180208 nafri final draft_7 models of livestock commercialization
1. Northern Smallholder Livestock
Commercialization Project
ADB Loan No. 3198–LAO (SF) and IFAD Loan No. 2000001743
NAFRI: Final Draft
7 models of livestock commercialization
February 2018
Prepared by:
Mr. Soukan Keonouchanh
Head of Livestock Research Centre
(Namxouang)
Improved by LIC team
Mr. Phetsoulaphonh Choulatida
Mr. Khaothong Luangchandavong
Mr. Geoffrey Quartermaine Bastin
Mr. Gavin P. Varney
A user’s guide for Group Support Team (GST) use only
Vientiane Project Management Office (VPMO)
Vientiane, Lao PDR
2. Model 1: Cattle Fattening in the shelter
(Cut and carry system)
Good practices from:
• Khangpanieng village, Nonghet district, Xiengkhouang
3. Model in
brief
• The model of cattle fattening in the shelter
(cut and carry system) is an agricultural
intensive method
• The purpose of this model is to increase the
weight gain of animal as the time scheduled
• Type of cattle is a cross-bred (yellow cattle and
Red Shindi bull), Hmong farmers do best
performance for bull fighting festival
• Start to fatten from May to December( 3-6
month per round)
• Each family can do fattening animal of 3-5
heads per year
• Feed by utilizing improved forage (Ruzi,
Guinea, Napier) and the existing local feeds
Cattle fattening in the pen
for commercialization
Traders in district or
Vietnamese traders
4. Market
analysis
• The consumption of meat in domestic and
international neighbor countries is increasing
because of increasing population and income
of family.
• In 2016, people in Lao PDR needs cattle meat
of 26,490 kg /person/year and will increase
to 29,460 kg in 2017(increased 11.2%, data of
DLF) and 37,990 kg in 2020(increased 43.44%
compared to 2016)
• Most traders in the district come to buy, the
price is agreed by negotiation between
farmer and traders
• Some animal is slaughtered for district
market and some live animal are sold to
Vietnam of 80,000 heads per year through
Xiengkhouang border check point
5. Investment
analysis
• Stallholder farmers have basic knowledge on
cattle fattening that can be top up the
existing technology to become
commercialization
• In fact the cattle fattening in the shelter or on
the improved forage areas there also need to
invest something (5 hectares per 10 cattle)
• Investment will focus on developing forages
(land preparation, purchase seeds, fertilizer
and maintenance), growing supplementary
feed (cassava, maize, rice straws,…), building
shelter, labor and animal health
• Other equipment could be considered such
as water nipper, …
6. Technology
and capacity
of use
• At present, the cattle fattening is general traditional method, even
children, women can be able to implement because they have had
with the wisdom of hindsight and were trained DAFO and project
staff
• The NSLCP project was also provided feed seeds e.g. Ruzi, Guinea
and Napier those are growing well and content a lot of proteins(5-
15%) and very high yields(20-50 T/ha) which are higher yields than
natural grasses, feed for fattening requires 30 Kg/day/cattle.
• Out of these the project provided productive material for livestock
productions such as material for making silage and for
supplementary feeds for dry season
• The model of cattle fattening in the shelter (cut and carry system),
the purpose of this model is to increase the weight gain of animal
as the time scheduled
• Most fattening cattle were from their owner animal and
sometime they bought thin animal from other place during the
time of lack of feeds, age of up 5 years
• They start to fatten from May to December( 3-6 month per round),
that depended on the condition of animal
• Each family can do fattening animal of 3-5 heads per year
• Farmer spend time in the morning to cut and carry feeds for
animal from improved forages areas.
• The feeding is calculated to the body weight of animal(10-15%) or
farmer observe feeds of animal eating enough or not
• Farmer feed animal twice a day morning and evening, out of feeds
farmers give supplementary feeds such as maize(1 kg/head/day),
rice bran(1-2kg/head/day), 2 pumpkins/day and salt(3-4day/time).
• Right now, each LPMG member has improved forage area of 0,5 to
1 ha that is enough for feeding animal of 3-5 heads/year.
