350
400
P 2O 5
90
135
180
225
270
315
360
K 2O
225
337
450
562
675
787
890
Other cultural practices
Wind breaks
Before establishment of a large cultivation, plant trees like glericeedia or ipilipil along the border of the land. This is particularly important in areas where
heavy winds prevail.
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Termite damage
During dry periods, termites may damage underground parts of the tree. To
overcome this problem apply a band of engine oil on the base of the stem up
to about 45 cm height.
Fire protection
In the dry zone heavy winds blow July through August. Most cultivated
lands are damaged by fire at this time of the year. To protect the mango plants
by spreading fire, have a 5-10 M wide fire belt around the orchard plowed
and harrowed to remove dry grass. Also during the dry months of the year
keep an area of about 3 M around the base of trees weed free. This might
protect trees even if a fire spread over the orchard.
Removal of stock shoots and flower buds
After planting grafted trees, never allow to grow buds from any other area
except from the grafted bud or shoot. If allowed, the growth of the grafted
shoot will become weak and may die back later. All flower buds that emerge
at early stages of growth must also be removed. This is particularly important
for trees showing poor growth. In such trees, continually remove flower buds
up to the end of third year. This precocious flowering is mostly seen in
cultivar Willard.
Thinning out of fruit
A tree can sustain a certain number of fruit depending on its size. If more fruit
are set than this, those fruit may drop naturally. In certain instances, however,
even after natural fruit drop, a large number of fruit may remain on the tree
and due to this only a few fruit will set in the following year. For a
commercial cultivation, this is not a good thing to happen.
For varieties like Karuthakolomban and Vellaicolomban, leave only one fruit
a panicle while cultivar Willard can have 4-5 fruit per panicle and remove all
other excess fruit. This is important to minimize yield variation over the
years. Also it is helpful to obtain a higher proportion of well grown high
quality fruit every year.
Insect pest control
Fruit fly (Bactocera dorsalis)
Adult is brown in color. Dark yellow spot seen on the thorax. It is 8 mm long
and wing span is about 15 mm.
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Female fruit fly lay eggs inside the peel of fruit after piercing it. Developing
larvae use the fruit flesh as food. As a result fruit flesh melts and become
unsuitable for consumption. Fungi causing fruit rot may also enter the fruit
from
the
pierced
whole
adults
made
to
lay
eggs.
Infested fruit develop brownish rotting spots on fruit surface. Such fruit drop
quickly.
Control:
•
Remove all dropped fruit and destroy.
•
Before dispatch fruit to the market, dip fruit in 40C water for 20 min.
•
Use methyl eugenol traps to trap and destroy fruit flies. Use traps fro
flowering through harvesting stage.
Five traps are sufficient per acre. Remove all trapped insects fortnightly. Also
replace the chemical occasionally.
Spray a suitable pesticide from time of flowering. Fenthion is recommended
at 30 ml in 10 ltrs of water. Stop spraying at two weeks before harvesting.
Mango leaf hopper
Amritordes brevistylis, Ideoscorpus clipealis and Ideoscorpus neveaspardis
This plant hopper is about 4 mm in size and is a very active insect. It lives all
year round under the leaves and in stem crevices and the population explodes
during the dry season. At this time if a person goes under a infested mango
tree, a characteristic sound can be heard due to the activation of hoppers.
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Adults lay eggs on flower buds and on developing young leaves. Instars suck
plant sap and due to this flowers and leaves dry off. This affect the fruit set
and fruit yield severely.
Hoppers excrete a sticky sugar rich solution and when that falls on leaves and
other parts of the tree, a black mold grows on such surfaces. Affected leaves
and flower panicles turn black in color. Nor fruit set on such panicles too.
When the mold grows on fruit, their marketability drops. Under heavy
infestation total crop failure is a possibility.
Management:
Train trees properly and prune excessive foliage and branches. Then
penetration of light inside of the canopy checks the growth of hopper
population.
At the time of flushing and flowering use one of the following chemical
sprays.
Dimethoate 30 ml in 10 ltrs water
Imidacloprid
10 ml in 10 ltrs water
Mango seed weevil (Sternocatus mangiferae)
An insect of about 1 cm long and reddish brown to ash in color: It is a
nocturnal insect and it can fly. Adults lay eggs on immature fruit under the
peel. Larvae cross the fruit flesh and enter into the seed of the developing
immature fruit and use the developing seed as the source of food. Weevil
comes out of the husk after seeds left out of fruit after consumption and live
inactively on stem crevices and other dark places of the tree.
Path crossed by the larvae through the fruit flesh is not discernible at ripening
stage. This however affects the germination of the seed and thus it is a pest of
primary importance to nurserymen.
Control:
Remove and destroy all dropped fruit at various stages of growth. At
flowering spray Dimethoate at 30 ml/10 ltr water in such a way that all leaves
and developing fruit get wet.
Leaf cutting weevil
Adult insect is ash brown-black in color. It is about 5 mm long and 2 mm
wide. Weevil cuts the leaf on tree leaving about 1/4 of it on the tree. The
fallen leaf pieces can be seen under the tree. Adult insect eats the other
remaining leaves on the tree. This creates wholes on leaf blade. Due to this
damage, growth of plants may be affected.
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Control:
•
Remove and destroy all fallen pieces of leaves.
•
Spray Dimethoate at 30 ml in 10l water at the time when damage is
first observed.
Disease control
Anthracnose
Colotritricum gloesporiodes is the causative agent of this disease.
This disease is prevalent in every mango growing area of Sri Lanka. Leaves,
flower panicles and all stages of developing fruit may be affected by this
disease. During hot humid weather conditions, the severity of the disease is
higher. Different varieties may have ability to resist this disease.
Symptoms
On developing leaves the emergence of small dark brown or black spots is the
first stage of infection. With the passage of time, these spots will grow and
unite each other to form irregular shaped brownish black spots. Newly
emerged leaves are more susceptible to Antracnose. If severely infected, die
back of shoots possible. This is frequently observed on mango nurseries.
When flowers contract Antracnose, panicle will turn black in color and dry
off. Due to this all flowers in the panicle may be lost.
Small developing fruit turn black in color, dried off and fall. Mature fruit
shows small dark brownish spots at the beginning. As the fruit mature these
spots grow in size and turn into black irregular shaped patches. Infected fruit
shows rotting at the surface. Such fruit are unmarketable.
Fungal spores on infected fruit and flowers wash off during rains and get
deposited on developing fruit which cause formation of small disease spots.
After harvesting, as the fruit ripens its natural resistance to the disease fades
away. Therefore, fungus present on unripe fruit as a latent infection begins to
develop rapidly as the fruit ripens.
However, after harvesting it is very rare to observe spread of disease to a fruit
by another infected fruit.
Management of Antracnose
•
Prune excess foliage to allow penetration of sun light inside of the
canopy.
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•
Use on of the fungicides listed below just before and after flowering.
For effective spray penetration onto leaves and flowers, use a nozzle
connected to a rubber tube fixed to a wooden pole.
Fungicide
Mixture
Benlate
6g /10 l water
Daconil
20g/10 l water
Maneb
20g/10 l water
Dip fruit at least within 24 hr. after harvesting in hot water at 50C for 5
minutes. For this purpose mix 100g Benomil per 100 l of water. However, care
must be taken to control water temperature properly to avoid any damage to
fruits.
Stem End Rot
A disease of importance in harvested fruit. A number of fungi including
Ladiodiplodia theobromea, Coletritricum gloeosporiodes and Fotogercis
mangiferea cause the stem end rot disease in mango. Disease symptoms
develop around the stem end of the fruit as it begins to ripen after harvesting.
Fungal spores are prevalent on dead leaves and twigs in orchards. As the
spores spread on to flowers and fruit before harvesting, the fungi may form
latent infection on fruit.
Symptoms
Symptoms become clear as the fruit ripens. At the stem end of the fruit,
brownish patches begin to develop. Due to this both the peel and the inside
flesh begins to rot. Infected fruit also gives a bad smell.
Management
In cultivations where this disease is severe, adopt a spray program from the
time of flowering. Use Benlate at the rate of 6g in 10 l water. Sprays must be
repeated in 14 day intervals. In addition,
Never let leaves and twigs to fall and rot near the trees.
Avoid
harvesting
fruit
that
is
not
sufficiently
mature.
Use hot Benlate dips as recommended for Antracnose control above.
Store harvested fruit at a low temperature.
Harvesting & Post-harvest Technology
Harvesting
Grafted plants commence bearing 3-4 years after planting. Fruit need to be
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harvested only after it mature sufficiently, but before ripening. In most
cultivars, when fruit is mature enough, the color of peel change from dark
green to light greenish yellow in color. However, to ascertain the level of
maturity a number of fruit should be picked randomly, cut and inspected. If
fruit show a yellow color around the seed, they are mature and ready for
harvest. If the flesh color is white, it is not yet ready for harvest.
Hands pick fruits if possible. Else, use a wooden pole with a hook or knife
attached with a cloth bag or net below. This prevents bruising and fruit
injury. Never let fruit fall on the ground.
There is a simple device for harvesting as given above. As shown in the
figure, it is fabricated with 1 mm galvanized iron and below the tooth-shaped
ring is a pouch made out of fish net or cloth. Pedancle of the fruit is inserted
in between the teeth and make sure the fruit is inside the pouch and pull the
pole. Detached fruit will then fall into the pouch.
To minimize sap exudation, harvest fruit between 9 AM - 3 PM. Avoid humid
rainy weather conditions at harvesting.
Yield
Age of tree
Fruit Number per tree
5-8
450
9-10
800
11-25
1250
Handling harvested fruit
Never leave harvested fruit under direct sun. Take those to the pack house
safely. Thereafter, sort fruit to remove damaged, cut and bruised, immature
and over-ripe fruit.
Wash sorted fruit in a water bath with Benomyl or Thiobendazol. This is
important to remove sap on the fruit and to give it a good appearance. Due to
the action of fungicide, development of diseases like Antracnose is checked.
However, for effective control of post harvest diseases, 1-3 min. dip in 52C
water is more suitable. This can be done with or without fungicide. If a
fungicide is not mixed with hot water, spray a solution of 1% fungicide on
washed fruit.
Packing
Before packing fruit may be sorted again. At this time if there are any
unmarketable fruit, those are discarded.
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For export purposes, selected fruit is packed according to size. For European
markets, high demand is for fruit weighing 200-250g. However, sort and pack
fruit according to the requirements of the buyer. Pack fruit in cardboard boxes
as a single layer of fruit to about 4-5 Kg in weight per box. Each fruit should
be wrapped to polyethylene or shredded paper and pack in the box.
Storage
At ambient air temperature, mangoes harvested at correct stage of maturity
can be stored for about 8-12 days. Under cold conditions at 12C , storage life
can be further extended up to 25 days without loosing fruit quality.
Transport For local markets, damages caused at shipping is not duly taken
care of. Therefore, losses are very high. Hence, it is important to pack fruit in
appropriate containers and transport safely.
For export, air freight is the most common method of transport. The reason
for this is that fruit can not be stored for a long time.
Economics & Marketing
Labor requirements
Labor requirement for the first year to establish 1 Acre of systematic mango
cultivation.
Item
Man days
Land preparation/Soil conservation
14
Staking and holing
04
Application of manure and basal fertilizer
04
Planting
02
Shading
01
Fertilizer application/weed control
01
Irrigation
12
Orchard maintenance
04
Total
42
Chapter – T 4
Farm mechanization loans
1.0
Introduction
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Mechanization of selected farm operations is a key factor in the successful
implementation of an intensive farming system based on intensive use of
yield increasing technology and multiple cropping. Timely operations and
seasons are the critical factors to maximize output from farming activity. Due
to the seasonal nature of agricultural operations, the farmers often face
difficulty in the timely and successful performance of agricultural operations,
especially during the peak labour-load periods; at the time of sowing,
harvesting and threshing. To smoothen these peaks, labour saving devices can
be introduced by mechanizing some selected agricultural operations. This
would make it possible to introduce multiple cropping. Thus, switch-over to
mechanical power will not only help perform the various operations in time
but will also help the farmer adopt more profitable crop rotations.
Management of farm power and machinery is often overlooked. Machines are
rapidly replacing the human and animal power. This spectacular progress in
farm mechanization has remarkably increased the farm output and the labour
productivity. In changing over from manual to machine-power, a suitable set
of machinery and implements for use under local conditions and relative costbenefit relationship on various alternative types of equipment and power
have to be worked out. Mechanization increases the farmer’s total farm
investments and he therefore has to decide how much capital he should
invest in machinery and which machines he should buy or when does it pay
to hire a machine rather than buy one.
The desirability of mechanization can be judged from the viewpoint of the
individual farmers concerned or from that of the economy of the country in
question while a government will be more concerned with the large-scale
impact of mechanization on unemployment or balance of payments, the
farmer will be concerned with how it affects his farm production and profits,
etc. Often these two approaches are opposing ones - national interests may
not always coincide with those of the individual farmers. Ultimately, a
government can greatly influence the degree to which mechanization takes
place through its policy measures.
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For the farmer, mechanization of a particular phase of his activities becomes
interesting when:
Labour costs become significantly high;
Labour is in short supply, especially in periods of peak seasonal activity;
Working animals become too expensive or are not available when needed;
It will lead to an increase in cultivable area, either by an increase in the
total area or by increased cropping intensity;
The climatic and soil conditions are such that only limited periods for
cultivation are possible;
Losses in harvesting, processing and storage can be limited to reasonable
levels
The quality of the work can be improved resulting in better output.
•
•
•
•
•
•
•
These factors give some indication of how difficult it can be to decide if
mechanization is worthwhile or not. A meaningful solution can only be found
after the circumstances of each case have been considered.
2.0
Steps in farm mechanization
The operations which are usually first considered for mechanization are those
for' which the use of manpower has become too expensive or takes too much
time and where the use of machinery seems to be advantageous. The various
farm operations mechanized and the related issues are:
♦ Soil preparation is usually one of the first operations to be mechanized.
Once this operation is mechanized it becomes more attractive to
mechanize others, because with the increasing number of operational
hours the cost/hour of the farm machinery becomes lesser.
♦ The next most suitable operation for mechanization is that of weedcontrol. For this cultivator or, where the crops are grown on ridges,
ridger-bodies can be used.
♦ Harvesting, a labour-intensive activity, is usually the next operation to
be mechanized. The machines used are generally rather specialized and
this tends to make them expensive. In addition, they have a very limited
period of use when the total farming operation is considered. This is
especially so for combine harvesters (for rice, wheat. sorghum, soybeans,
sunflower seeds, maize and cotton).
♦ Operation of these harvesters, which usually have a large capacity, is
only economical if large areas are harvested, i.e. for contractors,
cooperatives or large estates. Much cheaper and so much more
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remunerative are a number of 'mounted' harvesting machines such as
groundnut lifters, forage harvesters, mowers and pick-up balers etc.
♦ One operation associated with harvesting which under certain
conditions can be successfully mechanized is that of the threshing of the
grain. The capacity of these machines does not have to be so large
because this operation is not so fixed to one particular period. Moreover,
with the use of the appropriate parts, the machine can often be made
suitable for the threshing of other crops as well.
♦ Spraying against weeds and pests can also be mechanized, using
motorized knapsack sprayers and tractor-mounted sprayer equipments.
♦ Farm tractors can also be used to provide transport. For distances up to
50-60 km a tractor with trailer is generally cheaper than a truck.
Tractors can also be used to maintain field roads and for powering
water pumps if so required.
♦ Based on the working width of the machines and the working speed of
the tractors, and by applying a factor of 0·825 for turning and
overlapping, the theoretical performance can be calculated. In practice,
however, the output is much lower because one has to reckon with the
efficiency of the operations. This efficiency of operation of the farm
machinery is affected by:
•
•
•
•
•
•
•
•
•
•
•
•
climate;
soil;
field size;
sanitary stops;
clogging up of machinery;
interruptions because of rain;
fuelling and daily maintenance.
making adjustments to the implements;
cleaning of machinery;
operator;
distance to the work place;
over all management;
♦ Some general power requirements for soil preparation and crop
maintenance are given in the table below :
Table: Soil preparation and crop maintenance - power requirements
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Equipment
Width
(cm)
Depth (cm)
Speed
(km/h)
90
20-25
6
• 3-disc plough
- for each extra disc
30
20-25
6
60
20-25
6
• Mould-board plough (2 furrows)
- for each extra furrow
30
20-25
6
45
4
• Subsoiler per tine- per tine
60
4
- per tine
75
4
150
10
8
• Tandem disc harrow
- for every extra 30 cm
30
10
8
400
7
6
• Tine harrow
- for every extra 30 cm
30
7
6
120
10
5
• Rotavator 120 cm
- for each extra 30 cm
30
10
5
300
15-17
4
• Power harrow (2 bar)
- for every extra 30 cm
30
15-17
4
240
7-10
4
• Rigid tine cultivator
- for every extra 30 cm
30
7-10
4
<5
6
• Planter (per unit)
<5
6
• Planter with fertilizer attachment
240
<5
6
• Seed
drill
(per unit)
- for every 30 cm extra
30
<5
6
240
<5
6
• Seed/fertilizer drill
- for every 30 cm extra
30
<5
6
150
5
• Rotary mower (in 90 cm high
grass) : Agril.compendium for rural development in the tropics and
Source
Required
tractor hp
60
15
45
15
40
55
70
60
10
45
5
50
15
50
8
40
5
12
15
40
5
45
7
55
subtropics
♦ In developing countries the overall efficiency is usually 40-60%. For quick
estimation the following data may be used. The low number of hours/ha
refer to high efficiencies and the high numbers to low efficiencies
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Hours /ha
Soil preparation - rice fields
Manual labour: dry fields
Manual labour : wet fields
With a pair of bullocks: ploughing and puddling (wet fields)
With a two-wheel tractor (5-10 hp): ploughing and puddling
(wet fields)
With a four-wheel tractor (45-60 hp): disc harrowing and
puddling (wet fields)
Soil preparation - dry fields (upland crops)
Mechanized ploughing (60-70 hp tractor)
200-250
150-200
80-120
20-30
4-8
Light soil
1.0-1.5
Medium-heavy soil
2.0-3.0
Heavy soil
Mechanized harrowing (45-60 hp tractor)
Miscellaneous operations
Ridging
Sowing
Inter-row cultivation
Combine harvesting
Combine harvesting (rice)
3.5-4.5
1-2
1-2
1-2
1-2
1-2
2-4
Source : Agril.compendium for rural development in the tropics and
subtropics
The number of machines required depends not only on the production per
hour but on their availability for work during the working season as well.
This availability of machines is influenced by:
• The quality of the machines
• The availability of spare parts
• The repair facilities
• The quality of the operator
• The length of the working season
• The age of the machine.
The availability of new machines, working under favourable circumstances,
can be as high as 90%. In general, however, the availability in developing
countries is not higher than 60-70%. It may even be less than 50% if, for
instance, the supply of spare parts or the repair facilities are not well
organized.
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3.0
Cost calculations
The machine costs can be divided into two categories: fixed costs and variable
costs. The fixed costs include depreciation, interest, insurance, taxes and
shelter. The variable, or operating, costs include operation and maintenance
costs, fuel, lubricants, spare parts etc.
3.1
The fixed cost per hour can be calculated as follows:
Purchase price- residual value
•
Cost per hour depreciation=
Total running hours in the depreciation period
(Purchase price + residual value) X interest rate
•
Cost per hour for interest =
2 X 100 X total running hours in the interest period
Yearly outlay for these costs
•
Cost per hour for shelter, insurance, taxes =
Total running hours per year
3.2
The variable costs are based on:
•
Repair and maintenance: in developing countries these costs will be
100-150 %of the purchase costs, depending on the particular
circumstances
•
Fuel, lubrication requirements, filters, etc.: for each delivered hp a
tractor will consume 250 cc of diesel fuel per hour. The cost for filter
replacement and lubrication usually amounts to 15 % of that for fuel.
•
Wages and overheads: because it cannot be assumed that the drivers
will be (can be) assigned to other work outside the cropping season,
costs per hour are usually calculated by dividing the yearly wages and
overheads by the total running hours for the year, even though these
may be well less than those equivalent to a full year’s operation.
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Table: Tractors and machinery, their reference prices, and estimated working
life and repair costs
Tractor or machine
Tractor. 40-50 hp
Average working life
(working hours)
7,000
Total repair costs as
% of new costs
130-150
Tractor. 60-70 hp
8,000
120-140
Tractor. 90-100 hp
10,000
100-120
3-disc plough
4,000
160
Mould-board plough (3
furrows)
Tandem disc harrow. 180 cm
Rotavator, 1 20 cm
Tine harrow (400 cm)
Power harrow (2 bar. 300 cm)
4,000
120
4,000
3,000
4,000
3,000
250
150
80
100
Rigid-tine cultivator, 270 cm
5,000
80
Planter per unit
6,000
100
Planter with fertilizer
attachment (per unit)
Seed/fertilizer drill, 240 cm
6,000
100
6,000
100
Source : Agril.compendium for rural development in the tropics and
subtropics
4.0
Mechanisation in paddy cultivation
The need of machinery for rice cultivation arises when seeking solutions for the
problems like drudgery, high production cost, low quality, low cropping
intensity and above all the labour scarcity. From time to time the need has been
changing and today the major concern is lower the cost of production, increase
the quality and solve the problem of scarcity of labour. In a survey conducted
jointly by Farm Machinery Research Centre (FMRC) and the University of
Peradeniya, it was found that 84 of the farmers gave top priority in the process
of mechanization for cultivation of rice. The task of introducing machines to
farmers had not been easy due to various reasons. Since the importance of
machinery has now been realized, immediate but well planned, mechanization
programmes must be launched in order to achieve sustainability in rice
production. In this context, the labour intensive and time-consuming
operations should be clearly identified and at the same time increasing the
quality of products also should not be neglected.
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4.1
Status of mechanization in paddy
A total of 899,000 ha of paddy fields, is island wide, need some form of power
for operations such as land preparation, plant establishment, weeding,
irrigation, crop protection, harvesting, threshing, paddy cleaning and storage.
The following are the available units of machinery for paddy cultivation in Sri
Lanka.
Machinery
Two-wheel tractors (6 - 12 hp)
Four-wheel tractors
Ploughs
Mould Board (for two-wheeler)
Mould Board (for animal)
Rotary ploughs (for two-wheeler)
Nine tine tillers
Weeders
Sprayers Paddy reapers
Paddy threshers
Winnowing fans
Transplanters
No of units
55,000
15,000
18,000
75,000
54,000
10,000
4,500
105,000
2,500
30,390
20,000
825
(Source: FMRC 1999)
The level of mechanization in paddy is highest in spraying operations (100%)
followed by land preparation (87%). In winnowing the mechanization is @
82%. The following table gives the details of the levels for various operations:
Operation
Chemical spraying
Land preparation
Level of
mechanization
100%
87%
Winnowing
82%
Paddy cultivation
75%
Threshing
Reaping
45%
08%
Transplanting
Weeding
02%
02%
Remark
Final leveling is done by manual
or animal power
Winnowing fans coupled to two
or four wheel tractors
Final cleaning is done when
preparing seeds d for milling
Excluding tractor treading
Two-wheel tractor coupled
vertical reaper
Includes row seeding
This is possible only for the crops
established in rows
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(Source: RNAM & FMRC)
4.1.1
Land preparation
Land preparation is generally done using two wheel tractors, four wheel
tractors, animal and manual power. It is said that nearly 50% of the available
land is unable to be cultivated during the yala for scarcity of water resulted
due to late land preparation. This delay is mainly due to the lack of farm
power for land preparation. The average power requirement per hectare per
day in different steps in land preparation is given below:
Primary tillage
Secondary tillage
Puddling & leveling
15 hp/ha/day
10hp/ha/day
10hp/ha/day
In accordance with the present availability of tractors and animal population,
the total power available in the country is 1113840 hp (440,000 hp from two
wheel tractors, 525,000 hp from four wheel tractors and 148840 hp from
animal and manual). This is equivalent to 1.23 hp/ha and percentage wise
nearly 87% of the land is prepared by tractors and 13 is by animal and manual
power.
