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1.1 Background of The Study
1.1 Background of The Study
INTRODUCTION
1.1 Background of the study
The current study is an effort to study the status of fish production business in Nepalgunj
of Banke district. Broad objective of the study is to examine the functioning of fish
production business and level of success in Nepalgunj. To know economic status of fish
farming peoples background information has been collected along with the financial
information such as working capital required for the business, yearly turnover, profitability
of the business and challenges faced by the people in the Nepalgunj. At the same time
information is collected from customers also to know the preferences of customer and
spending of the customer. Overall study concluded that fish production business has
become a broad earner and economic growth source. And it is set to flourish in the coming
days as the interest of the people towards fish farming business.
Fish farming is an establishment to produces and sell verities of fish (Silver carp, Rohu,
Common carp, Grass carp, Naini, Big head carp) to full fill market demand of fish. The
demand for fresh fish is increasing day by day due to increased consciousness of people
towards their health and nutrition. Meeting the fish demand through capture fisheries and
importing may not be sustainable; therefore promoting and management of pond
aquaculture could be the only one alternative for the sustainability of this enterprise in
Banke district.
There is a great important of fish farming from an economic and a nutrition point of view.
Fish is the major source of animal protein for the people. The rapidly increasing the market
demand of fish & it's product it is important to study about fish farming for fulfill or led
market demand. According to fishery association of Nepal around 20 percent in domestic
& 65 percent in major cities import fish from outside of Nepal. In Nepal fish farming has
been gradually increasing but productivity is low due to various reason .That why we
should essential to conduct a research study about the fish production and its market value.
Fish farming is becoming one of the major sources of livelihood in Banke district.
According to the District Agricultural Development office, 695 farmers have taken to the
fish-farming business and 175 hectares of watershed area is being used for the purpose.
Though Banke has a 255-hectare watershed area for fish farming, only half of the land has
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been brought into use due to lack of irrigation facility. Bhawanipur, Raniyapur, Purani,
Kohalpur, Mahadevpuri, Radhapur, chisapani, Naubasta, Bagheshwori, Farmers of these
areas have formed local-level groups to get into commercial fish farming. Major fish
breeds being cultivated in the district are Silver carp, Rohu, Naini, Common carp, Big
head carp, Bhakur etc. Along with local market, currently, fish produced in the district is
marketed to Banke, Bardiya, Dang, Surkhet districts of the country.
Financial consideration
The business will be started worth Rs 3000000 |- Where as the total cost of
production was calculated by summing total variable cost (TVC) and total fixed cost
(TFC) incurred in the production process. The cost incurred for fingerlings, feed, energy
cum fuel, manure cum fertilizers, labor, Maintenance cost and other cost were considered
as variable cost. Whereas expenses on land rent, interest payment and depreciation of farm
tools and machineries were included under fixed cost.
Similarly, Net profit was calculated by deducting by total cost (TC) of production from
gross return
I.e. Net profit (Rs.) = Gross return (Rs.) – Total cost (Rs.)
Whereas,
TC (Rs.) = TFC (Rs.) + TVC (Rs.)
Gross return (Rs.) = QTY * Price per kg
LOCATION OF FARM
About researcher plan on fish farming location is nearly in kohalpur city which is centre
heart of bank district.
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1.2 Statement of problem
The study will be helpful to those who will interest in fish farming.
The result gives accurate data & information about fish farming.
This study will use full to make plan, policy, & structural frame work under
Aquacultures sectors
The result will be helpful to analysis market system of fish farming.
The result of this study will be useful to the whole fish farming sectors in Nepal
3
1.5 Literature review
Advertisement.
TECHNICAL KNOWLADGE
PRICE
FISH PRODUCT
FARMING
PROMOTION
PLACE
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A literature review is a text of a scholarly paper, which includes the current knowledge
including substantive findings, as well as theoretical and methodological contributions to a
particular topic. Literature reviews are secondary sources, and do not report new or
original experimental books. For preparing this field work report, the researcher uses
different books, journals and ideas which help to present clear objectives of the study.
