San Nicolas Salted Duck Egg Production Project

EXECUTIVE SUMMARY

In the Philippines, duck egg production is one of the major sources of livelihood of

Filipino Families. Duck egg is a typical food for Filipinos. It is customarily eaten as a main dish

like salted egg, as a snack food such as balut and penoy and as ingredient in Filipino cookery

such as puto-pao and bibingka. According to the Bureau of Agricultural Statistics (BAS), it is the

second most widely consumed in the Filipino diet with mean per capita intake of almost one-half

kg per year. Duck, although ranks second only to chicken for egg and meat production, is also an

important sub sector of the Philippine poultry industry. It provides employment and income-

generating opportunities for Filipinos, particularly those in the rural and marginal areas. Majority

of ducks in the Philippines are kept by smallholder farmers in the villages. Among the avian

species, duck is considered the most adaptable because it can survive on almost all kinds of

environmental conditions. Raising ducks is simple, less expensive, and requires non-elaborate

housing facilities. Ducks need very minimal space for rearing compared to chickens. They are

relatively resilient, resistant to common diseases, and subsist on a variety of feeds.

Salted duck egg, locally referred to as known as “itlog na maalat” is a common feature

on every Filipino dining table especially during breakfast. It can be eaten alone or with steamed

rice or mixed in salad style with diced tomatoes and onions. It is also used as ingredients to

pastries and toppings on breads and other bakery products, especially bibingka. In terms of its

nutrient content, salted egg is packed with nutrients. It is highest in calcium (120 mg),

carbohydrates (4.4 mg), ash (202 mg), and thiamin (0.47 mg) compared to fresh egg, balut,

penoy, or century egg. Whether it is home-based or commercially produced, salted eggs

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command high demand in the market providing profitable income for Filipinos. With the ever-

growing population of Filipinos around the world, salted eggs have also become well-demanded

outside the country.

A BRIEF PROFILE IS PRESENTED BELOW

Name of the Project San Nicolas Salted Duck Egg Production Project

Project Proponent Karen C. Cabansag

Project Beneficiaries Farmers, unemployed/non-working individuals.

Product Offered Major: Salted Eggs

Meat and live birds

Proposed Selling Price Duck Egg =40 g to45 g Php 5.00

=46 g to 50 g Php 6.00

Total Project Costs : 53,566,930.00 million pesos

Net Present Worth @ 12% : 411, 229,213.11

Profitability Index @ 12% : 12%

Internal Rate of Return @ 12% : 62.068

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1.0 INTRODUCTION

The Philippine duck industry is composed mainly of the Mallard (Anas platyrhynchos L.)

for egg purposes and only a small proportion for Muscovy (Cairina moschata L.) that is used for

meat production. The Philippine Duck is the most common breed of duck being raised in the

country, thus its name. Most Filipinos call it “itik” or Pateros duck. This breed is a good layer but

is a non-sitter. Its plumage is black, brown, or impay or various color combinations. The average

weight of this duck is 1.5 kilograms; the drake, or male, is 1.75 kilograms. Egg production rate,

is 175 per lying year.

And since ducks live longer than chickens, farmers can already make profit even in the

second year of lying and need longer interval for the replacement of stock conditions. Raising

ducks is simple, less expensive, and requires non-elaborate housing facilities. Ducks need very

minimal space for rearing.

The Philippine duck industry is small compared to chicken. However, it is quite unique

and has a special role in the Filipino culture. The uniqueness comes from the way that duck eggs

are being utilized. Unlike other Asian countries where duck eggs are processed mainly into

salted eggs and century eggs. In addition, the majority of Mallard duck eggs (nearly 80%) are

used for the production of ‘balut’. The rest of duck eggs are used either as table eggs or as

component of bakery products or processed into ‘penoy’, salted eggs, and century eggs. Balut

and penoy are incubated duck eggs that are not fully hatched. The fertile eggs are sold as ‘balut’

where the incubation is interrupted at around 14th to 18th day while the infertile eggs or dead

embryos are sold as ‘penoy’. Both are Filipino delicacies.

Ducks are considered one of the most versatile avian species that are of commercial

significance, because they can subsist under a wide range of climatic and nutritional conditions.

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Some of the advantages of the raising of ducks over chickens include inexpensive, non-elaborate

housing facilities and little attention and less space per head for rearing. Additionally, ducks are

shown to be relatively hardy and resistant to common avian diseases, and the birds feed on a

variety of food. As such, they are preferred and commonly raised by smallholders in rural areas.

Duck eggs are larger in size, have thicker shells and unique flavor. They are also more suitable

for processing into value-added products. They usually command higher prices than commercial

chicken eggs.

Duck Raising is one of the profitable livestock industries in the Philippines. Because of

its eggs such as balut and salted eggs with its nutritive value, delicious flavour and affordable

price makes it one of the delicacies for Filipinos.

1.1 PROJECT RATIONALE

The project is design to established a viable and a successful salted egg production

project, to improve the livelihood and standard of living of rural families by promoting cost

efficient, sustainable improvement to duck production by working with farmers and with their

families and also to improve the nutritional status of people .The product to be offered by the

project will be the salted egg, and duck meat. The harvestable duck meat has a weight ranging

from 1 to 2 kilogram each. The meat of the duck has a high protein content that contribute to the

improvement of health and nutritional status of several million of Filipinos.

The project in a three hectare agricultural land that will be located in San Nicolas,

Pangasinan. It was chosen because of its proximity to the potential market, appropriate

environment to grow the ducks. In terms of peace and order situation, it is tolerable and under

government.

