I’m Samuel, an environmentalist, and entrepreneur from Nakuru. I want to start a modern pig farm on the outskirts of Nakuru to supply a gap in the pork market in Nakuru and other big towns in Kenya.
Budget Breakdown (approx)
This project has secured support from a partner who will fund it fully and own shares in the business . Samuel will update us over time with photos, videos and google map coordinates of the farm in case members want to visit.
Problem Statement
I love farming from the practical point of view in that, no matter who you are in society, you have to eat. My idea is to start a pig farm as a commercial pork production project. I choose the swine over other farm animals because it matures fast – can be slaughtered when as young as four months old. Because the swine is not kept in “every home” like cows or goats, the demand for pork outstrips the supply in many areas. Pigs also have a higher return on investment compared to other farm animals.
I believe I’m well suited to run a pig farm because I have received training from an Italian NGO based in Elburgon. The organization rears thousands of pigs at their facility – they will also be supplying me with my first stock of 2-month old piglets when you fund this project. Apart from skills, I also have some extra resources that will aid in the implementation of the project. These are:
- A well-serviced motorbike
- A saloon car
With a flexible means of transport, sourcing food for the pigs will be easier. On the outskirts of Nakuru east, where I plan to set up the pig farm, land is readily available and cheap to rent. From research, I have identified 50 by 100 plots I can rent at ksh3,000 a month.
There is a high probability that this project will succeed because the competition in that sector is limited. On the other hand, the demand in the market is high. Once the pigs mature, the buyers, from big-name processors such as Farmers Choice as well as local butcheries readily come calling.
Project Details
The project will target three primary markets:
- Large pork processors such as Farmers Choice
- Eateries & entertainment joints that serve pork in Nakuru
- Estate butcheries in Nakuru
With the diverse market choices, you can be assured that your money will finance a project with realistic chances of succeeding because there are sufficient buyers, and the products can fetch good prices. The training I have received will also ensure that I keep the animals healthy.
Value for Customers
With this pig farm project, I hope to produce high-quality pork. In the past, there have been reports of tainted pork in the market. Such a problem stems from the handling practices at the pig farms and the types of food fed to the pigs. With your funding, I can afford to purchase high quality feeds to cover the entire 8-month period I will rear the stock before selling them. Apart from the food, the pigs will also stay in standardized structures, with the best sanitary standards. For example, the sunning section will be sealed off with an insect net to keep off flies and other bugs from venturing into the pigsty where they can spread contamination.
Marketing Plan
Once the pigs mature, I will find customers through local networks such as speaking to the local butchers and entertainment joint owners. I will also inform the commercial pork processors. My goal will be to find a market that can buy in bulk but with a good unit price to maximize the return on investment. I might also pursue a different avenue such as taking the pigs to the slaughterhouse, then selling the meat per kilo, which can increase the return.
Pig Farm Project Cost Structure
My project is scalable because only a minimal percentage of the startup costs are fixed. For example, although my target is to start with 80 pigs, the number can scale down to as little as 20. That would reduce the food needed and the housing, which form a significant portion of the budget. On the other hand, the pig farm can scale up to even 150 pigs within the same location – we would just increase the housing and food. Apart from scaling the project, it is also possible to scale the sales – i.e., selling a few pigs every month rather than selling them all at once.
For the budgeted 80 pigs, the project can breakeven with the first sale at eight months at a market price of ksh30,000 per pig. This price is fair, considering they fetch as much as Ksh45,000.
Profit Margin
If I sell the pigs at eight months, for Ksh40,000 each, the expected operating profit from this project is Ksh900,000. The next round the profit will be higher because the costs of construction and other startup costs will not be there.
Aspect
What are we gauging?
Max Points
Maximum Points Available
Project Score
Points earned by this proposal
1. Prose
Available Points: 10%
This project Scored
10%
2. Investor Confidence Boost
Available Points: 15%
This project Scored
12%
3. Acceptable contingency budget
Available Points: 5%
This project Scored
5%
4. Plan B
Available Points: 10%
This project Scored
5%
5. Scalable
Available Points: 10%
This project Scored
10%
6. Standardized
Available Points: 10%
This project Scored
10%
7. Realistic
Available Points: 10%
This project Scored
10%
8. Return on Investment
Available Points: 10%
This project Scored
7%
9. Market
Available Points: 10%
This project Scored
10%
10. Intrinsic Value
Available Points: 10%
This project Scored
5%
TOTAL
84%
Total points project got out of a possible 100
To learn why this proposal got this score, read the detailed scorecard article. Remember, the scorecard evaluates the information in the proposal. The project initiator can improve the score by adding or changing information in the proposal.
Project Location
Implementation Updates
Photos, videos and other information on the implementation of this project will appear below
Update: Pigsty construction is underway..
Comments
Kindly i would love to visit this place and borrow a leaf from the project. Im from within Nakuru East. Tel 0772990330 paul