Executive Summary:
It provides the name and nature of the venture. Current status and future trends in
the industry are presented. Intellectual property rights are described. The product is
described. Goals and potential of business are described.
Marketing Element:
It emphasizes that market exists, sales projections can be achieved, competition can
be faced, customer loyalty can be won and retained. It covers customer need and
their location, market size and trend, market mix strategy, price, place, promotion
etc.
Production Element:
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It describes how product will be manufactured. And it cover location of new
venture, Appropriateness, Technology, proximity to suppliers, labor supply & cost,
transportation costs etc.
Financial Element:
It demonstrates the financial viability of the venture. Projected cash flow statement,
income statement and balance sheet are presented. Break even analysis is also
done. Key financial ratios are presented. Cost controls and budgeting plans are
presented.
Management Element:
Effects of potential risks are assessed. They can be price cutting, unfavorable
industry trend, greater innovation costs, new advances in technology, higher
production cost and lead times in procurement.
It provides insights into plan about orderly transition of the venture. It deals with
management succession and investor exit strategies. Change management is also
considered in case the ownership of the venture changes.
Milestone Schedule:
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It provides realistic timetable for various key activities to be accomplished.
Deadlines are set for timely implementation of the venture.
Appendix:
It is provided at the end to give detailed back up information about the above
elements.
Good review papers on integrated aquaculture have been provided by Delmendo (1980)
and by Jhingran & Sharma (1980) (for India); they are added to this report as Annexes B
and C.
In China, aquaculture is integrated with livestock (pigs, ducks and chicken) and
agriculture, under their integrated rural development programmed. In this system,
pigs/ducks/chicken are raised on or near the ponds and the excreta are washed into the
ponds. The pond dikes are planted with groundnuts, vegetables, colza, sugarcane and/or
mulberry and the slopes of the ponds with maize and/or elephant grass. It was estimated
that integration resulted in a 30 to 40 percent increase in profits (ADCP, 1979). Figure 1
gives a schematic picture of the system.
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Figure 1 - Schematic picture of integration of aquaculture/agriculture /livestock
farming in China
(14) In duck-cum-fish culture experiments conducted in India with 100 ducks per hectare,
a fish yield of 4,523 kg/ha/year was obtained without the use of any supplementary fish
feeds or fertilization of the pond with inorganic fertilizers. This production is higher than
the yield of 4,290 kg/ha/year obtained in polyculture experiments with supplementary
feeding and fertilization (Jhingran & Sharma, 1978). The authors opined that 100 ducks
produce approximately 10,000 kg of (wet) manure over a 12 month period and concluded
that 100 to 150 ducks can give adequate fertilization of one hectare of water.
Wolforth (1978) reported a daily yield of 32 kg/ha (7.6t/ ha/240 days) of fish in ponds
receiving only duck droppings. Supplementary addition of chicken droppings (under
conditions of intensive fish culture, including aeration and pest control) increased the fish
yield by another 21 % and decreased the feed conversion rate by 0-4 units (Rappaport &
Sarig, 1978).
This study is mainly concerned with fish farming. Thus it doesn't provide
Information about other aquacultures species.
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This study conduct in only specific area so it doesn't covered over all fish farm of
Nepal.
The present study covers only the specific document. In outside & inside of Nepal.
The first step in preparation of this report is to design the framework of the research. The
task begins with the collection of necessary data and information concerning the study.
The data and information collected has been studied carefully and presented them
systematically and get them analyzed so as to meet the objective of the report. All data
provided has been thoroughly studied and them search design was planned.
survey and case study were used and took both a quantitative and a qualitative
dimension.
The goal of the descriptive study is to describe the relevant aspect of the
factor of interest to the research from an individual, organization or other
prospective.