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 The farmers will be benefited by the project because they will be more productive in a

good way and also will help them to have additional source of income, and when it comes to the

product, good quality, nutritious product are being offered. In this type of Project, farmers and

those unemployed personnel will truly benefit because this means high income for them,

especially those in Region.

1.2 BACKGROUND AND PURPOSE OF THE PROJECT

Duck Raising is the most profitable and economical agribusiness today as it needs only a

simple operation for the farmer’s to raise. Ducks have high resistance and could not easily affect

by some poultry disease. It also serves as partners of farmers in the field by means of eating

nutritious golden snail which is abundant in the rice fields. Salted egg is pickled by salt and the

salted egg yolk is a traditional preserved egg product, which is very popular in Asia.

Traditionally, salted eggs are made from duck eggs because they attain more desirable

characteristics than do hen eggs.

Presently, there is an increasing demand of eggs and meat in the market it is because of

the increase of population in the locality. Duck produces more eggs depending on the

management applied for it. The advantage of this business is that it has so many uses such as:

balut and salted egg. This commodity is also the best source of protein and it is very easy to

cook. Mature ducks can be culled after two years of production and will be subjected for

slaughter.

Duck is the most profitable and economical agri-business today as it needs only a simple

operation for the farmers to raise. Presently, there is an increasing demand of eggs in the market;

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it is because of the increase of the population in the locality. This commodity is also the best

source of protein and it is very easy to cook. Ducks produces more eggs depending on the

management applied for it. The advantage of this is that it has so many uses such as; ballot,

salted eggs and others recipes depending on the expertise. Ducks have high resistance and could

not easily affect by some poultry disease. It also serves as partners of farmers in the field by

means of eating nutritious golden apple snail which is abundant in the rice fields. Mature ducks

can be culled after two (2) year of production and will be subject for slaughter.

GOALS AND OBJECTIVES

 To provide an alternative livelihood for farmers as one sources of their income;

 To increase duck population in the locality;

 To contribute the production of eggs in the market;

 To create employment opportunity

 To have a sure market for the products of ducks like salted egg and meat

 To sustain the demand for duck products.

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2.0 MARKETING ASPECT

2.1 Marketing Assessment

Ducks are very popular among Filipinos because they require low initial capital

investment, fit the small hold farm conditions, and multiply fast. The producers can turn this

strength around and bring duck meat to the dining table. From the traditional “ulam” to a healthy

food for the Filipino consumers. Filipinos are getting conscious about the food they eat and

salted egg being the world’s healthiest egg can cash in on this market, healthy and delicious.

2.1.1 Demand and Supply Analysis

In time locally, competition in salted duck egg does not pose too much problem. Most of

farmers raise ducks intended for commercial purposes. This shows that the competition for the

duck production has little significance. The purposed project will still be at an advantage position

because it can offer lower price of duck products and brought by the lower cost of production.

The duck meat and egg industry have multiple channels for marketing. Duck eggs may

either be sold fresh or processed. Processed eggs include: balut, penoy, salted duck eggs, and

century eggs. Producers may sell fresh duck eggs to middlemen or viajeros to retailers. Retailers

include wet market traders, sari-sari store owners who sell eggs by piece. The demand for fresh

duck eggs is also met by supermarkets and groceries where fresh duck eggs are sold by the dozen

or half-dozen cartons. However, duck eggs may also be sold directly to the retailer from the

farm.

2.1.2 Competitor Analysis

Most of farmers raise duck intended for family consumption and only few farmers raise

duck for commercial purposes. This shows that the competition for the native chicken production

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has little significance. The purposed project will still be at an advantage position because it can

offer lower price of duck meat and egg brought by the lower cost of production.

Duck Eggs Vs. Chicken Eggs

Duck Eggs Vs Chicken Eggs: easily distinguishable, a considerably longer shelf life

Duck eggs are quite large compared to chicken eggs, which makes them easily distinguishable.

The large size of the duck egg gives it a larger yoke to white ratio than a chicken egg. So if you

want more yoke, duck eggs are what you should go for. With the larger size you definitely get

more for your money, compared to a chicken egg!

Duck Eggs Vs Chicken Eggs: Nutrition

6x the Vitamin D, 2x the Vitamin A, and 2x the cholesterol in duck eggs vs chicken eggs. Duck

contains about 75% of the Vitamin E in chicken eggs. Duck eggs reportedly also have more

Vitamin K2, Duck eggs also are higher in calories for the same weight quantity, probably due to

its slightly higher fat concentration. Also, keep in mind that the eggs of free-range, pastured

animals generally have higher levels of vitamins and higher levels of omega-3 fatty acids.

Duck Eggs Vs Chicken Eggs: Taste & Utility

Duck eggs provide a taste that is different and tastier than chicken eggs

Egg Allergy Substitutes: One health benefit with duck eggs is that most people who are allergic

to chicken eggs are able to eat duck eggs without allergic reactions.

2.1.3 Consumer/ Client Analysis

The prospect consumer of duck products like salted egg depends upon their willingness

to purchase. Most of the consumer in salted egg was mother who are intend to buy because of its

nutrients contents, for their kids and for the whole family. For farmers who want to raise ducks

and residents of San Nicolas, Pangasinan will be also the prospect clients of the proponents.

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Some buyers buy duck depending in the kind of duck their want. Sorting is one of the most

important keys to good marketing of duck eggs. Eggs must be properly sorted before being sold

from the farm to gain trust from clients.

