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A,SA RIA L S.A. A SESORAMIENTO EMPR ESA AGEN:CY FOR I NTERNAT IONAL DEVELOPH NT CONTRACT No, 511-0003-C-00-3005-01 PROJECT No, 5 11-0000,01-3-33011 ADDEN DUM TO i11E CATTLE FEASIBIjLITY STUDY IN Tile CHAPARE INVOLVINIG TH-!E PARTICIPATiON 0F TH;E S IALL FARIERS OF TH!E REGION MAYO 1983 CALLA 2376. LA PAZ, BOLIVIA VENEZUELA No. 1440.TULPI. 31110793541146 IDI PICIO HERMANN PIlO 1 -PLAZA

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A SA RIA L SAA SESORAMIENTO EMPR ESA

AGENCY FOR INTERNAT IONAL DEVELOPHNT

CONTRACT No 511-0003-C-00-3005-01

PROJECT No 511-000001-3-33011

ADDEN DUM TO i11E CATTLE FEASIBIjLITY STUDY

INTile CHAPARE INVOLVINIG TH-E PARTICIPATiON

0F THE SIALL FARIERS OF THE REGION

MAYO 1983

CALLA 2376 LA PAZ BOLIVIA VENEZUELA No 1440TULPI 31110793541146

IDI PICIO HERMANN PIlO 1 -PLAZA

EMPRESARIAL SAASESORAMIENTO

C 0 N T E N T S

1I INTRODUCTION

3I ASSESS=T OF CATTLE ACTIVITIES

3A Cattle Ranches

8B Small Farms

10C Conclusions lu1 Cattle Ranches 112 Small Farms

13D Recommendatioiis

131 Cattle Ranches 14

2 Small Farms

17II CATTLE DEVELOPMENT FUND

A Background and Justification 17

19 B General Description

20 C Cattle IHerd Development

201 Cattle

20 2 Costs

203 Program

21 D Financial Projections

21 1 Infrastructure Requirements

2 Fixed Capital Requirements 22

Operating Capital Requirements 22

3

4 Financing Reauirements 23

24 E Financial Analysis

24 1 Cash Flows

24 2 Net Present Value

3 Internal Rate of Return 25

25 F Conclusions

ASESORAMIENTO EMPRESARIAL SA

C O N T E N T S (CONT)

Paco

27IV SMALL FARMER MODULE

27A Module Description 27

B Small Farmer Requirements 28

C Assumptions

D Module Program 31

E Conclusions

ANNEXES

Cattle Development Fund Herd Development 32

ANNEX A

Cattle Development Fund Capital Requirements 32

ANNEX B

ANNEX C Cattle Development Fund Cattle Flow and Repayment

34Schedule

ANNEX D Cattle Development Fund Financial Analysis 35

36Small Farmer Capital RequirementsANNX E 37Farmer Iferd DevelopmentAN1EX F Small 38

ANNEX G Sma2 I Farmer Financial Analysis

39ANNEX II Description of Modules

47 ANNEX i Bulletin CIAT Brachiaria Decumbens

ANNEX J Bulletin CIAT Pasture Management 50

ANNEX K Design for Small Corral and Shute 5 mts x 5 mts 60

mts 61ANNEX L Design for Small Corral and Shute 10 mts x 10

ANNEX M Regional Map Chapare 62

ASESORAMIENTO EMPRISARIAL SA

I INTRODUCTION

The study carried out by AESA to determine the feasibility

of undertaking cattle fattening activities in the Chapare gave

negaLive results 1 This study centered around the firm

Uni6n Agr cola Ganadera SA (UNAG) derermined that at prclnt

cattle fattening activitiesit is not profitable to undertake

in the Chapare neither at the private firm or small farm level

At the private firm level it is not advisable to invcsL in

mainly due to the high imaplemeintashya cattle fattening project

tion costs (ie land clearing pasture establishment fcncin)

At the small farmer level cattle fattening activities are not

ample supplies of cattle Beni

feasible because at present there does not exist an adequLtc

source of supply of easily handled steers Even though thcrLc arce

in the that could be transport-ed

to and fattened in the Chapare these cattle cannot be handled

by small farmers in the Ciapare this is so because the Bcni

areas and handled by cowboyscattle are used to grazing in large

This document is a complement to the cattle fattening feasi

bility study and contains a proposal to implement a double

purpose cattle program for the small farmers in the Chapare

This program is expected to be included in the Chapare Regional

is presently elabou-atinkjDevelopment Project paper that the AID

1 Feasibility study by AESA (Asesoramiento Empresarial SA)

for the establishment of a CatLle Fattening Center in the Cha

pare involving the participation of the Small Farmers of the

Region - April 1983

-2-

Section II presents an assessment of cattle activities

in the Chapare which consider both cattle ranches and sill

set of c and rucomshyonclusionscattlemen In this assessment a

mendations are derived The proposed double purpose program

for the Chapare is presented in Section III and IV

Section III (Cattle Development Fund) describes the insshy

titution that will administer the Project and Section IV

describes the Small Farmer Module

ASESORA MIEN7O EAIRESA RIA L SA

-3-

II ASSESSMENT OF CATTLE ACTIVITIES

A CATTLE RANCHES

1 Manicone

This property whose owner is Mr Nicola Manicone is

of Villa Tunari (region 7) on thelocated 55 kins west on

road to Puerto Villarroel Land clearing activities

Lhis ranch begjan in 1978 Some thirteen hectares of

have been etablished in the lastbrachiaria paLures

thee hectares were establishedthrec years Of -even condishy

using brachiaria seed imported from Brazil the

landstion of these three-year old pastures on hIilly

Another six huctaresis excellent due to good management

were planted using brachiaria seed provided by S1FO t

a total a price of $b 4500kg taee pastures were

failure inasmuch an the qermination rate was neu iibie

thireen hectares of esuabiishedIn addition to the

tre are five hccLtcs of natural pasturUspastures

has 53 head of cL t of Wiamp [chThis ranch presently

is a total of37 are adults Considerin that there

eighteen hectare of imiprovud and natural pastures

has an anima lhec tare ratio of 25 A iuppl_th is ranch

kgjs of rice branr permentary fued cattle are given 25

animal are also given sufficienthead per week The at nigh tsupplie of ilL and ire k t in a corral

head of cubu cattle were trucked froii SntaTwenty five because of inadccJuateCruz of which nine died on the way