With the present available power, time taken for the three sub operations in
land preparation could be calculated as:
Duration for primary tillage (15/1.23)
Duration for secondary tillage
(10/1.23)
Puddling and leveling (10/1.23)
Total
12.20 days
8.13 days
8.13days
28.46 days
In addition to this, the work involved in clearing bunds and establishment of
crop take at least 8 days to 30 days depending on the method followed for
seeding and transplanting. If the duration taken for land preparation were to
be shortened by two weeks the additional amount of power needed in the
farm would be 556,920 hp.
The statistical data shows that there is nearly 3000 two wheel and four-wheel
tractors are annually added to the tractor pool in this country and it is
worthwhile to consider the best suitable tractor type with respect to capacity,
fuel consumption and price.
4.1.2
Crop establishment
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More than 90 of the paddy fields are broadcast sown and a competitive yield
is obtained using the recommended quantity of fertilizer and herbicide. This
is the fastest, simplest and cheapest method when compared to row seeding
and transplanting. Although there is no significant yield difference in all three
methods, experience indicate that row seeding and transplanting makes the
subsequent operations conducive for mechanizing labour and timeconsuming operations such as harvesting. Crop lodging is the major concern
and emphasis is solicited for developing lodging resistant varieties. In
addition to developing invulnerable paddy varieties for lodging,
transplanting could be encouraged as it was proved to be less susceptible for
lodging.
4.1.3
Plant protection
Weed, pest and disease control is done using chemical sprayers. This
technique is 100 % mechanized in the case of rice cultivation. The over-head
knapsack type stainless steel hand sprayers are the most popular. Nearly
105,000 hand sprayers are being used covering an area of nearly 9 ha sprayers.
The average capacity of such a sprayer is about 1 ha/day (FMRC). This data
shows that there is a deficiency of sprayers in the field. In general for high
demand application of chemicals at least one sprayer is needed to cover up an
area of 2 ha. Therefore, to be on the safe side, nearly 300,000 more hand
sprayers would be needed for timely application of agro-chemicals.
4.1.4
Weed control
Weed control by mechanical means is practiced by less than 1% of total area
(FMRC). The basic requirement for application of any type of mechanical
weeder is to have a crop established in rows. In Sri Lanka two types of
weeders are used. They are Japanese single and two row designs and IRRI
conical type single and two row versions. The comparative study by FMRC
indicates that the IRRI conical weeder has superior characteristics in the cases
of capacity, manuarability, and also simplicity in manufacture. The capacity
of this weeder (0.25 ha/day) also would have to be increased to gain
popularity. Cost comparison of weeding techniques is given in the table
below
Method
Chemical
weeding
Cost/ha
(Rs.)
4000
Advantages
Easy and quick,
method of
establishment of
crop is immaterial
Disadvantages
Hazardous to the
environment,
development of
resistance by weeds for
weedicides, control
depends on weather
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Mechanical
weeding
4.1.5
1000
Environmental
Crops should be
friendly, efficient
established in rows
use of fertilizers.
Weather condition is
immaterial
Harvesting and threshing
Harvesting and threshing is the most labour intensive operation requiring
immediate attention providing a suitable mechanical aid. Mechanization of
this operation has been attempted to do in three steps; first the threshing and
then reaping and finally the combine harvesting. Mechanical threshing could
give a quality output with less cracked grains increasing the percentage of
head grains in milling. In addition, because of the absence of impurities mixed
with the grain there is an increased demand by the mill owners on such
paddy
The properly handled the mechanical threshing also could be made use of for
reducing field losses that could incur during reaping and threshing. In the
conventional methods, a substantial quantity of paddy go waste as shattering
losses when transporting the reaped crop to the threshing ground. The straw
thus transported is set on fire later collecting the paddy, loosing a valuable
organic matter and nutrient. The portable mechanical thresher can leave the
straw spread in partially chopped from in the field itself facilitating easy
digestion. This method also averts the requirement of transporting the cut
crop to the threshing ground, which incur extra cost. Performance comparison
of threshers with the buffalo and tractor is given below:
Buffalo
Tractor
Threshers
Impurities %
4.4
78
0.3
Cracked grains %
Loss in head rice %
Moisture %
7.8
6.2
15.2
11.7
7.0
14.7
6.3
2.0
14.1
(Source: RPRDC 1983)
4.1.6
Reaping
This operation is done almost 100 % by using sickles. A reaping attachment to
a popular two-wheel tractor was designed and introduced. This attachment
had a good demand, but the limited applicability on lodged crops restricted
the potential market.
4.1.7
Combine Harvesters
The labour scarcity has now become so aggravated that the harvesting and
threshing operations could not be done in time resulting in heavy yield losses.
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In order to overcome this situation, farmers in the large-scale paddy growing
areas sought after combine harvesters to take over the task. Unfortunately the
exorbitant prices of new combine harvesters directed the farmers to look for
imported second hand machinery. These machines had two main
disadvantages. Firstly, the frequent repairs needed and secondly, the inability
of the machines to work on the lodged crops.
In contrast to the above head feed type combine harvester from Japan, a
whole crop type machine imported from China have given some encouraging
results. Because the disadvantages associated with the Japanese one could
have been mitigated by making the machine smaller and by having an
adjustment to cut the crop as close as possible to the panicle. The price is also
at the affordable limit to the farmer.
5.0
Manufacturers of farm machinery
Most of the agricultural machinery & equipment needed by the country are
manufactured locally, except tractors and combined harvesters. Majority of
manufacturers belong to private sector. Many large companies manufacturing
agricultural machinery are located in and around Colombo. The
manufacturers and categories is given in table:
Sl.no
1
2
3
4
5
6
7
8
9
10
11
12
13
Machinery /
equipment
Combined harvesters
Tractors
Power tillers
Paddy reapers
Paddy threshers
Knapsack & power
sprayers
Paddy
milling
machinery
Electric & engine
driven water pumps
Nine tine tillers
Cage
wheels
for
tractors
Other tractor parts
and trailers
Seeders & weeders
Cage wheels
Import
Indigenous production
Large scale
Medium
Small
manufacturer
scale
scale
s
manufactur manufact
(10)
ers
urers
(25)
(232)
ü
ü
ü
ü
ü
ü
ü
ü
ü
ü
ü
ü
ü
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14
15
16
17
18
19
20
21
Trailers
Winnowing fans
Animal drawn
equipments
Rotavator blades
Paddy processing
machinery
Mammoties. Hoes &
Sickles
Seeders & weeders
Levelers
and
Harrows
ü
ü
ü
ü
ü
ü
ü
ü
ü
FMRC listed manufacturing agencies
It should be ensured that the farm machinery /equipments financed should
be in the approved list of Farm Machinery Research Centre(FMRC)
The problems of increasing gap between the demand and supply of farm
power due to migration of farm labour to cities, increased demand for quality
agricultural products in the domestic and international markets, decreasing
farm incomes could all be effectively addressed by a carefully planned farm
mechanization process. Through proper mechanization environmental
hazards could also be substantially mitigated. The land and crop conditions
must be made conducive for efficient usage of farm machinery and tools.
6.0
Need for mechanisation
The scarcity of manual labour and the drudgery required alternative sources
of power to carry out different farming operations. Machines could replace
the labour bringing advantages such as timely cultivation, increase in quality
of produce and lesser production cost. But in a country like Sri-Lanka there
are often restrictions to introduce such machinery due to various socioeconomic reasons. Hence the agricultural mechanization process, is selective
to ensure a balance between available labour and the need of machines for
timely operations. With the influence of free trade economy the subsistence
level of farming may gradually change into commercial level requiring labour
saving machinery. Among the machinery used tractors play an important role
in farm mechanisation.
6.1
Tractors in paddy production
In paddy cultivation, both four & two wheeler tractors are widely used in Sri
Lanka. Hence the sales of tractors is closely reated to the expansion and
growth of rice industry. From time to time the need has been changing and
today the major concern in rice is the need to lower the cost of production,
increase the produce quality and solve the problem of labour shortage. In a
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survey conducted jointly by farm machinery centre - FMRC and the
University of Peradeniya, it has been found that 65% of the farmers give top
priority for mechanization in rice cultivation. Since the importance of farm
machinery has been well realized, planned mechanization programs are being
launched to achieve sustainability in rice production.
6.2
Tractor market in Sri-Lanka
Initially there were only four wheel tractors in the market but later in the
early 1980’s the two wheel tractors were introduced. Now these 8HP - 12HP
versions dominate the rural market, be it, the brand new ones or the
reconditioned items. The two wheel tractors have gained popularity among
the farmers for its lower cost, easy usage, and scope for many attachments /
accessories. Thus as a multipurpose machine it benfits the farmers. The farm
machinery presently deployed for paddy cultivation is given in the table
below:
Farm machinery / equipment
Two wheel tractors (6-12hp)
Four wheel tractors
Ploughs
Mould board (for two wheeler)
Mould board (for animal)
Rotary plough (for two wheeler)
Nine tine tillers
No. of units
55,000
15,000
18,000
75,000
54,000
10,000
Source: FMRC 1999
From the above fingers it is very clear that two wheel tractors dominate the
market due to several reasons:
•
•
•
•
•
•
•
Unit cost is affordable to the farmer community.
Both recondition & brand new units are available.
Customer could buy the product at their convenience in the local
market.
Funding available from banks and other sources
Multiple usage of the machinery has its advantages.
They are more versatile in small crop growing plots
Out of the two wheel tractor segment the 12HP hand tractors are most
popular
Capacity and fuel consumption of different tractors is shown in the table
below:
Tractor
or power
Fuel
consumption
Capacity
ha/
Capacity
ha/ li of
Remarks
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hp
O7
li / h
1.0
08 h day
0.40
fuel
0.05
12
1.4
1.00
0.09
35
4.5
1.40
0.04
Walking type two wheel
tractor
Riding type two-wheel
tractor
Four wheel tractor
Source: FMRC 2000.
In accordance with the table the 12 HP riding type two-wheel tractor gives the
maximum work output per liter of fuel consumption. Another important
aspect to be considered is that the smaller horsepower tractors do not last as
long as the larger ones. But as the power increases the cost of tractors also
increases and the cost per unit power decreases.
6.3
Tractor suppliers
6.3.1
Suppliers of four wheel tractors
•
•
•
•
•
•
6.3.2
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
Sifang lanka (pvt) ltd- Browns
Hayleys Agro Products Limited
Agro consolidated
Semuthu agro
Jenasena group
Farmers (Pvt) Ltd
Two wheel tractor suppliers:
Agro Trac Lanka (Pvt) Ltd
Wimal Tractors (Pvt) Ltd
Edna Engineering (Pvt) Ltd
Prabash Trading
Regal Motors (Pvt) Ltd
Asia Tractor Lanka (Pvt) Ltd
Darshana Enterprises
Dharmadasa Group
Honshu Enterprises
Kusumsiri Motor Traders
Nandha Trac Motors (Pvt) Ltd
Seneveratne Motor Enterprise
Diesel & Motor Engineering PLC
Wimal Tractors (Pvt) Ltd
Diesel & Motor Engineering Co Ltd
Nandha Trac Motors (Pvt) Ltd
Nawa Rajarata Appliances (Pvt) Ltd
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•
•
•
•
7.0
Seneviratne Motor Enterprises
Nawa Rajarata Appliances (Pvt) Ltd
New Dharmasiri Enterprises
Ranatunga Motors (Pvt) Ltd
Appraisal of farm mechanization proposals
In terms of national agriculture policy there is need to encourage the public
and private sectors as well as the Universities to develop and manufacture
agricultural machinery, with appropriate technology suitable to the
agricultural sector. There is also need to promote mechanization to make
agriculture more efficient and cost effective. The policy thrust is on
encouraging the state and private sectors to supply modern, low – cost, high
quality machinery with improved technology in order to sustain agriculture
in a profitable manner.
7.1. Considering the policy focus as above, farm machinery loans are to be
considered on priority by banks for financing purchase of tractor, power
tiller, trailer and accessories, combine harvesters, grain threshers,
sprayers, dusters, ploughs, drills and such other farm implements and
equipments needed for agricultural activities.
7.2. It should be noted to finance purchase of tractors, of economic size HP
only. Further, only such tractors/power tillers, which are in our
approved list, are to be financed. The guidelines on expansion of
portfolio of tractors and the list of tractors / power tillers, which are on
bank’s approved list, are to be used as a basis for lending
7.3.
In case of tractor loans, the applicant should have at least … acres of
perennially irrigated land or …. acres of dry land, provided the
sanctioning authority is convinced that the tractor can be gainfully
employed for a total period of 1000 to 1200 hours per annum either on
the farmers own land or by custom hire.
7.4. In case of power tiller, .….. acres of irrigated lands or equivalent dry land
provided the sanctioning authority is convinced that the power tillers
can be gainfully employed for a total of 600 hours p.a. either on own
farm or custom hire.
7.5.
Loans can also be extended for purchase of tractors, power tillers,
accessories, other farm machinery to employed entrepreneurs under self
employment scheme without insisting the land holding criteria, after
satisfying the scope for custom hiring loans for other farm machinery
can be granted to farmers as well as unemployed entrepreneurs, either
for farm use or custom hire, on merits of individual case. The land
holdings should be in preferably compact blocks which helps in
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economic usage of farm machinery the applicant should have
knowledge in the maintenance of machinery and there should be
adequate facilities available for servicing of the machines
7.6. Since higher HP tractors would have a higher unit cost with direct
bearing on the financial viability and bankability of such proposals,
tractors of above 35 HP should not be normally financed unless viability
is clearly established. Financing tractors of over 50 HP may be
considered only on a case to case basis, particularly for field operations
like leveling, land shaping (in dry land cropped areas) and for deeper
ploughing (in areas where crops like sugarcane, cotton and tobacco are
raised) after carefully examining the financial viability and bankability
of such investments based on the number of hours of tractor use, land
holdings, scope for custom hiring etc.
7.7. Preference can be accorded to power tillers with a lower investment
requirement which will enable smaller farmers to mechanize their farms
at an affordable cost.
7.8. Though the minimum land holding norm is only a pre-requisite for
considering tractor/power tiller loan and that alone cannot make the
application worthy of consideration for a loan. Each application should
therefore be appraised on a case to case basis for its financial viability
and bankability. The important considerations in this regard are as
follows:
• The farmer should be in a position to put the tractor to maximum
use throughout the year. A tractor to be economical should be put
to productive work at least for 1000 hours per year on own-farm or
both on own-farm and on account of custom services. In case of
power tillers, it is 600 hours.
• It must be noted that the use of tractor will be more useful and
economical if,
-­‐
the farmer is going in for multiple cropping
-­‐ there exists adequate demand for custom hiring in view of
limited tractor
population in the area; and
-­‐ the labor is not easily available and comparatively costly in the
selected area
• The tractor selected by the farmer should be of appropriate and
economic size (HP) so as to ensure optimal utilization of the
tractor's capacity. This can be decided by the branches taking into
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account the type of soil (light, medium and heavy), farm size, crop
mix, cost of tractors, labor availability, degree of mechanization of
farm operations and prospects for custom hiring.
7.9. For tractor models chosen by the borrower, Commercial Test Report
issued by FMRC should be available.
7.10. In case of power tillers the following points are to be noted:
•
Power tillers are normally used in areas where the farmers switch
over to cash crops in a big way after mechanization;
•
More than 70% of the incremental income including that from
custom hire is reckoned towards servicing the loan; and
•
At least 50% of the total amount required for repayment of
installment of loan together with interest from the incremental
income derived out of mechanization of beneficiary's own farm.
7.11. While appraising the proposals for farm mechanization loans it should
be ensured that in each case the AO / branch manager has conducted
pre-sanction visit to assess the technical feasibility economic viability of
the proposal. In the inspection reports, the following points should be
clearly noted in addition to the eligibility clause, terms and conditions of
the scheme.
•
•
•
•
Whether the prospective borrowers have
Ø Knowledge in the maintenance of the machinery proposed to
be purchased?
Ø Experienced hands to drive the tractor/ power tiller?
Whether there is good scope for hiring the power tiller/farm
machineries?
Whether the tractor selected by the borrower is of appropriate
capacity and economic size (HP) so as to ensure optimal utilization
of the tractors on own farm and for custom service.
In addition to the above, particulars mentioned in the checklist
should be gathered.
7.12. In the appraisal note there should be clear stipulation on disbursement
asects.The loan amount should be disbursed directly to the dealers/
suppliers along with money collected from the borrower against receipt.
The payment of the loan proceeds to the tractor dealers should be made
only after the tractor and all other accessories as per proforma invoice
are supplied and bank’s lien painted on tractor and trailer. This has to
be confirmed by inspection of the asset. Payment to the dealer should be
released only after ensuring that the assets have been delivered.
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Ø The quotations should clearly indicate the price of
tractor/trailer/accessories separately. It should be ensured that the
margin norms are not circumvented by inflated quotes on the cost of
tractors/accessories.
Ø As soon as a tractor loan is sanctioned, a letter of confirmation is to
be issued to the dealers, indicating that the payment will be made
once the tractor and trailer (applicable) along with all accessories are
supplied as per proforma invoice.
Ø Branches should ensure that our lien is noted in the RC book within
one month of disbursement of the loan and RC book copy should be
obtained. This aspect has to be very closely followed up by the
branches. In case of undue delay, help should be sought from the
dealer who has supplied the tractor/tiller/trailer. For recovery of
overdue instalments also, the help from the dealer can be enlisted.
Ø Branches to ensure that borrower can effectively use the tractor as
per the norms and has ability to manage tractor.
Ø The bank lien should be got noted in the registration certificate and
registered with the RTO. It should also be painted on the
tractor/power tiller/trailer and other implements in bold letters.
Ø The Registration Certificate (RC) has to be verified for the first time
soon afte4r registration in the name of the borrower with hire
purchase endorsement in favour of the bank. Thereafter RC has to be
verified once in a year to confirm that the taxes have been paid upto
date.
The format for letter to the bank from the borrower for payment to vendors /
dealers is given in Annexure – 1 and format of letter from bank to suppliers is
given in Annexure -2.
7.13 The pointers in the following check list covers technical feasibility,
economic viability and bankability aspects of farm mechanization loans :
n Technical feasibility
Ø Is the need for a tractor justified?
Ø Does the applicant own and cultivate the required land holdings?
Are the lands situated in compact blocks? Is there demand for use
of tractor in neighbours fields?
Ø How many tractors are there in the village or locality?
Ø Is he going to buy the implements also along with the tractor? If
not how is he going to use the tractor? Is he going to buy trailer
also? Can it be utilised properly?
Ø What are the purposes for which the machinery can be put into
use? What is the expected minimum working hours per year?
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What is the total cropped area in which the tractor is expected to
be used in a year?
Ø Who is going to drive and maintain the machinery? Is he a trained
person?
Ø Is there any servicing centre to undertake repairing and servicing
of the machinery?
Ø Are the spares readily available? What are the after sales service
arrangements of the supplier?
Ø What is the present cropping pattern? Is the pattern proposed
after the investment reasonable and feasible, with reference to soil
conditions, irrigation facilities, location of the farm etc? What is
the production potential on account of higher crop intensity
expected on introduction of the tractor?
Ø Whether the tractors have received commercial test report?
n Economic viability
Ø Can the applicant meet the stipulated margin on the cost of
machinery and accessories to be purchased?
Ø Whether the applicant has adequate repaying capacity to pay the
loan instalments with interest?
Ø Are the cost of cultivation and gross income and income through
hiring reasonably worked out?
Ø What is the marketing arrangement?
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n General aspects
Ø Do the particulars of the holdings given in the application tally
with the particulars given in village officer's certificate?
Ø Are the holdings in any way affected by land ceiling enactments?
Ø Has he borrowed from elsewhere? If so for what purpose and on
what terms? Have necessary certificates been received from those
institutions?
Ø Who is going to supply the machinery to the applicant? Has the
applicant already registered with the supplier for the machinery?
Is the machinery ready for delivery? Has he produced the
proforma invoice for the machinery? Is it in any way inflated by
including excessive spare parts etc?
Ø If the applicant had already availed credit facilities from the
branch, how was the performance?
Ø What is the arrangement for his crop loan requirements?
Ø What is the mode of repayment? Does it coincide with harvesting
season? Based on the income can the repayment period proposed
be considered reasonable and realistic?
Ø What is the security offered? Is it sufficient? If not, what are the
other securities to be obtained?
Ø If land is to be taken as security, whether valuation certificate
produced? In case of guarantors, what is their worth?
Ø What are the documents to be taken?
Ø Is any other information to be furnished or any formality to be
complied with by the party before availing the loan?
8.0 Guidelines for estimating cost of operation of farm machinery is given
Annexure - 3
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ANNEXURE - 1
Letter to the Bank to be written by the borrower for making advance
payment to vendors / dealers
The Branch Manager
______________ Branch
Dt………….
Dear Sir,
I / We propose to purchase the under mentioned goods / items from Ms.
__________________
_________________________________________________________ (full name
and address of supplier / dealer) and require for that purpose a total amount
of
Rs.________________
Rupees
_____________________________________________ only).
Details of goods / items to be purchased
Sl No
Description
Amount to be Paid
Remarks, if any
I / We request you to kindly remit to Ms. _______________________________
______________________ (full name and address of supplier / dealer) as
advance payment for purchase of the above mentioned goods / items. It is
understood that the payment is being made to the suppliers at my / our risk
and responsibility and that the goods / items proposed to be purchased are
charged to the bank. The goods / items will be received in our possession on
or before ___________ (date). Please instruct the supplier / dealer to dispatch
the goods / items to us at the following address
___________________________
___________________________
Copy of our order accepted by the supplier / dealer and supplier’s / dealer’s
proforma invoice / quotation are enclosed.
Yours faithfully,
Authorized Signatory Borrower
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ANNEXURE – 2
Format of Letter to Suppliers to be written by the bank while making
advance payment at the request of borrowers
Dt:…………….
To (name and full address of supplier)
Dear Sir,
We refer to Order No: ________ dated _______ placed on you by our
constituents Ms._____________________________________________________
(name & address of the borrower) for purchase of certain items / goods
described below. We are also forwarding herewith a copy of the order
accepted by you and / or your proforma invoice No:_______ dt….
2. Ms. ____________________________________ (name of borrower) have been
extended financial assistance for purchase of the said items / goods by us. At
their request and on their behalf we enclose our draft / pay order No:
_________ dated _________ for Rs.__________. Kindly accept this amount as
full payment for the said goods / items.
3. Please note that the amount should be appropriated only towards supply of
items / goods mentioned below and should not be appropriated / set off
against any other debt / liability due or owing to you by
Ms.______________________________ (name of the borrower)
4. In the event of your not supplying the items / goods within ___ days of
receipt of this payment, please arrange to refund the same to us. The goods
are to be dispatched to ______________________
All documents pertaining to the shipments including RR / LR / Other
documents of title should be made out and sent to us by registered post.
5. Till the supply is made please note that you will be holding this amount on
our behalf and at our disposal. Kindly send us the receipt and original invoice
after you effect the supply. Please acknowledge the receipt of this letter and
its enclosures.
