| Current Costs of Production are as follows: We will use a wholesale price of $30 pesos/kilo Costs per kilo of production: 60% Purina #2505 (25% protein) . -18 pesos/Kg.Biomass 4% Electricity.......................... -1.20 3% fixed labor costs ................ - .90 0.50% part-time labor ............... -.15 0.50 indirect expenses ............... -.15 ______________________________________ Subtotal expenses/Kg - $20.4 pesos/kg Currently costs = $68% of cost of production Gross sales @100% production capacity $120K/ mo - -$81,600. = $38,400 profit/mo 12 x $38,400.00MN = $460,800.00MN or $38,864 USD @$12.5MN /$1 USD |
| Phase I - Alternative Production Strategy Let´s introduce a combo of ranch grown worms (80% protein) mixed with Taiwan "clonado"* and/or Chaya**). Let´s be conservative/generous and not eliminate Purina 100% just yet. Let´s leave them 10% Let´s also add 2% labor for the worms. 10% Purina #2505 .................... - 3 pesos/Kg. 4% Electricity.......................... -1.20 5% fixed labor costs ................ - 1.50 0.50% part-time labor ............... -.15 0.50 indirect expenses ............... -.15 ______________________________________ Subtotal expenses/Kg - $6.3 Adjusted costs = .21% of gross sales Gross sales @100% production capacity $120K/ mo - $25,200.00 (21%) =$94,800 profit/mo x 12 mos =1,137,600 MN profit per year or $91,000.00 USD @ $12.5MN /$1 USD) |
| www.PlanetaVerdeMarAzul.org "Green Planet Blue Sea" The Official Website for Maya Neem Farms, Yucatan, Mexico A Model Neem Plantation in Progress for Profitable, Integrated, Sustainable and Ecologically Balanced Rural Development, Renewable Land, Sea and Water Use, and Resource Conservation Cutting the cost of Tilapia Farming with home grown fishing worms and cloned Taiwan grass from Cuba See also Okara Meal Soy-Based Feed Alternatives |
| This is a Green Investment! |
| Once the on-site food/worm production cycle on the ranch is in full operation, there will be no need to continue buying manufactured/imported supplements of any kind and as such profits will rise accordingly. To be on the safe side, I would suggest cutting out Purina´s remaining 10% while adding an additional 1-2% for labor as the scale of the worm/food production will have reached a scale grand enough to probably necessitate the extra, if minimal labor factor and/or use of a Bobcat tractor /eart mover to deal with the volume of material which will need moving and turning. The new or final production/profit cycle estimate would appear as follows: |
| Phase II - Alternative Production Strategy Let´s (first 2 mos) feed the Tilapia fingerlings worm flower. From month 2-6 medium to large adult fish will be fed whole or chopped fresh worms. 0$% Purina #2505 .................... - 0 pesos/Kg. 4% Electricity.......................... -1.20 6% fixed labor costs ................ - 1.80 0.50% part-time labor ............... - .15 0.50 indirect expenses ............... - .15 ______________________________________ Subtotal expenses/Kg - $3.3 Adjusted costs = .11% of gross sales Gross sales @100% production capacity $120K/ mo - $13,200.00 (11%) =$106,800.00 profit/mo x 12 mos =1,281,600.00 MN profit per year or $102,528.00 USD @ $12.5MN /$1 USD) |
| The first major advantage of the above, alternative scenario is that we have eliminated the need to pelletize the fish food, thus also eliminating at least 2-3 additional steps as well as additional materials which may or may not be feasibly produced on the ranch. The equipment to produce pellets from raw materials may run anywhere from $70,000.00 to $100,000 USD depending upon the source of the equipment and where it will be used, although it is likely already available in country. We in any case so far do not as yet have exact figures for this equipment if purchased in or imported to Mexico for local use. It appears obvious to us, nevertheless, that unless a full-scale commercial production operation was the intended goal, equipment in this price range could in no way be cost effective for a single individual grower or fish farm. If indeed pelletizing the raw materials for commercial scale marketing was the desired goal, the following materials, produced locally, could be high potential choices for additional ingredients. It should also be noted that in various combinations, these alternative feeds, especially with a worm or worm-flower base, should be considered as potential, high yield, low-cost substitutes for increasingly expensive, so-called "balanced" food supplements for larger animals including ruminants, mainly and expensively imported into Mexico from abroad, mainly the United States in fact. ALTERNATIVE ADMIXTURES: 1) The relatively "new" ...Clonado Taiwan feed grass from Cuba is a cross between standard Taiwan and sugar cane. It promises a number of advantages over the standard or common Taiwan: It offers as much as 18% vs 12% protein in the standard Taiwan. It grows faster, has larger and more leaves, and does not cause the fiber-glass type irritation to workers that the standard Taiwan is infamous for. Also, because of the cross with sugar cane, it reportedly contains considerably more carbohydrates although we still need to verify those numbers. Both types do well in hot, arid climates while retaining their nutritional value long after other pastoral grasses have gone dry. It may also be a logical assumption that since the Clonado starts with approximately 6% more protein than the standard Taiwan, that it´s nutritional value will endure even longer as the dry season overtakes the Yucatán between mid-March and mid to late June. In our case we will of course irrigate, as needed, which ever type of Taiwan as well as additional sources of silage such as sorghum and/or soy beans. To save money on irrigation, we should not only be able to produce enough silage during the rainy season for our own animals dry season needs but also have considerable amounts left over to sell to other ranchers during the dry season. WE have been told that irrigating and making/selling silage, even during the dry season, is cost effective and profitable. Since Tilapia are omnivores and ...IF...the intention is to pelletize the "home made" alternative food supplement, this version of Taiwan may show great promise due to it´s on site availability. 2) With even higher protein, mineral, and amino acid content than the Clonado, the soy based, Okara Meal may provide an even better alternative to whole worms or "worm Meal" (AKA in Spanish:Harina de Lombrice") in terms of fish food although, because the worms (Californiensis) offer double the protein contents of OKARA´s 37%, it may be prudent to study further, animal by potential animal (apart from fish) which combination will satisfy nutritional goals while achieving and maintaining the most cost effective levels of production. Please note that we are currently translating the scientific study "Harina de Lombrice" ("Worm Flower") into English. 3)Chaya (AKA: Mayan Tree Spinach) http://en.wikipedia.org/wiki/Chaya_(plant) May be another alternative additive worth pursuing on small scale farms in its native Yucatán . It is more complex/labor intensive to grow and harvest (if the end goal is fish food) than either of the first two alternatives but nutritionally and in terms of accessibility on individual small farms may nevertheless prove of value and utility. |