twenty 1lolstoins weretransportation Additionally

SAASESORAMIENTO EMIPRESARIAL

-4shy

brought from Cochabamba of which eight died as a

consequence of tick born diseases and climate The

remaining group of twelve cebu cows from Santa Cruz

were imported two months ago but are still wild and

afraid of people The condition of Manicones cattle

in general was observed to be excellent Cattle are

mostly docile even though they are handled by an indishy

vidual with limited experience and training Technical

and veterinary assistance is provided by Dr H Mogroshy

ve3o of MACA

This breeding operation is oriented to the production

of beef this is why current milkcheese production is

to clear some additionalminimal The owner expects

30-40 hectares to increase the size of his pasturelands

and herd At present he is not interesed in participatshy

ing in a steerfattening project

2 Aurora

The owners of this property are Ing Hector Vargas and

Mathias Bentrop who also operate the Centra Agropecuashy

rio Los Andes in the city of Cochabamba As in other

cases the principal income generating activities of

these individuals do not appear to be cattl growing

Aurora is located in the Chimor6 area (reqion 8) Thu

operation wa tarLud in 1976 on a 900 huctare concu-ion

Presently Lhere arc ome 200 hectares of cleared larnd

and about 160 hectlareui with iproved pIasturus Ptue

imlnplantation co t[ have reportedlv been hiteh ciu-s1

land clearing machinery fertilizer and lime were ucl

Twenty hectares of a brachiariakuJzu association estashy

blished four years ago were found o be in good condition

EMPRESARIAL SAASESORAMIENTO -5-

No drainage problems were found with the exception

of the lower pastures

The operation was started with 70 head cf cross bred

cebu cattle brought froi Beni for fattening Reportedly

there was much difficulty in handling the generally

wild-Beni cattle Because of this problem fattening

activities were discontinued At present Aurora has

90 head of cattle brought from Beni for both breeding

and fattening purposes

During the last three years Aurora has not been able to

excessivesow new pastures because of lack of labor and

rainfall Some sixty hectares are reidy for sowing

when weather permits The owners of Aurora expressed that

they entered the Chapare with limited knowledqe ana

experience i pasture and cattle management However

by now they believe to have learned enough to look conshy

fidently into the future At present because of t-hir

expansion plans they are not interested in particishyown

pating in any steer fattening projects nor in selling

or renting their property

3 Olmos

a cattle breeding operation whichMr German Olinos has

(region 8)is located 7 kins north-east of Valle Ivirza

lie has twenty five two-three year old cows and onu bull

which wuer brought from Beni when they were eight 1onths

old It was noted that of the initial shipmunt from leni

died as a consequence of poor transportaLionseven head

conditions

This property consists of a 200-hectare concession of

ASESORA MlENTO EAIIRESARIAL SA

-6shy

which twenty are cleared Four hectares of stargrass

pasture in excellent condition and two hectares of nashy

tural pasture were observed A total of fourteen hecta

res of rice were harvested this year with a yield of

some 500 quintales

Reportedly Mr Olmos plans to sow twenty additional

hectares of stargrass pasture It has not been determishy

ned whether he could be interested in participating in

any steer breedincfattening projects h1owever his proshy

perty is considered to be too small and inadequately

located to be able to play a significant role in a major

cattle project for the Chapare

4 Codex

Codex a private development group which is financed by

some western European donors has a 900-hectare concesshy

sion the Valle Ivirza area At present they have

100 hecCLAi -if natural pastures and 110 head uf cattle

Both )aILur -nd cattle were observed to be in poor

condiJion AI present its executives are seeking donashy

tion ftid Lo continue their operations

Coikx At ishments in the field are raLher liimited

Its main iol t is centered around a muaicail post i-

Valle IviLZ -iich provide a valu ibl service Lo the

pjea i pop)ula lJ of the area However at presenu the

organization lack the necessary managerial and technical

expertise to operate cattle breedingfattening activities

5 Aq roscij t

In order to obtain a $b 250000 loan from BAD to purchase

barbed wire in 1978 eight peasants formed the Sociudad

ASESORAMtENITO EMIRISA RIA L SA

-7 -

Cooperativa Agro-Forestal Sajta located 11 kms southshy

east of Valle Ivirza Each one of the members of this

organization has approximately one hundred hectares

One of the members is Rc erto Fiesta who has eighty

head of adult cattle and fifteen hectares of natural

yearsgrassland iiproved pastures were sown seven ago

but due to heavy stocking have been mostly lost The

excellentcondition of the animals was observed to be

being adequately handled and fed The existing natural

in condition to overstockingpastures are good but due

they are will become useless in the near future However

Mr Fiesta reported that the cnoperative members are

planning to etblish one hundred additional hectares

of pastures This farmer showed much interest in ruceiv

ing technical assistance According to BAB Mr Flieta

has proven to be one of their best clients Because of

these reasons this farmer could be usefully employed

as a paraprofessional in cattle-related activities in

the Valle Ivirza area

Another cooperative member is N Chac6n who has 120

fifteen hectares of natural grasslandhead of cattle and

This farmer has one hectare of merkeron grass which has

not yet been grazed In general the natural gras slands

of this farmer were obs-erved to be in bad condition due

mainly to inadequate management and overs tocki ng

In a 11 the rilnchu of the coope rat ive membe r it was

machineryobserved that land was cleared without with

no treenumerous tree trunk left in the field but

left to provide hade for the cattle In all ca the

source of the animals was identified as the Cochabatiba

valley and that they had originally suffered heavy lossshy

as from tick born diseases and climate

ASESORAMIENTO EMPRESARIAL SA

5 San Mateo

This 420-hectare property located 12 kms northwest

of Ibuelo initially belonged to Franz E Mthler who

developed it gradually util it had one hundred hectares

of pasturolandn HIoaever because of his inability to

pay back a bank loan this property was taken over by

the Banco do Brasil which is the present owner Reportshy

edly the bank intends to sell the property at a price

of $b 40000ha

After a visit to this property it was seen that no

pasturelands remain all of them havi~ig been covered

with secondary foreL growth However most of the barbed

wire fences remain in place

6 flatunchaco

This propurty belongs to some of the Directors of the

Banco do Cochabaiba It is located 30 km north of the

Chipiriri experimental station (area 4) and it i 200

area some W)ortshyhectares in with 100 hectares clared

edly this group is short of capital for purchasing catshy

tle

B SMALL FARMS

1 Farm a

This farm Is located in Chimor6 - Senda A its owner

being ia mumber of the Asociaci6n do Ganaderos d Chinioshy

r6

It was observed that the farm ha 34 ha of kudzu asshy

sociated with brachiaria In excellent condition and

ASESORAMtlINIO EMPRESARIAL SA

-9 shy

two cows one 1Holstein and one Brown Swiss cebu cross

provided by the heifer project The condition of these

animals was considored to be excellent

to be Ltthered for pasturing beingCattle were seen

takea care of by female members of the family and chil

dren It was expressed by the woman in charge of the

animals that the principal constraints that limit the

the lack of barbed wire forincrease of this here is

fencing She indicated much interest in obtaining

credit for the purchase of wire

2 Farm b

some two kms west of ShinahotaThis farm is located

Its owner has both pigs and cattle The pigs are bred

and fattened in a rudimentary fashion and the cattle

are held only for short periods of time to be louqhtshy

cred and sold to restaurants in Shinahota Obviousl

bol an-i cattle as secondary activithis farm has pijs

)uld not be considered in the implementationties and si

of any of the modules

3 Farm c

from La Jota ExperimentThis farm is located across

Staton and belongs to a religious peasant who do(- not

grow any kind of stimulant (eq coca tea coffee)

he ha s eciali ted i the p)roducLion of ba nana tomashy

toos all(d WLurltwlons An ouLL(inl q two-hectaro j)105shy

tation of bnanas -ociLtd with kudzu Wa o1)---siV(d

at this farm Thu ava ilable kudzu is us d to f-ed four

in gcod conditioncows which were seen to be

SAASISORAMI-NiO JA1MIRESARIAL

- 10 -

C CONCLUSIONS

1 Cattle Ranches

a All present large scale (gt 20 head) cattle activishy

ties in the Chapare are of a breedinq nature speci

fically there are no large-scale fattening activishy

ties

are from the rvjionsb The principil sourcet- of cattle

of Purists Arani and Cliza Ineothorjic valleys and

the Depirtment of Santa Cr

C The most polpular typ -f paLture in the Chapa re i

and kudzu Lill]per orlnan aSOCi LiOfl Of bt i

well with good r nt (ic fiel d rotZLion

p urinig ni(ht and rainy day

weeding etc) With proper fldfld(omeiQ U t i i8 tutishy

ma td that e8 illdLUn the Cha rC CAnl 11t f roIA

prevention of la at on-

eiyhtL Z(Ier ears

d The ue ul I ampciInll(17 for land clearin o088 arit

and adviilbh if it is perforited in accordace wi th

Wc- lh kaldtechnical criLria (ie not duri ng WkL

care not to detroy natural drainage wyiln8taking

etc)

a Wire fence are nucusiary for cattl brcudingiashy

tening activitLi in the Chapare

f Puromiel einp loyc(d to operate ratnch t v inotly

frOZl tiiiw li

g In gunwra l rincle do not have corra l or cruhe

ill the Clhai y Wtelfo i t-Iartcdh Exi tLIll(I cattt1 e r a nche t

as marginal uconldary act itiiLn by litiople wloc 0

__

IEORA4M1VNTO AUPRESBid L $-As4~~ MX

deg r

main sources of income are in other areas and who have generally speaking lacked sufficient technical expertise and financing These existing ranches are not profitable

i At present no large-scale cattle growingfattening operation in the Chapare can be profitable because of the high investment costs i6 land clearing pasture establishment and the construction of tho

necessary infrastructure

2 Small Farms

a Cattle in the Chapare are predominantly crosses of

Holstein and criollo breeds bought in the Cochabam

ba valleys There are also some head of Brown Swiss

oebu cattle brought from Santa Crux these are doing

extremely well In the Chapare

b Mortality rates among pure Holstains are high (S0)