Details of goods / items to be supplied
Yours truly,
Authorized Signatory
Encl: __________
We confirm the contents of your letter being sent as per our request
Authorized Signature(s) of Borrower
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ANNEXURE- 3
Page – 1
Guidelines for Estimating Cost of Operation of Farm Machinery
For any economic analysis of farm machinery use, it is important to know the
various costs of operation, of the prime movers and its attachments. Broadly,
the costs of operation are classified into fixed costs and variable costs which
are incurred during an year of operation. Guidelines on this aspect providing
certain standards to arrive at fixed and variable costs are as follows:
1.0 . Fixed costs
1.1 Depreciation
This cost reflects the reduction in value of a machine with use and time. The following
formula is recommended for calculation of depreciation.
D= (P-S)/L……………………………..
(a1)
Where
D=
P=
Depreciation cost, average per year (The depreciation cost per hour should be
calculated by dividing D by the number of hours the machine is expected to be
utilised)
Purchase price of the machine in a year
S=
Residual value of the machine
L=
Useful life of the machine in year
Residual value (S) may be taken as 5 per cent of the purchase price. Useful Life (L) of some
of the commonly used machines is given in table 1 for guidance.
Table : 1 Useful Lives of commonly used farm machinery
Sl. No
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
Name of machine
Tractor
Power tiller
Agricultural trailer
Plough
Disc Harrow
Cultivator
Blade 92errace
Planter
Seed drill
Rotavator
Seed-cum-fertilizer drill
Ridger
Stationary engine
Electric motor
Power sprayer
Seed cleaner
Power thresher
Centrifugal pump
Power chaf cutter
Cane crusher
Ruddler
Hours
10,000
8,000
3,600
3,000
3,000
4,000
2,000
2,000
2,500
2,400
2,000
1,500
10,000
15,000
2,000
2,500
2,500
10,000
5,000
10,000
2,500
Useful life
Years
10
10
12
10
10
10
10
10
10
8
8
12
10
15
8
8
8
10
8
10
10
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Annexure – 3
Page 2
1.2 Interest:The rate of interest in the banks are declared and revised from time to time. To
work out the actual amount of annual interest following formula is suggested.
AI = ((P+S)/2)*(1/100)
Where, AI=Annual interest charges
I= rate of interest in per cent
P & S are same as used in equation (a1)
1.3 Insurance And Taxes :Actual amount paid or to be paid annually for insurance and annual taxes; for
any, should be charged. If the information is not available, it may be taken as 2 per
cent of the average purchase price of the machine.
1.4 Housing :It should be calculated on the basis of 1.5 per cent of the avg purchase price of
machine.
2.0 Variable Costs:
2.1 Fuel Cost- Fuel consumption depends on the size of the power unit, load factor
and operating conditions. The actual consumption can be observed while the
machine is working or may be taken from the results obtained at official testing
stations. Average fuel consumption can also be estimated by the following formula
:
a)
A= 0.112xB
Where A= average diesel consumption in l/h.
B= Rated power in HP
C= 0.187xB
Where C= Average petrol consumption in l/h. is a conversion of Kilo Watt
standard to Horse power
2.2 Cost of Oil
The actual oil consumption should be recorded while the machine is working. In
case oil consumption data is not available, oil consumption may be taken as 2.5 to
3.0 per cent of the fuel consumption on volume basis.
2.3 Repair & Maintenance Repair and maintenance expenditures are necessary to keep a machine operable
due to wear, past failure, renewal of tyre & tubes and accidents etc. The costs of
resting a machine are highly variable. For general consideration on average use of
machines, the value of repair and maintenance may be assumed at 10 per cent of
initial costs of purchase.
2.4 Wages & Labour Charges: The actual cost prevalent in the area may be considered for deciding the wages
and labour charges.
3.0. Overhead Charges:
This includes charges for supervision, establishment and interest on working
capital if applicable. Generally the overhead charges may be assumed as 20 per
cent of the sum of fixed and variable costs.
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INSP - 4.0 Annexure to General field visit report common for all loans
Pre sanction inspection report for advances for purchase of tractors /
agricultural machinery and implements
I.
Details of tractor/ agricultural machinery
and other implements proposed to be
purchased
1. Tractor
Make
Size
H.P.
Cost
(Rs.)
2. Other farm machinery (full details)
3. Implements (full details)
II.4.
5.
6.
7.
8.
9.
Whether the farm machinery proposed to be
acquired conforms to FMRC (Farm
machinery Research Centre) norms
Extent of area under cultivation before
purchase of tractor /farm machinery
Extent of area under cultivation after
purchase of tractor /farm machinery
Details of standing crops and extent
Extent of utilization on own farm
Extent of utilization for custom hiring
Facilities for repairs and service centres
Date: ……………….
Signature of Agri Officer
Branch Manager’s Observations/Remarks :………………………………………
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INSP – 8.0 Annexure to General field visit report common for all loans
Post-sanction Inspection Report on Advances for Sinking of New wells /
Deepening of existing wells
I. In case of sinking of new well
1. Depth/ distance of the nearby wells
2. Water level in nearby wells
3. Command area of the nearby wells
4. Crops raised in the command area of the nearby wells
II. In case of sinking of new wells
1. Dimensions of the well to sunk as on date of inspection
2. Progress of work at the time of' inspection and value of work done
3. Final dimensions of the well sunk
4. If the well is completed what is the discharge (in lps or gph)
5. Command area irrigated by the well – crop wise
6. What type of water lifting device the party has? (EMP or Diesel engine)
Indicate HP
III. In case of deepening/repairs to existing well
1. Brief details of works to be undertaken
2. Dimensions of the existing well
(Length/ Breadth/ Depth)
(in metres)
3. Water level before starting the proposed work
4. Progress of work at the time of inspection
5. Final dimensions of the well to be sunk
IV. Water level at the time of inspection
1. Arrangements for lifting of water from the well
2. Details of standing crops & extent
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Post-sanction Inspection Report for advances to Electric Motor/Oil Engine
with Pump sets
I. Details of pump set purchased and other works undertaken
Pump set with electric motor/Oil Engine
handling Charges
1.
Make Size
H.P.
Cost
/
Electric motor
2. Oil Engine
3. Accessories for pump sets (Full details)
4. Cost of construction of pump house (Give dimensions)
5. Sl. No. of Pump set & Oil Engine/ Electric motor
6. Whether complete pumping system/ replacement equipment conforms to
FMRC (Farm machinery Research Centre) norms/of approved brand
7. Date of installation of pump set
8. Date of energisation of Electric Motor /Pump set
II. Extent of area under irrigation before installation of pump set
1. Extent of area under irrigation after installation of pump set
2. Whether the advance has been fully and properly utilised for the purpose
for which sanctioned
3. Details of standing crops and extent
4. Water level in the well at the time of inspection?
5. Whether copious water is available for the capacity of the pump set
installed?
6. Whether the pump set is in good working condition?
7. Whether the words hypothecated to bank painted on the pump set?
8. Whether the pump set and its accessories have been fully insured?
9. Is there a service centre available for repairs to irrigation systems like drip
and sprinklers.
10. Availability of after sales services for pump sets and irrigation systems
like drip and sprinklers
Date ……….
Signature of Agri Officer
Branch Manager’s Observations/Remarks :………………………………………
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Chapter – T 5
Financing allied activities
DAIRY DEVELOPMENT LOANS
1.0
Introduction:
Dairy Farming plays a vital role in improving rural economy as it provides
not only subsidiary income but also gainful employment. It is taken up either
as a main occupation by entrepreneurs, mostly in and around urban areas or
most commonly as a subsidiary occupation by agriculturists to supplement
their income from farm/non-farm activities. In a way dairying is a logical
extension of farm activities as it utilizes the farm by-products such as
straw/stalk, husk, bran etc., as fodder and the by-product of dairy viz. cowdung as manure is used to increase crop production as well as fuel in the form
of cake and raw material in bio-gas plants. This more important in the present
context as the focus is on organic farming. Hides and skins of the dairy animal
are the best source for manufacturing leather goods and hence foreign
exchange earners. Dairying is the integral part of Agriculture. Both are
complimentary and interdependent. It also helps in maximising the labour
output.
2.0
Dairy sector in Sri Lanka:
The Dairy Sector has been identified as the priority sector for development
among other livestock sub sectors in the country. There had been much focus
on dairy farming and production due to several initiatives taken by the
government in the recent past. At present, 33 percent of the national milk
requirement is met through local production. The consumption of milk and
other dairy products is expected to increase over the next few years, with
increasing per-capita income and living standards of people. About 63,876 mt
of milk and milk products valued at over Rs. 30 billion (US$ 296 mn.) were
imported in 2009 and it represented 2.1 percent of Sri Lanka’s food imports.
Hence, with the aim of reducing the drain on the country’s foreign exchange
resources and supporting employment generation and family income, dairy
industry is being promoted as complementary economic activity across the
wide section of the population by introducing improved breeds, feed
resources, better animal health, a well developed collection and processing
network along with good research and extension services.
Infrastructure facilities for milk marketing such as milk collecting centers,
chilling centers and milk sales outlets increased in 2010. Demand for milk and
milk products is on the increasing trend and there are positive trends of
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investments in commercial dairy farming. Thus there are plans to increase
domestic dairy production to 100 percent of self-sufficiency by 2016.
The data on the milk production during 1998-2011 is given in the following
table :
Average Monthly Milk
Production(Litres)
Year
Total
Monthly
Milk
Production
(Liters)
Annual Milk Production
(Litres)
Cow Milk
Buffalo
Milk
Total
Annual
Milk
Production
(Liters)
Cow Milk
Buffalo
Milk
1998
12,281,800
2,475,620
14,757,420
147,381,600
29,707,445
177,089,045
1999
12,473,900
2,516,400
14,990,300
149,686,800
30,196,800
179,883,600
2000
12,603,800
2,517,512
15,121,312
151,245,600
30,210,148
181,455,748
2001
12,730,400
2,521,900
15,252,300
152,764,800
30,262,800
183,027,600
2002
12,736,740
2,529,510
15,266,250
152,840,880
30,354,120
183,195,000
2003
13,045,500
2,521,500
15,567,000
156,546,000
30,258,000
186,804,000
2004
13,308,000
2,550,000
15,858,000
159,696,000
30,600,000
190,296,000
2005
13,484,700
2,577,100
16,061,800
161,816,400
30,925,200
192,741,600
2006
13,748,100
2,637,180
16,385,280
164,977,200
31,646,160
196,623,360
2007
14,144,000
2,690,100
16,834,100
169,728,000
32,281,200
202,009,200
2008
14,370,200
2,970,890
17,341,091
172,442,406
35,650,685
208,093,090
2009
15,338,740
4,104,280
19,443,020
184,064,880
49,251,360
233,316,240
2010
15,993,300
4,636,200
20,629,500
191,919,600
55,634,400
247,554,000
2011
16,954,500
4,570,800
21,525,300
203,454,000
54,849,600
258,303,600
2.1
Production areas
According to the 2002 agriculture census, the largest cattle populations are
found in the country’s dry and intermediate zones. The wet mid- and upcountry areas are often perceived as the main dairy-producing areas (Table 2).
The dry and dry intermediate zones produce 50 percent more milk than the
wet and wet intermediate zones
Table 1 : Milk production zones in Sri Lanka
Zone
Dry zone
Coconut
Mid-country
Upcountry &
Wet zone &
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features
Location
triangle
Dry zone
Intermediate
districts in the and wet zone
NC, Northern areas of the
and Eastern
NW Province,
Provinces and and Gampaha
parts of Central, district of the
Southern and Western
NW Provinces Province
estate
urban
Wet zone
areas in the
Central
Province –
Kandy and
Matale
districts
Nuwaraeliya Districts in the
district in the Western,
Central
Southern and
Province and Sabaragamuwa
Badulla district Provinces and
in the Uva
cities
Province
Animal types Indigenous
cattle, Zebu
cattle and
crosses, buffalo
Crosses of
exotic breeds,
Zebu types,
crosses of
indigenous
animals and
buffalo
Pure exotic
animals and
crosses, and
Zebu crosses
Pure exotic
animals and
crosses
Crosses of
exotic breeds
and Zebu type
and
indigenous
animals and
buffalo
Husbandry
Free gazing, or
nomadic-type
Large herds or
sedentary
small/mediumsized herds
Medium-sized
herds, limited
grazing
tethered under
coconut palms
Small herds, Small herds,
some
zero grazing
tethering, stall
feeding
Limited
grazing,
medium-sized
herds or small
herds, zero
grazing
Herd size
Few: 2 - 5
5 cows
2–3 cows
1–2 cows
2–3 cows
Average
yield
2.1 li/cow/day
Total 300–400
litres/cow over
180–200-day
lactation
3–4
li/cow/day
Total 500–800
litres/cow
over 200-day
lactation
2–4
li/cow/day
Total 1300
litre/cow
6 or more
li/cow/day
Total 1700
litres/cow
3 li/cow/day
Total 1500 –
1600
litres/cow
Source: Ranaweera and Attapattu 2006
2.2
Location and scale of livestock operations
The majority of livestock are reared in small-scale operations. Many factors
influence the distribution of livestock in Sri Lanka; dominant among them are
agro-ecological zoning and proximity to markets and feed resources. Tables 2
and 3 present some of the important topographical and climate information
regarding dairying systems.
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Table 2 : Main dairy production systems in Sri Lanka
Production systems
Average daily milk production per
Popular management system
cow (litres)
Hill country
6–8
Intensive
Mid country
4–5
Semi-intensive
Coconut triangle
3–3.5
Tethered
Low country dry zone
1–1.5
Extensive
Low country wet zone
3–3.5
Tethered
Source: Bandara, 2007
Table 3: Cattle and buffalo systems: Topography, climate and animal types
Rainfall
(mm)
Temperature
range (°C)
Hill country
>2 000
10–32
Pure exotic and crosses
Mid country
>2 000
10–32
Pure exotic and crosses; some Zebu crosses
Coconut triangle
1 500–2 500
21–38
Crosses of exotic breeds, Zebu types,
indigenous animals, buffalo
Low country dry
zone
1 000–1 750
21–38
Zebu types, indigenous animals and their
crosses, buffalo
Low country wet
zone
1 875–2 500
24–35
Crosses of exotic breeds, Zebu types,
indigenous animals, buffalo
Production system
Animal species
Source: Ibrahim et al. (1999a and b)
3.0
Techno economic aspects of dairy development loans:
3.1
Suitability of climate
Climate should be suitable for maintaining high milk yielding animals in
good health and production. Exotic Cross breed animals need a cool climate.
Similarly high rainfall may affect the production levels of cows. High rainfall
may cause many diseases in the cows. Hence, it is necessary to obtain
information on rainfall, environmental temperature before proceeding with
the dairy proposal. Avoid water logged area which would affect the health of
the cattle. Land should be elevated and well drained. An existing successful
dairy will be a good indicator. Enquire if dairy cattle management has been
generally successful in the area.
3.2
Housing the Cattle
A normal house hold dairy with a couple of cows follows the practice of tying
the animals with rope on to a nearby pole / floor. However it is important to
understand that the animals must be properly housed so that their health
improves and productivity increases.
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Loose housing may be defined as a system where animals are kept loose
except while milking and at the time of treatment. The system is most
economical. Some features of loose housing system are as follows.
•
Cost of construction is significantly lower than conventional type.
•
It is possible to make further expansion without change
•
Facilitates easy detection of animal in heat.
•
Animals feel free and therefore, proves more profitable with even
minimum grazing
•
Animals get optimum exercise which is extremely important for better
health.
Cattle Shed: However, bigger dairy farms have their cattle sheds constructed
to house the animals. The shed has mangers (a trough or box of carved stone
or wood construction used to hold food for animals in a stable) and water
trough which provides clean drinking water.
The shed should not be constructed on a low lying land. The floor should be
hard and non slippery. The shed should also have a good drainage
mechanism.
Cost of sheds should be reasonable. Separate cattle shed may not be required
where only two animals are given. Necessary approval should have been
obtained for construction of shed.
In the case of large commercial dairy farming, assess the housing space
required for adult animals, calves and heifers. Housing space requirement for
crossbreed cattle is as follows:
Age-group
Manger Space
(mtr.)
4 - 6 months
0.2 - 0.3
6 -12 months
0.3 - 0.4
1-2 years
0.4 - 0.5
Cows
0.8 - 1.0
Pregnant cows
1.0 - 1.2
Bulls*
1.0 - 1.2
*To be housed individually.
Standing or covered area
(sq. mtr.)
0.8 - 1.0
1.2 - 1.6
1.6 - 1.8
1.8 - 2.0
8.5 - 10.0
9.0 - 11.0
Open space
(sq. mtr.)
3.0 - 4.0
5.0 - 6.0
6.0 - 8.0
11.0 - 12.0
15.0 - 20.0
20.0- 22.0
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3.3
Availability of animals
It is desirable to purchase freshly calved animals in first or second lactation.
Ensure that the purchase committee includes the veterinary officer and a
certificate indicating identification marks, age, milk yield and health of the
animal would be available after the purchase.
Not all animals should be purchased at the same time as it will lead to all of
them going dry at the same time and affecting the cash flow of the borrower.
They should be purchased in batches at an interval of 4-6 months so that the
dairy activity continues enabling the farmer to have enough income
throughout the year for meeting domestic expenses and also feeding the nonlactating animal during its dry period.
The cost of animal would depend upon age, milk yield, number of lactations
completed and whether the animal is having a male or female calf with it at
the time of purchase. However, as a thumb rule of Rs.1,200 to Rs.1,500 per
liter of milk yield can be kept in mind.
Availability of cross-bred animals suited to the area, their cost and source
should also be cross checked and ascertained that they are as per project
details.
3.4
Availability of water
Clean drinking water at the rate of 130 to 150 Ltrs per animal per day is
required. Water is also required to clean the sheds and fodder cultivation.
Ensure assured supply of adequate fresh, clean and soft water.
3.5
Feed and fodder supply
Feeding of Cattle:
Animals
During- LP/DP
CB Cows yielding 810 lts per day
CB Cows
LP
Green Fodder
Kgs
25-30
Dry Fodder
Kgs
4-5
Concentrates
Kgs
4 – 4.5
DP
20-25
5-6
1- 1.5
It is essential to feed the cows during the Dry Period (DP) and the young ones
to ensure good milk production during lactation. The feeding is divided in to
two i) Maintenance Ration and ii) production ration. It is also divided into
two a) Lactating period (LP) and b) Dry Period (DP). Availability of
Concentrate Feed Agency to supply the concentrate feed e.g. government or
private feed manufacturers and cost of feed should be identified. Further
requirement of feed per animal during lactation and dry period/depending
upon body weight, quality of fodder available, amount of milk produced and
fat content of milk should also be worked out. Adequate supply of
concentrate should be assured.
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The requirement of concentrate can be substantially reduced if high quality
farm grown legume fodder like berseem, lucerne, cowpeas, etc. can be made
available. Ideally the legume and grass mix in the green fodder should be 30
and 70 percent. This helps in reducing the more costly concentrate mix. The
green fodder should be chaffed before feeding. This helps in better fodder
conversion ratio. It is also advised to have silos for preserving the green
fodder during the peak production.
Proximity of pasture land, forest grazing, grass lands and / or assured
commercial supply of green and dry fodder and its adequacy are essential.
Cost of fodder grown by the farmers on their own lands and / or purchased
in the market should also be included in the total cost of the project. Farmers
should ascertain if the selection of fodder crop is based on the agro-climatic
conditions and local preferences.
If finance is to be given for establishment of a fodder farm, estimate necessary
inputs required e.g. land development, irrigation resources and equipments,
transport equipments, seeds, fertilizers, labour charges, estimated yields of
fodder and their cost of cultivation. A suitable annual fodder calendar may be
suggested giving yields and costs.
The requirement of fodder per animal during lactation and dry period will
depend mainly upon body weight, quality of fodder produced and level of
milk production. While considering project for large dairy farms suitable herd
projections for the scheme period be made and requirements of land for
fodder production worked out.
3.6
•
It is advisable for the unit to have its own green fodder cultivation.
Dependence on outside supplies may affect the project economics
adversely. Hence any financing program for commercial dairy should
make it incumbent on the applicants to possess adequate irrigated land
(owned or leased) for fodder cultivation. Roughly, fodder cultivated in
one acre will serve 10 milch animals.
•
About 25 kgs of green fodder, 4 to 5 kgs. of dry fodder and 1 kg. of
concentrate feed is required per animal per day for maintenance
purpose, for an animal having about 450 kgs. body weight.
•
In case of cow, about 1 kg. of concentrate feed is required for every 3
liters of milk produced by the animal. The maintenance requirement is
constant for both dry period as well as lactation period, while
production requirement is only during lactation period and is required
in addition to maintenance requirement.
Equipments
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Equipments such as cow tie-chains, buckets and milk pails, chaff cutter, fat
testing equipments, machinery for fodder farm and dairy processing plant
may be required. The need and the cost of these should also be ascertained.
3.7
Estimated milk yield
The production criteria of the suggested breed of animal- including lactation
period, dry period, yield of milk per day and average fat content of milk
should be assessed
3.8
Labour, Medicine and Contingencies Insurance and Risk or
Mortality Fund
The requirement of labour, medicines and contingencies and the cost
involved there may be assessed. Adequate provision for covering the risk due
to cattle mortality by providing cattle insurance or a separate cattle mortality
fund may be ensured.
3.9
Income by Manure, Sale of Calves, etc.
Assess the yield and cost of manure and market price of calves. Usually the
expenditure on feeding and maintenance of calves of indigenous breeds is
equal to the receipts obtained by their sale.
3.10
Marketing Facilities
Fresh milk can be kept at room temperature for about 2 to 2.5 hours. It is
therefore, advised to have chilling arrangements if it is not possible to dispose
off the milk within 2 hours. Ensure that existing milk collection center is at a
reasonable distance. Nearness of the collection centers to the selected villages
and adequate communication and transport arrangements should be ensured.
Give the location and existing capacity of nearby chilling centers and
pasteurization plant and the amount of milk handled by them during the
flush and the lean season. Procurement cost of milk paid by
Government/Dairy Department/ Milk Union for different milk may be
obtained. Arrangements for fat testing of milk at the collection and chilling
centers should be ensured. In the case of commercial dairy farms,
arrangements for marketing of milk to the nearby urban areas and the market
price of milk may be obtained. Transport cost, if any, should be calculated
and included in the project costing.
3.11
Veterinary services
Consult the staff of Government Veterinary Department officials in the area to
get locational details of veterinary hospitals in the scheme area where dairy
farming activities hold potential. Facilities in terms of qualified staff,
laboratory, treatment and vaccination of animals should be factored in loan
evaluation. . In the case of endemic diseases like liver-fluke, foot and mouth,
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HS etc. precautions to be taken by periodical treatment of animals and should
be indicated.
3.12
Facilities for Breeding of Animals
Normally cows will come to heat between 2-3 months of calving. Well
maintained heifers of exotic breed come to first heat at the age of 1 to 1.5
years. Any heat lost will delay conception of the cow / heifers and hence
delay of over 1 month till the next heat. Some animals do not conceive if the
heat is missed for the first time. Hence it is very important that the heat in
cows is detected in time and artificial insemination is done. Ideal time is the
mid heat i.e. 2nd day of the heat. Success of conception depends on proper
identification of the heat. Inputs of the Animal Animal Husbandry
Department’s officials will be useful in this regard. Location of animal
breeding / artificial insemination centers in the area and their nearness to
selected villages need to be ascertained. Ensure availability of good pedigree
bulls or semen of such bulls, qualified staff and laboratory facilities.
Ascertain if the entrepreneur has adequate knowledge and experience in
dairy cattle management including housing, feeding, sanitation, breeding and
disease prevention. If not, the agency to provide the training should be
indicated.