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1.7.2 Source of data
Sample size:-
Selection of respondent: -
Selection of farmer
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Mean
Bar Diagram
The data obtained were presented in the master chart form. Secondly, tabulation of the data
& simple calculation of percentage were done according to the types of information
needed for the study. The table was designed for the sample. Lastly, contextual
interpretation of the obtained result was made.
CHAPTER II
DISCRIPTIVE ANALYSIS
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Maintenance 140000 6.36
Miscellaneous 65000 2.95
According to this table of the total cost, feed cost is found to be the largest cost item. It
incurs about 27 percent of the total cost. Feed cost is followed by the labor cost which is
20 percent of the total cost. The cost for the purchase of fingerlings was about 7 percent of
the total cost. Cost for maintenance, manure cum fertilizers, fuel cum energy, limestone
and others respectively occupy about 6, 3, 8, 4 and 2 percent of the total cost. The total
fixed costs of fish production per ha of pond area is Rs.460000 which is about 21 percent
of the total cost. The major headings under fixed costs are rental value of land, interest on
term loan and depreciation of tools which incur about 16, 3, 2 percent of the total cost,
respectively.
12
2000000
1800000
1600000
1400000
1200000
1000000
800000
600000
400000
200000
0
TVC TFC
13
Among three year break even analysis, the net profit in year 1 st was found to be Rs 800000
where as the gross return & total cost realized were Rs 3000000 & Rs 2200000
respectively. And similarly in year 2nd & 3rd maintain approximately RS 1000000 & Rs
1200000 profit respectively.
4500000
4000000
3500000
3000000
2500000
Gross return
Total cost
2000000
Net profit
1500000
1000000
500000
0
Year 1 Year 2 Year 3
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Fish pond design (Pic source wiring Library).
PART-I
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Respondent -customer
Sample size – 50
Location No of Percentage
Respondent
Kohalpur 14 28 %
Nepalgunj 18 36%
Chisapani 11 22%
Naubasta 7 14%
Total 50 100%
(source: Field survey 2019)
In this table most of the respondents choose Nepalgunj location for fish farming which is
36% out of 50 respondennts .Similarly Kohalur, chisapani, & Naubasta are choosen 28%,
22%, & 14% out of 50 respondents, Respectively.
25
20
15
10
0
KOhalpur Nepalgunj Chisapani Naubasta
Verities No of percentage
respondent
Silver carp 8 16%
Rohu 10 20%
Grass Carp 12 24%
Common 6 12%
carp
Big head 5 10%
carp
Naini 9 18%
Total 50 100%
(Source: Field survey 2019)
Field survey shows that most of the people like to consume Common carp fish. Out of 50
respondent 12 respondents rapidly consume Common carp And similarly decreasingly
Rohu, Silver carp, Naini, and Big head carp fishes are consume people, respectively
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12
10
6
Series 3
4
17
Rs 300 13 26%
Rs 350 25 50%
Rs 400 7 14%
Rs 450 5 10%
Total 50 100%
(Source: Field survey 2019)
In survey most of the people willing to pay Rs 350 per k.g for fish in retail market. And
almost 50 percent people affordable this price. Similarly Rs 300, Rs 400 and Rs 450 are 26
percent, 7 percent, and 5 percent people are willing to pay, respectively.
30
25
20
15
Column2
10
0
Rs 300 Rs 350 Rs 400 Rs 450
18
Others 15 30%
Total 50 100%
(Source: Field survey 2019)
Field survey shows that janjati/dalit mostly consume fish. This is almost 52 percent out of
50 respondents. And similarly others and Brahmin/chettri consume 30 percent and 18
percent out of 50 respondent, respectively.
30
25
20
15 Column2
10
0
Brahmin/Chettri Janajati/Dalit Others
Location No of percentage
respondent
Shop 21 42%
Street 29 58%
19
Total 50 100%
(Source: Field survey 2019)
Most of the people like to purchase fish from street. In survey 58 percent people purchases
fish from roadside where as 42% people purchases from shop, respectively.