especially among those animals which are brought

Into the Chapare without being previously Immunized

Some cattle brought from the Msothermic valleys

were observed to be resistant to tick related disa

goe

a The association of brachiaria and kudzu is predomi-ss

nant in the region With proper management these

pastures can be kept In excellent condition for up

to ton years In general small farmers keep their

pastures In better condition than the larger cattle ranches

d Pastures do not have an enough largo trees left to

provide shade for cattle

SAASESORAMIENTO EMPRESARIAL

- 12 shy

e Pastures generally have adequate supplies of water

for cattle

f Cattle are tended by the female members of the fashy

mily as well as by children

g In general farmers do not have corrals crushes

or fencing because of this cattle breedingfattenshy

ing activities require increased time and effort

from peasant families

h Sanitary care for small cattle growers is provided

by Dr 11 Mogrovejo and Mr Rom6n sxllca a peasant

from the ChimorC area This care involves monthly

spraying against tick and yearly vaccinations

against foot and mouth disease rabies and anthrax

Adult cows are vaccinated against brucelosis Anishy

mals are no treated for parasites nor are they

castrated

i Small farmc s prefer to purchase breeding heifers

rather than steers for fattening or oxen for animal

traction

j The average size of pastures is estimated to range

between 12 to 2 12 hectares while the stocking

rate is estimated to be two head per hectare of

pasture

k rhe principal limiting constraints to the developshy

ment of cattle breedingfattening activities in the

Chaparu are the lack of efficient channels for the

provision of fencing wire animals and grass seeds

of poor animal quality and inadequate pastu1 Because

ros milk production is minimal

SAASESORAMIENTO EMPRESARIAL

- 13 -

D RECOMMENDATIONS

1 Cattle Ranches

a These ranches should modify their current opera

tions moving to steer fattening rather than breedshy

ing By doing this they would make better prcGits

this is so because these operations already have

cleared lands fences and established pastures

Appropiate steers for fattening can be obtained

in the Department of Beni

b With reference to pastures with proper management

there are few problems For ranches with more than

20 hectares of pastures it is recommended that

weed control be done with tractors It is also

recommended that brachiaria associated with kudzu

pastures are best suited to the area

c If cattle are brought from the Beni to start with

they should be handled by personnel with horses

d Adequate corrals with crushes should be constructshy

ed in all ranches to facilitate sanitary control

and vaccinations Likewise pastures should be

properly divided by fences to make rotation posshy

sible

e Steers brought from Beni should be castrated one

month after arrivil vaccinated against foot and mouth

a yeardisease three times a year against rabies once

and against hematic carbuncle once a year sprayed

against tick when considered necessary treacd for

parasites and provided with adequate supplies of

mineral salts

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

EMPRESARIAL SAASESORAMIENTO

C 0 N T E N T S

1I INTRODUCTION

3I ASSESS=T OF CATTLE ACTIVITIES

3A Cattle Ranches

8B Small Farms

10C Conclusions lu1 Cattle Ranches 112 Small Farms

13D Recommendatioiis

131 Cattle Ranches 14

2 Small Farms

17II CATTLE DEVELOPMENT FUND

A Background and Justification 17

19 B General Description

20 C Cattle IHerd Development

201 Cattle

20 2 Costs

203 Program

21 D Financial Projections

21 1 Infrastructure Requirements

2 Fixed Capital Requirements 22

Operating Capital Requirements 22

3

4 Financing Reauirements 23

24 E Financial Analysis

24 1 Cash Flows

24 2 Net Present Value

3 Internal Rate of Return 25

25 F Conclusions

ASESORAMIENTO EMPRESARIAL SA

C O N T E N T S (CONT)

Paco

27IV SMALL FARMER MODULE

27A Module Description 27

B Small Farmer Requirements 28

C Assumptions

D Module Program 31

E Conclusions

ANNEXES

Cattle Development Fund Herd Development 32

ANNEX A

Cattle Development Fund Capital Requirements 32

ANNEX B

ANNEX C Cattle Development Fund Cattle Flow and Repayment

34Schedule

ANNEX D Cattle Development Fund Financial Analysis 35

36Small Farmer Capital RequirementsANNX E 37Farmer Iferd DevelopmentAN1EX F Small 38

ANNEX G Sma2 I Farmer Financial Analysis

39ANNEX II Description of Modules

47 ANNEX i Bulletin CIAT Brachiaria Decumbens

ANNEX J Bulletin CIAT Pasture Management 50

ANNEX K Design for Small Corral and Shute 5 mts x 5 mts 60

mts 61ANNEX L Design for Small Corral and Shute 10 mts x 10

ANNEX M Regional Map Chapare 62

ASESORAMIENTO EMPRISARIAL SA

I INTRODUCTION

The study carried out by AESA to determine the feasibility

of undertaking cattle fattening activities in the Chapare gave

negaLive results 1 This study centered around the firm

Uni6n Agr cola Ganadera SA (UNAG) derermined that at prclnt

cattle fattening activitiesit is not profitable to undertake

in the Chapare neither at the private firm or small farm level

At the private firm level it is not advisable to invcsL in

mainly due to the high imaplemeintashya cattle fattening project

tion costs (ie land clearing pasture establishment fcncin)

At the small farmer level cattle fattening activities are not

ample supplies of cattle Beni

feasible because at present there does not exist an adequLtc

source of supply of easily handled steers Even though thcrLc arce

in the that could be transport-ed

to and fattened in the Chapare these cattle cannot be handled

by small farmers in the Ciapare this is so because the Bcni

areas and handled by cowboyscattle are used to grazing in large

This document is a complement to the cattle fattening feasi

bility study and contains a proposal to implement a double

purpose cattle program for the small farmers in the Chapare

This program is expected to be included in the Chapare Regional

is presently elabou-atinkjDevelopment Project paper that the AID

1 Feasibility study by AESA (Asesoramiento Empresarial SA)

for the establishment of a CatLle Fattening Center in the Cha

pare involving the participation of the Small Farmers of the

Region - April 1983

-2-

Section II presents an assessment of cattle activities

in the Chapare which consider both cattle ranches and sill

set of c and rucomshyonclusionscattlemen In this assessment a

mendations are derived The proposed double purpose program

for the Chapare is presented in Section III and IV

Section III (Cattle Development Fund) describes the insshy

titution that will administer the Project and Section IV

describes the Small Farmer Module

ASESORA MIEN7O EAIRESA RIA L SA

-3-

II ASSESSMENT OF CATTLE ACTIVITIES

A CATTLE RANCHES

1 Manicone

This property whose owner is Mr Nicola Manicone is

of Villa Tunari (region 7) on thelocated 55 kins west on

road to Puerto Villarroel Land clearing activities

Lhis ranch begjan in 1978 Some thirteen hectares of

have been etablished in the lastbrachiaria paLures

thee hectares were establishedthrec years Of -even condishy

using brachiaria seed imported from Brazil the

landstion of these three-year old pastures on hIilly

Another six huctaresis excellent due to good management

were planted using brachiaria seed provided by S1FO t

a total a price of $b 4500kg taee pastures were

failure inasmuch an the qermination rate was neu iibie

thireen hectares of esuabiishedIn addition to the

tre are five hccLtcs of natural pasturUspastures

has 53 head of cL t of Wiamp [chThis ranch presently

is a total of37 are adults Considerin that there

eighteen hectare of imiprovud and natural pastures

has an anima lhec tare ratio of 25 A iuppl_th is ranch

kgjs of rice branr permentary fued cattle are given 25

animal are also given sufficienthead per week The at nigh tsupplie of ilL and ire k t in a corral

head of cubu cattle were trucked froii SntaTwenty five because of inadccJuateCruz of which nine died on the way

