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Chaff Cutter

  1. Product Description: Chaff cutter is an agricultural implement by which cattle fodder including straw is chopped so as to make the fodder easy to be swallowed by the animal. Chopping the fodder using the cutter enables the livestock to consume more feed which results in more milk or meat or drawing power.

 

  1. Potential Market: Though the Amhara Region has more than 20 million heads of cattle, sheep and goats, the farmers do not use chaff cutters for feeding their animals. The reason is that the use of the implement is not known in the Region and the product is not available. With 3.6 million farming families in the Region and with 20 million livestock, there will be a large market for chaff cutters if the use of the product is demonstrated widely to farmers. If we assume that only 10 percent of farming families will buy the product at the initial stage, demand will be 360,000 units. This is much larger than the economic size of a viable plant.

 

  1. Source of Raw Material:  Chaff cutter is mainly made from high carbon steel; and this will be imported.

 

  1. Process and Technology: The frame is cast in green sand moulds by cast iron, and the blades and handles are made of steel. The mould is made in sand and clay and molten CI is poured into it to make the main body of the tool. The axle and handle are separately made mostly from steel and assembled, main machinery required includes small cupola, motorized sand nuffer, CI mounding boxes, bricks constructed oven, foundry tools, CI and aluminum metal patterns.

 

  1. Estimated Investment:- For a plant that will produce about 900 units/month the estimated investment will be 

Ÿ   Building/ shade 200 m2 at Br 2000/m2=    400,000

Ÿ   Machinery                                                       300,000

Ÿ   Working Capital                                                300,000

                                                                               1,000,000

  1. Benefits:- improves livestock productivity, increases farmers benefits obtained from livestock.

 

  1. Location:- Any urban center preferred by the investor 
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