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Running Head: INTRODUCING SHEEP SHEARING MACHINES TO NEPAL

Introducing Electric Sheep Shearing Machines to Nepalese Farms


Megan Norrlinger
0893797
AGR*1110
Due November 29, 2016

INTRODUCING SHEEP SHEARING MACHINES TO NEPAL


Introduction
Nepal is a small landlocked country located in South Asia, which shares its borders with
India and China. As of 2016, there is an approximate population of 29 million people, and the
three dominate religions are Hindu (81.3 %), Buddhism (9%), and Muslim (4%) (CIA, 2016).
The average household income in Nepal is $859.85 CAD (70 017.58 NPR) (Chapagain, T.,
2016), with 25.2% of the population living below the poverty line (CIA, 2016). The literacy rate
in Nepal is a total of approximately 63%, with 76.4% of males being literate, and only 53.1% of
Nepalese females being literate (CIA, 2016).
The country itself is divided into three main geographical regions: Mountain, Hills, and
Terai. The Terai region is best suited for the production of grain, while in comparison, the Hills
and Mountain regions are better suited for fruits, vegetables, and livestock (Chapagain, 2016). In
the Hills and Mountain regions, there is minimal suitable land for crop production compared to
the Terai region, therefore farmers depend on livestock production and sales as an income source
(Ghimire, 1992). With livestock production being such an important aspect of the agricultural
industry in Nepal, technological advancements and innovations in this industry have the
possibility to be very beneficial to the farmers, and the countrys economy.
Export Potential to Nepal
In Nepal, sheep and wool production plays a large role in the agricultural industry.
Raising sheep is ideal for farmers with limited resources, as it does not require a large monetary
investment compared to large ruminants, and it has no social, religious or cultural taboos
(Ghimire, 1992). In 2000, it was indicated that Nepal has 0.6 to 0.9 million sheep (Gavigan,
2000). The majority of the sheep population can be found in the Mountain and Hills regions.

INTRODUCING SHEEP SHEARING MACHINES TO NEPAL


Mountain
Hills
Terai
Total
Population
366 000
402 000
124 000
892 000
Percent
41%
45.1%
13.9%
100 %
(Ghimire, 1992) Data from this table shows the division of sheep population in the three regions
of Nepal. 86.1% of the population are raised in the Mountain and Hills region combined,
compared to only 13.9% in the Terai region.
These sheep provide a meat source, transport in the mountains, and manure for
fertilizers in addition to the wool they produce (Wilson, 1997). While the wool produced is often
exported to other countries, the meat is used as a protein source in Nepal (Gavigan, 2000).
Therefore, it can be seen that as livestock, sheep are an important asset to the farming
community. Farmers in Nepal end to use traditional tools to clip sheep, such as sickles, scissors,
and khukuri (Gorkha knife), all pictured below, with the most popular tool being the local knife.

Sickle (From: https://geolt14.wordpress.com/2012/05/03/artifact-the-sickle/)

INTRODUCING SHEEP SHEARING MACHINES TO NEPAL

Shears (From: http://www.groworganic.com/sheep-shears.html)

Khukuri (From: http://www.gurkhaskukri.com/category.php?id=29)

The shearing process needs two people, and often takes 2-4 hours (Gavigan, 2000). The
amount of time required can be dramatically decreased with the introduction of electric clippers.
With proper instruction, and after a learning curve, shearing times for one sheep can take less
than 10 minutes. In addition, a fairly large portion of farmers claimed that the lack of proper
shearing equipment meant that they had to leave a fair amount of wool on the sheep to protect