twenty 1lolstoins weretransportation Additionally

SAASESORAMIENTO EMIPRESARIAL

-4shy

brought from Cochabamba of which eight died as a

consequence of tick born diseases and climate The

remaining group of twelve cebu cows from Santa Cruz

were imported two months ago but are still wild and

afraid of people The condition of Manicones cattle

in general was observed to be excellent Cattle are

mostly docile even though they are handled by an indishy

vidual with limited experience and training Technical

and veterinary assistance is provided by Dr H Mogroshy

ve3o of MACA

This breeding operation is oriented to the production

of beef this is why current milkcheese production is

to clear some additionalminimal The owner expects

30-40 hectares to increase the size of his pasturelands

and herd At present he is not interesed in participatshy

ing in a steerfattening project

2 Aurora

The owners of this property are Ing Hector Vargas and

Mathias Bentrop who also operate the Centra Agropecuashy

rio Los Andes in the city of Cochabamba As in other

cases the principal income generating activities of

these individuals do not appear to be cattl growing

Aurora is located in the Chimor6 area (reqion 8) Thu

operation wa tarLud in 1976 on a 900 huctare concu-ion

Presently Lhere arc ome 200 hectares of cleared larnd

and about 160 hectlareui with iproved pIasturus Ptue

imlnplantation co t[ have reportedlv been hiteh ciu-s1

land clearing machinery fertilizer and lime were ucl

Twenty hectares of a brachiariakuJzu association estashy

blished four years ago were found o be in good condition

EMPRESARIAL SAASESORAMIENTO -5-

No drainage problems were found with the exception

of the lower pastures

The operation was started with 70 head cf cross bred

cebu cattle brought froi Beni for fattening Reportedly

there was much difficulty in handling the generally

wild-Beni cattle Because of this problem fattening

activities were discontinued At present Aurora has

90 head of cattle brought from Beni for both breeding

and fattening purposes

During the last three years Aurora has not been able to

excessivesow new pastures because of lack of labor and

rainfall Some sixty hectares are reidy for sowing

when weather permits The owners of Aurora expressed that

they entered the Chapare with limited knowledqe ana

experience i pasture and cattle management However

by now they believe to have learned enough to look conshy

fidently into the future At present because of t-hir

expansion plans they are not interested in particishyown

pating in any steer fattening projects nor in selling

or renting their property

3 Olmos

a cattle breeding operation whichMr German Olinos has

(region 8)is located 7 kins north-east of Valle Ivirza

lie has twenty five two-three year old cows and onu bull

which wuer brought from Beni when they were eight 1onths

old It was noted that of the initial shipmunt from leni

died as a consequence of poor transportaLionseven head

conditions

This property consists of a 200-hectare concession of

ASESORA MlENTO EAIIRESARIAL SA

-6shy

which twenty are cleared Four hectares of stargrass

pasture in excellent condition and two hectares of nashy

tural pasture were observed A total of fourteen hecta

res of rice were harvested this year with a yield of

some 500 quintales

Reportedly Mr Olmos plans to sow twenty additional

hectares of stargrass pasture It has not been determishy

ned whether he could be interested in participating in

any steer breedincfattening projects h1owever his proshy

perty is considered to be too small and inadequately

located to be able to play a significant role in a major

cattle project for the Chapare

4 Codex

Codex a private development group which is financed by

some western European donors has a 900-hectare concesshy

sion the Valle Ivirza area At present they have

100 hecCLAi -if natural pastures and 110 head uf cattle

Both )aILur -nd cattle were observed to be in poor

condiJion AI present its executives are seeking donashy

tion ftid Lo continue their operations

Coikx At ishments in the field are raLher liimited

Its main iol t is centered around a muaicail post i-

Valle IviLZ -iich provide a valu ibl service Lo the

pjea i pop)ula lJ of the area However at presenu the

organization lack the necessary managerial and technical

expertise to operate cattle breedingfattening activities

5 Aq roscij t

In order to obtain a $b 250000 loan from BAD to purchase

barbed wire in 1978 eight peasants formed the Sociudad

ASESORAMtENITO EMIRISA RIA L SA

-7 -

Cooperativa Agro-Forestal Sajta located 11 kms southshy

east of Valle Ivirza Each one of the members of this

organization has approximately one hundred hectares

One of the members is Rc erto Fiesta who has eighty

head of adult cattle and fifteen hectares of natural

yearsgrassland iiproved pastures were sown seven ago

but due to heavy stocking have been mostly lost The

excellentcondition of the animals was observed to be

being adequately handled and fed The existing natural

in condition to overstockingpastures are good but due

they are will become useless in the near future However

Mr Fiesta reported that the cnoperative members are

planning to etblish one hundred additional hectares

of pastures This farmer showed much interest in ruceiv

ing technical assistance According to BAB Mr Flieta

has proven to be one of their best clients Because of

these reasons this farmer could be usefully employed

as a paraprofessional in cattle-related activities in

the Valle Ivirza area

Another cooperative member is N Chac6n who has 120

fifteen hectares of natural grasslandhead of cattle and

This farmer has one hectare of merkeron grass which has

not yet been grazed In general the natural gras slands

of this farmer were obs-erved to be in bad condition due

mainly to inadequate management and overs tocki ng

In a 11 the rilnchu of the coope rat ive membe r it was

machineryobserved that land was cleared without with

no treenumerous tree trunk left in the field but

left to provide hade for the cattle In all ca the

source of the animals was identified as the Cochabatiba

valley and that they had originally suffered heavy lossshy

as from tick born diseases and climate

ASESORAMIENTO EMPRESARIAL SA

5 San Mateo

This 420-hectare property located 12 kms northwest

of Ibuelo initially belonged to Franz E Mthler who

developed it gradually util it had one hundred hectares

of pasturolandn HIoaever because of his inability to

pay back a bank loan this property was taken over by

the Banco do Brasil which is the present owner Reportshy

edly the bank intends to sell the property at a price

of $b 40000ha

After a visit to this property it was seen that no

pasturelands remain all of them havi~ig been covered

with secondary foreL growth However most of the barbed

wire fences remain in place

6 flatunchaco

This propurty belongs to some of the Directors of the

Banco do Cochabaiba It is located 30 km north of the

Chipiriri experimental station (area 4) and it i 200

area some W)ortshyhectares in with 100 hectares clared

edly this group is short of capital for purchasing catshy

tle

B SMALL FARMS

1 Farm a

This farm Is located in Chimor6 - Senda A its owner

being ia mumber of the Asociaci6n do Ganaderos d Chinioshy

r6

It was observed that the farm ha 34 ha of kudzu asshy

sociated with brachiaria In excellent condition and

ASESORAMtlINIO EMPRESARIAL SA

-9 shy

two cows one 1Holstein and one Brown Swiss cebu cross

provided by the heifer project The condition of these

animals was considored to be excellent

to be Ltthered for pasturing beingCattle were seen

takea care of by female members of the family and chil

dren It was expressed by the woman in charge of the

animals that the principal constraints that limit the

the lack of barbed wire forincrease of this here is

fencing She indicated much interest in obtaining

credit for the purchase of wire

2 Farm b

some two kms west of ShinahotaThis farm is located

Its owner has both pigs and cattle The pigs are bred

and fattened in a rudimentary fashion and the cattle

are held only for short periods of time to be louqhtshy

cred and sold to restaurants in Shinahota Obviousl

bol an-i cattle as secondary activithis farm has pijs

)uld not be considered in the implementationties and si

of any of the modules

3 Farm c

from La Jota ExperimentThis farm is located across

Staton and belongs to a religious peasant who do(- not

grow any kind of stimulant (eq coca tea coffee)

he ha s eciali ted i the p)roducLion of ba nana tomashy

toos all(d WLurltwlons An ouLL(inl q two-hectaro j)105shy

tation of bnanas -ociLtd with kudzu Wa o1)---siV(d

at this farm Thu ava ilable kudzu is us d to f-ed four

in gcod conditioncows which were seen to be

SAASISORAMI-NiO JA1MIRESARIAL

- 10 -

C CONCLUSIONS

1 Cattle Ranches

a All present large scale (gt 20 head) cattle activishy

ties in the Chapare are of a breedinq nature speci

fically there are no large-scale fattening activishy

ties

are from the rvjionsb The principil sourcet- of cattle

of Purists Arani and Cliza Ineothorjic valleys and

the Depirtment of Santa Cr

C The most polpular typ -f paLture in the Chapa re i

and kudzu Lill]per orlnan aSOCi LiOfl Of bt i

well with good r nt (ic fiel d rotZLion

p urinig ni(ht and rainy day

weeding etc) With proper fldfld(omeiQ U t i i8 tutishy

ma td that e8 illdLUn the Cha rC CAnl 11t f roIA

prevention of la at on-

eiyhtL Z(Ier ears

d The ue ul I ampciInll(17 for land clearin o088 arit

and adviilbh if it is perforited in accordace wi th

Wc- lh kaldtechnical criLria (ie not duri ng WkL

care not to detroy natural drainage wyiln8taking

etc)

a Wire fence are nucusiary for cattl brcudingiashy

tening activitLi in the Chapare

f Puromiel einp loyc(d to operate ratnch t v inotly

frOZl tiiiw li

g In gunwra l rincle do not have corra l or cruhe

ill the Clhai y Wtelfo i t-Iartcdh Exi tLIll(I cattt1 e r a nche t

as marginal uconldary act itiiLn by litiople wloc 0

__

IEORA4M1VNTO AUPRESBid L $-As4~~ MX

deg r

main sources of income are in other areas and who have generally speaking lacked sufficient technical expertise and financing These existing ranches are not profitable

i At present no large-scale cattle growingfattening operation in the Chapare can be profitable because of the high investment costs i6 land clearing pasture establishment and the construction of tho

necessary infrastructure

2 Small Farms

a Cattle in the Chapare are predominantly crosses of

Holstein and criollo breeds bought in the Cochabam

ba valleys There are also some head of Brown Swiss

oebu cattle brought from Santa Crux these are doing

extremely well In the Chapare

b Mortality rates among pure Holstains are high (S0)