7. Flexibility to
climate change
and natural
disaster
• The climate in Nonghet district is cold
over year, average temperature is 20-
25 oC
• In the past 10 years, climate is big
change, especially in winter is very
cold and windy, the temperature is
under 5 oC caused animal died at least
100,000 heads that is impact to
national socio- economic development
• The cattle fattening in the shelter can
reduce the death of animal because
farmers can be able to take care
during cold weather, and also reduce
the conflict among community due to
animal damage crops.
8. Policy of
expanding
model
• Since 2015 the cattle fattening has been
well known for surrounding villages and
countrywide and many cross visits from
other farmers
• Nowadays the cattle fattening activities
have been disseminated to many other
provinces
• In parallel the technical improvement
should be linked to the planning of
investments for cattle fattening on the
improved forage
• Starting the fattening of calves with the
age of 2 or 3 years, and may be able to
sell animals from 3 to 6 heads/year
9. Benefit
analysis
CASE 1: Mr. Thongmai,
Nong village, Phaxay
district, Xiengkhouang
province
Tel: +856 (0) 20
23839967
10. Projection of
loan
investment for
LPMGs
• 2 years loan period for
rearing pigs, goats,
poultry, weaving, and
animal fattening
• 3 years loan for cow
rearing and selling caves
• Loan interest rate is 1%
per month in amount of
10 million Lao Kip, and
1.5% for more than 10
million up to 30 million
• A floating interest rate is
applicable for LPMGs
Yes
No
11. Projection of
loan
investment for
LPMGs
Ensuring loan pays back:
• Option1: Livestock alone
• Option2: Livestock integrating with cash crop, weaving
• Option3: Livestock productivity incretion
• Option4: Lower % of interest rate
• Option5: Offering higher price
• Option6: Remove labor cost will increase the profit
12. Selected
criteria for
LPMGs to use
this model
• GST will discuss during the
training on 12-26 February
2018 and insert info here
13. Model 2: Cattle Fattening in Pasture
Good practices from cattle fattening in natural pasture land of:
• Chomchieng village, Phonxay district, Luangprabang
14. Model in
brief
• The purpose of this model is to increase the weight
gain as the time scheduled but the increase of animal
weight gain was not met the expectation due to
animal health against FMD and HS and parasites did
not vaccine and de-worm regularly
• Type of cattle is a yellow cattle
• The duration of fattening is around 6 months
• This model is suitable and appropriate to farmers who
have large surface areas from 10 to 15 ha
• This model is used less labor, only went to check
animal 2 to 3 times a week by women or kids
• Cattle fattening in the improved forage areas by
utilizing improved forages(Ruzzi, Guinea, Nippier) and
the local existing feeds
Cattle fattening in the
improved forage areas at
household level for
commercialization
Sell inside &
outside the
province
Live trade
to Vietnam
& China
Traders /animal
collectors at diotriot
level
15. Market
analysis
• The requests of the market in cattle on
internal and external markets are high
due to the increase of the population
and family incomes.
• The sale of animals, as well as other
villages, depends on the domestic and
external markets.
• The fattening of productive animals are
sold on the local markets (no meat of
quality), and live animals in China, the
animals were sold by the estimate of
the weight and the two agree on the
prices, the prices on the domestic
market was lower than that of the
market in China, but in general price is
acceptable.
16. Investment
analysis
• The fattening of cattle on the model improved
forages are practical and simple technique and a
low investment.
• The investment is more to the improvement of
areas of fodder and fencing, that at the beginning
of 3 years and may use up to 10 years.
• The fattening of animals, recently for farmers
have combined with the traditional practice but it
is the technical basis to support the activities of
NSLCP, especially with the fattening of cattle of
high quality.
• In fact, in the two models for fattening, to the
shelter or in the natural pasture, farmers need to
invest something, for example, corn, cassava, and
others to quickly gain the weight and sell at high
prices, and the same time farmer must take care
of the animal as advised by the technical staff, for
example, de-worming and vaccination at the
time.
• In reality, the farmer can manage the flows to the
fattening of cattle during 5-6 months and shows
the profit of the fattening of livestock from
1,585,250 LAK/Head, and a greater advantage of
fattening in the shelter.
17. Technology
and capacity
of use
• The fattening of cattle on pasture was traditional method
for a long time ago to keep the livestock of the fence near
the rice fields and fed with natural pasture.