2.2 MARKET PROSPECTS

The demand outlook appears positive for the Philippine duck industry given its current

high level of per capital consumption and anticipated income and population growth.

The target market of the proponents will be the residents of San Nicolas particularly the

market vendors, processors, and several food centers in San Nicolas, Pangasinan and nearby

municipalities of the Province. Also, the proponent will sell their product to their family, friends,

acquaintance and other prospect.

2.3 MARKETING PROGRAM

Products that will be offered are salted egg from the ducks and their meat. Salted duck

egg will be selling in a tray that has a packaging cover to avoid crack. The product feature design

contains expiration date, nutritional contents, manufacturing date, manufacturer, place where it

made.

There is no problem in marketing of duck meat and egg since people of varied vocation

buy ducks. Compared to other kinds of fowl’s meat, duck meat is cheaper in price and easier to

prepare. Daily production record of duck meat and egg will be submitted for inspection as to

correctness of quantity per grade to the project manager. After inspection meat and eggs will be

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readied for market to target consumers who are usually the residents of the community and other

prospects.

2.3.1 Product feature/design

The salted egg project will offer plain color of salted egg. The salted egg will be packed

using a tray that have a packaging cover. The brand’s name (SaltedWhiteEgg), its nutrition facts,

manufacturing and expiration date and where it was produced are indicated in front of the

packaging cover. It is directly sell to walk-in buyers, retail store or even wholesaler.

The duck meat and egg industry have multiple channels for marketing. Duck eggs may

either be sold fresh or processed. Processed eggs include: balut, penoy, salted duck eggs, and

century eggs. Producers may sell fresh duck eggs to middlemen or viajeros to retailers. Retailers

include wet market traders, sari-sari store owners who sell eggs by piece.

2.3.2 Pricing scheme

Assorted eggs will be sold at about php.3.00 to 5.00 per piece in retail and 2% discount

will be given to the buyers who will buy a minimum of 100 pieces of eggs is based on their sizes

and demand of duck eggs. The harvestable duck meat will be sold at about php100.00 to 200.00

on a per head basis depending on weight and if live weight or dressed. Also, php.3.00 per chick

in excess of farm usage will be offered and sold to the farmers who are interested to engage in

the same venture.

2.3.3 Promotion Advertisement Strategies

o Outlets

o Signboards

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 o Online shop

o Tarpaulin etc.

Once the project is implemented the first step that must do is having outlets in some

popular places. Purchased products online and advertise it using signboard, and tarpaulins. The

proponent will carefully packed the harvested duck meat and egg and put a brand name for easy

recognition which includes the characteristics and advantage of the products, address of the farm,

contact number and email address. The consumer will be given a chance to give their comments

and suggestions through texting and email sending to the proponents.

Duck eggs also offer nutrition of mineral elements, namely selenium and iron. Selenium

is useful to support healthy immune function and helps the body to make hormones in the thyroid

gland. Iron is useful to help the red blood cells carry oxygen and helps the body to produce

energy. Each duck egg contains 2.7 milligrams of iron, which meets 34 percent of the

recommended daily intake for men and 15 percent for women. Meanwhile duck eggs offer 25.5

micrograms of selenium, or meet 46 percent of the daily requirement. Other minerals are also

found, but in small amounts are zinc, phosphorus and calcium.

MARKETING STRATEGY
Date
Start of operation
Two weeks before harvest
Activity
Putting streamer in front of the farm and some
strategic place.
On line advertisement such as banner ads, sky
scrapper and websites.
Word of mouth and networking
Leaflet and flyer distribution
Cooking contest

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 During fiesta and special occasion Free taste
Farm exhibit
Open date Seminar sponsorship re: organic agriculture

2.3.4 Product distribution strategies

The product is distributed through direct selling, especially for the salted duck egg. For

marketing duck, it is distributed in some marketing areas

Processing Outlet
Ducks raisers
(Salted egg)
(Farmers)

Retail store, wholesaler &

walk in buyers (residence in
the brgy. and from other
places)

Duck Clients/ Labors/ Farmers

3.0 TECHNICAL ASPECT

3.1 Plant/farm description and location

San Nicolas Salted Duck Egg Production Project will be implemented in Brgy Nagkaysa, San

Nicolas, Pangasinan.

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 Attached herein are the location maps of the Proposed Project. It was chosen because of

its potential market, appropriate environment in the production of duck and in terms of peace and

order situation, it is tolerable and under government control.

3.2 Products & production schedule

Salted egg will be produced daily and it has a target selling 3,000 eggs every other day of

production. We will sell ducks depending on the kind of duck that our clients want. Ducks are

well known for their adaptability to local agro-climate conditions, hardiness and ability of utilize

farm-by-products and resistance to disease. They serve as cheap source of animal protein through

their meats and eggs. The duck can produce as much as 130-200 eggs in a year. Meat from duck

is preferred by many Filipinos because of taste, leanness, pigmentation and sustainability for

special dishes.

Egg Production

In egg-producing farms, day-old ducklings are purchased from specialized hatcheries that

produce egg-producing pullets. These pullets are either raised by the egg producer or a pullet

grower until they are ready to start laying eggs, which is usually at 19 weeks of age. The egg

production cycle lasts for about one year. The pullets and laying ducks are raised mainly in

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environmentally controlled poultry houses in cage systems. To make the maintenance process

easier, automated feeding, watering, and egg collection systems were developed. Feed and water

are moved on rotating belts which pass by the cages. Another rotating belt collects the eggs and

sends them to the sorting chamber to be tested for fertility, graded, and sorted according to size,

making them ready for delivery to the market.