especially among those animals which are brought

Into the Chapare without being previously Immunized

Some cattle brought from the Msothermic valleys

were observed to be resistant to tick related disa

goe

a The association of brachiaria and kudzu is predomi-ss

nant in the region With proper management these

pastures can be kept In excellent condition for up

to ton years In general small farmers keep their

pastures In better condition than the larger cattle ranches

d Pastures do not have an enough largo trees left to

provide shade for cattle

SAASESORAMIENTO EMPRESARIAL

- 12 shy

e Pastures generally have adequate supplies of water

for cattle

f Cattle are tended by the female members of the fashy

mily as well as by children

g In general farmers do not have corrals crushes

or fencing because of this cattle breedingfattenshy

ing activities require increased time and effort

from peasant families

h Sanitary care for small cattle growers is provided

by Dr 11 Mogrovejo and Mr Rom6n sxllca a peasant

from the ChimorC area This care involves monthly

spraying against tick and yearly vaccinations

against foot and mouth disease rabies and anthrax

Adult cows are vaccinated against brucelosis Anishy

mals are no treated for parasites nor are they

castrated

i Small farmc s prefer to purchase breeding heifers

rather than steers for fattening or oxen for animal

traction

j The average size of pastures is estimated to range

between 12 to 2 12 hectares while the stocking

rate is estimated to be two head per hectare of

pasture

k rhe principal limiting constraints to the developshy

ment of cattle breedingfattening activities in the

Chaparu are the lack of efficient channels for the

provision of fencing wire animals and grass seeds

of poor animal quality and inadequate pastu1 Because

ros milk production is minimal

SAASESORAMIENTO EMPRESARIAL

- 13 -

D RECOMMENDATIONS

1 Cattle Ranches

a These ranches should modify their current opera

tions moving to steer fattening rather than breedshy

ing By doing this they would make better prcGits

this is so because these operations already have

cleared lands fences and established pastures

Appropiate steers for fattening can be obtained

in the Department of Beni

b With reference to pastures with proper management

there are few problems For ranches with more than

20 hectares of pastures it is recommended that

weed control be done with tractors It is also

recommended that brachiaria associated with kudzu

pastures are best suited to the area

c If cattle are brought from the Beni to start with

they should be handled by personnel with horses

d Adequate corrals with crushes should be constructshy

ed in all ranches to facilitate sanitary control

and vaccinations Likewise pastures should be

properly divided by fences to make rotation posshy

sible

e Steers brought from Beni should be castrated one

month after arrivil vaccinated against foot and mouth

a yeardisease three times a year against rabies once

and against hematic carbuncle once a year sprayed

against tick when considered necessary treacd for

parasites and provided with adequate supplies of

mineral salts

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASESORAMIENTO EMPRESARIAL SA

C O N T E N T S (CONT)

Paco

27IV SMALL FARMER MODULE

27A Module Description 27

B Small Farmer Requirements 28

C Assumptions

D Module Program 31

E Conclusions

ANNEXES

Cattle Development Fund Herd Development 32

ANNEX A

Cattle Development Fund Capital Requirements 32

ANNEX B

ANNEX C Cattle Development Fund Cattle Flow and Repayment

34Schedule

ANNEX D Cattle Development Fund Financial Analysis 35

36Small Farmer Capital RequirementsANNX E 37Farmer Iferd DevelopmentAN1EX F Small 38

ANNEX G Sma2 I Farmer Financial Analysis

39ANNEX II Description of Modules

47 ANNEX i Bulletin CIAT Brachiaria Decumbens

ANNEX J Bulletin CIAT Pasture Management 50

ANNEX K Design for Small Corral and Shute 5 mts x 5 mts 60

mts 61ANNEX L Design for Small Corral and Shute 10 mts x 10

ANNEX M Regional Map Chapare 62

ASESORAMIENTO EMPRISARIAL SA

I INTRODUCTION

The study carried out by AESA to determine the feasibility

of undertaking cattle fattening activities in the Chapare gave

negaLive results 1 This study centered around the firm

Uni6n Agr cola Ganadera SA (UNAG) derermined that at prclnt

cattle fattening activitiesit is not profitable to undertake

in the Chapare neither at the private firm or small farm level

At the private firm level it is not advisable to invcsL in

mainly due to the high imaplemeintashya cattle fattening project

tion costs (ie land clearing pasture establishment fcncin)

At the small farmer level cattle fattening activities are not

ample supplies of cattle Beni

feasible because at present there does not exist an adequLtc

source of supply of easily handled steers Even though thcrLc arce

in the that could be transport-ed

to and fattened in the Chapare these cattle cannot be handled

by small farmers in the Ciapare this is so because the Bcni

areas and handled by cowboyscattle are used to grazing in large

This document is a complement to the cattle fattening feasi

bility study and contains a proposal to implement a double

purpose cattle program for the small farmers in the Chapare

This program is expected to be included in the Chapare Regional

is presently elabou-atinkjDevelopment Project paper that the AID

1 Feasibility study by AESA (Asesoramiento Empresarial SA)

for the establishment of a CatLle Fattening Center in the Cha

pare involving the participation of the Small Farmers of the

Region - April 1983

-2-

Section II presents an assessment of cattle activities

in the Chapare which consider both cattle ranches and sill

set of c and rucomshyonclusionscattlemen In this assessment a

mendations are derived The proposed double purpose program

for the Chapare is presented in Section III and IV

Section III (Cattle Development Fund) describes the insshy

titution that will administer the Project and Section IV

describes the Small Farmer Module

ASESORA MIEN7O EAIRESA RIA L SA

-3-

II ASSESSMENT OF CATTLE ACTIVITIES

A CATTLE RANCHES

1 Manicone

This property whose owner is Mr Nicola Manicone is

of Villa Tunari (region 7) on thelocated 55 kins west on

road to Puerto Villarroel Land clearing activities

Lhis ranch begjan in 1978 Some thirteen hectares of

have been etablished in the lastbrachiaria paLures

thee hectares were establishedthrec years Of -even condishy

using brachiaria seed imported from Brazil the

landstion of these three-year old pastures on hIilly

Another six huctaresis excellent due to good management

were planted using brachiaria seed provided by S1FO t

a total a price of $b 4500kg taee pastures were

failure inasmuch an the qermination rate was neu iibie

thireen hectares of esuabiishedIn addition to the

tre are five hccLtcs of natural pasturUspastures

has 53 head of cL t of Wiamp [chThis ranch presently

is a total of37 are adults Considerin that there

eighteen hectare of imiprovud and natural pastures

has an anima lhec tare ratio of 25 A iuppl_th is ranch

kgjs of rice branr permentary fued cattle are given 25

animal are also given sufficienthead per week The at nigh tsupplie of ilL and ire k t in a corral

head of cubu cattle were trucked froii SntaTwenty five because of inadccJuateCruz of which nine died on the way