INTRODUCING SHEEP SHEARING MACHINES TO NEPAL


them from serious skin cuts (Gavigan, 2000). By using electric shears that are designed to be
utilized on sheep, the farmers will be able to get a closer, more precise clip, providing an
increased yield with a decreased chance of creating skin lesions. By decreasing shearing times,
farmers may be inclined to increase their herd size, which would in turn increase yield,
increasing the farmers profit. With an increased herd, in addition to increased wool production,
there would be more meat produced, as well as a larger amount of manure available for fertilizer,
aiding in crop production as well.
Product Information
Electric sheep shearing machines are the modern equivalent to older shearing devices
such as knives and scissor shears. These machines consist of clippers with combs and cutter
blades attached to a motor, which, when connected to an electric circuit, move together, and are
able to cut through the fleece of the sheep. Compared to more traditional methods, the use of
sheep shearing machines decrease the amount of time needed for shearing each animal, and also
allows a closer clip, as there is a lower chance of cutting through the skin by mistake. These
machines, such as the Oster Shearmaster Handpiece, can be purchased through the Canadian CoOperative Wool Growers Limited, which has store branches in Carleton Place, Ontario,
Cookstown, Ontario, and Lethbridge, Alberta (CCWG Livestock Supplies, 2014.). The Canadian
Co-Operative Wool Growers Limited is a Canadian operation that strive to provide Canadian
sheep producers and producers with an efficient and competitive wool marketing and livestock
supplies service, they employ many Canadians in their business aspect, customer service, as well
as shipping and receiving products (CCWG Livestock Supplies, 2014). The market in Nepal

INTRODUCING SHEEP SHEARING MACHINES TO NEPAL


would be aimed directly towards farmers who raise sheep, and is not a product required by
majority of the population.
There are several shearing machines offered for sale by the Canadian Co-Operative Wool
Growers Limited, with a wide range of costs. This is a potential issue for Nepalese farmers. The
average income for a Nepalese household is $859.85 CAD (70 017.58 NPR) (Chapagain, T.,
2016), while shearing machines purchased from Canadian Co-Operative Wool Growers Limited
vary in price, with the least expensive being the Oster Shearmaster Handpiece, at $449.95 CAD
(36 639.42 NPR), and the most expensive priced at $2295.00 CAD (186 067.53 NPR). With the
most cost efficient machine costing over half the average Nepalese annual income, it is unlikely
that a single farmer will be able to purchase a machine, especially with additional transportation
costs. However it would much more cost efficient for a farming community to purchase one
together and share between flocks. Therefore, there would likely be only a small number of
machines exported to Nepal.
The Canadian Co-Operative Wool Growers Limiteds head office is located in Carleton
Place, Ontario, and can be reached at (613) 257-2714or 1-800-488-2714.
The Oster Shearmaster Handpiece
The Oster Shearmaster Machine is a single speed, high-performance, powerful shearer
that shears up to 3000 strokes per minutes (Oster, 2016). It has an electric cord, and does need to
be plugged in to a direct electric source to work. Of all the machines offered at the Canadian CoOperative Wool Growers Limited, the Oster Shearmaster Handpiece (pictured below) is most
cost efficient. As a result, this model would be the best potential shearing machine for export.
This machine, when purchased through the Canadian Co-Operative Wool Growers Limited, costs

INTRODUCING SHEEP SHEARING MACHINES TO NEPAL


$449.95 CAD (CCWG Livestock Supplies, 2014). However, when purchased through Oster
alone, the price is higher, at $459.99 CAD before taxes (Oster, 2016), making it more cost
efficient to purchase through the Canadian Co-Operative Wool Growers Limited.

The Oster Shearmaster Handpiece (From:


http://carletonplace.wool.ca/online_sales/views/itemview.aro?itemid=248)

Maintenance equipment for the shearing machine includes extra blades and combs,
lubrication, and cleaning supplies.
Marketing Opportunities
The market for sheep shearing machines in Nepal is fairly small, as it is aimed solely
towards farmers who raise sheep as an income source. The machine will serve little to no
purpose for the population who live in urban areas, or those in the rural areas but have dont used
animals as a source of income. However, The Oster Shearmaster Handpiece, while mainly used