• This model is to produce for the sale of calves reared
together in the large herd, the northern farmers have
applied this model instead to keep in the shelter for the
fattening of cattle to reduce the burden of work(cut and
carry), the size of the areas of fodder are depended on the
number of animals,
• This model is suitable and appropriate to farmers who have
large surface areas from 10 to 15 ha, each year, must
develop in 5 ha of grass continuous up to three years, and
then in the year 4, the farmer begins to burn the year 1 plot
to make the grass young and growing better, and each year,
have to rotate to the 2nd, then to 3rd plot and so on. Feed
for fattening requires 30 Kg/day/cattle (forage intake).
• For the cattle fattening, farmer buy thin cattle from outside
village 10 heads per round starting to buy in between May
to November in every year.
• The duration of fattening is around 6 months.
• Animal health against FMD and HS and parasites did not
vaccine and de-worm regularly therefore the increase of
animal weight gain was not met the expectation.
• Any supplementary feeds were not received, only salt has
been given.
• This model is used less labor, only went to check animal 2 to
3 times a week by women or kids
18. Flexibility to
climate change
and natural
disaster
• Most of northern villages are located
at the top of the mountain, covered
by the fog and the cold, it is suitable
for animal feed in two seasons.
• Forage growing have been on fallow
land, some regions have a slope of
30%, which is risky for the erosion of
the soil and the grazing of animals.
• During the winter, this area has
never had a death of the animal to
freeze because the farmers of this
region have built shelters and when
it is cold the farmers making a fire
for warming animal
19. Policy of
expanding
model
• Under the NSLCP the administration for the
second phase was the implementation in 4
provinces and 12 districts.
• It will continue to expand the model of good
practices for the villages where are adapted
for the model and cooperate with the
Technical agencies (DAEC, PIU, IUDS, LPMG
and traders).
• In parallel the technical improvement should
be linked to the planning of investments for
cattle fattening on the improved forage.
• Starting the fattening of calves with the age
of 2 or 3 years, and may be able to sell
animals more than 10 head/year
21. Projection of
loan
investment for
LPMGs
• 2 years loan period for
rearing pigs, goats,
poultry, weaving, and
animal fattening
• 3 years loan for cow
rearing and selling caves
• Loan interest rate is 1%
per month in amount of
10 million Lao Kip, and
1.5% for more than 10
million up to 30 million
• A floating interest rate is
applicable for LPMGs
Yes
No
22. Projection of
loan
investment for
LPMGs
Ensuring loan pays back:
• Option1: Livestock alone
• Option2: Livestock integrating with cash crop, weaving
• Option3: Livestock productivity incretion
• Option4: Lower % of interest rate
• Option5: Offering higher price
• Option6: low price of thin cattle
• Option7: Remove labor cost will increase the profit
23. Selected
criteria for
LPMGs to use
this model
• GST will discuss during the
training on 12-26 February
2018 and insert info here
24. Model 3: Cows rearing & selling caves
Good practices from villages of:
• Nong village in Phaxay district, Xiengkhouang
• Sobsan village in Xiengkhor district, Houaphanh
• Viengmay village in Viengphoukha district, Luangnamtha
25. Model in
brief
• Cattle herd is a kind of live saving cash
for household
• The purpose of this model is to produce
caves for sale and it needs high
technology of breeding with good
selection of advanced farmer leader
• Type of cattle is cross bred of a yellow
cattle and red shindi,…
• Cattle were raised at individual pasture
land and fallows with fencing
• Forage plots (Ruzi, Guinea, Napier) will
manage properly
3 cows rearing at
household level and
sell caves
Cattle fatteners in
the district and
province
Sell caves at 4
years of age
26. Market
analysis
• High market demand on buying
caves for fattening but supply
side is very weak, it’s needed to
strengthen all actors involved
• This bottleneck will be an
opportunity for smallholder
farmers to raise cows and sell
caves to fatteners in district and
outside district
• Bull calf at 4 years of age is
marketable, and the price is
4,000,000 – 5,000,000 Lao
kip/calf
27. Investment
analysis
• It’s kind of cattle fattening on forage
plantation plots, this model applies
simple technology with low investment
• Most of investment goes to forage
building up and fencing in the first three
years of installation, and then we can
use as long as 10 years
• It’s also required to invest on
concentrated feeds in order to
guarantee well grow up and sell as a
good price
• All principles of animals husbandry
need to emphasize on de-worming
before putting on forage plots and
vaccine seasonally
28. Technology
and capacity
of use
• If the bulls were from pedigree cows, they grow
faster (similar to cross breeds, which exhibit hybrid
vigour)
• Cross-breeding technique is really high technology
for farmers to apply it, and need to be trained
regularly to advanced farmer leaders
• Bull calves can generate income for beef farmers.