twenty 1lolstoins weretransportation Additionally

SAASESORAMIENTO EMIPRESARIAL

-4shy

brought from Cochabamba of which eight died as a

consequence of tick born diseases and climate The

remaining group of twelve cebu cows from Santa Cruz

were imported two months ago but are still wild and

afraid of people The condition of Manicones cattle

in general was observed to be excellent Cattle are

mostly docile even though they are handled by an indishy

vidual with limited experience and training Technical

and veterinary assistance is provided by Dr H Mogroshy

ve3o of MACA

This breeding operation is oriented to the production

of beef this is why current milkcheese production is

to clear some additionalminimal The owner expects

30-40 hectares to increase the size of his pasturelands

and herd At present he is not interesed in participatshy

ing in a steerfattening project

2 Aurora

The owners of this property are Ing Hector Vargas and

Mathias Bentrop who also operate the Centra Agropecuashy

rio Los Andes in the city of Cochabamba As in other

cases the principal income generating activities of

these individuals do not appear to be cattl growing

Aurora is located in the Chimor6 area (reqion 8) Thu

operation wa tarLud in 1976 on a 900 huctare concu-ion

Presently Lhere arc ome 200 hectares of cleared larnd

and about 160 hectlareui with iproved pIasturus Ptue

imlnplantation co t[ have reportedlv been hiteh ciu-s1

land clearing machinery fertilizer and lime were ucl

Twenty hectares of a brachiariakuJzu association estashy

blished four years ago were found o be in good condition

EMPRESARIAL SAASESORAMIENTO -5-

No drainage problems were found with the exception

of the lower pastures

The operation was started with 70 head cf cross bred

cebu cattle brought froi Beni for fattening Reportedly

there was much difficulty in handling the generally

wild-Beni cattle Because of this problem fattening

activities were discontinued At present Aurora has

90 head of cattle brought from Beni for both breeding

and fattening purposes

During the last three years Aurora has not been able to

excessivesow new pastures because of lack of labor and

rainfall Some sixty hectares are reidy for sowing

when weather permits The owners of Aurora expressed that

they entered the Chapare with limited knowledqe ana

experience i pasture and cattle management However

by now they believe to have learned enough to look conshy

fidently into the future At present because of t-hir

expansion plans they are not interested in particishyown

pating in any steer fattening projects nor in selling

or renting their property

3 Olmos

a cattle breeding operation whichMr German Olinos has

(region 8)is located 7 kins north-east of Valle Ivirza

lie has twenty five two-three year old cows and onu bull

which wuer brought from Beni when they were eight 1onths

old It was noted that of the initial shipmunt from leni

died as a consequence of poor transportaLionseven head

conditions

This property consists of a 200-hectare concession of

ASESORA MlENTO EAIIRESARIAL SA

-6shy

which twenty are cleared Four hectares of stargrass

pasture in excellent condition and two hectares of nashy

tural pasture were observed A total of fourteen hecta

res of rice were harvested this year with a yield of

some 500 quintales

Reportedly Mr Olmos plans to sow twenty additional

hectares of stargrass pasture It has not been determishy

ned whether he could be interested in participating in

any steer breedincfattening projects h1owever his proshy

perty is considered to be too small and inadequately

located to be able to play a significant role in a major

cattle project for the Chapare

4 Codex

Codex a private development group which is financed by

some western European donors has a 900-hectare concesshy

sion the Valle Ivirza area At present they have

100 hecCLAi -if natural pastures and 110 head uf cattle

Both )aILur -nd cattle were observed to be in poor

condiJion AI present its executives are seeking donashy

tion ftid Lo continue their operations

Coikx At ishments in the field are raLher liimited

Its main iol t is centered around a muaicail post i-

Valle IviLZ -iich provide a valu ibl service Lo the

pjea i pop)ula lJ of the area However at presenu the

organization lack the necessary managerial and technical

expertise to operate cattle breedingfattening activities

5 Aq roscij t

In order to obtain a $b 250000 loan from BAD to purchase

barbed wire in 1978 eight peasants formed the Sociudad

ASESORAMtENITO EMIRISA RIA L SA

-7 -

Cooperativa Agro-Forestal Sajta located 11 kms southshy

east of Valle Ivirza Each one of the members of this

organization has approximately one hundred hectares

One of the members is Rc erto Fiesta who has eighty

head of adult cattle and fifteen hectares of natural

yearsgrassland iiproved pastures were sown seven ago

but due to heavy stocking have been mostly lost The

excellentcondition of the animals was observed to be

being adequately handled and fed The existing natural

in condition to overstockingpastures are good but due

they are will become useless in the near future However

Mr Fiesta reported that the cnoperative members are

planning to etblish one hundred additional hectares

of pastures This farmer showed much interest in ruceiv

ing technical assistance According to BAB Mr Flieta

has proven to be one of their best clients Because of

these reasons this farmer could be usefully employed

as a paraprofessional in cattle-related activities in

the Valle Ivirza area

Another cooperative member is N Chac6n who has 120

fifteen hectares of natural grasslandhead of cattle and

This farmer has one hectare of merkeron grass which has

not yet been grazed In general the natural gras slands

of this farmer were obs-erved to be in bad condition due

mainly to inadequate management and overs tocki ng

In a 11 the rilnchu of the coope rat ive membe r it was

machineryobserved that land was cleared without with

no treenumerous tree trunk left in the field but

left to provide hade for the cattle In all ca the

source of the animals was identified as the Cochabatiba

valley and that they had originally suffered heavy lossshy

as from tick born diseases and climate

ASESORAMIENTO EMPRESARIAL SA

5 San Mateo

This 420-hectare property located 12 kms northwest

of Ibuelo initially belonged to Franz E Mthler who

developed it gradually util it had one hundred hectares

of pasturolandn HIoaever because of his inability to

pay back a bank loan this property was taken over by

the Banco do Brasil which is the present owner Reportshy

edly the bank intends to sell the property at a price

of $b 40000ha

After a visit to this property it was seen that no

pasturelands remain all of them havi~ig been covered

with secondary foreL growth However most of the barbed

wire fences remain in place

6 flatunchaco

This propurty belongs to some of the Directors of the

Banco do Cochabaiba It is located 30 km north of the

Chipiriri experimental station (area 4) and it i 200

area some W)ortshyhectares in with 100 hectares clared

edly this group is short of capital for purchasing catshy

tle

B SMALL FARMS

1 Farm a

This farm Is located in Chimor6 - Senda A its owner

being ia mumber of the Asociaci6n do Ganaderos d Chinioshy

r6

It was observed that the farm ha 34 ha of kudzu asshy

sociated with brachiaria In excellent condition and

ASESORAMtlINIO EMPRESARIAL SA

-9 shy

two cows one 1Holstein and one Brown Swiss cebu cross

provided by the heifer project The condition of these

animals was considored to be excellent

to be Ltthered for pasturing beingCattle were seen

takea care of by female members of the family and chil

dren It was expressed by the woman in charge of the

animals that the principal constraints that limit the

the lack of barbed wire forincrease of this here is

fencing She indicated much interest in obtaining

credit for the purchase of wire

2 Farm b

some two kms west of ShinahotaThis farm is located

Its owner has both pigs and cattle The pigs are bred

and fattened in a rudimentary fashion and the cattle

are held only for short periods of time to be louqhtshy

cred and sold to restaurants in Shinahota Obviousl

bol an-i cattle as secondary activithis farm has pijs

)uld not be considered in the implementationties and si

of any of the modules

3 Farm c

from La Jota ExperimentThis farm is located across

Staton and belongs to a religious peasant who do(- not

grow any kind of stimulant (eq coca tea coffee)

he ha s eciali ted i the p)roducLion of ba nana tomashy

toos all(d WLurltwlons An ouLL(inl q two-hectaro j)105shy

tation of bnanas -ociLtd with kudzu Wa o1)---siV(d

at this farm Thu ava ilable kudzu is us d to f-ed four

in gcod conditioncows which were seen to be

SAASISORAMI-NiO JA1MIRESARIAL

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C CONCLUSIONS

1 Cattle Ranches

a All present large scale (gt 20 head) cattle activishy

ties in the Chapare are of a breedinq nature speci

fically there are no large-scale fattening activishy

ties

are from the rvjionsb The principil sourcet- of cattle

of Purists Arani and Cliza Ineothorjic valleys and

the Depirtment of Santa Cr

C The most polpular typ -f paLture in the Chapa re i

and kudzu Lill]per orlnan aSOCi LiOfl Of bt i

well with good r nt (ic fiel d rotZLion

p urinig ni(ht and rainy day

weeding etc) With proper fldfld(omeiQ U t i i8 tutishy

ma td that e8 illdLUn the Cha rC CAnl 11t f roIA

prevention of la at on-

eiyhtL Z(Ier ears

d The ue ul I ampciInll(17 for land clearin o088 arit

and adviilbh if it is perforited in accordace wi th

Wc- lh kaldtechnical criLria (ie not duri ng WkL

care not to detroy natural drainage wyiln8taking

etc)

a Wire fence are nucusiary for cattl brcudingiashy

tening activitLi in the Chapare

f Puromiel einp loyc(d to operate ratnch t v inotly

frOZl tiiiw li

g In gunwra l rincle do not have corra l or cruhe

ill the Clhai y Wtelfo i t-Iartcdh Exi tLIll(I cattt1 e r a nche t

as marginal uconldary act itiiLn by litiople wloc 0

__

IEORA4M1VNTO AUPRESBid L $-As4~~ MX

deg r

main sources of income are in other areas and who have generally speaking lacked sufficient technical expertise and financing These existing ranches are not profitable

i At present no large-scale cattle growingfattening operation in the Chapare can be profitable because of the high investment costs i6 land clearing pasture establishment and the construction of tho

necessary infrastructure

2 Small Farms

a Cattle in the Chapare are predominantly crosses of

Holstein and criollo breeds bought in the Cochabam

ba valleys There are also some head of Brown Swiss

oebu cattle brought from Santa Crux these are doing

extremely well In the Chapare

b Mortality rates among pure Holstains are high (S0)

especially among those animals which are brought

Into the Chapare without being previously Immunized

Some cattle brought from the Msothermic valleys

were observed to be resistant to tick related disa

goe

a The association of brachiaria and kudzu is predomi-ss

nant in the region With proper management these

pastures can be kept In excellent condition for up

to ton years In general small farmers keep their

pastures In better condition than the larger cattle ranches

d Pastures do not have an enough largo trees left to

provide shade for cattle

SAASESORAMIENTO EMPRESARIAL

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e Pastures generally have adequate supplies of water