3.3 Production process

A popular method for processing salted eggs in the Philippines is the Pateros method.

The salted egg is prepared Pateros style by mixing clay (from ant hills or termite mounds), table

salt and water in the ratio of 1:1:2 until the texture of the admixture becomes smooth and forms a

thick texture similar to cake batter. The fresh eggs are individually dipped in the admixture, and

packed in 150-egg batches in newspaper-lined 10x12x18 inch wooden boxes (often residual

boxes of dried fish packing). The whole batch is then lightly wrapped in newspapers to slow

down the dehydration process.

The eggs are then stored indoors at room temperature over the next 12 to 14 days to cure.

This way the salt works its way into the eggs uniformly in the batch. Curing can last up to 18

days, but that results in very long-lasting red eggs that can have a 40-day shelf life, which is

largely unnecessary, as the eggs are stocked and replenished biweekly.

After the two-week curing period, the eggs are hand-cleaned with water and a brush and

prepared to be boiled in low heat for 30 minutes. Time is measured from the first moment the

water boils and the immersion of the eggs. The 50-egg batch is then wrapped in fish nets for ease

of removal from the cookware. The cookware must be large enough to accommodate the batch

with a two-inch covering of water.

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These are the several ingredients and procedures of doing salted egg:

o Salting Eggs in Brine Solution

Ingredients:

– 12 Ducks eggs

– 12 cups water

– 6 cups salt

Procedures:

1. Boil 6 cups salt with 12 cups water. Cool the mixture after boiling.

2. Carefully place 12 duck eggs in a wide mouth glass jar.

3. Pour the brine solution into the jar. Weigh down the eggs with a plate to keep them from

floating, or instead of jar, use a sealed plastic bag filled with the salt solution.

4. Cover the mouth of the jar with perforated paper, Keep the jar in a cool dry place.

5. Try one egg after 12 days. Soak the eggs again for 5 days more if the dried egg is not salty

enough.

6. When the eggs are salty enough boil them for 10 minutes.

7. Color the egg’s shells if desired.

o Salting Eggs in Clay

Ingredients:

– 12 cups of clay

– 12 cups of salt

– 12 pieces duck eggs

Procedures:

1. Mix 12 cups of clay and 12 cups salt. Add water to the mixture and mix thoroughly.

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2. Transfer to a pot a considerable amount of the mixture.

3. Wrap the 12 eggs with clay. Arrange the eggs in the pot allowing 1-2 inches of space to

prevent breaking of the shells.

4. Pour the remaining mixture into the pot. Store the eggs.

5. Taste eggs after 15 days. If it’s not salty yet, restore the eggs.

6. When salty enough, hard boil the eggs.

3.4 Fixed assets and facilities

The proponent will provide the ducks with shelter made of bamboo, scrap wood, wire

mesh or net for their protection against predators and the effects of the element of weather. The

proponent will provide an adequate area of range for the birds to have free access to natural food.

The proposed project will be developed by putting the facilities that will be needed in

duck production such as breeding section, brooding section, laying section, growing section,

marketing section and laborer quarter. The proponent will put a fence at a desired height. Some

facilities will be built in using bamboo and nipa.

Cheap and high quality small farm tools that will be regularly using in the proposed

project will be acquired locally from a well-known supplier in San Nicolas, Pangasinan. Attach

here in design and specification of fixed asset and their respective price quotation and source.

The source of water will be the deep well and the source of electricity will be coming

from Pangasinan Electric Cooperative (PANELCO).

Facilities on duck farms are related to the purpose of the farm. In general, all poultry

farms share common facilities and equipment such as feeders and drinkers. However, depending

on the purpose of the farm, some facilities vary. For instance, some meat production farms

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include slaughter house facilities. The purpose of having these slaughtering facilities on a broiler

farm is to minimize cost and increase profits through vertical integration. Egg production farms

are equipped with nest boxes if the breeders are raised on the floor, or, if raised in cages,

automated belt systems are installed for collection of eggs. Hatcheries are equipped with

incubators that maintain the eggs for 18 days and hatchers that keep the eggs for 3 days, both

maintained at the right temperature and humidity required for hatching.

3.5 Raw materials and other key inputs

o Clay

o Water

o Salt

o Egg of duck

Other key inputs that will be regularly using in the production and marketing of the

product such as feeds, bioligics, etc will be required locally from a well-known supplier in San

Nicolas, Pangasinan.

Feed costs have a major impact on the profitability of duck farm operations. The high

cost of feed is related to the energy and protein contents of the diet. In an unbalanced diet, with

an excess protein, feed would cost more, thus increasing production costs. With low protein

diets, ducklings would take more time to grow, and could be at a higher risk of catching diseases.

Ducks have different nutrient (feed) requirements depending on their type, age, and sex.

Rations formulated to meet nutrient requirements produce faster growing, and healthier

ducks, and thus better products and more profits. Excess dietary nutrients are often excreted in

the feces. The excess nitrogen and phosphorus in feces could cause a threat to the environment.

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For this reason, managing feed formulas for accuracy is an important step in the duck farm

management to safeguard the environment, and reduce operating costs.

The electricity should provide by PANELCO (Pangasinan Electric Cooperative) water

supply will provide by water district and telephone service will come from PLDT. All materials

to be used shall be brand new and approved-type that may appropriate for both location and

intended use.

