South Africa’s population continues to grow resulting in an increase in the demand for nutritious food including dairy products. Fresh milk, cheese, butter and yoghurt continue to rise in demand both in South Africa and in other countries as the middle class income grows. Therefore, setting up a dairy farm in South Africa is a very profitable venture. The dairy milk industry is the fourth largest agricultural industry in South Africa and plays an important role in the economy by providing food security and exports earnings. Local demand of milk is very high at over 2 million tonnes per annum.
Dairy Farming Business Plan
One of the most important steps you can take before you venture into this business is developing a dairy farming business plan. A business plan will help you outline all the strategic and operational plans that you can put in place in order to run a successful dairy farming business in South Africa. A well-researched business plan can even help you determine whether a business venture is worth pursuing in terms of the costs and projected income from that business. Apart from helping you obtain a business loan, a dairy farming business plan will help you think through all the steps that you need to take in addition to pushing you to thoroughly research the market and motivate you to conduct an industry assessment. Therefore, you must consider developing a business plan that clearly outlines your vision, goals, mission and time bound steps you need to take in order to achieve your goals. Writing a business plan may be intimidating at first but after having done enough research you will notice how effective and doable developing one is.
Before you start a dairy farming business in South Africa, there are some important decisions which you have to make. You have to decide on the size of your dairy farming business ie how many dairy cows you will have at your dairy farm. There are many different dairy cattle breeds, so you have to select which breed you will use, location of your business, and your target market. The size of your dairy farming business will depend on the amount of capital you have, and your target market. It’s important that you get a good dairy farming business plan before you start dairy farming business in South Africa.
Land for Dairy Farm
You require land in order for you to run a successful dairy farm business in South Africa. Important factors to consider when choosing land for a dairy farm in South Africa are : electricity availability, distance to market, good pasture, good road infrastructure and availability of good water supply. Good feed supply on your dairy farm is a must – your forage can be hay, grass or silage. The size of land you must have will depend on the number of dairy cattle you intend to keep.
Housing & Equipment for Dairy Farm
Good housing for your dairy cattle is a must for you to be successful in the dairy farming business. There are several different forms of dairy cattle housing. The right dairy housing design depends on the local climatic conditions, budgetary constraints and availability of bedding materials. Dairy housing that provide group bedding systems for the cattle are cheaper to build. On the other hand, the dairy housing which provide individual bedding stalls for dairy cattle are more expensive to build, though they have more advantages. Good housing should have sufficient space that allows the cattle to move freely and gives them easy access to water and feed. It should also provide light, fresh and clean air to the cattle. Dairy cattle housing can be : dairy barns, sheds, pens and open paddocks. Essential equipment for a dairy farm includes feeding equipment, drinking equipment, milking equipment, buckets and pails. The costs of housing and equipment should be included in your dairy farm business plan.
Dairy Cattle
Dairy cows and bulls are required to start the dairy farming business in South Africa. There are a variety of dairy cows breeds to choose from. The most common dairy cows breeds in South Africa includes Holstein-Friesland, Jersey, Guernsey, Ayrshire, Swiss, and Dairy Shorthorn. The right breed for dairy farming depends on the various factors such as weather conditions, available feed, the intended final milk product, calving ease, disease resistance, fertility and milk production capacity. Milk production in dairy cows only happens after giving birth. For breeding, you can either use bulls or artificial insemination, each option has its own advantages and disadvantages. The dairy farming business plans should include the costs of acquiring the dairy cattle.
Feed And Nutrition
Dairy cows require sufficient feed and water so as to produce high amount of quality milk. When it comes to feeding your dairy cows, you must consider high quality forage. For dairy cattle, green pasture is the most economic food source given its nutritional value and cost. You can consider hiring a nutritionist who can prepare the cattle’s feed based on health, milk production and costs. The health and quality of milk produced by the cows greatly depends on the quality of food the animals eat. Grazing is another food source that is cost effective but it requires large tracts of land. Supplementary feed for dairy cattle includes hay, silage, grains, protein supplements and commercial dairy feed. The costs of feed should be included in the dairy farming business plan.
Market
The demand for milk in South Africa is very high. The average demand of milk in South Africa is about 2.2 million tonnes per annum. The dairy milk sector generates about R16 billion annually at the producer level, and some of the milk is exported outside South Africa. Milk produced by dairy farms in South Africa is processed to produce liquid milk, yoghurt, cheese, butter and milk powder. Potential customers for a dairy farm include milk processors, retailers, organisations, individuals and the export market.
