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Project Proposal - 2010 Mr. R. M. Chandrasena Mr. D. V. S. De S. Gamage Project Identity Project title : Study on Market margin in Different Livestock Products in the Sri Lanka. Name and Address of submitting institution : Division of Farming Systems, Economics. Location where the project is to be conducted: Island Wide. Scientific Background of the Project and it’s justification Total agriculture sector contributes 11.9% to the GDP (CB 2007), This amounts to Rs. 418353.0 million Even though there is a high demand for livestock products during the past two decades its contribution to the GDP is only 1.2% The annual growth rate in agriculture is about 2.2% - 2.5%. Scientific Background of the Project and it’s justification The poultry is the only sector that is closer to this growth rate, but dairy sector is enjoying less than 1% growth during the past two decades, whereas, goat and swine is stagnant. Low market margins may contributed to this situation have Livestock Statistics 2006 2007 1.5 1.5 1.2 1.2 0.3 0.3 196.6 202.00 8.6 12.1 Cop Milk Rs/L 21.00 21.00 National Egg Production(M) 901.2 915.6 National Chicken Production(MT) 78.8 100.1 12755 12593 Mutton(MT) 355 368 Pork(MT) 754 1115 National Cattle Population(m) Neat Cattle(m) Buffalo(m) Milk Production(Milk-L) Milk Products(m/l) Beef(MT) Market Margin is defined as the price difference of the product between the price paid by consumer and received by producer. Market Margin = Consumer price – Producer price In the livestock products market margin is an important issue and directly related to the income for farmers producing livestock products especially at the small scale farming. Objective The aim of the study is to determine cost of livestock product produced by the livestock farmers and to estimate market margin in different livestock products. Also study is expected to provide meaningful parameters that would be of valuable use for the policy makers. Materials and Methods Data will be collection from - Producer - Consumers - Retailers - Middlemen - Whole Seller - Agent - Collector by using a face-to-face questionnaire each person will be select based on random sampling method. The size of the sample is determine availability of the resources. Project Duration Stud Location Sampling Data Collection Data Analysis - 24 Months Market margin analysis Island wide Random Sampling Method Informal and formal method Statistical Package for social science Proposal data of commencement of project } 2010.01.01 Outline of proposed activities in subsequent years (indicate annually) (Year 2010) Selection of the study area Identification of Target group Producer Consumer Retailer Middleman Whole Seller Agent Collector Degree of value addition Transportation Storage Brand promotion etc.. Data Collection Secondary Data Collection Informer discussion with key personal Development of questionnaire Pre testing questionnaire Training of enumerators Survey Expected output of the project The aim of the study is to determine cost of livestock product produced by the livestock farmers and to estimate market margin in different livestock products. Also study is expected to provide meaningful parameters that would be of valuable use for the policy makers. Technology transfer Give proposals for technology/information communication of project results to scientists, extension workers and other stakeholders : Indicate possible adaptive research need. Research findings will be published in journals. Research output will also be published in Veterinary Research News, which is a bulletin available for farmers as well as for extension workers in Sri Lanka. Expected budget for the Project 1(a) Salaries and Wages Working Time % Staff Category Estimate Project cost (Rs) Principle Investigator 60 239436.00 Co-Scientist 1 20 108000.00 1(b) required equipment – Nil Year 2010 1(c) Expendable Supplies Item Estimated Project cost Stationary 15000.00 Total 15000.00 1(d) Travel and Fuel requirement Description Destination Through out the Mode of Transport Government vehicle Purpose visit Data collection Return distance km/trip 450 No of visit/year 30 Total (6000/= per trip) 180000.00 1(e) other cost Item Technical Assistant 1 Other 1(f) Total Estimated project cost Rs. 325000.00 Estimate Project cost 120000.00 10000.00 Year 2011 1(c) Expendable Supplies Item Estimated Project cost Stationary 15000.00 Total 15000.00 1(d) Travel and Fuel requirement Description Destination Through out the Mode of Transport Government vehicle Purpose visit Data collection Return distance km/trip 450 No of visit/year 20 Total (6000/= per trip) 120000.00 1(e) other cost Item Technical Assistant 1 Other 1(f) Total Estimated project cost Rs. 265000.00 Estimate Project cost 120000.00 10000.00 Budget summary Year 1 (Rs.) Salary Year 2 (Rs.) 120000.00 120000.00 15000.00 15000.00 Travel & Fuel 180000.00 120000.00 Other Costs 10,000.00 10000.00 Total 325000.00 265000.00 Stationary Total Estimated Project Cost Rs. 590000.00