INTRODUCING SHEEP SHEARING MACHINES TO NEPAL


for sheep shearing, is advertised for use on goats and cows as well (Oster, 2016). Therefore,
there is opportunity for expanding the market outside of sheep farmers, into a more diverse
market.
In order to produce interest for the product in Nepal, where electric tools are not currently
used for sheep shearing, it may be beneficial to provide demonstrations for the Nepalese farmers.
By involving the farming community to gain interest and provide a learning opportunity for the
farmers who will potentially purchase this product.
Transportation
First, the machine will have to be shipped from the Canadian Co-Operative Wool
Growers Limited in Carleton Place, Ontario, to Toronto, then to the airport. Using Purolator, this
would cost approximately $27.00 CAD (Purolator, 2016).
Shipment from Toronto to Kathmandu (Nepal) by plane, would then cost $232.00 CAD
through A1 Freight Forwarding (Forwarding, 2016).
After this, additional shipment from Kathmandu to the farming communities would add
to the cost, which would vary depending on the distance.
In total, the cost would be $259 CAD plus to ship from the Canadian Co-Operative Wool
Growers Limited head office in Carleton Place, Ontario, to the farmers in Nepal.
Potential Benefit to Canada
In addition to providing benefits to Nepalese farmers, the export of sheep shearing
machines to Nepal will show benefits to Canada as well. While the Oster Shearmaster itself is
not produced in Canada, by being purchased through a Canadian business, jobs are created and

INTRODUCING SHEEP SHEARING MACHINES TO NEPAL


maintained within the country. The Canadian Co-Operative Wool Growers Limited has its main
headquarters in Carleton Place, Ontario, but has several stores throughout all of Canada. They
provide jobs for many Canadians across the country, in customer service, sales, and business
management. In addition, shipping and handling provides further employment to Canadians.
While there will only be a relatively small number of the actual machines shipped from
Canada to Nepal, maintenance materials would be needed for the upkeep of the machines in
order to keep them functional and operating over an extended period of time. This includes
lubricant, blades, combs, cleaning tools, and spare or replacement parts, all of which can be
purchased through the Canadian Co-Operative Wool Growers Limited. This creates potential for
further export from Canada, providing career opportunities for Canadians.
Possible Issues with This Export
The greatest issue this export faces is the overall cost of the machines plus transportation.
Once the base prices of the Oster Shearmaster Handpiece and shipping are added together, it
ends up costing over $710 CAD, or 58 066.24 Nepalese Rupees. This amount, even when split
amongst an entire farming community, is still significantly high for a country where the average
GDP is $859.85 CAD, or 70 017.58 Nepalese Rupees (Chapagain, T., 2016). It is unlikely that
there are many farmers that would be willing to spend such a large amount of money on a
product such as the shearing machine. It is likely a machine they have never seen or used before,
and will be reluctant to spend the money when there are already trusted methods being used.
This is especially true, since as a result of high illiteracy rates, there can be resistance to changes
in technology (Chapagain, 2016).

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INTRODUCING SHEEP SHEARING MACHINES TO NEPAL


According to the World Bank, as of 2012, 76.3% of the Nepalese population have access
to electricity (The World Bank, 2016). This still leaves a significant portion of the country
without electricity. The possible lack of electricity runs a potential problem with the Oster
Shearmaster Handpiece. This particular machine has to be connected directly to an energy
source to operate, and if there are areas in the Hills and Mountain regions were the farmers
operate that do not have a source of electricity, these machines become virtually useless. A
potential solution would be to instead export machines which are battery operated, which at least
will not have to be connected to an electric source continuously to function. However, these run
at a higher cost from manufacturers and the Canadian Co-Operative Wool Growers Limited,
which would increase the problem of affordability.
There are several monetary issues that come with shipping these machines from North
America to Nepal. While convenient for those who live in Canada, cost of shipping
internationally makes it harder for the Nepalese farmer to afford these machines. There are
several companies that produce sheep shearing machines located closer to Nepal that would not
require as extensive shipping. For example, there is a company located in Beijing, China, called
Peking Keasun Network Technology Co., Ltd. (Alibaba, 2016), that produces sheep shearing
machines. Due to their location being much closer to Nepal, fewer shipping arrangements would
be needed, therefore providing a lower cost for the farmers.
Conclusion
Sheep play a large role in the agriculture industry in Nepal, producing wool, a protein
source, transportation, and fertilizer to farmers of the Hills and Mountain regions of Nepal.
Currently, traditional, non-electric tools are used for shearing the sheep, which is a labour