PRE-WRITTEN DAIRY FARMING BUSINESS PLAN (PDF, WORD AND EXCEL): COMPREHENSIVE VERSION, SHORT FUNDING/BANK LOAN VERSION AND AUTOMATED FINANCIAL STATEMENTS
For an in-depth analysis of the dairy farming business in South Africa, purchase our milk dairy business plan. We decided to introduce the business plans after noting that many South Africans were venturing into the dairy cow farming business without a full understanding of the industry, market, how to run the business, the risks involved, profitability of the business and the costs involved, leading to a high failure rate of their businesses.
Our business plan will make it easier for you to launch and run a dairy farming business successfully, fully knowing what you are going into, and what’s needed to succeed in the business. It will be easier to plan and budget as the dairy cow farming business plan will lay out all the costs involved in setting up and running the milk dairy farming business. The business plan is designed specifically for the South African market.
USES OF THE DAIRY COW FARMING BUSINESS PLAN (PDF, WORD AND EXCEL)
The milk dairy business plan can be used for many purposes including:
- Raising capital from investors/friends/relatives
- Applying for a bank loan
- Start-up guide to launch your dairy cattle farming business
- As a dairy farming project proposal
- Assessing profitability of the dairy farming business in South Africa
- Finding a business partner
- Assessing the initial start-up costs so that you know how much to save
- Manual for current business owners to help in business and strategy formulation
CONTENTS OF THE DAIRY FARMING BUSINESS PLAN (PDF, WORD AND EXCEL)
The business plan includes, but not limited to:
- Market Analysis
- Industry Analysis
- 5 Year Automated Financial Statements [ Income statements, cash flow statements, balance sheets, monthly cash flow projections (3 years monthly cash flow projections, the remaining two years annually),break even analysis, payback period analysis, start-up costs, financial graphs, revenue and expenses, Bank Loan Amortisation]
- Marketing Strategy
- Risk Analysis
- SWOT & PEST Analysis
- Operational Requirements
- Dairy cattle farming guide (Technical Details of how to feed and raise the dairy cattle)
- Operational Strategy
- Why some South Africans in the dairy farming business fail, so that you can avoid their mistakes
- Ways to raise capital to start your milk dairy farming business in South Africa
- Directory [Contact Details for South African suppliers of feeds, equipment, contacts of dairy farming training companies in South Africa, contacts of dairy farming organisations in South Africa]
The Dairy Farming Business Plan package consist of 4 files
- Dairy Farming Business Plan – PDF file (Comprehensive – 132 pages)
- Dairy Farming Business Plan – Editable Word File (Comprehensive – 132 pages)
- Dairy Farming Business Plan Funding Version – Editable Word File (Short version for applying for a loan – 53 pages)
- Dairy Farming Business Plan Automated Financial Statements – (Editable Excel file)
The financial statements are automated. This implies that you can change eg the number of cattle, price of milk etc, and all the other financial statements will automatically adjust to reflect the change.
GET THE DAIRY FARMING BUSINESS PLAN (PDF, WORD AND EXCEL) - R500 Only.
We decided to make the business plan affordable to anyone who would want to start the business, and the price for the pre-written business plan is only 500 Rand.
We have several payment methods which you can use.
Payment Method 1 (Visa card, Mastercard, Credit card, Debit Card)
Click Buy Now below to purchase. After you have purchased, you will instantly see the download link for the business plan package on the screen. We will also email you the download link. Get instant access to the business plan now!
If you want to purchase multiple business plans at once using Visa Card/Mastercard then click here: Business Plans Store
The business plan package is a zipped compressed file containing the PDF, Word and Excel documents. To open the package after downloading it, just right click, and select Extract All. If you have any problems in downloading and opening the files, email us on sales@bizbolts.co.za and we will assist you.
Payment Method 2 (Instant EFT - FNB, Absa, Standard Bank, Nedbank, CapitecBank, Investec, TymeBank and African Bank. )
Click Buy Now below to purchase. After you have purchased, you will instantly see the download link for the business plan package on the screen. We will also email you the download link. Get instant access to the business plan now!
If you want to purchase multiple business plans at once using Instant EFT then click here: Business Plans Store
The business plan package is a zipped compressed file containing the PDF, Word and Excel documents. To open the package after downloading it, just right click, and select Extract All. If you have any problems in downloading and opening the files, email us on sales@bizbolts.co.za and we will assist you.
Other Payment Methods
- Cash deposit into our FNB Company Bank Account
- EFT Transfer to our FNB Company Bank Account
Call/Whatsapp us on +27606334830 for the other payment methods. (Whatsapp us by clicking the link https://wa.me/27606334830). Email: sales@bizbolts.co.za .