Farmers, however, need good planning to manage
them. Intensive feeding is necessary for successful
beef production
• The production level, feed for reproduction requires
25 Kg/day/cattle as basic quantity of forage intake
• Farmers buy bull calves, then feed and fatten them
for slaughter
• Fatteners can sell them for slaughter at 18-24
months
29. Flexibility to
climate change
and natural
disaster
• In the north, forage crop grows on
slopped land in the hills where upland
rice took place before
• Some locations slop more than 30%
that is risky to soil erosion and land slice
may kill live animals
• In the cold season, farmers build simple
two floor cottage, the ground for
animals and making a fire for warming,
and second floor for farmers to look
after cattle at the night time
• Rice straws will keep as source of dry
roughage, and green roughage will have
summer fodder (Maize, cassava,…) and
winter folder (Ruzi grass,…)
30. Policy of
expanding
model
• Three villages in three provinces of LDP support this
model and well performed until now
• Scaling up to other district and province is on-going
• Therefore, the NSLCP will implement in 12 district
among four provinces in particular areas that suits
to this model and ensure voluntary approach from
smallholder farmers
• The model will apply participatory extension
approach through multi-stakeholder such as
concerned departments, provincial implementation
team district implementation team, farmers, and
livestock traders
• In parallel, integrate farmers into market chain in
order to assist farmers become livestock specialist,
farmers will build relationship with traders. In short
term they may painful and in long run they will be
successful as key player with market oriented
31. Benefit
analysis
CASE 1: Mr. Thongmai,
Nong village, Phaxay
district, Xiengkhouang
province
Tel: +856 (0) 20
23839967
32. Projection of
loan
investment for
LPMGs
• 2 years loan period for
rearing pigs, goats,
poultry, weaving, and
animal fattening
• 3 years loan for cow
rearing and selling caves
• Loan interest rate is 1%
per month in amount of
10 million Lao Kip, and
1.5% for more than 10
million up to 30 million
• A floating interest rate is
applicable for LPMGs
Yes
No
33. Projection of
loan
investment for
LPMGs
Ensuring loan pays back:
• Option1: Livestock alone
• Option2: Livestock integrating with cash crop, weaving
• Option3: Livestock productivity incretion
• Option4: Lower % of interest rate
• Option5: enlarge loan period at least 4 years instead of 3
• Option6: Offering higher price
• Option7: low price of thin cattle
• Option8: Remove labor cost will increase the profit
34. Selected
criteria for
LPMGs to use
this model
• GST will discuss during the
training on 12-26 February
2018 and insert info here
35. Model 4: Goats rearing & selling kids
Good practices from two villages:
• Sobsan village in Xiengkor district, Houaphanh
• Phouleth village in Viengphoukha district, Luangnamtha
36. Model in
brief
• Goat production for selling kids were supported and
funded by LDP from 2007-2014
• Farmers have potential and experiences in goat raising for
many year and the areas are suitable topography and
environment
• Each household has average 3-5 female goats and some
family has more than 20 female goats
• Goats were raised on the natural pasture and on the
improved forages
• The areas have been fenced to avoid damaging
neighboring crops
• After harvest, goats are free grazing in the rice fields
• Goat productions for selling kids model is one option to
generate income for farmers and at the same time farmers
can produce other agricultural products for selling.
Raising goats on pasture at
household level
Traders in district,
Local consumers,
Vietnamese traders
37. Market
analysis
• Recently local goat meat is market demanded
in domestic and external markets in
Vietnamese, every year Vietnam buy 30,000
goats from Laos.
• The price of local goat meat is higher than
crossbred goat meat in Vietnam(local goat
meat=135,000 Dong/kg, crossbred goat
meat=80,000 Dong/kg).