3.6 Waste disposal system

Wastes are produced in all types of poultry operations. After poultry houses are cleaned

and sanitized, the wastes should be confined in one area for later removal by specialized

companies for composting or proper disposal to avoid contaminating the environment. This

confinement area can be used for all types of wastes including litter from most poultry farms and

un-hatched eggs from hatcheries.

Poultry litter can also be considered to be a by-product with economic potential. At the

end of a production cycle in a duck or egg-production operation, litter is removed mechanically

from the poultry house, and can be used as fertilizers for crop production. Litter can also be

removed and sold to commercial processors for composting operations or nursery preparations. It

can also be composted on the farm in a confined area, and then applied to farm lands.

3.7 Other information

Approvals and Construction of Duck Farms

Prior to the construction of a duck farm, initial approvals from the appropriate planning

department must be obtained. These approvals usually take into consideration the environmental

aspects of poultry farming including avoiding or minimizing visual views, noise, odour, and

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wastes. When constructing a duck farm, future plans should be taken into consideration. For

example, after the operation starts, waste material will be generated. Construction planning

should include plans for an isolated area to dispose the waste material without causing any health

or environmental risks, including risks to water resources, until some specialized company for

compost production collects the wastes.

The efficient handling, processing, inspection and marketing is an important

consideration to make in offering safe and quality poultry products to the consuming public. The

implementing strategies include implementation of Development Program, strengthening of meat

inspection service, rehabilitation of existing poultry auction markets (weighing scale loan

program), strengthening of the activities of the animal products and by-products development

center, operation of the regional animal feed laboratories and marketing program, and provision

of poultry product and marketing services.

Housing of duck

Build your duck house in a quiet, cool place and near as possible to a stream or pond.

Local materials like bamboo, nipa and cogon are cool. Provide each duck with at least 3 to 4

square feet of floor space. Cover the flavour with rice hulls, corn cobs, peanut hulls or similar

materials to keep it dry and clean and help prevent spread of pests and diseases. A house of 100

ducks measures 4 x 4 meters and 3 meters high or high enough to let a man stand inside.

You may provide a swimming pond 10 feet wide and 20 feet long for 50 birds. However,

the pond is not necessary in duck raising as they lay just as many eggs without it. House ducks is

groups according to size or age to facilitate management and to avoid quarrels common among

ducks of different ages. Older ducks tend to push out younger ones from feeding troughs.

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 Separate duck houses from one another by bamboo fences low enough to go over them

from one pen to another. Fence should extend down to the shallow edge of the water to prevent

ducks from straying away too far.

Advantages of Raising Ducks

There are several reasons why Filipino farmers should raise ducks in their farms or backyards.

Consider the following:

o Good source of protein. Duck raising provides meat and eggs for the family. Duck eggs

are nutritious and provide needed protein for the family. Duck meat can be cooked in

even more ways than chicken and is an excellent addition to the family diet.

o More economical. A farm family will have a daily supply of eggs, and you will be able to

sell any surplus eggs for additional income.

o More practical. Duck raising is more practical for a small backyard project than raising

chickens. Ducks are productive for a longer period of time than chickens. You will need

to replace your layers only once every 18 months in order to keep production high. This

means saving on the cost of replacement stock. Generally, you have to replace your

laying flock only twice every three years.

o Don’t require elaborate pens. The birds do not require any elaborate housing with a

multitude of windows, dropping-boards, perches, and nest boxes. Generally, you can

keep in ducks in simple sheds at night and let them loose during the day.

o Rarely affected with diseases. Ducks are very rarely afflicted with coccidiosis, and when

this disease strikes, its effects are not as bad as on chickens. The ducks are also not as

frequently affected by such fowl diseases as fowl pest and bacillary white diarrhea.

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 o Require little labor. Ducks lay their eggs at night or early in the morning, so eggs can be

collected in the morning before letting the ducks loose to range during the day.

Egg Collection and Handling

Egg collection will be done every day at 10:00 AM to avoid too much breakage. All eggs

will be placed in plastic tray with the portion at the bottom. Egg that will be collected per day

will be recorded before being delivered to the egg room.

Care of Ducklings

Duckling need to be brooded or warmed either by natural or artificial method until they

are one month old. Most ducks are non-sitters and are not expected to brood. Hens may be made

to sit on duck eggs and brood ducklings. After removing duckling from incubator, transfer them

to hardening boxes. Place these boxes m the brooding room that IS draft-free and rat-proof. If

boxes are not I available, raise duckling on straw-covered floor. Woven bamboo mats or sawali

may be used as floor mat.

Heat is necessary when brooding duckling at least during the first week. When nights

become cooler, especially during the months of January and February, artificial heat may be

necessary for at least 10 days. Kerosene lamps or electric bulbs may be used for brooding. The

brooder should have a temperature of 95°F for the last week; 85-90°F for the second week; 70-

85°F for the third week; and 70°F for the last week. The behavior of ducklings is a good

indicator whether brooding temperature is correct. Duckling huddle close together toward the

source of heat when temperature is low; scattered or spread evenly when temperature is correct;

but panting and panting and moving away from the source of heat when temperature is too hot.

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 A good brooding area is at least I per square foot per duckling during the first week.

Increase the area by about Y2 square foot every week until the fourth week.

When ducklings show signs of sickness, add 3 tablespoons of Nexal for every gallon of

water for 2-3 days. Skip or withdraw after 3 days. Then continue for another 3 days. Terrarnycin

poultry formula can also be used. Follow instructions on the package carefully. To prevent Avian

Pest Disease, immunize your ducks with Avian Pest Vaccine.