3.13
Need for Training
Identification of animal in heat, diseases like F&M, HS etc are important in the
success of any dairy. The entrepreneur if trained in these aspects helps in
making the venture a success. Ascertain if there is a need to provide
additional / refresher training for technical personnel supervising the project
and indicate the possible agencies which could impart the training.
4.0
Appraisal
The following aspects should be kept in mind while appraising dairy
proposals:
i.
Lactation yield: The lactation yield in local breeds is very low compared to
exotic breeds. This is dependent on number of calving, frequency of milking,
persistency of yield .Normally in dairy cattle 30 - 40 % increase in milk
production from first lactation to maturity is observed. After 3 or 4 lactation
the production starts declining. After birth of the calf, the milk yield per day
will be increase and reach peak within 2-4 weeks. This yield is known as peak
yield. The maintenance of peak yield for more time is important for better
milk production. The lactation period in local breeds is low and so the
production is also less.
ii. Lactation period: The length of milk producing period after calving is known
as lactation period. The optimum lactation period is 280 - 300 days.
iii. Persistency of Milk Yield: During lactation period the animal reaches
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maximum milk yield per day within 2-4 weeks which is called peak yield.
Longer the period of peak yield better will be the persistency of the yield.
High persistency is necessary to maintain high level of milk production.
iv. Age at first calving: The age of the animal at first calving is very important
for high life time production. The desirable age at first calving in local breeds
is 3 years, 2 years in cross breed cattle and 3 1/2 years in Buffaloes. Prolonged
age at first calving will have high production in the first lactation but the life
time production will be decreased due to less number of calving. If the age at
first calving is below optimum, the calves born are weak, difficulty in calving
and less milk production in first lactation.
v. Service period: It is the period between date of calving and date of successful
conception. The optimum service period helps the animal to recover from the
stress of calving and also to get back the reproductive organs to normal. For
cattle the optimum service period is 60-90 days. If the service period is too
prolonged, the calving interval will also be prolonged; less no. of calving will
be obtained in life time and ultimately less life time production. If the service
period is too short, the animal will become weak and persistency of milk
production will be poor due to immediate pregnancy.
vi. Dry Period: It is the period from the date of drying (stopping of milk
production) to next calving when the animal is in pregnancy. The animal
should be given rest period to facilitate growth of foetus. A minimum of 2 – 2
½ months dry period should be allowed. If the dry period is not given or is
too low the animals suffer from stress and in next lactation, the milk
production drops substantially and the calves become weak. Animal suffers
from calcium deficiency and may suffer at the time of calving. On the other
hand if the dry period given is too high, it may not have that much effect on
increasing milk yield in the next lactation, but decreases the production in the
present lactation.
vii. Inter calving period: This is the period between two successive calving. It is
more, profitable to have one calf yearly in cattle and at least one calf for every
15 months in buffaloes. If the calving interval is more, the total number of
calving in life time will decrease and so also total life production decreases.
viii. Reproductive efficiency: This leads to more number of calves during life
time, so that total life time production is increased. The reproduction or
breeding efficiency is determined by the combined effect of hereditary and
environment. Several measures of breeding efficiency like number of services
per conception, calving interval, and days from first breeding to conception
are useful. Reproductive efficiency has generally a low heritability value
indicating that most of the variations in this trait are due to non genetic
factors. In adverse environmental conditions, the poor milk producing
animals may not be affected much compared to high milk yielding animals.
ix. Efficiency of feed utilization and conversion into milk: This is the rate at
which feed is converted into milk reflecting feed to milk yield.
x. Disease resistance: Generally, local breeds are more resistant to a majority of
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diseases compared to exotic cattle. Cross- breeding helps acquire this
character of high milk production while maintaining the disease resistance
capacity.
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Chapter – T 6
POULTRY DEVELOPMENT LOANS
1.0
Introduction:
In Sri Lanka poultry meat and eggs form a valuable food supplement in the
diet. Its relatively low price makes it an economical source of food. Taken
gram for gram, poultry meat contains more protein than other meat products
and even some varieties of fish. The other advantage with poultry is the
relatively short time it takes to rear a chicken for consumption. While the
cycle lasts only 6 -7 weeks for poultry meat production, it takes only about 20
weeks for a layer to start producing eggs. In comparison it takes over six
months for the production of pork and over two to three years for the
production of beef.
The poultry industry, both meat and egg type has been growing rapidly in the
recent past. There is much potential for the continued growth if one compares
the per capita consumption of poultry meat and eggs with the consumption
levels of these items in other developing countries.
As per CBSL Annual Report 2011, chicken production marked a growth of 12
per cent to 116,760 metric tons while egg production grew by 4 per cent to
1,185 million. The measures implemented to subdue price hikes in the poultry
market helped gradually improve the production of chicken and eggs. The
government directed the National Livestock Development Board to import
parent birds and hatching eggs of day old chicks to fill the shortage of the day
old chick supply in the market. Accordingly, the layer chick production
showed a remarkable increase of 42 per cent during the year leading to an
increase in egg production. Moreover, six new parent poultry breeding farms
were established during the year, which helped sustain the emerging demand
for day old chicks. Further, during the year, animal feed production also
increased significantly by around 30 per cent while reducing the cost of
average feed prices. This reduced the cost of production of chicken and egg of
poultry farmers in 2011. Accordingly, the average price of chicken declined to
Rs. 344 per kg from Rs.356 per kg and egg prices declined to Rs. 11.80 from
Rs. 13.20 per egg during the year over 2010.
As per DAPH, poultry industry monthly report 2011, there was substantial
growth of broiler industry as shown in the following table:
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Activity
1. BROILER
a. Procurement
Grand Parent Stock
Parent Stock
Imports
Local Purchase
b. Production of DOC(m)
c. Exports
Chicken & Chicken
Products(MT)
d. Imports(MT)
Chicken & Chicken
Products
Whole Chicken
MDM
Other chicken parts
Lunchen Meat
Other Poultry Meat
Duck
Turkey
Value added Products
December
Cumulative
( Jan – Dec)
Growth
(%)
2010
2011
2010
2011
0
82676
(45676)
(37000)
8.55
1650
92509
(49402)
**(43107)
8.58
15254
919145
(390743)
(528402)
82.45
16290
1030839
(471133)
(559706)
*96.52
6.79
12.15
45.25
106.57
661.87
1417.36
1114.15
332.51
50.19
1235.14
1839.51
48.93
(27.20)
(22.992)
(92.01)
(995.35)
(114.32)
(404.33)
(1138.08)
(211.792)
(2.52)
(6.03)
(27.42)
(38.44)
(44.33)
(92.01)
(240.49)
Forecast
17.06
96.95
In case of layer industry also there has been an upward trend in parent stock
and production of DOC as depicted in the following table:
December
Activity
2. LAYER
a. Procurement
Parent Stock
Hatching Eggs
b. Production of DOC(m)
c. Exports
Table Eggs
D/O Chicks
d. Imports
D/O Commercial Chicks
Table chicks
Egg Products (MT)
Cumulative
( Jan – Dec)
2010
2011
Growth
(%)
2010
2011
12325
80142
340640
5.08
112201
476640
*7.47
40.00
0.55
8181
0
*0.79
87470
800
114710
550
768201
46327
1410267
58669
83.58
26.64
102362
100238
0.20
0.00
3.20
102362
100238
21.00
102966
8047940
13.62
0.59
-35.14
Forecast
47.05
**Note: Out of 43107 broiler parents produced by local breeders farms, 5512 have been
exported in December
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The day old pullet production and day old broiler chick production for the year 2011
is depicted in the following graphs.
As per DAPH Annual Report 2010, contribution of the Agriculture sector to
the national GDP had been 11.93 %in 2010 and the livestock sector
contribution to the Agriculture component recorded as 7.1%.The total
contribution of the livestock sector to the national GDP in 2010 was around 01
percent.
Though poultry sector has shown a remarkable growth over the past three
decades or so and, is nearly self-sufficient in chicken meat and eggs at current
purchasing power levels. However, chicken meat and eggs are yet to be
available at competitive prices, in order to fulfill consumer demands and
further expansion in this industry.
With growing market trends and the Sri Lankan economy predicted to reach
over 8 per cent growth in 2012, it can easily be said that the poultry industry's
contribution to the economy will increase multiple-fold in the coming years.
With a heightened emphasis on infrastructure development by the
government, it is hoped that new markets emerge with the necessary
framework for new farms to be established throughout the island. It is
interesting to note that about 70 per cent of the contribution to the livestock
sub-sector in Sri Lanka comes from chicken and eggs, which remains as the
cheapest source of animal protein.
With the country's economic progress, the domestic per capita income also
increased to US$ 2,830 (from US$ 2,400 in 2010) improving Sri Lankan
purchasing power. Currently the annual consumption of chicken in Sri Lanka
is approximately 5.7 kg and 54 eggs per person. Chicken consumption is
expected to increase to 8 kg per capita within the next four to five years.
2.0
Importance of financing poultry
Poultry egg and meat are important sources of high quality proteins, minerals
and vitamins to balance the human diet. Specially developed breeds of egg
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type chicken are available with traits of quick growth and high feed
conversion efficiency.
Depending on the farm-size, layer (for eggs) farming can be main source of
family income or can provide income and gainful employment to farmers
throughout the year. Poultry manure has high fertilizer value and can be used
for increasing yield of all crops. Considering the foregoing, poultry farming is
an important activity and plays an important role in rural economy and
therefore needs to be supported by bank funding.
2.1 Poultry segments
Chicken are reared mainly for two purposes namely eggs and poultry meat.
For this purpose the chicken selected and reared with specific end use in
mind. Chicks indentified for egg production are reared in a separate fashion
while those identified for meat are reared differently. Even the birds that
produce eggs are used for their meat once their useful productive life is over.
The broilers vs. layers comparison is as follows:
•
Broilers are reared for meat purpose while layers are meant for egg
production
•
Broilers grow very fast and are highly efficient in converting feed into meat.
Layers are good in egg production
•
Broilers can be used for meat purpose any time commencing from 4-8 weeks
•
Layers start egg production in 18 weeks and continue giving eggs for one
year
•
The feed requirement and other rearing aspects are different for broilers and
layers
•
Broilers are generally reared in deep litter system on open floors where as
cage rearing for layers
Generally layers start egg production from 18th to 20th week of their life. An
economic production level of around 75% is reached when the bird is around
24 weeks and continues up to 72 weeks. After 72 weeks the birds will be sold
and culled for their meat.
2.2 Stages and life span of poultry birds
2.2.1 Brooders: Newly hatched chicks require special care including
additional heating till they grow feathers. Brooding can be carried out in deep
litter houses or in electrically operated brooder batteries. Brooding is done up
to 7 weeks.
2.2.2 Growers: The chicks are in the grower stage from about their 9th week
till 20th week (when they start laying eggs). This period is known as grower
period.
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2.2.3 Layers: This is the period during which the chicks are in their productive
life and start laying eggs. The period spans from the 20th week till about their
72nd week. On the other hand birds genetically selected for fast growth and
reared mainly for meat – known as broilers (also fryers, roasters, etc.) are sold
off after 6 to 8 weeks.
Commercial layer strains are Bowans white (35.1%), Hyline (19.1%), Shaver
579 (18.7%), Shaver 288 (13.4%), Novogen (8.3%), and Bowans brown (5.4%).
Commercial broiler breeds include Cobb (40%), Hubbard (33%) and Indian
River (25%).
3.0 Funding different poultry activities
3.1 Breeding farms: The breeding farms are the source of high quality stocks
of birds with desirable traits; both for egg laying and meat production. The
breeding process starts with purelines followed by grandparents and parent
birds. The eggs produced by parent birds are the hatchable eggs which are
incubated in hatcheries to get DOC of commercial layers and broilers.
3.2 Hatcheries: Hatcheries produce very young chicks (days old) to be sold as
layers or broilers. The breeding farm in a hatchery is where female and male
birds usually in the ration of 10:1 are reared for producing fertile eggs which
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in turn will be hatched to produce commercial chicks. The hatching of course
takes place in the hatchery. While selling the birds for layers, only female
birds are sold whereas for broiler purposes both female and male birds are
sold.
3.3 Commercial layer Farms: These farms purchase one day old chicks from
hatcheries and rear them through three stages mentioned above – brooder,
Grower and Layer. At the end of the birds’ productive cycle of about 72
weeks they are sold for culling and meat.
3.4 Commercial broiler Farms: As already seen, broiler farms rear chicks for
their meat. Like the layer farm, the broiler farms also buy one day old chicks
and nurture them up to 7 to 8 weeks when the birds gain weight of around
1.20 to 1.50 kgs before they are sold.
4.0 Sheds for poultry birds
Rearing chicks either for laying or meat requires expertise and experience.
The birds have to be fed correctly keeping in mind the purpose for which they
are meant and also protect them from many diseases, predators and other
natural / man induced situations. Hence housing of the birds assumes a great
importance. Two often used systems are
4.1 Deep Litter System
The floor of the shed is covered with saw dust or some soft materials such as
paddy husks, groundnut shell etc., to a height of 3-4 inches and the excretion
of the birds are allowed to drop over the same. The litter together with the
accumulated droppings of the birds will serve as good manure. The cost of
construction of poultry shed under deep litter system varies depending upon
the construction material used but is normally cheaper than cage system.
Advantages of Deep Litter System
•
•
•
Economical
Production efficiency
Locally available materials like straw, saw dust, dried leaf, etc can be used
4.2 Cage System
In a cage system, cages are placed one over the other (up to three tiers). Cages
will have facilities for collection of eggs laid, feeding channel and waterway
etc. Brooders, growers and layers will have to be separately reared under
cage system for better management. Advantages of Cage System are:
•
It is more hygienic and value of the cage manure is high
•
Labor requirement is less and More birds can be accommodated per unit area
•
Wastage of feed can be minimized
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•
Increased egg production due to restricted movement of birds in the cage
resulting in conservation of energy for the birds.
•
Clean eggs are obtained
•
Easier to identify low producing birds and initiate culling - Easier to take
steps to control feed wastage
•
Easy to maintain records - Spread of contagious diseases is reduced
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Fig: Cross section of shed under cage system
under cage system
Fig: Cross section of shed
Fig: Layer Shed with three blocks of Cages on elevated platform
4.3 Housing System and Flock schedule
To enable effective and efficient use of space and to (a) streamline graduated
movement of flocks from brooder to layer in case of egg producing birds and
(b) ensure timely supply of broilers based on sales cycles, it is necessary to
have a logical flock movement system within the poultry.
4.3.1 Layer Farm: In layer farming two combinations of brooder / grower /
layer are normally used they are:
1 to 3 System or 1+3 system which uses one brooder cum grower and three
layers: Under this method, chicks from hatcheries are brought and reared in
the brooder cum grower shed (BGS) for the first 16 weeks. Thereafter that
flock (batch) is moved to Layer Shed No: 1.This flock will stay in Layer Shed
No: 1 till the 72nd week after which it will be sent for culling. After giving a
gap of 4 weeks during which the BGS is cleaned and disinfected, the second
batch of birds are brought from the hatchery. The second batch stays in BGS
from the 20th week till the 36th and then is moved to Layer Shed No: 2.
Likewise a third batch will come into the BGS on week No: 40 and will move
to Layer Shed No: 3 in the 56th week. By the time the fourth batch of birds in
the BGS is ready to be moved to a layer shed (76th week), the Layer Shed No:
1 would be emptied, cleaned and disinfected – 72 + 4 weeks. This cycle will
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continue. A diagrammatic representation of this process is given below:
Growth period (Housing) in weeks
Batch
I
Brooder cum
Grower shed
I 0-16
II
20-36
III
40-56
IV
60-76
V
80-96
VI
100-116
Layer Shed
1
16-72
Layer Shed
2
Layer Shed
3
36-92
56-112
76-132*
96-152**
116-172@
1 to 1 to 5 System or 1+1+5 system which uses one brooder, one grower and
five layer sheds: In this system, one day old chicks are first kept in the
brooder shed for 8 weeks and shifted to grower shed for rearing up to 16th
week. Thereafter the 16 week old pullets will be shifted to layer shed. A time
gap of 4 weeks will be allowed for cleaning and disinfecting the sheds. Thus
the second batch will be brought to the brooder shed and grower shed at 12th
and 20th week respectively. After keeping the growers for the next 8 weeks in
the grower shed, the growers will be shifted to the second layer shed. Thus at
64th week, all the five layer sheds will be full. Basically this system breaks up
the first stage of Brooder-cum-Grower shed (BGS) in the 1 to 3 system into
two separate operations namely brooder and grower independent of each
other. Due to this break up, the production is speeded up. A diagrammatic
representation of this process is given below. It can be clearly seen that due to
the break up the batches of birds (starting from the second batch) reach the
layer shed earlier (on the 28th week as opposed to the 36th week for the
second batch, on the 40th week as opposed to the 56th week for the third
batch and so on).
Growth Period (Housing) in weeks
Batch
Brooder
Grower
I
0-8
8-16
II
III
12-20
24-32
20-28
32-40
IV
36-44
44-52
V
VI*
48-56
60-68
56-64
68-76
Layer
Shed 1
16-72
Layer
Shed 2
Layer
Shed 3
Layer
shed 4
Layer
shed 5
28-84
40-96
52-108
64-120
76-132
* Since the Layer Shed No: 1 will be vacant after culling of the first batch in the 72nd week
and four weeks of cleaning and disinfecting.
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Fig: Layout of layer poultry farm with (1+3) rearing system
4.3.2 Broiler Farm: There are two systems of flock replacement/movement in
broiler farms.
'All in All out' system: Envisages introduction of second/subsequent batches
only after the first/previous batch of birds are sold out. In this system only
about 5 batches of broilers can be raised in a year.
'Relay cycle’ system: In this system fresh batches are introduced either at
weekly or fortnightly intervals. When the batches are introduced at weekly
interval, the unit should have eight sheds whereas in case of fortnightly
batches, the unit should have four sheds. Since the 'relay cycle system'
ensures a regular replacement of flocks resulting in continuous flow of
income, this system should be encouraged from the view point of recovering
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loan installments periodically and promptly.
Fig: Layout of a broiler poultry farm with fortnighty cycle
4.3.3 Batch interval
Keeping the house empty between two batches is very important. An ideal
period of three weeks is suggested, which is required to clear the debris and
conduct through disinfection. The pathogens are known to remain viable for
years. Mud, manure piles or any accumulation of filth around the shed will
provide the base to harbor the pathogens. Some germs spores which are
resistant against weather conditions.
After thorough disinfection, a further reduction in contamination is expected
from the natural progressive death of large proportion of microbes in the
absence of birds. In short, the entire operation takes three week in all, first
week for cleaning, the second for disinfection and disinfestation, and the
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third for resting the shed. No extra advantage is obtained by prolonging the
rest period beyond three weeks if disinfection is thorough.
5.0 Cost components
5.1 layer farm:
•
For construction of brooder/grower and layer sheds, feed store,
quarters, water tank etc.
•
For purchase of poultry equipment such as cages, feeders, waterers,
brooders etc.
•
For creating infrastructure items for supply of electricity, feed,
water etc.
•
For purchase of day old chicks or ready to lay pullets.
•
For meeting working capital requirement in respect of feed,
medicines and veterinary aid etc. for the first 5 to 6 months (i.e. till
the stage of income generation).
•
The Cost of land is not usually considered for loan.
5.2 Broiler Farm:
•
For construction of broiler sheds
•
For purchase of equipment
•
Cost of one day old chicks, feed, medicine and labor cost for the
first cycle
•
Cost towards land development, fencing, water and electricity
•
Essential servant’s quarters, godowns, transport vehicles
•
Broiler dressing, processing and cold storage facilities can also be
considered for providing loan.
•
Cost of land is usually not considered for loan.
5.3 Investment needs of Hatcheries:
•
Construction of fumigation room, egg cooling room, vaccination
and packing room, etc.
•
Equipments like air conditioners, refrigerators, incubators
•
Electric generator is necessary d. trolleys for transportation
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6.0 Critical Points for Appraisals
6.1
Poultry farming demands continuous and close attention and management. The
prospective borrower should therefore have the required aptitude, knowledge and
commitment.
While undertaking the visit the RM should ascertain the following:
6.2
•
Sufficient space will be available for constructing poultry sheds as per
requirements, store room for feed, etc.,
•
Availability of water and electricity
•
Located in a calm area free from dust, disturbances and noise pollution
•
Veterinary care is available easily and on a regular basis.
•
Suppliers of chicks feed, etc., as well as major buyers from the unit should be
within reasonable distance and proper transport facilities should be
available.
•
Sites where high tension electric wires are passing overhead should be
avoided
•
Regular and constant demand for eggs and proximity of the farm to the
market should be ascertained.
•
The distance between two poultry farm is more than 500 Mtrs.
6.3
Many hatcheries follow franchise model of business. Under the model major
hatcheries develop their own strains and give out franchise to units to produce
chicks in their hatcheries. When dealing with a proposal to finance a franchisee, the
branch should scrutinize the franchise agreement to ascertain the territory, number
of birds, shed designs stipulated, equipment to be used, technical staff to be
employed, support available from franchiser, buying / marketing arrangements,
etc.,
6.4
A good practical training and experience on a layer farm will be highly desirable,
before starting a farm.
6.5
Branch officials should undertake pre-sanction field visit without fail to assess the
techno-economic feasibility of the project. The proposal when submitted for
sanction should be accompanied by the Pre-sanction Field Inspection Report. Presanction visit should be carried out before asking any documents from the client.
Prima facie, basic documents can be checked (viz. land records) to verify if any
charge of other Bank is noted. if there is no charge, then a visit may be conducted. If
visit observations are satisfactory, borrower may be given checklist of documents.
6.6
Suitability of climate: The climate should be suitable for optimum broiler/egg
production. Atmospheric temperature of 70-75 °F is ideal for layer/broiler farm and
it should not generally exceed 105 °F. Excessive temperature causes decrease in egg
production in case of layers and results in increased production of unfertilized eggs
in case of hatcheries. In areas where the temperature shoots up beyond 105 °F. the
proposal should provide for sprinklers (foggers), curtain etc. so that birds will not
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be exposed to excess heat.
6.6
Potentiality of the area should also be considered.
6.7
The selected site should have adequate source of water, electricity and an allweather road. There should not be any water logging and it should be easily
drainable.
6.8
Adequate supply of balanced poultry feed and the reputation of the suppliers
should be ascertained. Price of the feed should also be compared and the branch
should be satisfied that prices are reasonable. In respect of big poultry units,
backward integration by setting up of own poultry feed units should be encouraged
as this will minimize the cost of feed and result in overall improvement of the
project’s financial viability.
6.9
The branch should also consider availability of healthy chicks from nearby
hatcheries.
6.10
Based on the pattern of flock replacement explained above and the total strength of
the birds, number of poultry sheds to be constructed has to be decided. Depending
on the rearing system (deep litter or cage), the type of shed will also vary.
6.11
In case of bigger operations, provision of housing for key staff and maintenance
personnel may also have to be considered.
6.12
Where equipments like automatic feeder, etc., are to be purchased, the supplier’s
track record should also be considered. For large units, as far as possible automated
equipment should be considered to minimize the manual handling of feeds and
water.
6.13
Availability of veterinary care is essential for a poultry farm. The project report
should include provision for the same and should clearly state the arrangements
that are planned to make proper veterinary care available.
Term loan to a poultry unit may include the following:
6.14
•
Construction of poultry shed.
•
Egg/feed store room including electrical fittings.
•
Installation of cages.
•
Other poultry equipments.
•
Feed plant (wherever required).
•
Double setters, hatchers, refrigerator and other machinery (in case of hatcheries).
