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Animal feed

  1. Product Description: Assorted animal feed is used for feeding domestic animals like cattle, sheep and goats, poultry and hogs.  The feed is prepared by modern industrial production method and the main ingredients are mito, wheat bran, molasses, soybean grounds, fish meal and some vitamins.  Depending on the availability of other inputs, the above inputs could be substituted without affecting the quality of the animal feed.


  1. Rationale: With a livestock and poultry population of 31.9 million, the Amhara region has the second largest livestock resources of the country.  But due decreasing size of grazing land caused by the expansion of farmlands and lack of modern animal feeding system, the livestock population of the Region is increasing at a very decreasing rate and in some areas; there is an actual decline of the livestock population.  Besides, because of poor and inadequate feeding, the quality (meat, hides and skins) of the livestock resources of the Region has been declining during the past 25 years.  The traditional feeding of livestock by letting cattle and other domestic animals to wander in an ever decreasing grazing land is no longer practical; simply there is no enough grazing land for the animals.  If the Amhara Region has to maintain and further develop its livestock resources for domestic use and for export, the system of feeding the animals should be modernized and at the same time economical.  One option for providing feed for the animals is the establishment of a number of small to medium scale animal feed making factories in the major urban centers; and if infrastructures allow, in the major cattle growing areas of the Region.  The animal feed from the factories may not be the only source of feed for the animals; at least it can be used as supplementary food.


  1. Market Potential: Current livestock and poultry population of the Region is about 31.9 million.  If we assume that about 5 percent (1.6 million) of these animals will be provided with assorted animal feed (6 kg per day) total demand for animal feed will be 3.5 million tons or 35 million quintals per year.  This demand will justify the establishment of small scale animal feed making plants in the Region whose capacity will be 400 quintals per day working 300 days a year.


























Source: - Customs Authority.

  1. Source of Raw Material: All the raw materials, except molasses, for the factories can be obtained within the Region.  Molasses can be brought from the existing sugar factories or from the Region if these factories are established.


  1. Production Process  Technology: The main production stages are (a) mixing the raw materials (b) 1st stage crushing (c) assorting and measuring (d) Mixing (e) molasses mixing (f) fine crushing (g) pellet making (h) packaging.  Main required machinery and equipment include pre-mixer, 1st and 2nd crushers, pellet manufacturing equipment, boiler and other auxiliary equipment such as silos, tanks, packing machines, etc.  
  2. Estimated Investment: About Birr 700,000 for machinery and equipment and Birr 400,000 for buildings= Birr 1.2 million for one small scale plant.
  3. Economic Benefits: (a) reduces the pressure on the remaining grazing land thus decreasing the problem of soil erosion and destruction of vegetation (b) enhance the development of the livestock resources of the Regions (c) improves the quality of the livestock (d) increase foreign exchange income due to quality improvement (e) increase protein (meat, mutton, milk, cheese, etc) supply to the people of the Region which will improves the physical and mental well-being of the people.


  1. Location: Capitals of the 10- Administrative Zones.