Are you planning to set up a Feedmill
Everyday we receive phone calls form some people want to start a feedmill. Many of them
do not know detail about a feedmill or it’s operation. We try our best to reply them. It is better
to discuss clearly with any consultant or some one who have expertise in feedmill. There
are many things need to be considered before you make an order. Here we are giving some
basic information. It is just for your idea only. It is possible to start a small feedmill plant but
you must ensure the economics of the project. If investment is not viable, better no to do.
Land requirement:
Capacity of a feedmill:
Investment:
Poultry Feedmill: 30,000,000.00 will be with minimum capacity and maximum investment depends on capacity
Sinking Fish Feedmill: 30,000,000.00 will be with minimum capacity and maximum investment depends on capacity
Floating fish Feedmill: 70,000,000.00 will be with minimum capacity and maximum investment depends on capacity
The above cost includes the following:
1. Generator set for power back up
2. Sub-Station and Electrification
3. Inner electrification: fan, lighting, cables
Risk factor:
Suggession:
There is no specific formula of land requirement to set up a feed mill. It depends on various aspects like capacity of the feed
plant, type of feed plant, ware house storage capacity, farm-based residential facility, approximate daily inword and outword
trucks or other transport, other nacessary infrastructures, future expansion planning, etc. However, it is better to decide land
requirement which is good enough for all structures, truck scales, inword and outbound transportation parking and movement,
etc. A land from 2.0 acres to 5.0 acres is an idea. Less than this can be used if there is available parking or truck waiting area
out side of the premise. If more, there is no problem, the extra land can be used for landscaping to make a nice working
environment.
Investment is depends on many items related to your decision, such as land, technology, construction quality, machinery
quality, management, etc. However, the approximate investment will be as follows:
4. Etc.
If feed quality is good, marketing is strong, service to farmers is state of art, good cooperation with farmers, dealers, in that in
investment will be profitable and pay back is good. But, if feed quality differs based on raw materials cost, week marketing or
less service to farmenrs, then better not to proceed in to feed business.
Please consider all aspect, research your market, look next 15-20 years and take your decision. Also please discuss with your
consultant, and move forward.
It is also depends on your planning. You should have a market survey and based on that you can decide the capacity or type of
feed mill. There are different type of feed mill plant such as poultry pellet feed, layer course feed, cattle feed suppliment,
sinking fish feed, floating fish feed, shrimp feed, TPR feed (cattle feed), etc.
Based on your survey and feed type, you should decide the capacity of the feed mill. Please look at 15-20 years and decide
your capacity or future expansion possibility. If you do not do that, may be in future expansion will not be possible or would be
hard to do that.
Capacity of a feedmill should be considered hourly basis. You can start from 2-3 MT/h, 3-4 MT/h, 5-7 MT/h, 10-12 MT/h, 20-22
MT/h, 30-32 MT/h or more.
You may have a single line production or double lines even three lines production. You can also combine two different
technology together like sinking fish feed and floating fish feed. Or, Poultry pellet feed and course feed (known as Mash feed).
Even you can go for both poultry and fish feed line. However, it is not suggested that you make poultry or fish or cattle feed in
sale line which may cause cross-contaminations. But, in our observation most of the plants are initially started in that way and
when they have a good market, at that time they seperate all items in different plants.
Land cost: Depends on your land and location. Imported machinery, local machinery, civil works and other cost will be
approximately as follows:
NOTES: Please note, if the feedmill is too small, it is not commercially viable. In our observation less than 5-6 tph poultry feed
mill or sinking fish feed mill is not a profitable investment. Same with floating fish feed mill. Less than 3.0 tph is not any more
viable. Therefore, the above idea price will be much more if you consider minimum viable size. But the above prices is ok to let
you know minimum investment. You have to excercise and survey which capacity will suit for your company. Based on that,
you can decide your plant capacity.
Any question, please email us at: info@cknfeeds.com, or visit us: House 8, Road 14 (New), Dhanmondi, Dhaka