•
In case of layer farms, it will be in order to give the working capital required for the
first six months as a component of the term loan.
•
In broiler farms adapting All-in-All-out system, cost of the first batch including
rearing charges up to 8 weeks can be made a component of the term loan, for units
following Relay Cycle system cost of all eight batches up to 8 weeks can be
considered for term loan. The rationale is that the cost of the first batch become the
core working capital for the unit and can therefore be considered for long term
financing.
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•
For hatcheries, their working capital requirement for the breeding farm and also
other miscellaneous expenses for the first 6 months, (till commencement of
commercial production of one day old chicks) will be considered for term loan.
Working Capital loan to a poultry unit may include the following:
6.15
6.16
•
Purchase of chicks
•
Poultry feed
•
Medicines for the birds
•
Salaries & Wages
•
Other overheads
•
In case of hatcheries, financial requirement for both production and hatching
of eggs can be considered for assistance.
For layer / broiler units already in operation only working capital requirement
should be considered. Assistance can be extended either as short term loan for each
batch with bullet payment falling due before the batch is sold / culled or as normal
cash credit limit worked out on the basis of inventory and other production
expenses.
Feed cost is the most important factor (accounts for about 70%) that has a bearing
on the viability of a poultry unit. Hence, utmost care has to be taken to assess the
quantum and its cost in a realistic manner. An indicative feed and water
requirement of a poultry layer is given below :
Age in
Weeks
Type of Feed
6.17
0-8
9-20
21-72
Chick Mash
(20-25%
protein)
Grower Mash
(18-20%
protein)
Layer Mash
(16% protein)
Feed Consumed in
Kgs
Water
Requirement /
Day
Deep
Litter
2.5
Cage
2.5
150 ml
5.75
5.0
225 ml
40
38
300 ml
6.18
Normal sources of income for poultry units are sale of eggs, chicks, manure, gunny
bags and culled birds. It has been calculated that mature laying hen 2 kg
bodyweight produces, on an average, about 42 liters weight of 0.036 tonnes a year.
A modest flock of 20,000 layers produces more than 700 tonnes of manure per year.
Poultry house litter accumulated over period of 9-12 months is balanced organic
manure par excellence.
6.19
When considering a proposal for construction of sheds, it must be ensured that the
end walls face east and west so that direct sun rays do not fall into the shed. Sheds
should afford good ventilation. The sheds should be constructed as per the
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specifications and should be free from rodents and predators. They should be also
free from draft winds non-marshy. When multiple sheds are constructed a distance
of at least 40 feet should be kept between sheds in the same sector. The distance
should be about 150 feet between growing and laying units. This will help better
ventilation and also prevent spread of diseases.
Sheds should have sufficient space to facilitate healthy rearing of the birds. The
branch may keep the following space requirement table as a base to cross check if
the project provides adequate shed space vis-à-vis the number of birds to be
handled.
Age in
Weeks
Stage
6.20
Floor Space Requirement
Deep Litter
Cage
0-4
Starter
0.50 sq.ft
0.25 sq.ft
5-8
Broiler
1.00 sq.ft
0.50 sq.ft
An overhang of 3 to 4 feet is to be provided to prevent entry of rain water into the
shed.
6.21
It is very essential for adequate selling arrangements to be in place. Except in case of
very small units, it should be ascertained that there are tie-ups with Poultry
Development Corporations, hotels, etc., and that the borrower has a good
distribution and collection mechanism in place. It should be our endeavor to have
an agreement with the buyers to remit sale proceeds directly to the borrower’s
account with us.
6.22
Gestation period for term loans to layer units can be up to 18 months while in case
of broiler units the period can be shortened taking into account the fact that cash
flows in case of broiler units will start much earlier. However while fixing the
repayment installments, it should be ensured that the borrower is left with enough
funds to meet further running expenses including purchase of chicks.
6.23
The AO should inspect the poultry unit at least once in 3 months. However the
visits instead of being routinely planned should be coincided with the arrival of
replacement stock whenever possible so that the RM can see the process and satisfy
himself about the level and efficiency of activities. Similarly, a visit just before sale
of broilers (in case of All in - All out system) or culling in case of layers, a visit may
be undertaken with a dual purpose of knowing the flock strength and also the
condition of the birds to be sold out and reminding the borrower about repayment
since the borrower would receive bulk amount immediately after selling the birds.
In case of big units, this amount can be substantial and the branch will do well to be
on top of these transactions to ensure that the proceeds are received in our account.
The following three inspection report forms could be need for documenting the visit
observations at various stages:
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Annexure C- Pre – sanction inspection report for poultry units
Annexure D - Post – sanction inspection report for poultry units
Annexure E - Post – sanction inspection report for completed poultry units
6.24
It should be ensured that the borrower maintains batch-wise records/registers
giving details of flock strength, feed consumed, veterinary care including
vaccination given, mortality, eggs produced etc. Such records should be verified by
the branch officials during their unit visits.
6.25
The conceptual notes for techno – economics of poultry projects along with
technical norms for poultry loans given in Annexure – A & B could be used for
comprehensive appraisal of poultry projects.
Conceptual Notes for Techno Economics of Poultry Projects
Concept Index
Sl. No
1.0
1.1
1.2
1.3
1.4
1.5
1.6
1.7
1.8
1.9
1.10
1.11
1.12
1.13
1.14
1.15
2.0
2.1
2.2
2.3
3.0
3.1
3.2
3.3
3.4
3.5
Particulars
Growth and Production
Age at sexual maturity
Body weight
Body Size
Body weight to shank length
Growth
Laying ability
Rate of egg production
Egg weight
Egg quality
Hatching of eggs
Fertility and Hatchability
Viability
Incubation
Hatchery management
Sexing of Chicks
Feed Management
Feed ingredients
Economizing feed cost
Feed efficiency
Processing, Preservation and Marketing
Egg quality & Grading
Egg marketing
Distribution channels
Poultry meat
Preservation and poultry meat
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3.6
4.0
Poultry by products
Poultry Diseases
Conceptual Notes for Techno Economics of Poultry Projects
1.0 Growth and Production
Egg production is one of the most important economic traits in domestic fowl.
A modern commercial layer starts laying around 20 weeks of age and
continues to do so till it dies. Rate of egg production varies with age and
declines below the economic level after first laying cycle. Commercial layers
therefore, are rarely maintained after first laying cycle i.e. after 72 weeks of
age. Commercial layer's laying as high as 300 eggs during the first laying
cycle is not uncommon at present. Peak production in each cycle is usually
reached in about 6 to 8 weeks from the first egg is laid after which rate of
production declines.
Considerable variation is noticed among breeds/strains/lines with respect to
magnitude and duration of peak production and decline thereafter. Egg
production is measured either as number of eggs or per cent rate of lay. Each
of them can be expressed in three different ways such as hen housed. hen
day, and survivor’s. Hen Housed egg number is calculated by dividing the
total number of eggs produced by the number of hens housed in the laying
pens. Hen day egg number is calculated in a similar manner but by obtaining
the bird numbers on the basis of functional days basis.
Hen housed egg production does not take mortality into account, whereas
hen day egg production takes into consideration the mortality by accounting
for the number of days performed by the birds that died. Survivor’s egg
production refers to the average number of eggs laid by each survivor and is
calculated by dividing the total number of eggs laid by survivors by the
number of surviving birds. Hen housed production provides a better picture
about the economic production performance of a flock than the other two.
Genetic factors like age at first egg, persistency, intensity or rate of lay,
broodiness and pauses; and environmental factors like season, age, disease
conditions, nutritional regimens and duration and intensity of light, affect egg
production in chickens.
1.1 Age at sexual maturity
A pullet is considered to be sexually mature when it lays her first egg. Early
maturing birds are likely to produce more number of eggs during the given
period than the late maturing pullets. Light breeds like Leghorn mature early
compared to heavy/dual purpose breeds i.e. New Hampshire, RIR etc. Age at
sexual maturity in chickens is in itself it quantitative trait and some of the
genes influencing this trait are located in sex chromosome. Hence, early
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maturing commercial pullets can be produced by use of early maturing male
line as male parent in the production of commercial crosses. Age at sexual
maturity is moderately heritable and positively correlated with egg weight.
Hence, egg size is poor in early maturing birds. Too early maturity therefore,
may not be a desirable phenomenon in commercial layers.
1.2 Body weight
Cost of feed alone accounts for more than 70% of the total cost of producing
eggs. Feed given to a bird is used for body maintenance, growth and
production of eggs. Large birds require more feed for maintenance than small
birds. More feed is also required to produce larger eggs. Other conditions
remaining same the birds which require less feed for body maintenance
therefore will be preferred for commercial egg production. Feed efficiency is
calculated in two different ways i.e. kg of feed required to produce one dozen
eggs or kg of feed required to produce 1 kg of egg mass. There are differences
among breeds/strains/families with respect to feed consumption and feed
efficiency.
1.3 Body size
Large body weight is of primary importance in broilers. Small or intermediate
body weight is preferred in layers, although optimum body size is essential in
egg laying chicken to obtain eggs of satisfactory size. Body weight at all ages
is highly heritable and can be improved by mass selection. Body size involves
both bones and fleshing. Bone size is more heritable than degree of fleshing.
Husbandry practices like feeding, management and disease have a large effect
on fleshing and a small effect on bone size.
1.4 Body weight to shank length
Conformation refers to body proportions and is more important in broilers
and turkeys. It is of secondary importance if broilers are not sold as whole
birds. Both bone structure and fleshing influence conformation. It is measured
either by ratio of body weight/shank length or by 'body weight/shank
length.
1.5 Growth
Rapid Juvenile growth is very essential in meat type birds. It helps to reduce
the cost of production by saving labour, time and feed. Growth rate is fairly
high up to approximately 12 weeks of age in broilers. 5 weeks of age in quails
and 16 weeks of age in turkeys after which it slows down. Growth rate is
moderate to highly heritable and can be improved by mass selection.
1.6 Laying ability
Persistency is measured in terms of moulting performance of the laying hens
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during which old feathers are replaced by new feathers and there is complete
or partial cessation of egg production. According to the most poultry men, the
onset of moulting should take place after 365 days from the age at first egg or
approximately at 72 weeks of age. Layers which continue to lay till this age or
beyond is said to have good persistency. On the other hand moulting occurs
much earlier in the production cycle in poor layers. Persistency therefore,
provides a measure of laying ability. To improve persistency, selection should
be practiced on the basis of annual egg production and not on part record egg
production even though part and annual record egg production are positively
correlated genetically.
1.7 Rate of egg production
Intensity or rate of egg production is measured by the number of eggs laid by
a hen during a standard time interval or by percentage of eggs during a
variable time interval. Both total number of eggs and rate of lay are important
for a commercial poultry man. The rate of lay is lowly heritable compared to
egg number. Some workers have used clutch size as indicator of intensity of
lay. Clutch is usually longer and interval between clutches is shorter for the
good layers. Clutch as a trait is moderately heritable. This trait as a criterion
of selection is not much in use as there is a great variation in clutch size not
only between the birds but also between different clutches of the same bird.
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1.8 Egg weight
Egg weight is an important economic trait, only next to egg production
in commercial laying stocks. Very often egg weight and egg size have
been used in the literature to mean the same thing. This is because both
egg size and egg weight are directly related to each other and higher the
egg size the more is the egg weight in freshly laid eggs.
Among the environmental factors that have been known to influence
egg weight, temperature of the air inside the house is most important.
High ambient room temperature has an adverse effect on the size
because of decline in food intake of the birds. Egg size increases with age.
The first egg laid is the smallest in size and is about 75% of the maximum
weight that can be reached. There are reports to suggest that birds housed in
cages may lay eggs larger than those housed on deep litter. Egg weight
increases after moulting. The major advantages of forced moulting are not
only the increase in rate of lay but also increased egg size.
1.9 Egg quality
External quality of eggs is judged from its colour, shape, texture and breaking
strength (or shell thickness). The internal quality is assessed from the quality
of albumen, yolk and presence of blood and meat spots. Most of the egg
quality traits are highly heritable
White and brown are the two most common egg colours. Colour does not
make any difference in the nutritive value; some people however prefer
brown-shelled eggs to white shelled eggs. As egg colour is a characteristic of a
breed, the breeding material has to be different depending upon the
preference of the shell colour are usually selected against these.
1.10 Hatching of eggs
Hatching of eggs refers to the production of baby chicks. In early days eggs
were hatched by placing them under broody hens. Desi hens proved to be
ideal for this purpose. Only 10 to 12 eggs can be put under one hen. This
method of hatching is highly unsatisfactory for large scale production of baby
chicks. Incubators, which provide similar environment as that of broody hens,
but more efficiently, are used at present for hatching of eggs.
Embryonic development has already started by the time the fertile eggs are
laid. To prevent further embryonic development outside the body fertile eggs
should be collected as frequently as possible and stored in a cool place,
especially so in hot and rainy months. Optimum temperature for holding the
fertile eggs before incubation varies from 50 to 70° F (10.0 to 21.1° C). Better
results can be obtained when eggs are stored for 7 days or less at 60° F (15.6°
C). When eggs are stored for more days storage temperature should be
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around 50° F (10° C).
When temperature is too low eggs do not hatch well. Duration of storage after
a week is inversely proportional to % hatchability. Relative humidity of
storage chamber should be maintained at 70 to 80% as less humidity
promotes loss of water from eggs. Soiled or dirty eggs should not be used for
hatching; when used they should be properly cleaned with a dry cloth before
storage.
1.11 Fertility and hatchability
Fertility and hatchability for a flock are expressed in percentage in relation to
total eggs set. Hatchability can also be expressed in percentage as a
proportion of fertile eggs set. Differences have been reported among breeds,
strains, family and individuals within a family. Inbreeding depresses while
outbreeding increases. Age of birds, season, nutritional status of flocks,
diseases and management conditions affect both fertility and hatchability.
Artificial insemination and mating in single sire pens is advocated to
overcome preferential mating and social order. Flocks in high rate of lay have
better fertility and hatchability.
1.12 Viability
Viability is one of the most important economic traits of domestic fowl. It is
expressed as percentage in relation to the total number of birds housed.
Viability to a great extent depends on the incidence of the diseases in the
flock. The onset of the diseases not only causes mortality but also morbidity
causing drop in egg production and reduction in growth rate and quality of
eggs and carcass.
1.13 Incubation
The physical factors necessary for successful incubation are temperature,
humidity, gaseous environment and turning of eggs. Optimum and uniform
temperature inside the incubator is very essential for obtaining satisfactory
results. The incubator temperature should be maintained as recommended by
the manufacturer. It usually varies from 99.5 to 100.5° F (37.2-37.8° C) for
forced draft-type incubators and about 1° F higher for still air incubators. Low
temperature slows down the development of embryo and higher than
optimum temperature hastens the embryonic development. When abnormal
temperature conditions extend over a long period, hatchability is adversely
affected by increase in embryonic mortality and weak and deformed chicks.
Humidity in the incubator affects hatchability. Dry and wet bulb
thermometers are used for measuring humidity. In fowl, egg takes about 21
days to hatch. The relative humidity should be around 60% during the first 18
days of incubation and 70% in the last 3 days for optimum hatchability. In the
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forced draft type incubators the temperature requirement decreases as the
humidity increases.
1.14 Hatchery management
At the beginning of hatching season the incubator and hatchers should
be thoroughly checked for their functioning and defects, if any,
rectified. They should be properly cleaned, disinfected and fumigated
to kill disease organisms. Hatching eggs should be cleaned and
fumigated before storing and after transfer of eggs to the Hatcher. This
reduces the incidence and spread of diseases. Fumigation is usually
done with formaldehyde gas using 40 ml of 40 % commercial formalin
and 20g of potassium permanganate for each 2.8 m3 of space inside the
incubator or Hatcher. Potassium permanganate may be placed in a
glass or earthenware container and formalin poured over it.
Fumigation should preferably be done at the end of the working day
and then the rooms closed. It is a good practice to start the incubator
and the Hatcher at least 24 hours before setting of the eggs to maintain
a constant temperature.
Entry to the hatchery complex should be restricted as far as possible.
Persons working in the hatchery should use showers, change clothes
and shoes before entering. Receipt of eggs from the farm and the
delivery of chicks should be away from each other to reduce infection.
When electric supply is uncertain use of a standby generator is
advocated.
1.15 Sexing of chicks
Sexing of chicks when day-old has been the most common practice
with the hatcheries dealing with egg-type chicken. Japanese or vent
method of sexing is commonly used. This involves identification of
rudimentary testes in the cloaca of male chicks.
2.0 Feed Management
Feeding constitutes the fundamental and major management concern
in poultry production since major expenditure (60-70%) in poultry
raising is feed cost. Efficiency in feeding therefore is one of the key
factors for successful poultry production. More than 40 nutrients are
required by the poultry. They can be arranged into six classes
according to their chemical nature, functions they perform and the
ease with which they are chemically determined. These groups of
nutrients are: water, proteins, carbohydrates, Fats, minerals and
vitamins.
Carbohydrates and fats are the principal sources of energy. Fats are
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the concentrated form of energy and yield 2.25-times more energy
than carbohydrates on weight basis. Fats are also the source of
essential fatty acids. i.e. linolenic and arachidonic acids. The
requirement for protein is essentially the requirement for amino acids.
The essential amino acids for poultry are: arginine, glycine, histidine,
leucine, isoleucine, lysine, methionine, cystine. phenylalanine,
threonine, tryptophan and valine. Out of these, arginine, lysine,
methionine, cystine and tryptophan are critical amino acids in
practical diets. Minerals and vitamins do not supply energy but they
play an important role in the regulation of several essential metabolic
processes in the body. The minerals and vitamins that are critical in
practical poultry diets are:
•
Minerals: Calcium, phosphorus, sodium, copper, iodine. iron,
manganese and zinc.
•
Vitamins : Vitamin A, Vitamin D3, Vitamin E, pyridoxine,
riboflavin, pantothenic acid. Niacin, folic acid, B12 and choline.
A balanced ration is the one which will supply different nutrients in
right proportions according to the requirements for maintenance and
various productive functions. The nutrients required by poultry must
be supplied in rations through the ingredients available in sufficient
quantity economically.
2.1 Feed Ingredients
Conventional poultry rations usually include many cereals like maize,
rice, wheat, oat, barley; and a few cereal by products such as wheatbran or rice polish, animal and vegetable protein sources like fishmeal, meat-meal, soybean-oil-meal, ground nut-cake, etc. according to
their availability. The whole ration is fortified with adequate
quantities of minerals and, vitamins either in chemically pure form or
through ingredients known to be rich in these nutrients.
With the cost of feed soaring high and the availability of conventional
ingredients becoming scarce, intensive and continuous efforts are
being made to determine the nutritive value of agro industrial
byproducts to replace more costly ingredients in poultry rations. The
following are some of the common feed stuffs used for making poultry
rations in this country.
•
Maize: It is highly digestible and contains very little fibre. It is
used as a source of energy and is low in protein, especially
lysine, and sulphur- containing amino acids. The yellow
varieties are a good source of vitamin A and xanthophyll. The
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latter is responsible for the yellow skin in certain breeds of fowl.
•
Barley: Barley is not very palatable because of its high fibre
content and should not constitute more than 15% of the ration.
•
Oat: Oat is not very palatable because of its high fibre content. It
should not constitute more than 20% of the ration. Because of its
manganese content, it may help in preventing hock disorders,
feather pulling and cannibalism.
•
Wheat: Wheat can be used for replacing maize as a source of
energy.
•
Wheat bran: It is bulky and quite laxative on account of its high
fibre, manganese and phosphorus content.
•
Pearl millet: This is a very useful feed stuff, similar to wheat in
its nutritive value.
•
Rice: Broken grains of rice can be used for replacing maize.
•
Rice polish: This is a very good substitute for cereal grains and
can be used up to 50% of the ration. Because of the high oil
content, it is likely to become rancid on storage under warm
conditions.
•
De-oiled rice polish: Energy content of de-oiled rice polish is low
because of the removal of fat but it is rich in protein and ash
content.
•
Sorghum: The feeding value of sorghum is similar to that of
maize. But it has higher protein content, quite palatable and may
be used in place of maize. Sorghum-meal is a good source of
some amino acids, but costlier than other oilcakes.
•
Groundnut-cake: It is quite palatable and is widely used as a
source of protein in poultry rations. It contains about 40%
protein.
•
Fish-meal: Fish-meal is one of the best poultry feed stuffs and a
good source of animal protein. Its composition varies widely
depending upon whether it is made from whole bony fish or fish
cannery scraps. The presence of fish scales reduces its feeding
value.
•
Lime stone: Lime stone is a source of calcium. It should not
contain more than 5% magnesium.
•
Oyster shell: Oyster shell contains more than 38% calcium, and
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is a good substitute for lime stone. It is quite palatable.
2.2 Economizing feed cost
Keeping the feed cost low and at the same time providing a balanced diet
to poultry has been the main concern of both the poultry producer and
the feed manufacturer. Economization of feed cost without impairing
poultry production can be achieved by formulating low-cost diets by
appropriate selection of feed ingredients. by imposing feed restriction at
the desired level, by minimizing feed wastage, by making nutritional
adjustments during extreme weather and by reducing stress and diseases.
Nutritional requirements for various classes of poultry have been
described in detail in ISI bulletins and also in several textbooks. There is
no single feed formulae which can be claimed to be the best in all the
cases. The primary consideration in mixed feed is whether the feed fulfils
the nutritional requirements adequately consistent with economy
2.3 Feed efficiency
Feed efficiency is a ratio of feed consumption to weight gain in broilers. Better
understanding about the nutritional requirements and formulation of high
energy rations has contributed significantly in improving feed efficiency. Feed
efficiency although moderately heritable is laborious to measure. Most of the
improvement in feed efficiency in commercial stock has been achieved as a
correlated response to selection for high growth rate or egg production. Feed
efficiency in layers is measured either as amount of feed consumed in kg to
produce a dozen of eggs or as amount of feed consumed in kg/kg egg mass.
Small bodied birds are considered to be most efficient for egg production as
they consume less feed. It is possible to measure feed efficiency in laying
stocks simply by measuring egg mass output and body weight without direct
measurement of feed consumption.
3.0 Processing, Preservation and Marketing
Poultry and poultry products are highly perishable. Hence due attention
has to be paid to the problems relating to processing, preservation and
marketing of poultry and poultry products for the benefit of producers,
processors and consumers alike.
The important quality attributes of egg size, cleanliness and soundness of
shell, albumen and yolk quality nutritive value, the wholesomeness,
functional properties etc. Shell colour is determined by the breed of the
hen. Egg size can be adversely affected by inadequate level of protein
and essential fatty acids in layer’s diet and high environment
temperature.
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3.1 Egg quality and Grading
The quality of egg starts deteriorating soon after it is laid unless proper
care is taken to maintain it following better methods of assembly,
cleaning, grading, packaging, storage, transport and distribution.
Grading is the classification of eggs into different categories. It aids in
reducing wastage, facilitates uniform packing and pricing, and quality
assurance to the consumers. Egg grading involves inspection of the shell
for cleanliness and soundness, checking the internal quality such as
firmness of albumen, position of yolk, blood-and meat-spots, and the size
of air cell and sorting them into categories on the basis of weight. Eggs
can be individually or flash candled to detect the above defects.
3.2 Egg Marketing
The wholesale trade of eggs in big cities, where potential demand exists, is in
the hands of a few traders who have monopolized this trade for their own
advantage. Egg prices vary from one market to another and from one season
to another. In summer, the egg prices crash down to a level which is
sometimes less than the cost of production. even though the retail price does
not vary proportionately. Therefore proper attention has to be given to the
problem of most efficient disposal of market eggs.
