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Veterinary Medicine Production Plant


1.     Product Description: - There are many types of medicines used for livestock. In the Ethiopian context, the most commonly used medicines are albendazone, besenil, flukazol, strepto penicillin and torpidol. These medicines are used to cure different types of livestock diseases.


2.     Rationale:  In 2001 the livestock population of the country was estimated to be about 76 million of which 41 million (53 percent) were cattle. All the veterinary medicine requirements of the country, with some exceptions, are imported. Having the largest livestock population in Africa, one could have expected that the country has at least one veterinary medicine producing plant. But this is not the case. Probably one reason for having problems in the quality of our livestock a resource is the lack of dependable domestic supply of essential medicines for out livestock. The Amhara Region has over 28 percent of the livestock resources of the country. If we want to maximize the economic benefits of these resources, we should provide adequate feed, medicine and other modern animal husbandry practices to our livestock resources. In this case the Amhara Region alone needs one small size plant which formulates and produces essential veterinary medicines. The plant could also supply such medicines to other neighboring regions and countries.


3.     Market Potential: An average import of veterinary medicines between 1984 and 1994 was 4185 tons. Of this average import figure, the above essential medicines constitute about one percent. This means about 41.85 tons of these medicines was the average import volume between 1984 and 1994. Projected demand for these medicines in 2006 is more than 66 tons. Medicines are taken in milligrams and grams dosages. Hence 66 tons or 660 quintals or 66,000 kgs is a large quantity for a medicine producing plant. We all know that veterinary services with full supply of required medicines has not covered all parts of the country and the medicine needs of all domestic animals are not met adequately. Had veterinary services been expanded to cover all rural areas, the consumption and projected demand for veterinary medicines would have been much larger than the figures indicated above In other words, the projected demand is underestimated.


4.     Source of Raw Materials: all the raw materials or the ingredients will be imported.


  1. Process and Technology: The major operations of the plant are tablet making, syrup making and filling of capsules. The manufacturing of tablets consists of formulation, mixing and milling granulation, drying, lubrication, compression and coating. The syrup making consists of making consists of mixing the various ingredients in a jacketed kettle. The bottles to be used must be separated, washed, sterilized, dried and lab led. The modern die capsule machine is a self contained unit capable of continuously and automatically producing finished capsules from a supply of gelatin mass and filling material. There are about 17 pieces or sets of machinery and equipment to be used for the tables, capsule and injection liquid sections of the plant.


  1. Estimated Investment: For a plant which will produce 8.2 million pieces of different but basic veterinary medicines, the estimated will be:-

   Buildings 100 m2 at Birr 2000/ m2  = Birr      2,000,000

   Plant and machinery …………… = Birr     12,000,000

   Working capital ………………… = Birr         800,000        

         Total  = Birr     14,800,000       


  1. Benefits: Saves foreign exchanges, improves the quality of livestock resource and increases their number, increases income of farmers who raise livestock, stimulates the meat hides and skins, and leather industries, and introduces new skills and technology.


  1. Location: Bahir Dar