Minimize the stress of ducks including feeds and infrastructures

Ducks do not function effectively when they are stress. Stress may even cause the

reduction of egg production while increasing the duck mortality. Thus, there is a need to seek

the best way to gain sufficient amount of feeds such as snails and azolla for ducks to reduce their

stress. It is also important to secure adequate duck house to maintain the security and health of

ducks.

Feeding of the Duck

Feed duckling with wet starter mash for 8 weeks. Native ducklings raised the native way

are fed moistened boiled rice for the first 33 weeks, 4 to 5 times a day. During the first few days,

give feed at night. Start giving water in drinking troughs or fountains on the 2nd day. On the fifth

day, add finely chopped small shrimps to boiled rice. Increase their feed as ducklings grow older.

At the age of one month, feed ducklings with tiny fresh water snails and boiled unhulled rice or

palay. Give only enough feed to be consumed as they tend to spoil when left long in the troughs.

Mash feed for ducklings is composed of corn, soybean meal, fish meal, dried whey, rice bran

with oyster shell and bone meal with vitamin-mineral supplements. Feed one day to 6-week old

ducklings with starter mash with 10-21% crude protein; for 6-week old to 4-month old duckling

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with grower mash with 16% crude protein; and 4-month old ducks and above with layer mash or

ratio with 16% crude protein.

If mash feed is preferred, give only enough to be consumed quickly at one time for 10 to

15 minutes. Wet mash tends to spoil when left long in hoppers. If feed is given at intervals,

ducklings learn to eat more readily and their appetites are developed to stuff themselves in

between drinks, digest food quickly and be ready to eat their fill for the next feeding time.

Four to five feedings a day are sufficient for ducklings over 2 weeks old. Provide plenty

of clean, fresh water as ducks drink after every mouthful of food. Ducks are wasteful and

slovenly while feeding. Provide proper adequate feeding hoppers to prevent much waste of food.

Fine gravel or grit is necessary to growing ducks to help them grind their feed. After the 5d1

week, give green feed such as chopped leaves of kangkong, camote, ipil-ipil and legumes at least

3 times a day 10 grams of chopped green leaves per duck per day.

As a feed-saving device, the pellet system of feeding has been introduced in duck

nutrition. Pellets of each kind of feed are recommended for duck feeding but the size of particles

must be suitable to duck’s age.

Starter ration is given when ducks are I day to 6 weeks only.

Grower ration is given when ducks are 6 weeks old.

Developer or fattening ration is given when birds are above 6 weeks old.

Health Management

Although ducks are known to be hardy and resistant to disease, it would be wise to

vaccinate them against common poultry diseases. This will ensure that they will be healthy and

productive. The most common diseases of ducks are new castle disease or avian pest, fowl pox

and fowl cholera. The proponent will follow a vaccination program against these diseases to

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prevent disease outbreaks. Attached herein is the vaccination schedule that will follow by the

proponent. Also, the proponent will consult a veterinarian regarding vaccination program and

other health problems.

The proponent will practice the proper sanitation to ensure the health of the flock. The

proponent will isolate and separate sick, inactive and weak birds from healthy ones to prevent

possible disease outbreak among flock. The proponent will give proper medication to sick birds

for them to recover early.

The proponent will burn or bury dead birds immediately, especially those that dead of

diseases or unknown causes to avoid risks of infecting the remaining healthy birds.

4.0 ORGANIZATIONAL AND MANAGEMENT ASPECT

4.1 Management during the pre-operating period

The proponent will prepare the Project Feasibility Study (PFS) and it will be proposed to

the prospect lending institution and donor agency for approval. After approval of Project

feasibility Study, the proponent will look for the prospect workers. The workers will be

consisting of one project manager, one farm manager and one marketing manager, one project

consultant, a supervisor, one driver and two farm labourers. Canvassing and preparation for the

tools, equipment, and necessary documents will be next. Then, construction of buildings and

assembly of other related to duck production. And lastly, giving of orientation/training, including

the methods/strategies in the operation of the project will be implemented. The timetable of

activity of the proposed project presented below.

San Nicoals Salted Duck Egg Production Project, as one of the integrated development

projects in San Nicolas, Pangasinan shall do project planning, fund sourcing and other activities

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related to its operation and maintenance. The workers that will be involved in the said activities

are the owners of the said project serves as managers in each aspect. Also the project will hire at

least five manpower. Others will be serving as staff while others will be serving as laborers in the

production area of the said project.

4.1.1 Type of Organization

The type of organization that the salted egg production project will apply is cooperative

owned by and operated by the 50 farmers. It is association of two or more person binds itself to

contribute money, property or industry to a common fund with intention of dividing the profit

among themselves.

4.1.2 Organizational Set-up

Project Manager
Project Consultant

Marketing Farm
Manager Manager

Farmer/
Laborer/Driver Seller Beneficiaries

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4.1.3 Job Description and Job Specification

With regard to the business operations the proposed business project will have a total of

18 persons including the Project Manager, farm Manger, the marketing manager, the 2

Farmhands and the personnel for the processing and marketing of the products and also the

consultant of the project. Farmers that will be benefited are excluded. Each of them must have

knowledge about managing the farm and production process. They will be trained and oriented

properly and will be given some seminars regarding in Duck farming.