3.3 Distribution Channel
The eggs are distributed through different channels, viz. producers to
consumers, producers via retailers to consumers, producers via assemblers to
consumers, wholesalers, retailers to consumers, and producers to consumers
via co-op societies/egg marketing organizations. Eggs should be distributed
through relatively shorter channels to speed up supply and avoid delay and
repeated handling.
3.4 Poultry Meat
Poultry meat is of high nutritional value and is easily digestible. Its protein
content in general is higher than in most of the red meats. Chicken meat
contains all the essential amino acids and qualitatively compares closely with
milk and egg proteins. It has less fat than other red meats. Oleic, linoleic and
palmitic acids are the major fatty acids which constitute about 97% of the
total fat. Carbohydrates contribute to a small portion of the total nutrients
present in chicken meat and it is a good source of B vitamins, iron and
phosphorus.
3.5 Preservation of poultry meat
The primary objective of poultry meat preservation is to inhibit microbial
spoilage and arrest physio-chemical processes which bring deterioration in
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quality. Several methods such as refrigeration, freezing, smoking, curing
and smoking, dehydration, freeze-drying, canning and radiation are being
used to preserve meat. Antibiotics are also sometimes added to preserve raw
meat.
The tough meat of culled and spent layers and breeders can be made tender
by using various proteolytic enzymes either alone or in combination.
Enzyme solution with combination of salt and polyphosphates appears
better for tenderization of poultry meat than enzyme alone.
3.6 Poultry by products
In a poultry processing unit around 27% to 29% of raw materials go as waste
in the form of blood, feathers, heads, feet and viscera. Hatchery wastes
include infertile eggs, dead embryos, empty egg shell, unhatched chicks and
unusable chicks. Similarly in egg processing units around 11% of raw
material as shell and around 5% as unsound eggs are obtained. Large
quantities of wet droppings from cage houses are also available. Processing
and utilization of these byproducts will not only reduce the cost of poltry
production but also solve the disposal problem and pollution hazard. A good
deal of work has been done for processing of these byproducts into feathermeal, poultry byproduct-meal, hatchery byproduct-meal, egg shell-meal,
albumen flake dried, poultry manure etc. for poultry feeding.
4.0 Poultry Disease
The profit from poultry farming is greatly dependent on the incidence of
diseases in the flock. The onset of diseases not only causes mortality but also
morbidity. Although significant progress has been made in the control of
diseases of baby chicks and growing birds mortality, especially of the laying
flock, still remains as one of the great challenges to the poultry breeder.
Poultry diseases may be classified either as infectious or non-infectious.
Non- infectious diseases are caused by faulty management. Faulty feed
formulation and inadequate diet may be responsible for nutritionally
deficient diseases. Infectious diseases are classified according to the type of
disease-causing organism described below.
•
Parasitic : External parasites: lice, mites, ticks and fleas
•
Internal porosities : Roundworms, tapeworm and
hexamitiasis
•
Protozoan : Coccidiosis in chicken, black-head in turkeys, and
Ieucocyto- zoonosis
•
Bacterial: Pullorurn, typhoid, paratyphoid, fowl cholera. Arizona
infection in turkeys etc.
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•
Viral: Ranikhet disease, fowl-pox, infectious bronchitis, infectious
Iaryngo- tracheitis, infectious bursitis, avian encephalomyelitis,
Marek's disease, leukosis, chronic respiratory diseases, duck virus
enteritis, hepatitis etc.
•
Fungal: Aspergillosis, Moniliasis In commercial poultry production
treatment of individual bird is not possible. Hence the golden rule
"Prevention is better than cure" more appropriately applies to poultry
than any other livestock species. As the poultry industry is growing
very fast hazards of the diseases are obviously great. Efficient
diagnostic methods are available for some of the common killer
diseases like Ranikhet, and also prevention and available control
measures are very successful.
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ANNEXURE - B
Technical norms for poultry loans:
The decision to establish a poultry farm by the beneficiary shall be after due
consultation with local technical persons of veterinary department, poultry
promotional agency, private commercial hatcheries in the area. If possible, the
farmer should also visit the progressive poultry farms in the area and discuss
the profitability of poultry farming. A good practical training and experience
on a poultry farm will be highly desirable, before starting a farm. A regular
and constant demand for eggs or broilers and nearness of the farm to the
market should be ensured. The proposal should include information on land,
water and electricity facility, marketing aspects, training facilities and
experience of entrepreneurs and the type of assistance available from
government, Poultry promotional agency and local hatcheries. It should also
include data on proposed capacity of the farm, total cost of the project,
margin money to be provided by the beneficiary, requirement of bank loan,
estimated annual expenditure, income and profit and the period for
repayment of loan and interest. It is always advisable that the entrepreneur
undergoes the training normally given by the concerned departments or the
Veterinary Colleges. This helps in early identification of any disease and
avoids its spread; otherwise it is like to be fatal to the unit.
For obtaining bank loan, the farmers should apply to the nearest branch of the
bank in their area in the prescribed application form. The Technical Officer or
the Manager of the bank can help/give guidance to the farmers in filling up
the application form to obtain bank loan. For poultry schemes with very large
outlays, a detailed project report will have to be prepared.
Technical Feasibility would include basis for working out project costs,
various technical aspects including facilities and infrastructure available for
supply of inputs, veterinary aid, marketing and training/experience of the
beneficiary. Illustrative, the critical technical aspects to be examined are listed
below:
•
Climate and temperature of the area.
•
•
•
•
Experience of the farmer.
Availability of land and land condition.
Availability of electric supply.
Availability of day - old chicks.
•
•
•
Availability of poultry feed.
Availability of clean potable water.
Availability of construction material for sheds, civil structures and other
accessories.
Availability of poultry equipments.
•
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•
Availability of technical services/guidance/poultry vaccines and
medicines.
•
Availability of transport and marketing.
Land:
•
Layout map with dimensions indicating placement of different civil
structures.
•
Need for fencing; provide proper estimate of the cost.
•
Justification for land development / internal roads, if investment for these is
considered;
•
Engineer’s estimates/ cost.
•
Minim distance required from the existing farm: 500 mtrs
•
Site condition: Should be dry, without water logging, well drained and
properly accessible.
Water Source:
•
Existing source of water, if already available/potability of water /
•
quantity available etc. (Water testing report is essential)
•
If investment for water source is to be included in the project cost,
requirements”:
o
Ground water survey report, Estimate / design for construction of
well, Horse power and cost of pumpset, length and diameter of
pipelines and their estimated cost
Civil Structures:
•
Details about individual poultry sheds and civil structures with
engineer’s maps and estimates
Shed Construction:
•
Type of sheds - Deep Litter or Cages.
•
Distance between Brooder shed, grower shed and layer shed - 100 ft.
from each other
•
Distance between two layer sheds - 70 ft.
•
East West orientation
o Height of shed 16 ft - 22 ft.
o Maximum width - 35 ft.
o Length - 100 - 400 ft.
•
Roof - Tiled / light roof / Asbestos
•
Feed mixing unit to be minimum 300 ft away from sheds.
System of Rearing:
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•
Deep litter system - Ideal for Broilers & Breeder Stock (Purelines, Grandparents &
Parents) of Layers & Broilers
•
Cage system - Ideal for Layers
FLOOR SPACE NORMS :
•
SHEDS: (in Sq. Ft.)
No
1
2
3
4
•
Civil Structures
Brooder shed
(0- 8 Weeks)
Grower Sheds
(9-20 weeks)
Layer Sheds
(21 – 72 weeks)
Broiler Sheds
(0-8 weeks)
Layers
Deep Litter
Cage
System
System
0.5
0.40
Broilers
Deep Litter
Cage
System
System
---
1.0
0.70
--
--
2.0
0.80
_
_
1.0
0.60
Floor Space for Civil Structures and accessories
Feed Godown
1000-2000 Layers
100 sq ft
Egg Storage room
1000-2000 layers
50 sq ft
Labour quarters
One labour family
150 sq ft
Supervisor Quarter
One
450 sq ft
Burial Pit
Depends on the flock size
Drying Yard
Office Room
Other Civil Structures should be discouraged unless requirements are
essential and are fully justifiable
•
Phasing for Broiler Production: Shed Requirement
Weekly Batches
Fortnightly batches
Monthly batches
All-in-All out system
•
9 (8 weekly batches and
extra shed: 1)
5 (4 fortnightly batches and
extra shed: 1 )
3 (2 monthly batches and
extra shed: 1)
1
Physical Programme:
•
Specify unit size - the total flock is generally bought in batches
depending on the availability of sheds.
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•
•
Number of batches to be grown yearly
•
Interval between introductions of batches etc. - 12 weeks gap is
found ideal for replacement of batches. A Bird Flow chart has to
be prepared to indicate the movement of batches.
Economic Flock size (for high value new units)
The economic size, as per experienced farmers’ view, is 50,000 birds for
a layer unit in traditional area. For broilers, the unit size can be
determined primarily based on the market potential in the area.
Components of Financial Investment:
•
•
•
•
•
Land development, fencing, water source and overhead tank etc.
Investment for construction of poultry sheds, feed godowns, civil structures
and other
Accessories.
Investment for purchase of poultry equipment, including feed mixer-cumgrinder.
Investment for purchase of day-old chicks.
•
Feed cost for rearing the birds upto 72 weeks in the case of layers and upto 8
weeks for
•
•
Broilers.
Cost of medicines / vaccines, electricity, water charges, labour etc.
•
Arrangement For Insuring Birds: Indicative premium rate of
insurance for birds, equipment and buildings etc. This is only an
indicative and would need update by inquiring with the leading
insurance companies
Birds
Layers
LKR 4.23 /Bird
Broilers
LKR 0.71 /Bird
Building & Equipments LKR 0.40 of cost
Financial viability would include assessment of unit cost and loan
requirement, input costs for chicks, feed, veterinary aid, labour and other
overheads. Further, income from sale of eggs, culled birds, manure, gunny
bags etc. are worked out. Annual gross surplus based on income-expenditure,
profit/loss statement, schedule for repayment of loan and interest is the other
calculations. Based on the above workings DSCR and sensitivity are worked
out.
To work out the technical feasibility and financial viability as above an
understanding of the techno economics of the activity is important. The
techno-economics of poultry development projects is given in Anenxure-B1.
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The recommended management practice for layer farming is given under
Annexure-B2 and a pointer for higher egg production is given in AnnexureB3. A appraisal check list for poultry development loans is given in
Annexure-B4.
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ANNEXURE – B1 - Page 1
Technical norms for layer and broiler farms
A. For Egger / Layer
Technical
Parameters
Starter
Grower
0-8 weeks
9 - 16 weeks
Layer/Breeder (Adult
bird) 17 weeks and
above
85°F - 88°F in cage
Temperature
88°F - 92°F on floor
(chick comfort is the
ultimate guide to
proper temperature
65°F - 75°F
70°F - 75°F
Space requirements on floor
Floor space
0.5 sq.ft./bird
1.0/sq.ft./bird
Feeding space
1/25 bird
1/25 bird
Watering space
2 fountains/100 bird
up to 2 weeks after
which the number of
fountains will have to
be increased. After 2
weeks, 75 inches / bird
1.5 sq.ft./bird
25 bird / feeder when
tube feeder and 3
inches feeding space
when trough feeder
has been used
0.75 inches/bird
1 inch (2.5 cm) / bird
44 sq. inches/bird
44 sq. inches /bird
108 sq.inches/bird
Feeding space
2 inches/bird
2 inches/bird
3 inches/bird
Watering space
75 inches/bird
75 inches/bird
4-6 birds/unit
Space requirement cages
Floor space
Feed consumption
2kg
8kg
Duration of light
For the first 3 days 24
hours on the light after 3 days 8-10 hrs.
Electric light constant
day length is required.
8 hr. day length
natural light
Intensity of light
3-4 foot candles at feed
and water level
One foot candle at
bird level
Mortality
5-6%
3-4%
110-115 gms. Per day
or, 40kg. Feed for one
year of egg production
14 hrs - 16 hrs day
length
One foot candle at bird
level
1% per month
ANNEXURE – B1 - Page 2
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B. Broiler
Starter
Broiler
0-4 weeks
5 - 8 weeks
Brooding
temperature
90° to 95° F in the first
week, as the chicks grow
older, the temperature
may be reduced at the rate
of 5°F per week
70°F -75°F
Floor space
0.5 sq. ft per chick
1 sq.ft./broiler
Feeding space
Chick type linear feeders
providing 2 inches linear
feeding space
3 linear inches feeding
space per chick or, 5
hanging feeders per 100
until market time
Watering space
Two - 2 litre capacity chick
waterers for two weeks
per 100 chicks
2 one gallon capacity
waterers per 100 chicks up
to 8-9 weeks of age.
Lighting
Continuous light upto 8
weeks of age - provide
high intensity of light
during first 14 days i.e.
60w per 200 sq. ft.
Thereafter gradually
reduce to a lower level of
light intensity i.e. 15 w per
200 sq.ft.floor space.
Debeaking
10-14 days of age
Thereafter not needed if
broilers are to be marketed
at 8-9 weeks of age.
Mortality
4-5 % upto the satge of
finisher
Technical
Parameters
Layer/Breeder
(Adult bird) 17
weeks and above
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ANNEXURE – B2 - Page 1
Recommended management practices for layer farming
Poultry Housing
1. Select well raised land for poultry sheds. Land with hard rock or
Muram is more suitable. Avoid water logging and flooding near the
sheds. Provide separate sheds for growers and layers.
2. Ensure adequate facility for water, electricity, approach road, supply of
chicks, feed, veterinary aid and nearness to market for sale of broilers.
3. Obtain training/experience in layer farming before starting a farm.
You should be prepared to stay on the farm and have constant
supervision.
4. Provide adequate floor space per bird for construction of poultry sheds
is available.
5. Construct sheds in such a way that the end walls face East-West
direction and the side walls face North-South direction, so that rain
water will not enter the sheds.
6. Provide strong roof and hard flooring. Raise plinth of the shed at least
6" above the outside ground level.
7. Provide 3’ – 4’ overhang of the roof to avoid entry of rainwater inside
the shed.
8. Provide at least 20 feet distance between two sheds.
9. Provide adequate light and ventilation and comfortable housing
conditions during all seasons (cool in summer and warm in winter).
10. Construct sheds in such a way that predators (cats/dogs/snakes) will
not enter the shed. Avoid entry of rats.
11. Keep the sheds clean and free from flies/mosquitoes etc.
12. After every batch of growers/culled birds is disposed off, the dirty
litter material and manure should be removed, walls and floors should
be cleaned, white washed with lime and disinfected with 0.5%
malathion or DOT insecticide spray.
13. If deep litter system is followed, always use dry and clean litter
material (sawdust, paddy husk, etc.). Spread 4" layer of litter on the
floor, keep clean/disinfect brooding, feeding and watering equipment
and then introduce chicks in the house.
14. The litter material should be always kept loose and dry. Stir the litter
twice a week. Any wet litter/droppings etc. should be removed and
replaced with fresh/clean dry litter.
15. If cage system is followed, ensure that litter is spread with powder
lime or 10% malathion spray twice a month to prevent menace of flies.
The litter under the cage can be removed after 6 months.
ANNEXURE – B2 - Page 2
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Poultry Equipment
•
Use scientifically designed cages and equipment for brooding, feeding and watering
purposes. 151 specifications for equipment are available. A good design can be
shown and manufactured locally, so that cost can be reduced.
•
Furnish the details of poultry equipments required together with their costs, source
of supply and numbers required etc. Quotations should be enclosed. Some of the
basic equipments required for a unit are:
•
Brooders, Feeders, Waterers, Debeaking Machine. (No separate feeders /
waterers required in cage system of housing).
•
Other Equipments: (a) Feed Grinder, (b) Feed Mixer, (c) Egg Trays, (d)
Vehicles for large sized commercial poultry units, (Feed Mill - 0.5 Tones per
hour capacity for 10,000 birds; 0.5 KVA Gen. set is essential. Pump set and
Overhead Tank). (e) Foggers.
Chicks
1
Buy hybrid one day old healthy egger type chicks from a reputed hatchery. Usually
2% extra chicks are supplied.
2
If cages are used for housing of birds ensure proper cage space i.e. half of the
recommended floor space on deep litter.
3
Clean, wash and disinfect all equipments with 0.5% malathion spray after every
batch of birds is disposed off.
Feeding
1.
Use high quality balanced feeds. Starter feed (upto 8 weeks of age), grower feed (9 to
16 weeks of age) and layer feed (17 to 72 weeks of age) manufactured by reputed
institutions/companies should be used. With proper knowledge/experience, the
feed can be prepared at the farm.
2.
Store the feed in clean, dry, well ventilated room. A wet feed may bring fungus
infection.
3.
Use properly designed feeders and control the rats to avoid feed wastage.
4.
Provide adequate feeding space per bird. More space is required as the bird grows in
age
5.
Keep proper records on feed consumption per bird for each batch. About 10 kg. feed
upto 6 months and 40 kg. feed from 6 to 18 months of age is required. Excess
consumption may be due to feed wastage, rats, low temperature of shed or poor feed
quality (low energy feed). Too low feed consumption may be due to disease
condition, low quality/unpalatability of feed, high temperature in poultry shed.
Watering of Birds
1.
Always give fresh and clean drinking water. Water should be always available to
birds.
2.
Use properly designed watering equipment. Provide adequate watering space per
bird Always keep water-pots clean. Avoid birds entering inside pots.
3.
Provide cool water during summer. Store the water in tanks that are not
exposed to hot sun in summer.
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ANNEXURE – B2 - Page 3
Disease Prevention/Control
1. Clean sanitary conditions of poultry sheds and equipment, balanced feed,
fresh clean water, healthy chicks are essential to prevent diseases.
2. Avoid entry of visitors to egger farm, especially inside the sheds. If visitors
come, ask them to dip their feet in a disinfectant solution, wash and clean
hands and to wear apron/boots provided by the farm.
3. Use proper vaccination schedule. All vaccinations to be completed before 1516 weeks of age.
4. Use high quality vaccines purchased from reputed manufacturers. Keep
vaccines in cool, dry conditions away from sunlight.
5. Any left-over vaccine should be properly disposed off. Vaccines should not
be used after their expiry date is over.
6. Any dead birds should be immediately removed from the shed and sent to
laboratory for diagnosis or buried/burnt suitably away from the poultry
sheds.
7. The waste of egger farm should be suitably disposed off. Different workers
should be employed in brooding and laying sheds.
8. Any bird showing advanced signs of a disease should be removed from the
shed and culled. It can be sent to laboratory for diagnosis.
Birds showing preliminary symptoms of disease should be shown to a
qualified veterinarian and suitable medication/treatment be given as per
his/ drug manufacturers recommendations.
9. Poultry manure, if infected, can spread diseases, from one batch to another.
Keep the litter dry, remove it after every flock is sold and dispose the manure
properly and quickly.
10. Keep proper records on mortality and its causes and the treatment given to
birds. Dates of vaccination for each flock should be properly recorded.
11. Rats are important carriers of poultry diseases. Avoid rats. Use suitable rat
poisons/ rat traps.
12. Many poultry medicines can be given in drinking water. When medication is
to be given, remove the waterers in poultry sheds on the previous evening.
Next morning give medicine in measured quantity of water, so that entire
medicine will be quickly consumed and there will be no wastage of
medicines.
13. Mild infection of a disease may not cause mortality, but it will reduce growth.
Keep sample record of body weight for growers, mortality rate and egg
production. Study the possible causes, if weight is low or egg production is
low and take steps to improve the management of the subsequent batches. A
constant vigil and analysis of records/results is necessary to keep up the
efficiency in farming.
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ANNEXURE – B2 - Page 4
Processing/Marketing
1. Ensure that constant and steady demand for eggs is available and the
market is nearer to the farm.
2. Study the market demand for particular egg weight. Provide one nest
box for every 5 birds. Collect eggs from the shed 4 times a day. Store
them in a cool dry place and market them quickly. A proper study and
record of market demand of eggs and chicken enables the poultry
farmer to plan the batch size and the time of each batch. This helps in
maximizing the profit.
3. Provide 14 hours total light for layers in 24 hours. Depending "upon
day length (sunrise to sunset), provide additional electric light by
giving one 40 watt electric bulb for 200 sq.ft. area. Birds should not be
kept on the farm beyond 18 months of age, as their egg production will
go down considerably and comparatively their efficiency of feed
conversion will reduce progressively as they grow older.
4. If live culled birds are transported, use properly designed crates and
provide proper space so that there is no weight loss during
transportation.
5. If culled birds are sold after dressing (processing) use clean dressing
hall and processing equipment. Dressed birds should be chilled in icecold water for 3-4 hours and excess water removed. Birds should then
be packed in clean plastic bags and the mouth of bag sealed.
6. Processed birds should be marketed as early as possible. If they have
to be preserved, deep freezing equipment (-10 to -20°C) be used.
Refrigerated vans may be required for long distance transportation.
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ANNEXURE – B3 -Page 1
Pointers for higher egg production
1. Quality Bird
Choose the strain that will perform best and is known to have good livability
under reasonable environmental conditions. Good chicks may cost more but
they will perform better and pay more too.
2. Housing
There should be ample fresh air, free from drafts. Air must be circulating.
High levels of non-desirable gases decrease growth rate and increase flock's
susceptibility to respiratory diseases. Ensure that the litter is dry. A well
managed litter helps the birds in putting on feathers and improves feed
conversion. It also reduces coccidiosis problems.
3. Crowding
Overcrowding increases mortality, stress, increases problems as well as
production cost.
4. Feeding
Ensure adequate fresh feed always. Birds that are without feed for six hours
will record a drop in production and a 12 hour starvation will result in moult
of wing feathers. There should be adequate feeder space for the birds. Guard
against feed wastage. Maintain records of daily feed consumption. It will
enable to determine feed utilization and bird's performance.
5. Watering
Provide plentiful and clean disinfected water. This management factor,
although
obvious, is commonly violated. Water restriction is a quick way to
accidentally force the flock to moult. Ensure that the waterers are so placed
that they are easily accessible to birds.
6. Lighting
The duration of light should be 16 hours per day, but not beyond 17 hours.
No advantage is obtained by exceeding this limit. The amount of light given
to the flock in one day should never be less than that given the day before. A
decreasing day length can prematurely cause hens to go out of production.
7. Vaccination
Ensure that all birds are vaccinated for Marek's Disease. Birds not vaccinated
are highly susceptible to these diseases.
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ANNEXURE – B3 -Page 2
Debeaking Follow correct debeaking programme. Poor debeaking can
adversely affect egg production.
Culling Unsuitable and uneconomic birds should be timely culled.
Health Watch for early signs of disease for its timely treatment before it flares
up in a big way. Some of the symptoms that indicate the onset of disease
problems are:
•
Drop in egg Production and feed consumption
•
Increased morbidity and mortality
•
Inactivity and lack of vigour
•
Droopy ruffled appearance and respiratory distress.
Look for any sudden change in egg quality.
11. Sanitation
Sanitary measures are of vital importance in poultry operation. Keep
roundworms, tapeworms and caecal worms under control. External parasites
are a serious farm hazard, and can reduce production if unchecked.
Deworming at regular intervals should be practiced.
12. Egg Quality
Respiratory and intestinal diseases should be kept under control for the
maintenance of quality of egg shells. Indiscriminate use of sulpha drugs can
affect the egg shell quality. The use of tetracyclines can, however, improve it.
13. Records
A daily record of feed consumption, egg production, mortality, income and
expenditure is essential to help improve farming efficiency and pinpoint
troubles and their solutions.
