Skip to main content

The cattle business is one of the most profitable and promising businesses of all time. Of course, this is because the market demand for meat and milk continues to increase every year. Not only promising, the cattle business is also very easy to do by anyone, including young people, as proven by a young man from Lampung named Galuh Santoso who has been in the cattle business since he was 20 years old. Since graduating from high school until now, Galuh has been a cattle farmer for more than two years. Galuh started the cattle business with two female cows and now, Galuh has more than eight cows. She admits that the profit from the cattle farming can even be used to buy a vehicle like a motorcycle. Wow, very interesting, isn’t it? Who would have thought that this agribusiness field could be a promising mainstay to generate rupiah coffers. Well, for KH Pals who may also be interested in getting into the cattle business, you need to first understand and pay attention to the ins and outs of the world of animal husbandry, starting from the type of feed, how to care for, to the opportunities of the cattle business being run. Curious, right? Check out the following explanation for more information!

What are the Business Opportunities for Cattle in Indonesia?

The demand for beef in Indonesia is very high. For your information, the national demand for beef reaches 700,000 tons per year, while local cattle production is only 400,000 tons. So the rest? Yes, we have to import. Therefore, this can be a very promising business opportunity. Moreover, when approaching big days such as Eid al-Fitr, the demand for beef is very high, making the price expensive, reaching Rp120,000 per kilogram. Yes, although cattle farming is classified as a business that requires more capital than raising chickens, ducks or goats, but all of that is paid for with large profits. Not infrequently, cattle farmers can also expand into other businesses such as making processed meat factories, or becoming beef suppliers. Now, to see opportunities, profits, and support operational needs, KH Pals can also analyze long-term business projections as follows:

Initial Investment and Capital for a Cattle Business

Buy a whole cow Rp12.5 million x 5 = Rp62.5 million per year Rent land for the farm Rp7.5 million per year Make a cage: Rp7 million Livestock equipment Rp1.5 million Total initial capital required: IDR78.5 million

Operating Expenses

Additional food Rp17.5 thousand per day x 30 = Rp525 thousand Concentrate Rp100 thousand per day x 30 = Rp3 million Vaccine Rp15 thousand per day x 30 = Rp450 thousand Medicine Rp25 thousand per day x 30 = Rp750 thousand Vitamins Rp22.5 thousand per day x 30 = Rp675 thousand Operational costs (water, electricity) Rp1.1 million Livestock marriage Rp150 thousand Other costs Rp250 thousand Total monthly costs incurred: Rp6.9 million Initial capital: IDR 78.5 million + IDR 6.9 million = IDR 85.4 million

Monthly Income

Cattle are developed over a period of 6 to 12 months, and can even take up to three years, depending on the breed of cattle. Assuming the cattle breeding process is six months, the income that can be achieved is as follows: Price of cattle after breeding Rp27 million x 5 = Rp135 million Cow dung 25 kg per day x 30 x 5 cows = 3,750 kg Estimated cow dung Rp2,250 x 3,750 kg = Rp8,437,500 Total income Rp135,000,000 + Rp8,437,500 = Rp142,437,500 Profit result Rp142,437,500 – Rp78,500,000 = Rp64,937,500 The estimation applies to a farm of five cows. The more cows that are farmed, the greater the profit will be.

Tips for Successfully Starting a Cattle Business

After knowing the opportunities and estimated profits, the next thing KH pals learn is tips for starting a cattle business.

Find a Large Empty Area

Basically, cows are large animals. Although this animal is not active, but to be able to start cattle farming activities, make sure you prepare a large enough farm land. The size of the land you need will greatly affect the number of cows and farms you want to build. If you want the farm to continue to grow, it would be better to look for land that has a large empty area so that you can increase the farm area when the business grows in the future.

Select Cattle Breed

The next tip is to determine what type of cattle your KH friend will breed. The types of cattle include:

  • Ongole cattle have the advantage of being able to adapt to tropical climates and their development is quite slow, reaching 4-5 years.
  • Limosin cattle, has a fairly large size and is suitable as a type of beef or broiler cattle.
  • Brahman cattle, which have large bodies and relatively fast growth.
  • Madurese cattle, although slow to grow, are profitable from a business perspective.
  • Bali cattle are quite adaptable and have a soft meat texture.

Choose the Best Cattle Breeds

After determining the breed of cattle, the next tip is to select suitable breeds of cattle. Of course, cattle that have the best pedigree have marks on their calves, ears, and the condition of every inch of their body. KH friends can find out how the characteristics of the superior seeds of the type of cattle you choose. If the cow has bright and clean eyes, no slimy nose, then you can be sure that it does not have respiratory problems. If you find a cow with clean skin and fur without any shedding, then it is a sign that the cow is not infected or exposed to harmful substances. It is also a good idea to check the rectum for digestive problems.

Provide Balanced Feed

Good and superior cattle breeds will be meaningless if not accompanied by balanced feeding. The purpose of feeding cattle is to encourage rapid growth and development. That way, fat and quality cattle can be produced so that they have a high selling price.

Include with Quality Care

Balanced feeding must be supported by thorough care of the cattle. This care aims to prevent diseases that can reduce the quality of the cow itself. Examples of cattle care include regular vaccination and deworming.

Maintaining Cattle Husbandry

In the beginning, it was mentioned that cow dung can also bring profit, which can be processed into compost and sold. That way, in addition to the cage being clean, KH Friend can also be more profitable. In addition to ensuring the maintenance of the cage so that it is free from cow dung, KH pals should also check the drinking place regularly. If it is dirty or empty, immediately replace it and fill it with a new one. Those are some successful tips for starting a cattle business so that the results are good and profitable. Basically, this cattle business does bring great benefits to the perpetrators. It’s just that, hard work and consistency are needed so that this business can run optimally. Well, if your cattle business is already growing, then there is nothing wrong with establishing a PT business entity. That way, your business will be better protected while benefiting if you have fulfilled business legality from the start.

ALSO READ: Easy and Low Capital, These 6 Livestock Business Ideas are a Must Try!

If not, your cattle business may be considered illegal because there is no clear license for the business. Of course KH Friend doesn’t want that to happen, right?

KH Contact

For KH friends who want or are currently in the cattle business, but are still confused about what to do, you can consult with Kontrak Hukum. With KH, you don’t need to worry about taking care of your cattle business because we will help starting from the consultation process, business establishment, fulfillment of business legality, financial arrangements (capital), to the establishment of business entities. No need to worry, because all services available at Kontrak Hukum are reliable and affordable! So it is very suitable for business people or young people who are just starting their business. For more information, please visit this page. Or if you still have other questions, you can contact us at Tanya KH, as well as via direct message (DM) to Instagram social media @kontrakhukum.

Mariska

Resident legal marketer and blog writer, passionate about helping SME to grow and contribute to the greater economy.

Konsul Cabang Surabaya
Konsul Gratis