for cattle

f Cattle are tended by the female members of the fashy

mily as well as by children

g In general farmers do not have corrals crushes

or fencing because of this cattle breedingfattenshy

ing activities require increased time and effort

from peasant families

h Sanitary care for small cattle growers is provided

by Dr 11 Mogrovejo and Mr Rom6n sxllca a peasant

from the ChimorC area This care involves monthly

spraying against tick and yearly vaccinations

against foot and mouth disease rabies and anthrax

Adult cows are vaccinated against brucelosis Anishy

mals are no treated for parasites nor are they

castrated

i Small farmc s prefer to purchase breeding heifers

rather than steers for fattening or oxen for animal

traction

j The average size of pastures is estimated to range

between 12 to 2 12 hectares while the stocking

rate is estimated to be two head per hectare of

pasture

k rhe principal limiting constraints to the developshy

ment of cattle breedingfattening activities in the

Chaparu are the lack of efficient channels for the

provision of fencing wire animals and grass seeds

of poor animal quality and inadequate pastu1 Because

ros milk production is minimal

SAASESORAMIENTO EMPRESARIAL

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D RECOMMENDATIONS

1 Cattle Ranches

a These ranches should modify their current opera

tions moving to steer fattening rather than breedshy

ing By doing this they would make better prcGits

this is so because these operations already have

cleared lands fences and established pastures

Appropiate steers for fattening can be obtained

in the Department of Beni

b With reference to pastures with proper management

there are few problems For ranches with more than

20 hectares of pastures it is recommended that

weed control be done with tractors It is also

recommended that brachiaria associated with kudzu

pastures are best suited to the area

c If cattle are brought from the Beni to start with

they should be handled by personnel with horses

d Adequate corrals with crushes should be constructshy

ed in all ranches to facilitate sanitary control

and vaccinations Likewise pastures should be

properly divided by fences to make rotation posshy

sible

e Steers brought from Beni should be castrated one

month after arrivil vaccinated against foot and mouth

a yeardisease three times a year against rabies once

and against hematic carbuncle once a year sprayed

against tick when considered necessary treacd for

parasites and provided with adequate supplies of

mineral salts

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASESORAMIENTO EMPRISARIAL SA

I INTRODUCTION

The study carried out by AESA to determine the feasibility

of undertaking cattle fattening activities in the Chapare gave

negaLive results 1 This study centered around the firm

Uni6n Agr cola Ganadera SA (UNAG) derermined that at prclnt

cattle fattening activitiesit is not profitable to undertake

in the Chapare neither at the private firm or small farm level

At the private firm level it is not advisable to invcsL in

mainly due to the high imaplemeintashya cattle fattening project

tion costs (ie land clearing pasture establishment fcncin)

At the small farmer level cattle fattening activities are not

ample supplies of cattle Beni

feasible because at present there does not exist an adequLtc

source of supply of easily handled steers Even though thcrLc arce

in the that could be transport-ed

to and fattened in the Chapare these cattle cannot be handled

by small farmers in the Ciapare this is so because the Bcni

areas and handled by cowboyscattle are used to grazing in large

This document is a complement to the cattle fattening feasi

bility study and contains a proposal to implement a double

purpose cattle program for the small farmers in the Chapare

This program is expected to be included in the Chapare Regional

is presently elabou-atinkjDevelopment Project paper that the AID

1 Feasibility study by AESA (Asesoramiento Empresarial SA)

for the establishment of a CatLle Fattening Center in the Cha

pare involving the participation of the Small Farmers of the

Region - April 1983

-2-

Section II presents an assessment of cattle activities

in the Chapare which consider both cattle ranches and sill

set of c and rucomshyonclusionscattlemen In this assessment a

mendations are derived The proposed double purpose program

for the Chapare is presented in Section III and IV

Section III (Cattle Development Fund) describes the insshy

titution that will administer the Project and Section IV

describes the Small Farmer Module

ASESORA MIEN7O EAIRESA RIA L SA

-3-

II ASSESSMENT OF CATTLE ACTIVITIES

A CATTLE RANCHES

1 Manicone

This property whose owner is Mr Nicola Manicone is

of Villa Tunari (region 7) on thelocated 55 kins west on

road to Puerto Villarroel Land clearing activities

Lhis ranch begjan in 1978 Some thirteen hectares of

have been etablished in the lastbrachiaria paLures

thee hectares were establishedthrec years Of -even condishy

using brachiaria seed imported from Brazil the

landstion of these three-year old pastures on hIilly

Another six huctaresis excellent due to good management

were planted using brachiaria seed provided by S1FO t

a total a price of $b 4500kg taee pastures were

failure inasmuch an the qermination rate was neu iibie

thireen hectares of esuabiishedIn addition to the

tre are five hccLtcs of natural pasturUspastures

has 53 head of cL t of Wiamp [chThis ranch presently

is a total of37 are adults Considerin that there

eighteen hectare of imiprovud and natural pastures

has an anima lhec tare ratio of 25 A iuppl_th is ranch

kgjs of rice branr permentary fued cattle are given 25

animal are also given sufficienthead per week The at nigh tsupplie of ilL and ire k t in a corral

head of cubu cattle were trucked froii SntaTwenty five because of inadccJuateCruz of which nine died on the way