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30
25
20
Series 3
15
10
0
Shop Street
PART – 2
Sample size – 10
20
No of ponds No of percentage
respondent
1 3 30%
2 5 50%
3 2 20%
Total 10 100%
(Source: Field survey 2019)
From survey shows that at most 2 ponds per katthas are effective for fish production.
Whereas similarly 3 and 2 respondent says that 1 pond and 2 pounds per kattha are
effective for fish farming, respectively.
3
Series 3
0
1 pond 2 ponds 3 ponds
21
Temperature (degrees-C) No of percentage
respondent
10-15 2 20%
16-20 5 50%
21-25 3 30%
Above 26 0 0%
Total 10 100%
(Source: Field survey 2019)
According to this figure 50% of the respondents say that relevance of water temperature
in ponds must be 16-20 degree-c. Similarly 20% & 30% of respondents says 10-15 & 21-25
degree-c is relevance of water temperature in pond, respectively.
4 Column2
0
15-Oct 16-20 21-25 Above 26
22
Internet 4 40%
TV 3 30%
News paper 3 30%
Total 10 100%
(Source: Field survey 2019)
Field survey shows that a 40% respondent says internet is effective marketing strategy.
Similarly 30% & 30% respondents says TV & news paper is effective marketing strategy,
respectively.
10
6
Respondents
5
0
Internet TV News paper
Technical No of percentage
Knowledge respondents
Strongly agree 2 20%
Agree 3 30%
23
Neutral 4 40%
Disagree 1 10%
Strongly disagree 0 0%
Total 10 100%
(Source: Field survey 2019)
Field survey shows that most of the respondents neutral 40% for Technical knowledge
about fish are necessary in fish farming. Similarly 20%, 30% & 10% respondents strongly
agree, agree and disagree for question. Respectively.
4.5
3.5
2.5
Column2
2
1.5
0.5
0
Strongly agree Agree Nutral Disagree Strongly agree
2.2.10 Daily food nutrition & supplements affect the size, quality and test of
fishes.
TABLE 12: Daily food nutrition & supplements affect the size, quality and test of fish
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Total 10 100%
(Source: Field survey 2019)
Survey shows that 60% people strongly agree for the question. Whereas 30% & 10%
respondents are agree & neutral for the question, respectively.
FIGURE 13: Daily food nutrition & supplements affect the size, quality & test of fish.
4 Column2
0
Strongly agree Agree Neutral Disagree strongly disagree
Many people consume & willing to pay for the fish & fisheries product.
Janjati and dalit mostly consume the fish in market.
Quality, price and Environment are the most important factor for the customer to
lead the customer towards the fish farm.
Above data analysis shows that the customers are agreeable thought most effective
promotion tools are Internet, TV and News paper.
The majority 40% of people neutral for technical knowledge is necessary in fish
farming.
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The majority of the respondent clearly shown that the food nutrition & supplement
affect the size, quality and test of fish.
The majority of the respondent shown that Nepalgunj is ideal location for fish
farming.
Most of the people willing to consume grass carp fish in market.
The majority of the respondent shown that pond size, water condition, structure and
geographical location are major factor in fish farming.
CHAPTER III
Fish farming is a aquaculture business start-up fish production and fulfill market demand.
Fish farm establishment will locate in Nepalgunj. It is conducted to produce variety of fish
to catch the people interest on aquaculture sector and fulfill the market demand of fish.
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The main plan of the business is to build a strong market position in the city, get
experience and build competitive climate in the area.
The farm intends provides freshly and variety of fish to market. The main aim of the farm
is to produce quality fish and grape people attention in fish farming. Now a day there is
highly increasing fish demand so fulfill the market demand is very challenges so trying to
meet the market demand is one of the major aim of the business.
Field survey shows that janajati/dalit are the people who consume more fish in market so
communicate and grape the attention of janajati/dalit community is marketing strategy.