• The price of goat sold between Lao and
Vietnamese trader is 35, 000- 40,000 LAK /kg,
the price of goat in Vientiane is 45,000
LAK/kg.
• The price of male goat is higher than female
goat in Vietnam, therefore selecting the male
kid after the age of 3-4 months and fattening
are good opportunity for the domestic and
international markets.
38. Investment
analysis
• The model of female goat raising for selling kids on
the natural pasture and fed by supplementary
improved forages are practicing in countrywide.
• Investment for goat raising is lower investment than
raising cattle and buffalo, but on the contrary raise
goat get more impact because one female can give
birth twice a year(each time 2 kids).
• The investment is only for growing grasses and
making fence, and improving the technical
management, animal health, vaccination and so on
• Supplementary feeds such as maize, cassava and
trees plantation for additional sources of feeds by
making live fences (e.g. Acacia tree, Gliricidia
sepium)
• Cost analysis for goat raising investment for kids
during three years earn 1,389,500 Lao kip per
female goat or equivalent to 38,500 Lao kip per
month.
39. Technology
and capacity
of use
• Goat raising on natural pasture has been
practicing long time ago, they are keeping
animal close to paddy field or garden or
community land.
• If big herd of goats is easy to outbreak
diseases, especially kids and growing goat can
easily get diarrhea and FMD if they are not
vaccinated or treated properly, caused high
mortality (>50%). The weight of goat aged of
3 years is 30-35 kg, the weight gain is only 27-
32 g/day, lower than standard raising at village
level of 45-55 g/day.
• However the NSLCP will cooperate with PIUs
and DIUs to improve animal management
system, animal health and nutrition, especially
feed formulation.
• Goat fattening in shelter will also promote
technique in order to increase for better
income to smallholder farmers.
40. Flexibility to
climate change
and natural
disaster
• Goats are sensitive to climate change
especially raining season goats will
easily get diarrhea due to eating wet
leaves and grasses
• If rainfall takes many days, smallholder
farmers will put their goats in the
shelter by cut and carry leaves and
grasses but be careful that those leaves
and grasses have to dry properly before
giving to goats
• During cold weather and it’s foggy, do
not release goats from shelter in early
morning, waiting until sun rises up and
wet leaves and grasses become dry,
then we let goat grazing feely
41. Policy of
expanding
model
• LDP used to promote this
model at Namchili village,
Viengphoukha district,
Luangnamtha province during
2007-2014
• NSLCP realizes that this model
should promote in particular
areas where appropriate
• Kmu ethnicity show very well
performance in raising goat
43. Projection of
loan
investment for
LPMGs
• 2 years loan period for
rearing pigs, goats,
poultry, weaving, and
animal fattening
• 3 years loan for cow
rearing and selling caves
• Loan interest rate is 1%
per month in amount of
10 million Lao Kip, and
1.5% for more than 10
million up to 30 million
• A floating interest rate is
applicable for LPMGs
Yes
No
44. Projection of
loan
investment for
LPMGs
Ensuring loan pays back:
• Option1: Livestock alone
• Option2: Livestock integrating with cash crop, weaving
• Option3: Livestock productivity incretion
• Option4: Lower % of interest rate
• Option5: Offering higher price
• Option6: low price of thin cattle
• Option7: Remove labor cost will increase the profit
45. Selected
criteria for
LPMGs to use
this model
• GST will discuss during the
training on 12-26 February
2018 and insert info here
46. Model 5: Cross-bred sow product of
piglets for sale
Good practices from two villages:
• Viengmay village in Viengphoukha district, Luangnamtha
• Singphatthana village in Sing district, Luangnamtha
47. Model in
brief
• The model objective of pig raising of farmer is to
produce piglets and sell to other for fattening or to
Chinese traders.
• This model was supported and funded by LDP from
2007 to 2014
• The model of Crossbreed sow is rearing for producing
and selling piglets
• Some villages are still continuing raising 1-3 crossbred
sows (crossbreeding between native pig and Chinzi)
• Yearly each household can sell piglets of 12-14 heads,
and they can have supplementary income out of
agricultural activities.
Cross-breed parent stocks
(native breed + Chinzi)
Pig fatteners in the
district and outside
the district
Sell piglets
48. Market
analysis
• The objective of pig raising of farmer is to
produce piglets and sell to other for fattening
or to Chinese traders.