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INTRODUCING SHEEP SHEARING MACHINES TO NEPAL


intensive and time consuming procedure. Introducing shearing machines would drastically cut
down the amount of time needed for the removal of wool from each sheep. This provides a more
time efficient, less laborious shearing period. With less of a time restraint, some sheep farmers
may be inclined to increase flock size, increasing overall production of wool, meat, and fertilizer
for crops, and therefore greater revenue for said farmers. The introduction of electronic sheep
shearing machines to Nepalese sheep farms can therefore be seen to decrease shearing time,
increase wool production, and potentially increase meat and manure fertilizer production, overall
increasing revenue for the farmers.
Although there is no manufacturer of sheep shearing machines located in Canada, by
exporting through the Canadian Co-Operative Wool Growers Limited, there are benefits to the
Canadian population. The Canadian Co-Operative Wool Growers Limited provides employment
to many Canadians across the country through their operation. Purchasing the Oster Shearmaster
Handpiece from this Co-Operative provides support for the organization to continue providing
these jobs. Canadian jobs are also created through the transportation to and from the head office
in Carleton Place.
In conclusion, at this point in time, exporting sheep shearing machines from Canada to
Nepal is most likely unrealistic, due mainly to the cost of such a venture. While the use of the
machines in Nepal has potential to greatly benefit Nepalese sheep farmers, the cost of the
machine plus transportation would most likely be too high, even when shared in a farming
community. However, with further development, exporting of this product could be possible.
With continued communication with the Canadian Co-Operative Wool Growers Limited, there
may be opportunity to have the pricing of the Oster Shearmaster Handpiece lowered slightly,

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after building relations. In addition, further investigation into possible transportation methods
could identify different companies that offer more affordable shipping prices from Canada to
Nepal. In addition, if a suitable source of electricity is not available, the machine is inoperable,
defeating the purpose of the export altogether. Therefore, it can be seen that currently, there is
not a large probability of this product being exported to Nepal in the near future. However, with
the potential benefits to Nepal and Canada, the possibility of future export should be explored.

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INTRODUCING SHEEP SHEARING MACHINES TO NEPAL


References
Alibaba. (2016). Peking Keasun Network Technology Co., Ltd.
https://eastmachinery.en.alibaba.com/company_profile.html#top-nav-bar.
CIA. (2016). South Asia: Nepal. The World Factbook.
CCWG Livestock Supplies. (2016). Retrieved October 19, 2016, from
http://www.wool.ca/CCWG_Livestock_Supply
Chapagain, T., personal communication, September 16, 2016. Agriculture and Agri-Food
Systems in Nepal Guest Lecture.
Forwarding, A. F. (2016). A1 Freight Forwarding.
http://www.a1freightforwarding.com/quote/rate2.php.
Gavigan, R. P. (2000). Constraints to Sheep Farming in Nepal: Development Challenge for
Poverty Alleviation. Asian-Australasian Journal of Animal Sciences [1011-2367], 1162
-1172.
Ghimire, S. (1992). Sustainable livestock production in the mountain agro-ecosystem of Nepal.
FAO ANIMAL PRODUCTION AND HEALTH PAPER. Chapter 5.
Oster. (2016). Oster ShearMaster Shearing Machine - Single Speed.
http://www.osterpro.ca/en_CA/products/clippers/oster-shearmaster-shearing-machine--single-speed/78153-003-034.html#start=5.
Purolator. (2016). Estimate Time & Cost.
https://eshiponline.purolator.com/ShipOnline/Estimates/Estimate.aspx.
The World, B. (2016). Access to Electricity (% of Population).
http://data.worldbank.org/indicator/EG.ELC.ACCS.ZS.
Wilson, T. (1997). Animal genetic resources and domestic animal diversity in Nepal.
Biodiversity and Conservation, 233-251.

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