Cost and Profit Margins of Commercial Buffalo Dairy Farm in India

What is the Buffalo Dairy Farm Costs Income Margins: Buffalo Dairy Farm is very popular today. In this market, the number of new people is emerging. This is mainly due to cost-free income returns. Others are also establishing their own company as they see successful Buffalo Dairy Farmers. Everybody knows how to launch the dairy from Buffalo. It’s not a study of rockets. Yet most of them in this Buffalo Dairy Company does not understand the price and profit margins. In order to have a proper plan, one should know these specifics. That’s why we brought this data that will let you know about the Capital Investment and Profit Margins in Buffalo Dairy Commercial Farming.

Investment/Cost of Buffalo Dairy Farm:

Here we are going to give you a table. It will have all the costs that you will incur in this Buffalo Dairy Farming Business. Furthermore, check the below table for more information.

S. No.Inputs for DairyCost
1.Total area covered by 10 Buffaloes @ 500 sq.ft.Rs. 50,000
2.Construction of shed @200 sq.ft.Rs. 1,00,000
3.Cost of 10 Murrah Buffaloes on average @ 50,000/animalRs. 5,00,000
4.Office room and Store room constructionRs. 20,000
5.Equipment cost like Milking MachinesRs. 1,00,000
6.Feed costs for 10 Buffaloes + Cost of chaff cutterRs. 65,000
7.Bore-well and water tank construction costRs. 15,000
8.Electricity setupRs. 10,000
9.Sanitary measuresRs. 10,000
10.Total CostRs. 8,70,000

The Total Cost of Buffalo Dairy Farm is about Rs. 8,70,000 – 9,00,000.

In the above table, we have given Costs of 10 Murrah Buffalo Dairy Farm. By the information in the above table, you can get important information. While if you want to know the Income Margins of Buffalo Dairy Farm, then go to the next section.

Income Margins/Returns of Commercial Buffalo Dairy Farm:

In the chapter above, you have seen Buffalo Dairy Farm’s 10 Murrah Buffaloes Capital Costs. Now we’re going to give you the tax returns from Buffalo Dairy. For more details, please check the table below.

S. No.ParticularsNumbers
1.Milk Yield of 1 Buffalo/Day10 Liters
2.Milk Yield of 10 Buffaloes/Day100 Liters
3.Price of Milk/LiterRs. 30-40
4.Price of Milk/DayRs. 3000-4000
5.Price of Milk/MonthRs. 90,000 - 1,20,000
6.Price of Milk/Year (excluding dry period - 300 Days)Rs. 9,00,000 - 12,00,000
7.Income per Buffalo/YearRs. 90,000 - 1,20,000
8.Cost of 10 Buffalo Dairy FarmRs. 8,70,000 - 9,00,000
9.Total Net IncomeRs. 9,00,000 - 12,00,000

Total Net Income in Buffalo Dairy Farm is Rs. 9,00,000 – 12,00,000

You will profit from the recurring costs if you see the above table. In just the second year of starting the Buffalo Dairy Farm, you’ll get the investment. It’s all about the costs and revenue returns of the Buffalo Dairy Farm. While we hope you’ve got an idea of it.