The Project Manager will be the one to plan and will be charge of the overall supervision of the

farm. He will be the one to screen the applicants to be recruited or hired.

The farm Manager will see the efficiency and effectiveness of the Farmhands. He will be

responsible for the general care of ducks, maintaining the health and environment of the duck.

The marketing manager will be responsible in doing marketing plans and other aspect in

marketing the products.

4.1.4 Personal Compensation and Fringe Benefits

SNSDEPP will provide compensation package as well as fringe benefits to the workers.

In management staff, the salary will be fixed and it is monthly basis. The salary for the project

manager will be 12000 per month and for the farm manager, marketing manager and supervisor

will be 9000 per month. On the laborers, it will be wages. The wages that every laborer will

receive will be daily basis meaning if one laborer is absent, he/she will not be paid on that day.

The wages that will receive by the laborers is 150 per day.

In fringe benefits each worker would have plans in Social Security System (SSS) and

Philhealth. They will also receive allowances such as, food and maintenance. For holiday season

like Christmas, they will be given bonus.

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4.2 Project Timetable

ACTIVITIES YEAR YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5 YEAR 6 YEAR 7 YEAR 8 YEAR 9 YEAR 10
0

Management in the
production area

Distribution/Marketing of
the produced salted egg

ACTIVITIES YEAR YEAR YEAR YEAR YEAR YEAR YEAR YEAR YEAR YEAR YEAR
2 3 4 5 6 7 8 9 10
0 1

Assessment/Evaluation
of the project

Continuity and
expansion of the
project

Preparation of
documentary report for
analysis

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A. Preparation Phase (Year 1)

o Preparation of Project Feasibility Study will last for 1-2 months

o Proposing to the lending institution is in the month of 3rd month
o Development of selected area is from the 4th month to 5th month
o Preparation for the tools, equipment, and necessary documents 10th month – 11
month
o Construction of building and production area 5th month to 12 month
o Giving of orientation/training, including the methods/strategies in the operation of
the project. Is in the 12th month

B. Implementation Phase (Year 1 onwards)

o Management in the production area year 1 onwards

o Distribution/Marketing of the produced duck and salted egg

C. Terminal Phase (December 1 to 20 of the year only)

o Assessment/Evaluation of the project

o Continuity and expansion of the project
o Preparation of documentary report for analysis.

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5.0 FINANCIAL ASPECT

5.1 Total Project Cost

Capital Requirement:

A. Initial Capital Outlay : 49.281, 250

B. Pre Operating Expense : 15,000
C. Working Capital : 4,270,680
Total: 53,566,930

5.2 Project Volume of Duck Product to be offered:

Year Egg Chick Duck Meat(live Duck meat Duck meat
(30%) (30%) weight)( per head) (dressed) Pack
20% (kg)20%
2010 603,288 407,484 266,716 133,357 133,357

2011 603,288 407,484 266,716 133,357 133,357

2012 603,288 407,484 266,716 133,357 133,357
2013 603,288 407,484 266,716 133,357 133,357
2014 603,288 407,484 266,716 133,357 133,357
2015 603,288 407,484 266,716 133,357 133,357
2016 603,288 407,484 266,716 133,357 133,357
2017 603,288 407,484 266,716 133,357 133,357
2018 603,288 407,484 266,716 133,357 133,357
2019 603,288 407,484 266,716 133,357 133,357
2020 603,288 407,484 266,716 133,357 133,357

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 5.3 FINANCING SCHEME AND SOURCES

Source of Financing:

% Share Amount

A .MPC Loan 60% 32,140,158

B .Owner Equity 40% 21,426,772
Total: 100% 53,566,930
Note: Loan is charged with 15% borrowing rate per annum.

Source of Revenue:
Product Quantity Ave. Price per Hd/Pc/Kg
A. Duck meat
Live Weight head 150 pesos
Dressed kilogram 160 pesos
Pack kilogram 180 pesos
B. Duck Egg Piece 5.50 pesos
C. Chicks head 25 pesos
*Note: All charge is assumed to increase by 5 % every year.
Average Weight per head was 1.5 kilogram.

5.4 List of Financial Assumptions

Initial Capital Outlay

Land Charge 17,250

Building :

Breeding Section(8,640sq.m @ 2000/sq.m) 17,280,000

Incubation Section(1240sq.m @ 4000/sq.m) 4,960,000

Brooding Section (1240 sq.m @4000/sq.m) 4,960,000

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Growing Section (12, 028sq.m@ 500/sq.m) 6,014,000

Marketing Section(70 sq.m @ 4000/sq.m) 280,000

Storage Facility(20sq.m@4000/sq.m) 80,000

Labor’s Quarter (50 sq.m @1000/sq.m) 50,000

Guard Post(5 sq.m @2000/sq.m) 10,000
Fencing 30,000 sq.m (100x200x4m, @500/sq.m) 15,000,000
Water Tank and Electric Post 100,000
Service Jeep with Trailer 150,000
Office Furniture and Fixture 20,000
Tools and Equipment 100,000
Installation Cost 50,000
Other Fixed Assets 10,000
Garage (400 sq.m @500) 200,000
Total project Cost 49,281,250
Note: 10 years Depreciation Assets: Php 49,214,000

Total Annual Depreciation: Php 4,921,400

Operating Expenses/Assumption:
Wages and Salaries
1 project manager (15,000 per month) 180,000
1 marketing manager (10,000 per month) 120,000
1 production manager (10,000 per month) 120,000
1 supervisor ( 5,000 per month) 60,000
2 security Guard (7,000 per month) 168,000
3 laborer ( 7,000 per month) 252,000
Total ( 5% increase in every year ) 900,000
Total : 1800,000