14. Routine Checking
All critical items of management should be listed on a daily, weekly or
seasonal check list. Every item must be checked. It helps to locate the cause of
trouble when it occurs. Routine chores are:
•
Cleaning and refilling of waterers and feeders
•
Cleaning the house and spraying insecticide
•
Stirring the litter
•
Dusting, culling of birds
•
Egg collection, etc.
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Annexure-B4 -Page 1
Checklist for rating good management practices in poultry farms
1.0
Sourcing of Quality inputs
1.1
Day old chicks, which are free from diseases are procured
from reputed hatcheries
2.0
Feed Management
2.2
Adequate, fresh and timely feeding is made available to
the birds. Six hours without feed will result in a drop in
production.
2.3
Testing feed ingredients/feeds is being arranged
regularly to ensure that they are free from microbial
agents or toxins.
2.4
Storage facilities for feed ingredients/feeds are managed
hygienically.
2.5
Feed manufacturing area (where applicable) is free from
dust, cobwebs and is equipped with appropriate screens
to protect from fly problem.
2.6
Birds are fed with pellets for improved bio-security.
2.7
There is a system in place to ensure that sheds having
infected flocks are served with feed at the end of a
delivery day to prevent infection from spreading.
3.0
Water supply
3.1
Adequate waterers are placed to give the birds easy
accessibility to clean and sufficient water.
3.2
Supply of clean and potable water is always available
3.3
The unit carries out periodic inspection of wells, piping
and tanks to ensure that water supplied is clean.
4.0
Medication, vaccination and health management
4.1
Proper records of vaccinations administered, diseases,
treatments and mortality should be kept.
Yes
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Sourcing of Quality inputs
4.2
Vaccinations is being carried out as per schedule and
records kept for inspection.
4.3
An area specific vaccination schedule as recommended
by hatchery doctor is practiced with utmost care.
5.0
Lightening and electricity
5.1
Lighting for about 16 to 17 hours is available for the
flock. (A 200 sq.ft area can be adequately lit by a 40 watt
bulb).
6.0
Biosecurity, disinfection and hygeine
6.1
The unit follows clean practices where visitors are
required to dip their feet in disinfectant solution, wash
their hands and wear aprons / foot wear provided by
the farm.
6.2
After each batch of birds is culled and disposed off, the
litter and manure are being removed, the shed cleaned
completely and disinfected.
6.3
Dead birds are immediately removed and sent for post
mortem examination if necessary or buried / burnt
sufficiently away from the sheds.
6.4
Rodent control programme, where ever necessary, is
adopted by employing mechanical (traps) or chemical
techniques along with strict sanitation measures.
6.5
After disposal of each flock, thorough cleaning of sheds
is done by removing all fixtures, equipment, litter dust,
debris followed by brooming and burning. The rat
holder cracks, worn out area are packed with cement.
6.6
Regular thorough cleaning of vegetation at least six feet
around the sheds and spraying of bleaching powder (1
part) with lime (3 parts) around the sheds for a
minimum of 3 feet is carried out.
6.7
Litter is not used as manure in the vicinity of the farms.
Yes
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Chapter – T 7
LOANS FOR MINOR IRRIGATION
1.0
Introduction
Minor Irrigation (MI) projects aim to exploit ground water resources (from
below the ground level or from over the surface like tanks, ponds, lakes and
rivers). Normally schemes comprising several types of works with capacities
to irrigate up to 2,000 hectares are categorized as Minor Irrigation schemes.
Before undertaking any MI availability of ground water and sustainability of
supply over a period of time should be checked. Availability depends mainly
on the hydrogeology of the area, the extent and duration of rainfall in the area
and the present level of exploitation of water resources in that area. The
ground water resources can be assessed in terms of 'safe yield', which is the
amount of water that can be extracted annually without producing any
adverse effect either by way of progressive decline of water levels or
deterioration in water quality. This implies that for the development of
ground water resources through institutional finance, availability of adequate
quantity of replenishable ground water resources in a defined area, say, block
or water basin and its proper assessment by an agency to the satisfaction of
bank are essential.
1.1
Components of MI Schemes
•
Construction of structures like digging of wells, boring, and tube wells,
etc.
•
Lifting the water to ground level through water lifting devices like
centrifugal, submersible, turbine and jet pumps
•
Distribution of water for irrigating the crops through lined channels or
underground pipelines.
1.1.1 Open (dug) wells: Open wells, also referred to as Dug well, is an open
earth excavation made till sustained quantity of water is obtained for
irrigation purposes. Open wells are recommended in areas where shallow
water table aquifer exists. An aquifer is a wet underground layer of waterbearing permeable rock or unconsolidated materials (gravel, sand, or silt)
from which groundwater can be usefully extracted using a water well. The
average depth of dug wells is generally about 30 to 50 feet. Open wells in
hard rock areas requiring blasting to a depth of, say more than 50 to 60 feet,
may not be remunerative in relation to the cost involved and the quantity of
water obtained.
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Though the size of the dug well varies depending upon the local practices, it
must be borne in mind that the recharge of the well is not directly
proportional to the size of the well. To get more yields, the depth of the well
can be increased instead of going in for a well of larger size. The depth of a
dug well should be such that at least 2 meter water column is available even
during the summer months. Similarly the well diameter should be such that a
minimum percentage of daily pumpage is provided as storage in the well.
While open wells can be dug in red soil areas or in areas which tend to be red
or alluvial, sinking of wells in black soils should be done after a careful study
of the water quality in the neighboring wells as the water obtained in such
well is usually saline and alkaline and no good crops can be raised after one
or two years of irrigation.
1.1.2 Dug cum bore wells : A dug cum bore well has the combination of
digging open well say up to a depth of 30 to 40feet and boring up to layer or
layers of aquifers to tap sufficient quantity of water. Boring can be done in the
existing wells of 30 to 40 feet depth also either vertically or horizontally
tapping the aquifers to augment the water supply. Dug-cum-bore-wells are
preferable in sand stone areas and in hard rock areas.
1.1.3 Tube wells: Tube wells are generally constructed by drilling. The tube
well may be a shallow tube well owned by an individual farmer and drilled
up to a depth of 50 meters or a deep tube well, drilled normally for the benefit
of a community, up to a depth of 200 to 300 meters. Shallow tube wells are
found suitable in sand stone areas. Loan for bore-wells should not be given as
a matter of course as the chances of failures are high especially in unsurveyed areas. In areas where copious water supply is available and where
the bore-wells that have already been dug are proving successful, fresh loan
for sinking bore-wells can be considered.
Filter points : In deltaic regions/alluvial tracts, where the aquifer is held in
coarse sand and gravel, the tube wells are shallow and consist of a well screen
and a short length of casing pipe. Such wells are called filter points.
1.2 Water Lifting Devices: Pumping systems, to derive optimum efficiency,
should have properly matched pump sets and delivery mechanism. Branches
should ensure that only a complete pumping system is financed. Submersible
pumps are not covered by the standard. Hence, branches should ensure that
only SLS certified submersible pumps are financed.
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1.2.1
A pumping system consists of the following components:
§ Pumps
Centrifugal Pump is one in which an impeller rotating inside a close fitting
case draws in the liquid at the centre and by virtue of centrifugal force,
throws out the liquid through an opening or openings at the side of the
casing. They are most common among the pumps because of their suitability
over a relatively wide range of operations. They are more suitable when the
pumping is required against a total head exceeding approximately 3 mts but
within 6-7 mts. They are simple in construction, easy to operate, low in initial
cost and produce a constant supply. They require priming by filling with
water up to the top of the casing to initiate pumping. Self-priming pumps are
also available.
Submersible Pump is a vertical turbine pump close coupled to a small
diameter submersible electric motor. The motor is fixed directly below the
intake of the pump. The pump element and motor operate while entirely
submersed. Submersible pump can be used in very deep tube wells where a
long shaft would not be practical. A submersible pump has no working part
above surface and hence found suitable in places where construction of pump
pits and pump house would be inconvenient. Unlike turbine pumps, its
installation is easy. It can be installed even in a well whose inside diameter is
as small as 10 cm. It does not require any priming or lubrication. But its use is
limited to places where electric power is available.
Turbine Pumps are adapted to high lifts and have high efficiency. A multistage vertical turbine pump can discharge up to 2000 litres/sec and develop
heads up to 500 mts. It can be driven with an electric motor or an engine. It is
more sturdy but costlier than a submersible pump of identical capacity and
head. Its installation is more difficult. Turbine pumps are specifically adapted
to tube wells where the pumping water level is below the practical limits of a
centrifugal pump.
Jet pumps are used to pump small to medium quantities of water of high
suction lifts. This pump can be installed in wells of as small as 5 cm inside
diameter. However its use for agricultural operation is limited due to low
discharge of water. A ready reckoner showing suitability of common types of
irrigation pumps to specific pumping applications is furnished.
1.2.2 Prime Mover : It can be either an electric motor or a diesel engine.
Selection of prime mover should be such that its power output matches the
BHP of the pump which is again decided based on the required discharge
(denoted as 'Q') and the head over which water is to be lifted (denoted as 'H').
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The BHP of the motor should always be about 20% more than the BHP of the
pump.
The branch manager/Rural Development Officer can be guided by the
following ready reckoner to cross-check whether the proposed electric
motor/oil engine is suitable for the field conditions of the farm
Q(lit/sec)
5
6
15
40
H(M)
5
0.64
0.77
1.92
5.15
10
1.20
1.54
3.85
10.29
15
1.93
1.32
5.79
15.44
20
2.57
8.00
7.72
20.58
1.2.3 Piping System : An efficient piping system would offer minimum
friction to flow of water. It is preferable to use Rigid Poly Vinyl Chloride
(RPVC) pipes in suction and delivery lines of centrifugal pumps. If
unavoidable, galvanized iron (GI) and Flux PVC pipes can also be used.
1.2.4 Foot Valve : The foot valve selected should offer the least friction while
at the same time keeping the velocity of water flow at the desired level. The
open area of the foot valve for entry of water should be about 2.5 times the
open area of the suction pipe to which it is attached.
1.3
Distribution of Water (Conveyance)
Line Channels have certain advantages over unlined channels
•
High seepage loss of around 20 to 40% of the water delivered in soils
like sand and sandy loams is avoided.
•
Free flow of water without any obstruction caused due to growth of
weeds is ensured.
•
Low maintenance cost
•
Water logging problem, caused by seepages is avoided.
•
For a given discharge of water, the gross sectional area of the lined
channels is lesser than the unlined channels and it renders availability
of more area for cultivation.
•
Concrete and brick or stone masonry are commonly used for lining
irrigation channels.
Underground Pipelines : They are mostly used to carry water to places/areas
of different levels which is not easily feasible through open channels. The
system offers many advantages over open channels. Since the pipes are laid
underground, there is no reduction in cultivable area and there is no
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interference with farming operations. They have long life and low
maintenance costs. Their placement below ground level prevents damage to
pipes and eliminates water loss by evaporation. They are ideally suited to
undulated topography to reach water to fragmented and isolated locations.
The underground pipes are made of different materials and the choice
depends on the conditions under which the pipe is to operate and the relative
cost factor. Concrete pipes are widely used as they are cost effective. Where
soils contain salts in quantity, the specific salt resistant materials should be
used. Vitrified clay tiles with joints are suitable almost under any kind of field
environments.
While non-RCC pipes are used in low pressure areas with operating head not
exceeding 6 metres, asbestos cement/PVC pipes are adopted to a wide range
of pressures and rigid PVC pipes adopted in higher pressures.
In case of sloppy lands, when the land slopes in nearly opposite direction, the
pipeline can be laid in the middle whereas when the slope is in one direction,
pipeline can be laid giving a spacing of 100 to 200 metres vertically.
High class pressure pipes should be used near the water source and low
pressure class pipes or non-pressure pipes towards the tail end.
Structure for underground pipelines : Specialized structures are used with
underground pipeline system to control the water and protect the pipeline
from damage. They are:
Pump stand : A vertical pipe extending above the ground and connected to
the underground pipeline is known as a pump stand. It permits dissipation of
high velocity stream and release of entrapped air before the water enters the
pipeline. Pump stands must extend upwards to a point where water will not
overflow except when unusual pressure occurs and must have sufficient
water column to create required pressure head to permit the discharge of
water through the outlet at any point of the farm
Gate Stand : Gate stands are provided to control the flow into laterals when
pipelines branch off in different directions. They also prevent high pressures
and act as surge chambers. Structurally, they are similar to pump stands but
are provided with slide gates or valves to control flow in the laterals.
Air vents : Air vents are vertical pipe structures to release air entrapped in the
pipeline and to prevent vacuum They are installed near the pump stand, at all
high points in the line, at sharp turns, at points where there is a downward
direction of more than 10 degree and at the end of the pipe line. Vents are
generally installed at every 150 metres on straight pipelines and uniform
slope.
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End Plug : End plug is provided where the line terminates. The function of an
end plug is to close a line and to absorb the pressure developed at the end of
the line on account of water hammer.
2.0
Appraisal
The Agriculture Officer should appraise the proposal and give his appraisal
report, which should consider several angles. Needless to add, the appraisal
exercise must be done after a field visit and through discussions with
borrowers and others as necessary. Some of the points to be considered are
given below.
Wells, bore wells and tube wells
Nature, type, texture of soils and soil-profile and their suitability to the
cropping pattern
Consider how many acres a similar well in the same area can irrigate and
compare the same with what is proposed. This can be done by discussing this
with other well owners in the area / with other borrowers in that area.
If the type of the well proposed is common and suitable for the area and
whether the depth and dimensions proposed are adequate
Whether the proposed well will have a minimum water depth of six feet even
during summer (to be ascertained by local enquiries and physical inspection
of nearby wells)
The quality of ground water in the area and its suitability for irrigation should
also be considered. If the proposed well is in a coastal area, no loan can be
sanctioned for minor irrigation investments within the minimum safe
distance of 10 kms. On the east coast and 2 kms. on the west coast (unless and
otherwise relaxed by State Ground Water Department on special cases).
While considering an application for well the branch should check if the
borrower has a pumping unit with adequate capacity without which water
from the proposed well cannot be utilized for irrigation. Availability of diesel
motor / electricity connection should also be verified.
Estimates submitted by the borrower and Engineer’s estimate (if submitted
additionally) should be thoroughly studied with regard to cost, size of the
well, depth of drilling, type of construction, etc. and also compared with
approved unit costs. Where the estimated cost exceeds unit costs, the branch
should carefully re-evaluate the proposed costs and satisfy itself that cost
additions are justified. Even when the branch accepts the higher cost
estimates of the borrower, the appraisal memo sent to sanctioning authorities
should carry a mention of this.
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In case of dug wells there are two major cost components. The first one is for
digging out the earth also known as cost of excavation. This cost is dependent
on the type of soil and requirement for fortification of side walls by bricks /
stones / other materials. The second component is the cost of carrying the
earth dug out and dumping the same in another place. This distance also
known as ‘lead’ will also affect the total cost of the project.
For tube wells, after the drilling is done, a casing will be inserted and the
space between boring and casing pipe will have to be filled with gravel.
Slotted pipe or strainer is placed against the water yielding formation
(aquifer) and for the remaining length blind casing pipe is provided. In the
case of cavity well, only casing pipe is used at the end of which a cavity is
formed from where water is pumped out.
Overall viability calculation of the project should take into account the net
incremental income after the project is up and running. To this end, the total
area brought under the irrigation, change in cropping pattern / numbers,
yield, and other aspects should also be considered.
Lifting Devices
Location of well and its expected command should be ascertained. Recouping
capacity of well also should be ascertained (the time likely to be taken for the
well to recoup its water level after a normal pumping session) from near by
well owners by enquiry.
Present as well as proposed cropping pattern and their adaptability in the
area should also be studied. Cross checking with nearby farmers and village
workers will help the branch ascertain this.
Suitability of the pump set to be bought taking into account water discharge,
head over which water is to be lifted, cropping pattern etc.,
The pump should be in a position to be operated at least for four / five hours
a day. Adequacy of water supply will be a major determining factor in this.
This can be observed in the nearby wells.
In case of electric pump sets, availability of power connection for agricultural
purposes is a pre-requisite (In case of submersible pump, power connection is
a must)
Based on the field condition, the branch should also examine if the particular
pump set (make / capacity) is the most cost effective from among various
alternatives available.
Estimates submitted by the borrower and Engineer’s estimate (if submitted
additionally) should be thoroughly studied and also compared with
approved unit costs. Where the estimated cost exceeds unit costs, the branch
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should carefully re-evaluate the proposed costs and satisfy itself that cost
additions are justified. Even when the branch accepts the higher cost
estimates of the borrower, the appraisal memo sent to sanctioning authorities
should carry a mention of this.
Overall viability calculation of the project should take into account the net
incremental income after the project
Conveyance Systems
While appraising conveyance systems, its adequacy and suitability should be
considered taking into account the water yield of the well and the water
lifting device(s) being used (with reference to its capacity, etc.)
Cropping pattern proposed and its adaptability based on the soil condition,
water Quality and yield should also be studied.
In case of fragmented / split land holdings, the pipeline may have to pass
through others’ lands or even poromboke (waste land), the written consent of
the owner clearance from respective local body is essential before the
proposal is considered favorably.
The length of pipeline proposed should neither be on the low side or
excessively generous. Normally a pipe line length of 60 meter per hectare is
considered adequate. Where the water source is situated at a distance from
the lands to be irrigated, there will be additional requirements for pipe line
which can be considered on a case to case basis.
The plan for laying pipeline with reference to the location of the well, farm
boundaries, land slope, etc.,
Overall viability calculation of the project should take into account the net
incremental income after the project is up and running. To this end, the total
area brought under the irrigation, change in cropping pattern / numbers,
yield, and other aspects should also be considered.
The branches may receive proposals for financing more than one component
of the MI. In such cases the appraisal should take note of inter dependencies
of one stage with the other and accordingly appraise the proposal. Even
where for example, the branch is considering only a proposal for water lifting
devices, it is important for the branch to satisfy itself about the following (in
addition to various aspects directly connected to financing the water lifting
devices):
•
Sufficient water resources are available within the farmer’s control to
effectively exploit the capacity of the proposed water lifting device.
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•
The water drawn can be economically distributed to the entire
command area and necessary channels (lined channels / pipe lines) are
already in place.
•
Where the farmer is spending on development of water source and /
or distribution channels from his resources it is important to study the
economic viability of the whole project. The incremental income should
be sufficient to generate a comfortable return for the farmer on his
investments besides enabling repayment of bank’s loans.
3.0
Micro irrigation
3.1
Drip irrigation
Increasing costs of water and consequent irrigation efficiency would be one of
the keys for survival of agriculture. A properly designed system can increase
yields from 50 - 100 per cent and repay it in 5 years
Drip irrigation system in the recent past has been gaining popularity for
efficient water use in crop cultivation. It is should be adopted in soils with a
low moisture holding capacity which requires small, frequent irrigations and
in highly erosive soils which require pressure irrigation system. This system is
also effective where steep slopes exist in the field and costly levelling of land
is to be avoided. Even in poorly drained soils and saline soils, drip irrigation
is highly suitable for crop cultivation. This system is also highly desirable in
high value crops.
Advantages of drip irrigation: In this system water is supplied through drips
directly to root zone uniformly in required quantities based on crop
requirement and hence wastage is minimized. It also enables in bringing more
area under irrigation for same quantity of water compared to other systems.
Another most important advantage is that nutrients can also be supplied to
the plants in required quantities at different stages of plant growth.
Adopting drip irrigation and fertigation (supplying nutrients to plants
through drips) also helps in realizing higher yields owing to optimum soil
moisture and nutrient conditions and elimination of physiological stress to
the plants.
Limitations of drip irrigation system: Some of the problems encountered
include clogging of system especially emitters (drippers), high investment
costs, risk of salinity in improperly designed system and requirement of high
skills for design, installation and operation
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Components of drip system
Various components that are used vary depending upon individual farm
needs. For instance components like fertiliser tank, water meter etc., are used
at the option of individual farm. However the main components and their
functions are as under:
Component
Function
Main line pipes
(HDPE/PVC)
Conveys water from source to field
Sub-main pipes (PVC)
Conveys water from main line pipe to laterals
Lateral pipes (LDPE)
Polythene pipe laid parallel to crop rows
Spagati pipe or drip lines
(Polythene)
Draws water from submains to plant. Can also act as
drippers if a loop is made
(Note: Diameter of these pipes should be based on desired discharge and distance to
which water is to be carried).
Drippers/emitters
Water drops from the small orifice drop by drop which
delivers 1.00 litre to 8 litres or more per hour fitted to the
drip lines. Number of drippers vary based on water
requirement of the crop, The following are some of the
drippers in use:
a) Orifice drippers (button type)
b) Long path drippers
i) Spiral drippers
ii) Internal spiral
c) Tube emitters
d) Pressure 'compensating drippers
e) Vortex emitters.
Plan for emitters based on peak water requirements at
different stages of crop, season etc.,
Sand/Screen filter
Filters impurities contained in water to minimise
clogging. It is the heart of the system. Saving money on
filter is a short sighted approach.
Fertiliser tank
To supply nutrients through drip system
Water meter
Water applied and to regulate water applied.
Pump
To pump with pressure, water from well or other source
into the system. Overhead tank can also be employed for
this purpose
Stakes/peg
To keep drippers/micro tubes in position.
Valves
To ensure proper water flow.
Pressure regulator
To regulate pressure at various points of the system.
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Hydraulics of drip irrigation systems
The water moves from water source by static pressure or through a pump to
mainline, from the mainline to sub main line or in small systems directly to
laterals, from sub main line to the lateral and then to the emitter. The emitters
distribute the irrigation water to the soil and the plants extract the water from
the soil.
1. Emitters: Emitters are devices which allow water to flow from the supply
to the soil. The hydraulic characteristics of the emitters determine the rate
of water flow through the emitter.
Emitter characteristics are:
a) Flow regime
b) Pressure dissipation
c) Lateral connection
d) Water distribution
e) Flow cross-section
f) Cleaning characteristics
g) Pressure compensation
h) Construction material
2. Drip irrigation lines: Flow in drip irrigation lines is hydraulically steady,
spatially varied pie flow with lateral outflows. The total discharge in a drip
irrigation line, lateral, sub main or main is decreasing with respect to the
length. of the line.
3. Calculation of water & ·irrigation requirements
Soil wetting:
The distribution pattern of soil water wetting resulting from trickle irrigation
call be very different from those resulting from conventional modes of
irrigation. In addition to generally higher frequency of application, water is
added at discrete points on the soil surface rather than the entire area.
In the design of drip irrigation the rooting pattern of the particular crop must
be taken into account. Differences 'in emitter spacing as well as irrigation
scheduling will occur according to the planting pattern' and crop
characteristics." For shallow-rooted crop, for example some vegetables, the
emitters should be placed close to soil surface and should irrigate frequently
for short periods. On the other hand, for a tree crop the rooting volume would
be more substantial and perhaps a less frequent irrigation should be in order.
Crop water requirement are usually expressed in units of water volume per
unit land area, (depth) per unit time.
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For calculating water requirement of crop under drip irrigation, the following
factors have to be worked out. The-loss of soil moisture is due to evaporation
from soil surface and transpiration from plants known as evapo transpiration
apart from leaching.
Class A pan evaporimeter is used to measure evaporation. It is worthwhile to
instal evaporitmeter in big farms: In other cases, this information can be
arrived at by any of the following methods:
•
Daily evaporation rates in a region available with local Government
departments can be a guide to the evaporation on farm.
