I’m an OFW planning to start up small business for good. As I tried to calculate the cost, I found out that feeds are the most critical thing. In my hometown, a 50kg bag of feeds costs an average of PHP2000.
In which, it will end up to no gain or even losses. As of the moment, I don’t have any network and less knowledge regarding this business. I plan to start up in my hometown, Baguio City, probably 6 months from now.
I want to ask, where can I purchase low cost feeds with at least average to good quality?
Thank you very much in advance. God Bless.
Jerry (via Ask Geri email)
Thank you for your question. To be honest, my connections and networks are also limited, mostly coming from Batangas only where we started the small piggery venture. Nonetheless, I opted to publish your queries just to get it out there and who knows someone might be in a better position to help you.
It’s good that you’re doing some numbers crunching before you dive into any business. The cost of feeds you quoted is indeed almost twice the price of what we’re getting in Batangas. And at the price we’re getting the feeds in Batangas, the returns were actually thin already (hence I have yet to return to piggery business as of this writing). It can be argued through that there are much more hog growers in Batangas than in Baguio (I assume), hence competition is stiffer, hog selling prices are lower while feed prices are also lower. Basic supply and demand.
We just have a local supplier, Busilac Feedmills, for the feeds. My relatives are the ones who go there to order feeds and arrange for delivery but you might want to get in touch with them through the internet just in case. Still, it’s far from Baguio.
I assume you have also searched the internet for other feeds suppliers who might be more proximate to your location and arrange for deliveries if you’re buying in bulk. Likewise, you didn’t mention it but getting directly from more known feeds producers (such as a former PBA team, or those who have commercials) might sometimes be cheaper (due to economies of scale) in case they have accredited distributors. Most likely it’s really the location that’s driving up feeds prices.
Who know’s this might pave the way for you to be a local distributor of feeds in Baguio, with more affordable prices, instead of a hog raiser? Goodluck and God bless on your venture.
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