Other Incentives:
b.1 Medical Care, Uniform, Insurance, 9,000

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etc.(1,000/year/employee)

B2. Bonus (13th month pay+ 1,000) 84,000

b.3 training allowance(2000/year/employee) 18,000

Total(5% increase every year) 111,000
c. Electric Bill (12,000 month) 144,000
d. Repair and maintenance(5,000/month) 60,000
e. Office Supplies (1,000/month) 12,000
f. Fuel, gasoline, Lubricant (6,000/month) 72,000
g. Interest(16%per annum, refer to Loan
Amortization Schedule )
h. Insurance(2% of vehicle, building and 677,680
equipment cost)
I .Amortization of Pre-operating expense refer
to POE amortization Schedule )
j. Marketing and admin expense(5,000/month) 60,000
k. Initial stock(9,000hen at 200/hd and 1,000 2,050,000
rooster at 250/hd)
L .feeds (ALW:1.5kg/FCR 2.25 at P 15kg) 100,000
M. Biologics(5,000/month) 60,000
n. Duck dressing cost (2,000/month) 24,000
o. Contingency Allowance (1% of total (52,816.8)
operating expense)
Total : 3,481,680

Pre –Operating Expenses

PFS Preparation:
Transportation Allowance 1,000
Communication Allowance 1,000
Computer and Printing Allowance 2,000
Consultation Fee 5,000

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Training Fee 5,000
Contingency 1,000
Total: 15,000
*Note: Pre-Operating Expenses will be amortized at 5 equal annual payment starting year 2.

Loan Repayment Scheme:

Amount of Loan 32,140,158
Date of Release March 10, 2010
Repayment Term 10 years starting 2013
Grace Period 1 year
Interest Charge 15% per annum

PRICE OF THE PRODUCTS

Harvestable product Pricing System

Live Weight
1.00 kg to 1.20 kg Php 150.00
1.21 kg to 1.40 kg Php 187.00
1.41 kg to 1.60 kg Php 224.00
1.61 kg to 1.80 kg Php 261.00
Duck Meat 1.81 kg to 2.00 kg Php 300.00
Dressed
250 g Php 45.00
500 g Php 90.00
1 kg Php 180.00
Duck Egg 40 g to45 g Php 5.00
46 g to 50 g Php 6.00
chicks Php 25.00 each

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Note:
1. Wholesale for duck egg will be 100 pieces above. Their price was based on the pricing
system given above less 10% discount.
2. Weight of the duck was based on the latest techno guide provided by PCCARD.

Financial Feasibility Finding

The funds shall be used to finance incidental expenses such as the pre operating
expenses, building, improvement and maintenance. The rest of the production cost will be charge
against the income being generated by the project during the first and succeeding production
operation and sales volume of the eggs and culled chicken are shown in exhibit.
The cost of the production includes laborer wages, veterinary supplies and supplement,
light and water expense and others, will also seen from the first to tenth year of operation.

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6.0 SOCIO-ECONOMIC ASPECT

6.1 Social Desirability/ Impact of the Project

The project will benefit not only the farmers but also the Pangasinan duck raisers in

general. Furthermore, the community residents and the salted egg consumers will be benefited in

terms of increasing egg supply with high quality product.

Since the primary goals and objectives of the project is to increase farmers income, the

proposed project will support enhanced the income generating head of its beneficiaries. In part of

the salted egg consumers assurances is real.

The project could be too appointed as training ground for enterprising individuals and as

venue for duck technology improvement researches.

Increases household Income

The project would create backward linkage in terms of employment through the
establishment of the proposed project, employment be generated in the said community. Also,
the proposed project will contribute to the final consumer and local economic growth through the
raw material such as egg, meat that will promote the proliferation of the food establishments like
fast food center and processors.

Increased Farm Income

Since the proposed project will engaged in an arrangement to the interested and qualified
farmer, it is expected that the farmers income will improved significantly. This is because of the
cheaper input that will provide by the proposed project.

Import Savings
The establishment of the proposed project will help augment egg and meat supply in the
Pangasinan. This will reduced the continuous importation of egg and meat supply in other
country.

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Increased Nutritional Status
On the social aspect, the project will include the provision for better nutritional
consequently, better health result for a better quality of life.

Environmental Contribution
There will be no environmental pollution and community disturbance because the project
will follow a strict disposal system and government policy.

7.0 OPERATIONAL PLAN

On the first five years in operating the project, the processing center will be preparing for
the dispersal of ducks the processing center will be located at San Nicolas, which has 33
Barangay, we have a fifty beneficiaries that will receive the total number of 50 ducks. Farmers
that will be given a duck will be selected through their capability of raising duck, every farmer
are requiring to get egg every morning and give it to the center for the salted egg processing
purpose. The supervisor will be supervise the farmers in daily process of the ducks and the
marketing are at least twice a week to maintain the operation. Processing of salted egg will be
every day, delivering of packaged products to the outlets will be twice a week.
To lessen the mortality of ducks, labourers must have a better knowledge about proper
care of the ducks. Ineffective supervising for the labourers and farmers, the farm manager must
be strictly on every operation in the farm. The duck’s house should be elevated to avoid diseases,
floods effect by Unpredictable weather. Spoilage of product can be lessening by producing
enough quantity of egg product base on the predictable demand of consumers in the specific
location of the outlet.

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