And majority shown that most of the people willing to purchase fish from street so
maintain healthy relationship with them.
In fish farming there was needed well technical knowledge about fish, highly performing
equipment and labor so hire well recourses to increase more productivity to meet the
market demand.
3.2 Conclusion
Being a country of sufficient water resources with diverse agro-climatic zones and species
diversity, Nepal has great opportunity of growing different fish species from terai to hilly
region. The study was conducted among 10 fish farmers and 50 customers who were
randomly selected from different place of banke for conduct research.
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With the increasing demand for food fish, the decline in capture fisheries production, and
the exhaustion of mangrove areas available for fishpond expansion, aquaculture in the
banke district is heading towards intensification and the utilization of coastal waters for
fish farming. This shift from low density to high density culture is consequently leading to
an unprecedented rise in the demand for feeds more than that of fertilizers.
At present the supply of the majority of locally available feedstuffs is already limited and
the seasonal availability and occurrence of natural calamities compound this problem. This
situation is likely to worsen with the rapid growth of the poultry and livestock farming
sectors. Unless production of local feedstuffs is increased and its utilization made more
efficient, the growth of fish culture, as well as that of land-based animal farming, are
bound to be more and more dependent upon the use of imported raw materials.
Aquaculture specifically requires high protein feed ingredients, such as fish meal and
soybean oil meal, which have very little domestic production. The aquaculture industry
must work towards ways and means of efficiently managing and utilizing local feedstuff
resources, such as by improving processing methods, increasing digestibility and
nutritional value, extending shelf life and freshness, and by developing formulations
specific for each species, culture system, and culture environment.
In conclusion, it is hoped that the information presented in this research will promote the
greater and more effective use of locally available raw materials for feeds and fertilizers,
and at the same time reduce dependence on imported feedstuffs. It is also hoped that the
discussions will help provide insights to farmers in their adoption of technologies for
increasing productivity and profitability. This manuscript is a first step towards the
enormous task of rationalizing the use of the country’s limiting and abundant resources for
aquaculture development and food production. The author encourages the reader for
feedback and suggestions on how to improve future editions of this Atlas.
REFERENCES
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Annual report. (2013). Directorate of Fisheries Development (DoFD), Central
Fisheries `Building, Balaju, Kathmandu , Nepal.
Olagunju, F., Adesiyan, I., & Ezekiel, A. (2007). Economic viability of cat
fish production in Oyo state Nigeria. Journal of human ecology, 21 (2), 121-
124.
Olaoye, O., Ashley, S. D., Fakoya, E., Ikeweinwe, N., Alegbeleye, W.,
Ashaolu, F., et al. (2013). Assessment of socio-Economic analysis of fish
farming in Oyo state,
Penda, S. T., Umeh, J. C., & Unaji, G. P. (2013). Resource use efficiency
among fish farmers using earthen pond system in Benue state, Nigeria.
International journal of research in social sciences, 3 (1).
29
Rai, A. K., Clausen, J., & Simon, S. F. (2008). Potential development
interventions for fisheries and aquaculture in Nepal. Food and agriculture
organization of the united nations regional office for Asia and the pacific.
Bangkok: APFIC AD HOC PUBLICATION.
APENDIX
Questionnaires
PART-1
Sample size- 50
Respondents- customers
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[] Npalgunj [] Kohalpur [] Chisapani [] Naubasta
From which ethnicity belonging you. ( if u eat fish than only attain this)
[] Brahmin/ chettri [] Janajati/dalit [] Others
PART-2
Sample size-10
31
The relevance water temperature in ponds.
[] 10-15 degree-C [] 16-20 degree-C [] 21-25 degree-C [] above 26
Effective marketing & promotion strategy for increasing sales.
[] Internet [] TV [] Newspaper
Daily food nutrition & supplements affect the size, Quality & Test of fish.
[] Strongly agree [] Agree [] Neutral
[] Disagree [] strongly disagree
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33
34
35
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