• Piglets are sold when they are age of two
months and 8-10 kg of weight, the price is of
450,000-500,000 LAK/head.
• The price is quite good compare to local
piglet.
• The price of piglet depended on the demand
of pig meat from the market.
• Generally the price of pig meat is varied
depended on season, especially during the
rainy season the price of pig meat is cheaper
because there are choice from natural food
sources.
49. Investment
analysis
• The model of cross-bred sow
product of piglets for sale to other
farmers is an option to generate an
income for the family and in the
same time can do other activities,
and less of investment compares to
invest for medium or large farms.
• This model can use family labor
(women or children), the feeds can
find from the nature such as banana
stems, maize, rice bran and others,
only buying commercial feeds for
adding protein.
• One sow can serve for 3 years with 5
litters (32-35piglets).
50. Technology
and capacity
of use
• Farmers have experiences in pig
raising for family and sell when they
need money.
• These villages were supported by the
LDP and they understand how take
care of pig such as animal
management, animal care and feed
formulations.
• Women is the key person who take
care of pig, they can do vaccination,
castration and treatment.
• Pig was fed with commercial feeds
and also mixing with local feeds.
51. Flexibility to
climate change
and natural
disaster
• Two villages raised pig in the
shelter with good standard but
close to the house affected to
the environment.
• The village has limited area for
expanding production.
• There was no animal death
caused by weather, during
winter farmer warm up piglets
by make fire close to shelter.
52. Policy of
expanding
model
• During the 5 year of NSLCP
implementation, the project will
support farmers at the target
villages and other villages
interested.
• As well as provincial and district
teams also need to improve the
weak points which are lacking
e.g. parent stock selections,
technical caring on lactating and
calving piglets to reduce the
mortality and to access to
microfinance.
54. Projection of
loan
investment for
LPMGs
• 2 years loan period for
rearing pigs, goats,
poultry, weaving, and
animal fattening
• 3 years loan for cow
rearing and selling caves
• Loan interest rate is 1%
per month in amount of
10 million Lao Kip, and
1.5% for more than 10
million up to 30 million
• A floating interest rate is
applicable for LPMGs
Yes
No
55. Projection of
loan
investment for
LPMGs
Ensuring loan pays back:
• Option1: Livestock alone
• Option2: Livestock integrating with cash crop, weaving
• Option3: Livestock productivity incretion
• Option4: Lower % of interest rate
• Option5: Offering higher price
• Option6: low price of feed
• Option7: Remove labor cost will increase the profit
56. Selected
criteria for
LPMGs to use
this model
• GST will discuss during the
training on 12-26 February
2018 and insert info here
57. Model 6: Exotic Pigs Fattening
Good practices from:
• Sobsan village in Xiengkor district, Houaphanh
58. Model in
brief
• The exotic pig fattening model is being developed
from experience in local pig and crossbred pig
fattening
• This model is developing quite well and responding
to the needs of local consumers
• The breeds and feeds are imported from Vietnam,
the price is cheaper compare to buying in the
province.
• For the energy feeds can find in the country such
as maize, rice bran and the waste of alcohol.
Farmers fatten
exotic pigs during 4
months
Sell pork at wet
markets of the
province
Traders ,
pig collectors ,
slaughterhouse
59. Market
analysis
• The pig for fattening, farmer
produces by them self, after
fattening for 4 months with
weight of 90 kg are sold out to
traders and some pig owners
slaughter by them self and sell in
the market.
• The price of lived animal is
22,000 LAK per kg, if compare to
other area, the price here is
higher than other because there
is a small town and suitable for
smallholder business of 5-10
heads/HH
60. Investment
analysis
• The model of exotic pig fattening for
commercialization at household level is an
alternative way for generating income and
less investment.
• The investment is only for shelter and buying
parent stocks.
• Energy feeds can find locally.
• For commercial feeds can buy from Vietnam
cheaper than buying in the province.
• For instance one household fattened pigs
three time a year, each time 10 pigs for 4
months and got benefit each time 3,000,000
LAK.
61. Technology
and capacity
of use
• Farmers have experience in local pig fattening for
family and some for selling.
• The intervention of LDP at this village, farmers
were trained by PIU and DIU and they could be
improved knowledge and skill on animal
management.