In the absence of above information, the following guide can be used:
Type of weather
Cool humid
Cool dry
Warm humid
Warm dry
Hot humid
Hot dry
Evaporation / day (in mm)
2.5 - 3.8
3.8 - 5.1
3.8 - 5.1
5.1 – 6.3
5.1-7.6
7.6-11.5
However it would be safe to consider 10 mm evaporation rate and work out
water requirements.
a. Crop factor :
Loss of moisture due to evaporation varies with general climate, size of
plants, type of plants, spacing etc. Besides plants have a different water use
characters, a crop factor should be taken into consideration. Usually this can
be worked out by using "tensio meter" The tensiometer readings are recorded
at regular intervals along with the evaporation and rainfall measurements.
The desired readings should be in 10-20 KPA range. Watch the trend for a few
days.
3.2
Sprinkler system
Sprinkler irrigation has been in wide usage in different parts of the world,
attracting wide adoption in plantation crops in the hills in the last few years.
It helps to give supplemental irrigation in times of drought, and further helps
to distribute the available water efficiently. It also avoids the possibility of
excessive watering leading to the rise in subsoil water level and subsequently
to water logging. A sprinkler can apply irrigation at a rate which is less than
the infiltration rate of the soil thus eliminating runoff losses. Water soluble
fertilisers can also be applied uniformly to the plants along with irrigation
water. Hence, sprinkler irrigation is advantageous to one or more of the
following situations:
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•
Where the land is highly undulated with steep gradients.
•
Where the soils are light and sandy and the rate of percolation is excessive.
•
Where the profile of light soils is shallow with underlying hard and
compact impermeable strata which leads to the water- logging conditions
under flow irrigation.
•
Where the available water supply is scarce or inadequate so that the
economic use of water becomes imperative.
•
Where by any means the gravity irrigation is not feasible and intensity of
irrigation is lower.
There are many types of sprinkler systems available, but only the rotating or
revolving system is common, and that too the conventional small rotary
sprinkler. The boom type self-propelled can be used, but is advantageous
only for large sized holdings varying from 20 to 60 ha
With proper management and with only minor repairs, the expected life of
sprinkler irrigation system may be in the order of 15 to 20 years.
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Chapter – T 8
Fishery development loans
1.0
Introduction
A significant characteristic of the fishing industry in Sri Lanka is that it has
always been dominated by the private sector. Except for a handful of boats
owned by cooperative societies or by the very few companies, the fishing
boats and gear deployed in the industry are owned and operated by
thousands of individual fishers, family units or informal groups.
The fishing industry plays a major role in providing the animal protein so
important in the diet of the Sri Lankan population. According to the Food
Balance Sheets (Department of Census and Statistics), fish has consistently
contributed around 65 percent of the animal-based protein intake of the
population. Although religious and cultural biases and prejudices preclude
the consumption of animal flesh, fish is generally acceptable and hence
always in great demand.
Fishing has been the most important economic activity in the coastal areas of
the country and it is estimated that at present nearly 250 000 persons are
directly employed in the fishing industry, including the inland sector. In
addition, a further 100 000 persons are estimated to be employed in fisheryrelated economic activities such as boat building, fish net manufacture, ice
production, processing, trading and marketing, and in providing ancillary
services required by the industry, such as transport, engine maintenance,
shipwrighting, etc. It is estimated that there are about one million persons,
including the dependents of industry participants, who derive their
sustenance from the industry. Its contribution to Gross National Production
(GDP) has stood at around 2percent for the past few years.
In recent years, the fisheries sector has also emerged as an important source of
foreign exchange through the export of several items of high value fish and
fishery products, such as chilled and frozen tuna, and other marine products
such as shrimp, lobsters, shark fins and sea cucumber. Exports of fish and
fishery products was 13 680 t and valued US$ 94.3 million in 2004, while
imports of fish products (mostly dried and canned) amounted to 67 284 t,
valued at US$ 59.4 million. From an economic viewpoint, there is significant
scope for increasing the level of contribution from the sector through
increased output, exploiting the potential for value addition and import
substitution.
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The fisheries sector consists of three main subsectors, namely coastal, offshore
and deep sea, inland and aquaculture. These three subsectors employ around
250 000 active fishers and another 100 000 in support services. This workforce
represents a population of one million people.
2.0
Marine sub-sector
Marine fisheries are of considerable social and economic importance around
the entire 1 770 km of Sri Lanka's coastline. The Exclusive Economic Zone
(EEZ) covers 517 000 km2, of which some 27 800 km2 form a continental shelf.
The marine area from the shore to the edge of the continental shelf (the
average width of which is 22 km) is referred to as the coastal subsector. The
balance beyond the continental shelf and out to the 200 nm EEZ boundary is
considered the offshore and deep-sea subsector.
2.1
Catch profile
Total fish production in 2004 increased marginally by 0.5 percent over the
previous year. This was the combined outcome of inland fish and aquaculture
production increasing by 9.6 percent and marine fish production declining by
0.6 percent. Marine fish production contributed nearly 90 percent of the total
fish catch, of which the coastal fish catch was 60 percent. Even though the
offshore fish catch reported an increase of 9 percent, the coastal fish catch
declined by 6 percent, due to unfavourable weather conditions affecting
overall marine sector production. The aquaculture-based prawn industry has
had difficulties in recent years, causing heavy losses for investors.
2.2
Landing sites
Fishing activities take place around the entire coast of the country, with
landings made, prior to the disaster, at 12 fishery harbour centres, several
large and small anchorages and as many as 700 village-level sites. Some
brackish-water aquaculture (mainly shrimp farming, producing an estimated
6 000 t in 2003) occurs along the coast.
2.3
Fishing crafts
The marine fishing fleet consists mainly of small- to medium-sized craft,
owned and operated by private individuals. The total fishing fleet in 2004
consisted of 31 663 boats of diverse types, broadly classifiable into:
•
Non-motorized traditional craft;
•
Motorized traditional craft;
•
Fiberglass hulled boats of 6–7 m LOA;
•
Larger boats of about 3.5 t;
•
Offshore multi-day boats; and
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•
Beach seine craft.
Traditionally, fishing has been inshore using simple canoes with outriggers
and, despite development efforts spanning over 50 years, this type of boat still
makes up nearly half of the fleet. Some 2 percent of fishing boats are canoes
powered by outboard motors, and a further 3 percent are beach seine craft
without motors.
Larger, motorized “day boats” were introduced in the mid-1950s and consist
of two types of craft: 18-foot flat-bottomed fibreglass reinforced plastic boats
(FRP) with outboard motors (37%), and 3.5 t/28 ft FRP motorized boats (5%).
In the early 1980s, 59 ft motorized multi-day boats were introduced (5%).
Table 3 shows the development of the country's marine fishing fleet in recent
years.
3.0
Main resources
On the basis of resources studies carried out in the past, annual sustainable
yields from the coastal subsector have been estimated at 250 000 t, consisting
of 170 000 t of pelagic species and 80 000 t of demersal species. The actual
reported coastal fish production in 2004 was 154 470 t.
About 610 species of coastal fish have been reported from Sri Lankan waters,
of
which
the
more
common
species
caught
are Sardinella spp., Amyblygaster spp., Rastrelliger spp., Auxis thazard, Anchova
commersoni and Hirundichthys coromandelensis. Most of these species live near
the surface or high in the water column (pelagic species). These small pelagics
account for about 40 percent of the coastal fish catch. Species such
as Lethrinus spp., Trichurus spp., Caranx spp.,
species
of
skates
and
rays, Cynoglossus spp., Jojnius spp. and Tolithus spp. are bottom dwellers
(demersal species). In addition, there are various mid-water species.
Though there are no comprehensive resource studies available for offshore
and deep-sea areas, about 90 species of oceanic pelagic species of fish have
been reported from Sri Lankan offshore and deep-sea waters. Katsuwonus
pelamis and Thunnus albacares dominate the large pelagic catches. These are
migratory fish species and therefore fall under stocks shared with other
countries. Other important species are Scombcromorus commerson, Platypterus
spp., Telrapturus angustirosstis, T. audax, Makaira nigricaous, M. indica, Xiphius
gladius and Caryphaens hippurus. Moreover, it has been reported that about 60
species of sharks live in the oceanic waters off Sri Lanka. Some of the more
common shark species are Carchanius falciformis, C. longimanus, C.
malanopterus, Alopices pelagicus, Sphyrnee zygaena and S. leveni.
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About 215 demersal species have been reported from the oceanic waters
around Sri Lanka. The commercially important, larger species are L. lentjan, L.
nebulosis, Lutjanus spp., Pristipomoids spp. and Epinephelus spp
Some surveys have indicated that surface tuna schools are available in areas
offshore from the west, south and east coasts, with higher concentrations of
fish within the 60 to 70 km range from the shore. Skipjack and yellowfin tuna
have dominated the catches.
Preliminary results of some trial fishing have indicated an abundance of subsurface tuna resources within Sri Lanka's EEZ.
4.0
Fishery management
Current fisheries management and administration has developed from the
initial creation of a Department of Fisheries in 1940, under the Fisheries
Ordinance promulgated that year. However, it proved inadequate to address
the issues in the comparatively more complex fisheries industry that had
developed by the late 1970s, and new legislation was introduced: the Fisheries
and Aquatic Resources Act, No. 2 of 1996.
The main objectives of the Fisheries and Aquatic Resources Act are the
management, conservation, regulation and development of the fisheries and
aquatic resources of Sri Lanka.
Under Sections 31 and 32 of the Act, fisheries management areas and fisheries
management authorities have been introduced to manage the fisheries
resources of the country. By 2004, seven management areas had been declared
under the Act for the management of fisheries resources through community
participation.
In addition to the declaration of management areas and management
authorities, resource conservation and regulatory functions were also
identified and regulations introduced. Areas addressed included:
•
Registration of fishing craft Section 15 & 16 of the Act and
Regulations imposed by Gazette No. 109 dated 03.10.1980, No. 1055/13
dated 26.11.1998, and No. 948/24 dated 07.11.1996.
•
Fishing operation licences Sections 6–14 of the Act and Regulation
948/25 dated 07.11.1996.
•
Prohibition of destructive fishing practices and dynamiting of
fish Sections 27–29 of the Act.
•
Prohibition or Regulation of export and import of fish Section 30 of
the Act.
•
Declaration of closed and open seasons for fishing Section 34 of the
Act.
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•
Declaration of fishing reserves Sections 36–37 of the Act.
•
Aquaculture management licences Sections 39–43 of the Act.
In Sri Lanka, output control tools such as total allowable catch (TAC) limits,
individual transferable quotas (ITQs) or non-transferable quotas have not yet
been introduced.
5.0
Fish utilization
Traditionally, fish processing in Sri Lanka consisted of activities such as
drying and curing. Currently, the major means of fish preservation is the use
of ice. The quality of fish landings in the country is generally poor and
wastage is high, especially in catches of multi-day boats. About 25–30 percent
of the catch landed by these boats is of poor quality, as the fish holds of these
boats are not refrigerated.
These boats aim at quantity rather than quality, and sell the poorer quality or
spoiled fish to dried fish processors at a low price. Lack of knowledge
regarding improved fish handling and post-harvest practices has contributed
to the poor quality of fish and fishery products.
A concerted effort to introduce and adopt improved handling, storing,
transporting, processing and other related post-harvest practices is being
implemented by the Department of Fisheries. In addition to framing and
enforcing regulations on par with EU standards, education and capacitybuilding programmes are also being implemented for multi-day boat owners,
day-boat owners, processors, ice plant owners and other stakeholders.
6.0
Fish markets
Of the total fish landings of the country, about 95 percent is handled by the
private sector. About 70 percent of landings of fresh fish are transported to
urban markets. A small percentage (less than 3 percent) is handled by the
Ceylon Fisheries Corporation (CFC), a Government entity.
Although the Ceylon Fisheries Corporation was established with the aim of
offering competition to private fish traders and thereby ensuring better
producer prices for fish, the CFC was never able to compete fully with private
traders.
Fish purchased from local auctions by private traders are normally sent to the
Colombo wholesale fish market, where the retail traders purchase their
requirements for urban markets.
Export earnings in the fisheries sector have shown a steady growth during
recent years, although the contribution of this sector to overall external trade
still remains at about 2 percent. The country exports mainly fish (both wet
and frozen), shrimp, lobster, crab, sea cucumber and shark fins. The main
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markets are EU, China, Japan, Singapore and the United States of America.
The value of exports increased from US$ 36 million in 1995 to US$ 94 million
in 2004. The quantity exported increased from 7 126 t in 1995 to 13 681 t in
2004. (These figures include ornamental fish exports, the value of which was
US$ 7 million).
Shrimp is the major export commodity. It accounts for nearly 40 percent of
total export earnings. About 60 percent of the shrimp production comes from
aquaculture, and the balance from capture fisheries.
7.0
Appraisal of fishery development loan
The following important aspects need to be noted in appraisal :
7.1
Fishing zones
Generally marine fishing resource is divided into three operational zones i.e.,
in shore, off shore and deep sea fishing.
7.1.1 In shore fishing zone: The area from shore to 10 fathoms (1 fathom = 6
feet) depth is classified as inshore fishing zone. Mostly traditional boats such
as catamaran, dug - out canoe, plank built boats etc. operate in this area. This
sector generally contributes substantially to the total marine fish production.
7.1.2 Off shore fishing zone: After inshore fishing zone, the next important
zone is off shore fishing zone. The area from 10 fathoms to 40 fathoms depth
is considered as off shore area and fishing in this zone is done mostly by
mechanized boats.
7.1.3 Deep Sea fishing: The area currently being exploited is 40 fathoms
depth. The mechanized boats which are under operation in various states
generally range from 10 m in length and are made of wood. For exploitation
of fishery resources in Deep Sea, the operational range of the vessel
(endurance capacity) should be minimum of 20-30 days duration. Naturally
the vessel should have necessary facilities on board for preservation of fish,
storage of ice, fuel, freshwater and necessary amenities for the crew members.
The vessel, intended for deep sea fishing operations should therefore, be of a
large size, about 20-25 meters in length. Such vessels can be operated for
exploitation of Tuna fisheries by use of long lines and purse-seines. However,
the capital costs as well as operational costs of such vessels are very heavy.
The deep-sea vessels are constructed of steel and there is limited number of
boat building yards capable of building deep-sea vessels.
7.2
Fishing by mechanized boats
Mechanized boats are operated in inshore and off-shore area upto 60-80 kms
from the coast. The main types of mechanized boats operated generally are
Trawler, Gill netter, Purse-seiner etc. The size and type of mechanized boats
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depend on the particular fishery in the area and the type of fishing methods
to be employed. The mechanized boats contribute a substantially high portion
of total marine catch.
Marine engines used on wooden fishing boats are indigenously available.
Marine engines are normally supplied by engine manufacturers along with
stern consisting of stern tube, propeller shaft and propeller. Mostly the cost
quoted for the engine is inclusive of stern gear also.
While indicating the unit cost of mechanized boats, the breakup costs of hull,
marine engine (horse power to be indicated), fishing nets, deck equipment
(trawl, winch etc.) and other accessories like navigational lights and life
saving appliances should be given separately. The unit cost varies according
to the size of boats, horse-power of engine, type of fishing nets and deck
equipments.
Registration of mechanized boats is done by the Govt. authorities and this is
compulsory. Fishing boats (mechanized and non-mechanized), are registered
with the different departments under the various enactments. The boats
registered are given vessel registration certificates. The financing banks can
endorse their charge on these certificates as a part of security due deligence.
7.3
Fishing nets used in marine fishery
Fishing nets are made of synthetic monofilament or multifilament twine like
polythene and nylon. Even the traditional boats have now switched over to
synthetic twine from vegetable twine like cotton or hemp. Synthetic twine has
better fishing efficiency. The major types of nets used in marine fisheries are:
7.3.1 Gill Net : Gill nets are the most important traditional net, used to catch
different types of quality fishes like Pomfrets, Seer fish, Hilsa, Perches,
Lobsters, Prawns etc. The gear is a long wall of netting, laid across in sea
either on the surface, midwater or bottom. The mesh size and length depends
on species to be caught. When the fish tries to pass through the mesh opening,
it gets caught at the gills. Hence the name ‘Gill nets’. The upper margin/edge
of the netting is mounted on a rope called head rope and the lower margin is
mounted to rope called the foot rope. The head rope is provided with floats
and foot rope is provided with weights or sinkers. By adjusting the amount of
floats and weights, the net can be operated at desired depth.
7.3.2 Trawl Net : Trawl nets are conical shaped bag nets with wings. The nets
are dragged on the sea bed with the help of a boat to catch shrimp and other
demersal varieties of fish. The mouth of the net is kept open while dragging
by the use of a pair of otter boards attached to the wing.
7.3.3 Purse-seine Net: These are encircling nets which are operated to
surround a fish shoal. The principle employed in the net is to close the bottom
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of the net after circling shoal of fish thereby preventing the escape of fish
through the bottom. Closing of the bottom is effected by attaching a series of
rings to the foot rope through which, a line is passed. By pulling the line, the
rings get bunched up and the bottom gets closed. The closed structure of net
looks like purse, hence the name purse-seine. The rings are termed as purserings and the line is termed as purse-line. These nets are used to catch pelagic
fishes like Mackerel, Sardine and Tuna.
Fishing nets are made of synthetic mono-filament or multifilament twine like
polythene and nylon. They can either be manually fabricated or obtained
from net making plants. Cost of nets depend on the material used for
fabrication, as well as on their length, depth, mesh size, the floats and sinkers
used to rig them etc. Information on these aspects greatly helps to estimate
the cost of nets.
7.4
Area of operation
Area of operation of the boats should have enough fishery potential to
support the number and type of fishing boats proposed. The information on
fishery potential can be obtained from local fishery office. Duration of fishing
voyage depends on the location of fishing grounds from the base of
operational area. When the fishing grounds are far away from the base of
operation of boats, each fishing voyage may last for 3 to 4 days. In other cases,
the boats conduct daily fishing trips lasting 12-15 hours. The boats generally
can have a fishing period of about 200-250 days in a year.
The fish catch is landed either on the beach or on jetties. The fish is either sold
through auctions or given to fish trader at a negotiated price. The prawn catch
is sold to processing plants either directly or through the intermediaries. The
information on all these aspects may have to be collected from the operational
area for appraisal of marine fishery proposals.
Similarly for the proper handling of fish and efficient operation of fishing
boats the infrastructural facilities required are ice plants, cold storages,
transport vehicles (insulated or refrigerated vans), workshops or service
stations for repair of engines, boat repair yards, bunkering facilities for supply
of high-speed diesel oil etc. similarly facilities for distribution and marketing
of fish are also very important. While appraising a proposal, availability of
these facilities in the area or in its vicinity has to be carefully examined. If
some of the facilities are either not available or inadequate then it can
adversely affect the feasibility and viability of the proposal.
7.5
Processing
In order to ensure maximum use of fish in fresh condition there is need for
ice plant and cold storage facilities. It is desirable to establish large ice plants
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in important consumption and distribution centers and to connect the small
fishing villages by using insulated vans. A few fish meal plants and oil
extraction plants need also to be put up for proper utilization of large
resources of Sardines and Mackerels.
7.6
Marketing
Prime varieties of fish like pomfrets, seer etc. can be readily marketed either
as fresh fish or in frozen from. The main difficulty lies in the proper
utilization of low quality fish which is landed in large quantities, particularly
by the mechanized boats. Currently such varieties like dhoma, silver bellies
etc. are sun-dried. However, if these are converted into suitable by-products,
it will certainly fetch better monetary return to the boat operators, thereby
improving the economics of operation of the fishing boats. The diversified
products should cover items like fish sausages, fish kababas, fish cutlets,
breaded fish, fish fillets and other easy cooking and ready to serve food items.
The establishment of a chain of cold storages and frozen storage in the
domestic market may help to stabilize the prices of important varieties of fish
to the advantage of both the fishermen and the consuming public.
7.7
Transport
In order to enable the fish to reach the consumer in good condition proper
transport facilities in the form of refrigerated rail transport refrigerated and
insulated vans are considered essential. Whereas provision of rail transport
will be in the purview of the Govt. provision of refrigerated and insulated
vans for road transport of fresh fish can be provided by the co-operative and
private sectors.
7.8
Economics of Fishing Boats
7.8.1 Capital Investments: Includes the cost of fishing boat complete with
engine, nets, deck equipment and life saving appliances.
7.8.2 Recurring Expenditure: Estimates of operational costs should show
separately the cost of fuel, crew wages, maintenance cost of boat and engine,
cost of repairs of fishing nets, boat and engine insurance, port dues and
marketing commission if any for disposal of fish.
7.8.3 Operational Income: While working out the estimated income, it is
necessary to give estimates of fish catch, showing the probable quantities of
important varieties and the expected sale prices at the landing sites.
7.8.4 Repayment Period: Repayment period depends on the available
operational surplus. Capital investment on fishing boats depends on the size
of fishing boats and fishing methods employed. Considering the various
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types of fishing boats, repayment of loan in three to nine years is generally
possible.
In the case of integrated marine fishery proposals, apart from the fishing boat
component, unit economics for other items of development such as ice plants
and freezing plants may have to be indicated separately. The infrastructure
facilities created under an integrated proposal can cater to the requirements of
both fishing boats covered under the proposal as well as other boats operating
in the area.
This aspect has to be kept in mind while suggesting the capacities of ice plants
and freezing plants and working out the economics of such integrated units.
7.9
Technical aspects
The main aspects which are considered during technical appraisal of the
proposal are briefly outlined here. A brief description about the existing
activities concerning marine fisheries in the area should include information
on the following aspects:
•
Number of mechanized boats in operation
•
Number of non-mechanized boats in operation
•
Annual fish landing by mechanized and non-mechanized boats
•
Information on infrastructural facilities available in the area:
ü Landing, berthing and bunkering facilities
ü Ice and cold storage plants and their capacities
ü Freezing plants and frozen storage capacities
ü Working facilities for the repair and maintenance of marine
engines, boat building and net repair facilities
ü Supply of fishery requisites like fishing nets, fishing nets, fishing
twine, ropes, marine paints, etc.
The following information regarding mechanized boats is essential for
determining the capital cost of hull and engine
•
Size of boat
ü Over-all length (OAL)
ü Keel length
ü Breadth
ü Depth
•
Type of timber to be used
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•
Source of supply of boats
•
Details about deck equipment like winch, power take- off arrangement,
gallows, line huller etc.
•
Horse power and make of marine engine
Type of fishing nets to be used such as trawl nets, gill nets etc. while
proposing gill nets and purse-seine nets, specification of nets may be given.
The specifications should include information on length of net, depth of net,
mesh size, type of netting twine, floats, sinkers etc. In the case of trawl nets,
length head rope and number and size of meshes at the mouth should be
indicated.
7.9.1 Estimates of annual operational cost of mechanized boats : Estimates
should include
•
Cost of fuel and lubricants
•
Crew wages/share
•
Repairs to engine and hull
•
Insurance
•
Replacement of fishing nets
•
Port dues
•
Marketing commission
7.9.2 Estimates of annual income : The estimates should indicate composition
and quantity of fish catch which may include different varieties of prawn and
fish, expected to be caught by fishing vessels. The sale price may be estimated
on the average prices at landing centre for various varieties of prawn and fish.
7.10
Fisheries potential in the area
For this purpose year wise fish landing in the area for a period of 3-6 years
may be mentioned. This will help to indicate the general trend and
fluctuations, if any. Necessary information should be normally available from
the local office of Fisheries department. The data may prove useful to
determine whether there is sufficient scope to introduce additional fishing
boats in the area or not. The aspects that need to be reckoned are:
•
Locational advantages
•
Whether required power and water supply is available
•
Types and quantity of fish catch in the area will justify capacities of
processing plants
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•
The required machinery is available indigenously or imported
•
Arrangements envisaged for shipment of finished products either for
export or for domestic market are to be assessed.
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