• The breeds that farmers are raising are sow (Race
white x Landrace) and bore is Durock breed to
produce meat better and less fat.
• The breeding is done naturally and farmers
understand well when should be bred for getting
more piglets per litter.
• Farmer understands the management of lactating
piglets, how to cut the umbilical cord, how to
inject iron vaccine and how to take care of piglets
during cold weather.
• Farmers understand how to feed pig of each
state, feeds for lactating piglets, and feeds for
weaning piglets and also for growing pigs
therefore the weight gain of pigs increased as
expected
62. Flexibility to
climate change
and natural
disaster
• Farmers fattened pig in shelter,
most shelter is located close to
the house and a long the river
that has effect to the
environment, especially animal
dung caused disease outbreak
for instance brain infection.
• The climate change is not
effective to farmers who raise pig
because Xiengkhor district is
located in the low land, the
climate is warm and during
winter farm can warm animal by
make fire.
63. Policy of
expanding
model
• During the project life, 5 years,
the NSLCP will expand the
model to potential villages and
other provinces.
• At the same time improving
the capacity of GSTs and
LPMGs can access to credits.
65. Projection of
loan
investment for
LPMGs
• 2 years loan period for
rearing pigs, goats,
poultry, weaving, and
animal fattening
• 3 years loan for cow
rearing and selling caves
• Loan interest rate is 1%
per month in amount of
10 million Lao Kip, and
1.5% for more than 10
million up to 30 million
• A floating interest rate is
applicable for LPMGs
Yes
No
66. Projection of
loan
investment for
LPMGs
Ensuring loan pays back:
• Option1: Livestock alone
• Option2: Livestock integrating with cash crop, weaving
• Option3: Livestock productivity incretion
• Option4: Lower % of interest rate
• Option5: Offering higher price
• Option6: low price of feed
• Option7: Remove labor cost will increase the profit
67. Selected
criteria for
LPMGs to use
this model
• GST will discuss during the
training on 12-26 February
2018 and insert info here
68. Model 7: Forage seed production for sale
Good practices from villages:
• Phonthong village cluster in Phonxay district, Luangprabang
• Chomchieng village in Phonxay district, Luangprabang
69. Model in
brief
• The model objective of forage seeds production for sale is to
increase income for farmers
• This model was supported and funded by LDP from 2007 to 2014,
and fast scaling up in 2015 in Luangprabang and Xiengkhouang
• The model is to produce seeds for other LPMGs who are rearing and
fattening cattle for beef industry in Laos and neighboring countries
• The model applies no tillage like lowland, most investment will focus
on cleaning, weeding, and fencing
• The model will take 5 years and yield is declined from year to year if
unintended for fertilizer application
• The contract farming will be applied for traders and producers
according to good practices in Phonxay district in Luangprabang
• At lest two household labors lead
Forage production
farmers (RuZi grass)
and sell seeds
Thailand
Traders
(contract farming)
70. Market
analysis
• Forage crop demands highly in each year in
the sector
• Strategic plan of livestock sector by 2020
targets at 20,000 hectares, meaning that
4,000 hectares will plant in each year, that
requires 50-60 tons of seeds
• In 2017, Lao PDR is able to produce 40-45
tons of seeds that covers 77% in total
• 30 % of forage seeds imported from
neighboring countries
• Phonxay district in Luangprabang firmly set
up 3 trader groups to collect and buy forage
seeds from farmers in form of “contract
farming model” at the price of 20,000 –
25,000 Lao kip per Kg of seeds
71. Investment
analysis
• One of the bottlenecks to increase livestock
production is the shortage of feed for cattle
fattening. In order to improve the shortage of
livestock feed in crop livestock production system,
it is important for farmers to integrate forage
production in the farming system
• For upland, this model applies no tillage like
lowland, most investment will focus on cleaning,
weeding, and fencing
• This model will take 5 years and yield is declined
from year to year if unintended for fertilizer
application
• Forage production has different utilities not only
seed production for sale. But, increased quantity
and quality of livestock feed need emphasis
particularly for those who have crossbred cows
• LDP farmers in Luangprabang selected as one of
all farmer forage seed producers and are
eventually found performing better for project
scaling up
• Choice of forage species that have high demand
in the market must be made, for instance Ruzi
grass is more preferred in the market
72. Technology
and capacity
of use
• Ruzi yield is 30-50 tons of green leaves per hectare, it values 7-10
% of protein intake, tolerance of animals step on during grazing,
and higher production capacity when compare to other forage
(350-600 Kgs/year it depends on quality of soil and seeds
collection technique)
• Growing technique of Ruzi grass is very simple as same as upland
rice since smallholder farmers already have this technique in basis
• Fallow land of upland rice farming will utilize to grow forage crops
by land clearing, burning
• Land preparation starts in March – April, and planting forage in
May – June it depends on rainfall in each year
• Planting method applies hole sticking and putting 4-5 seeds into
each hole, this planting methods use 15-20 kgs/hectare, plus 20
labours
• Presently, smallholder farmers are shifting by sowing seeds after
land clearing and burning in order to reduce labour shortage, this
sowing method will use 50 kgs of seeds per hectare but not so
much higher slopped land
• Weeding will do after Ruzi grass well grown, at least 3 times per
year, and Ruzi garss is ready to harvest in November – December
• Technical seeds harvesting material, plate and bowl will use to
collect seeds by shaking forage stems and threshing flowers 2
times per day (morning and evening), seeds will dry in the shed
room 3-5 days (do not expose directly to the sun) it depends on
ambiem air and moisture is not over 10%. Then cleaning and
sorting to remove dockage, and packing full grains and distributing
• A part from this, the NSLCP implementation will employ five steps
of (1) Mapping and Technical Assistance, (2) Training DAFO and
Technical Service Center (TSC) Staff, (3) Training Farmers, (4)
Forage Production and Procurement, (5) Distribution
73. Flexibility to
climate change
and natural
disaster
• Phonxay district is relatively cold
weather and foggy in round year
• It’s good location for planting any kind
of forage crops, even if in the dry
season grasses still grow green
• Forage crop can cut and carry for
livestock feeds even we harvest seeds
for sale
• In the past, some year there was miss
rainfall affected to yield harvested of
Guinea grass, since guinea grass is
flowering in September and harvest
seeds in October – November. But no
report on Ruzi grass and other legume
crops yet
74. Policy of
expanding
model
• Livestock Research Centre and Australia International
Agriculture Research Centre was joint effort in 1995 by
imported Ruzi grasses and conducted treatments at the
farmer demonstration plots in nationwide of Lao PDR
• In 2015, forage production scaled up to Parseng and
Viengkham district in Luangprabang. Fast expanding of the
project in Xiengkhouang such as Phaxay, Phoukouth, and
Mok district
• NSLCP, known as phase II of LDP, will support farmer
households to become commercial forage seed producers.
• This will increase the income of the seed producer
households, and improve the availability of forage seed in
the rural areas.
• The aim is to produce and distribute 20 tons of forage seed
and cuttings per year starting from project year two, which
will support livestock quality improvements through LPMG
Investments under section 2.1 LPMG Productive
Equipment and Materials and
• The implementation covers five steps as mentioned in PIM,
page 25
76. Projection of
loan
investment for
LPMGs
• 2 years loan period for
rearing pigs, goats,
poultry, weaving, and
animal fattening
• 3 years loan for cow
rearing and selling caves
• Loan interest rate is 1%
per month in amount of
10 million Lao Kip, and
1.5% for more than 10
million up to 30 million
• A floating interest rate is
applicable for LPMGs
Yes
No
77. Projection of
loan
investment for
LPMGs
Ensuring loan pays back:
• Option1: Livestock alone
• Option2: Livestock integrating with cash crop, weaving
• Option3: Livestock productivity incretion
• Option4: Lower % of interest rate
• Option5: Offering higher price
• Option6: Remove labor cost will increase the profit
78. Selected
criteria for
LPMGs to use
this model
• No any experience in livestock
husbandry
• At least 1 Hectare of forage plantation
plots (individual forage crop planting for
ruminants, it’s advantage)
• Land scape should be leveled as or not
more than 15% sloped land
• Moisture zone and high rainfall are
appreciate
• At lest two labors lead
• No any disturbance from animals or
locate near road is really nice
• If those areas have high demand of
forage crop and seeds that’s great
advantage
• Importantly, LPMGs adopt this model
voluntary