twenty 1lolstoins weretransportation Additionally

SAASESORAMIENTO EMIPRESARIAL

-4shy

brought from Cochabamba of which eight died as a

consequence of tick born diseases and climate The

remaining group of twelve cebu cows from Santa Cruz

were imported two months ago but are still wild and

afraid of people The condition of Manicones cattle

in general was observed to be excellent Cattle are

mostly docile even though they are handled by an indishy

vidual with limited experience and training Technical

and veterinary assistance is provided by Dr H Mogroshy

ve3o of MACA

This breeding operation is oriented to the production

of beef this is why current milkcheese production is

to clear some additionalminimal The owner expects

30-40 hectares to increase the size of his pasturelands

and herd At present he is not interesed in participatshy

ing in a steerfattening project

2 Aurora

The owners of this property are Ing Hector Vargas and

Mathias Bentrop who also operate the Centra Agropecuashy

rio Los Andes in the city of Cochabamba As in other

cases the principal income generating activities of

these individuals do not appear to be cattl growing

Aurora is located in the Chimor6 area (reqion 8) Thu

operation wa tarLud in 1976 on a 900 huctare concu-ion

Presently Lhere arc ome 200 hectares of cleared larnd

and about 160 hectlareui with iproved pIasturus Ptue

imlnplantation co t[ have reportedlv been hiteh ciu-s1

land clearing machinery fertilizer and lime were ucl

Twenty hectares of a brachiariakuJzu association estashy

blished four years ago were found o be in good condition

EMPRESARIAL SAASESORAMIENTO -5-

No drainage problems were found with the exception

of the lower pastures

The operation was started with 70 head cf cross bred

cebu cattle brought froi Beni for fattening Reportedly

there was much difficulty in handling the generally

wild-Beni cattle Because of this problem fattening

activities were discontinued At present Aurora has

90 head of cattle brought from Beni for both breeding

and fattening purposes

During the last three years Aurora has not been able to

excessivesow new pastures because of lack of labor and

rainfall Some sixty hectares are reidy for sowing

when weather permits The owners of Aurora expressed that

they entered the Chapare with limited knowledqe ana

experience i pasture and cattle management However

by now they believe to have learned enough to look conshy

fidently into the future At present because of t-hir

expansion plans they are not interested in particishyown

pating in any steer fattening projects nor in selling

or renting their property

3 Olmos

a cattle breeding operation whichMr German Olinos has

(region 8)is located 7 kins north-east of Valle Ivirza

lie has twenty five two-three year old cows and onu bull

which wuer brought from Beni when they were eight 1onths

old It was noted that of the initial shipmunt from leni

died as a consequence of poor transportaLionseven head

conditions

This property consists of a 200-hectare concession of

ASESORA MlENTO EAIIRESARIAL SA

-6shy

which twenty are cleared Four hectares of stargrass

pasture in excellent condition and two hectares of nashy

tural pasture were observed A total of fourteen hecta

res of rice were harvested this year with a yield of

some 500 quintales

Reportedly Mr Olmos plans to sow twenty additional

hectares of stargrass pasture It has not been determishy

ned whether he could be interested in participating in

any steer breedincfattening projects h1owever his proshy

perty is considered to be too small and inadequately

located to be able to play a significant role in a major

cattle project for the Chapare

4 Codex

Codex a private development group which is financed by

some western European donors has a 900-hectare concesshy

sion the Valle Ivirza area At present they have

100 hecCLAi -if natural pastures and 110 head uf cattle

Both )aILur -nd cattle were observed to be in poor

condiJion AI present its executives are seeking donashy

tion ftid Lo continue their operations

Coikx At ishments in the field are raLher liimited

Its main iol t is centered around a muaicail post i-

Valle IviLZ -iich provide a valu ibl service Lo the

pjea i pop)ula lJ of the area However at presenu the

organization lack the necessary managerial and technical

expertise to operate cattle breedingfattening activities

5 Aq roscij t

In order to obtain a $b 250000 loan from BAD to purchase

barbed wire in 1978 eight peasants formed the Sociudad

ASESORAMtENITO EMIRISA RIA L SA

-7 -

Cooperativa Agro-Forestal Sajta located 11 kms southshy

east of Valle Ivirza Each one of the members of this

organization has approximately one hundred hectares

One of the members is Rc erto Fiesta who has eighty

head of adult cattle and fifteen hectares of natural

yearsgrassland iiproved pastures were sown seven ago

but due to heavy stocking have been mostly lost The

excellentcondition of the animals was observed to be

being adequately handled and fed The existing natural

in condition to overstockingpastures are good but due

they are will become useless in the near future However

Mr Fiesta reported that the cnoperative members are

planning to etblish one hundred additional hectares

of pastures This farmer showed much interest in ruceiv

ing technical assistance According to BAB Mr Flieta

has proven to be one of their best clients Because of

these reasons this farmer could be usefully employed

as a paraprofessional in cattle-related activities in

the Valle Ivirza area

Another cooperative member is N Chac6n who has 120

fifteen hectares of natural grasslandhead of cattle and

This farmer has one hectare of merkeron grass which has

not yet been grazed In general the natural gras slands

of this farmer were obs-erved to be in bad condition due

mainly to inadequate management and overs tocki ng

In a 11 the rilnchu of the coope rat ive membe r it was

machineryobserved that land was cleared without with

no treenumerous tree trunk left in the field but

left to provide hade for the cattle In all ca the

source of the animals was identified as the Cochabatiba

valley and that they had originally suffered heavy lossshy

as from tick born diseases and climate

ASESORAMIENTO EMPRESARIAL SA

5 San Mateo

This 420-hectare property located 12 kms northwest

of Ibuelo initially belonged to Franz E Mthler who

developed it gradually util it had one hundred hectares

of pasturolandn HIoaever because of his inability to

pay back a bank loan this property was taken over by

the Banco do Brasil which is the present owner Reportshy

edly the bank intends to sell the property at a price

of $b 40000ha

After a visit to this property it was seen that no

pasturelands remain all of them havi~ig been covered

with secondary foreL growth However most of the barbed

wire fences remain in place

6 flatunchaco

This propurty belongs to some of the Directors of the

Banco do Cochabaiba It is located 30 km north of the

Chipiriri experimental station (area 4) and it i 200

area some W)ortshyhectares in with 100 hectares clared

edly this group is short of capital for purchasing catshy

tle

B SMALL FARMS

1 Farm a

This farm Is located in Chimor6 - Senda A its owner

being ia mumber of the Asociaci6n do Ganaderos d Chinioshy

r6

It was observed that the farm ha 34 ha of kudzu asshy

sociated with brachiaria In excellent condition and

ASESORAMtlINIO EMPRESARIAL SA

-9 shy

two cows one 1Holstein and one Brown Swiss cebu cross

provided by the heifer project The condition of these

animals was considored to be excellent

to be Ltthered for pasturing beingCattle were seen

takea care of by female members of the family and chil

dren It was expressed by the woman in charge of the

animals that the principal constraints that limit the

the lack of barbed wire forincrease of this here is

fencing She indicated much interest in obtaining

credit for the purchase of wire

2 Farm b

some two kms west of ShinahotaThis farm is located

Its owner has both pigs and cattle The pigs are bred

and fattened in a rudimentary fashion and the cattle

are held only for short periods of time to be louqhtshy

cred and sold to restaurants in Shinahota Obviousl

bol an-i cattle as secondary activithis farm has pijs

)uld not be considered in the implementationties and si

of any of the modules

3 Farm c

from La Jota ExperimentThis farm is located across

Staton and belongs to a religious peasant who do(- not

grow any kind of stimulant (eq coca tea coffee)

he ha s eciali ted i the p)roducLion of ba nana tomashy

toos all(d WLurltwlons An ouLL(inl q two-hectaro j)105shy

tation of bnanas -ociLtd with kudzu Wa o1)---siV(d

at this farm Thu ava ilable kudzu is us d to f-ed four

in gcod conditioncows which were seen to be

SAASISORAMI-NiO JA1MIRESARIAL

- 10 -

C CONCLUSIONS

1 Cattle Ranches

a All present large scale (gt 20 head) cattle activishy

ties in the Chapare are of a breedinq nature speci

fically there are no large-scale fattening activishy

ties

are from the rvjionsb The principil sourcet- of cattle

of Purists Arani and Cliza Ineothorjic valleys and

the Depirtment of Santa Cr

C The most polpular typ -f paLture in the Chapa re i

and kudzu Lill]per orlnan aSOCi LiOfl Of bt i

well with good r nt (ic fiel d rotZLion

p urinig ni(ht and rainy day

weeding etc) With proper fldfld(omeiQ U t i i8 tutishy

ma td that e8 illdLUn the Cha rC CAnl 11t f roIA

prevention of la at on-

eiyhtL Z(Ier ears

d The ue ul I ampciInll(17 for land clearin o088 arit

and adviilbh if it is perforited in accordace wi th

Wc- lh kaldtechnical criLria (ie not duri ng WkL

care not to detroy natural drainage wyiln8taking

etc)

a Wire fence are nucusiary for cattl brcudingiashy

tening activitLi in the Chapare

f Puromiel einp loyc(d to operate ratnch t v inotly

frOZl tiiiw li

g In gunwra l rincle do not have corra l or cruhe

ill the Clhai y Wtelfo i t-Iartcdh Exi tLIll(I cattt1 e r a nche t

as marginal uconldary act itiiLn by litiople wloc 0

__

IEORA4M1VNTO AUPRESBid L $-As4~~ MX

deg r

main sources of income are in other areas and who have generally speaking lacked sufficient technical expertise and financing These existing ranches are not profitable

i At present no large-scale cattle growingfattening operation in the Chapare can be profitable because of the high investment costs i6 land clearing pasture establishment and the construction of tho

necessary infrastructure

2 Small Farms

a Cattle in the Chapare are predominantly crosses of

Holstein and criollo breeds bought in the Cochabam

ba valleys There are also some head of Brown Swiss

oebu cattle brought from Santa Crux these are doing

extremely well In the Chapare

b Mortality rates among pure Holstains are high (S0)

especially among those animals which are brought

Into the Chapare without being previously Immunized

Some cattle brought from the Msothermic valleys

were observed to be resistant to tick related disa

goe

a The association of brachiaria and kudzu is predomi-ss

nant in the region With proper management these

pastures can be kept In excellent condition for up

to ton years In general small farmers keep their

pastures In better condition than the larger cattle ranches

d Pastures do not have an enough largo trees left to

provide shade for cattle

SAASESORAMIENTO EMPRESARIAL

- 12 shy

e Pastures generally have adequate supplies of water

for cattle

f Cattle are tended by the female members of the fashy

mily as well as by children

g In general farmers do not have corrals crushes

or fencing because of this cattle breedingfattenshy

ing activities require increased time and effort

from peasant families

h Sanitary care for small cattle growers is provided

by Dr 11 Mogrovejo and Mr Rom6n sxllca a peasant

from the ChimorC area This care involves monthly

spraying against tick and yearly vaccinations

against foot and mouth disease rabies and anthrax

Adult cows are vaccinated against brucelosis Anishy

mals are no treated for parasites nor are they

castrated

i Small farmc s prefer to purchase breeding heifers

rather than steers for fattening or oxen for animal

traction

j The average size of pastures is estimated to range

between 12 to 2 12 hectares while the stocking

rate is estimated to be two head per hectare of

pasture

k rhe principal limiting constraints to the developshy

ment of cattle breedingfattening activities in the

Chaparu are the lack of efficient channels for the

provision of fencing wire animals and grass seeds

of poor animal quality and inadequate pastu1 Because

ros milk production is minimal

SAASESORAMIENTO EMPRESARIAL

- 13 -

D RECOMMENDATIONS

1 Cattle Ranches

a These ranches should modify their current opera

tions moving to steer fattening rather than breedshy

ing By doing this they would make better prcGits

this is so because these operations already have

cleared lands fences and established pastures

Appropiate steers for fattening can be obtained

in the Department of Beni

b With reference to pastures with proper management

there are few problems For ranches with more than

20 hectares of pastures it is recommended that

weed control be done with tractors It is also

recommended that brachiaria associated with kudzu

pastures are best suited to the area

c If cattle are brought from the Beni to start with

they should be handled by personnel with horses

d Adequate corrals with crushes should be constructshy

ed in all ranches to facilitate sanitary control

and vaccinations Likewise pastures should be

properly divided by fences to make rotation posshy

sible

e Steers brought from Beni should be castrated one

month after arrivil vaccinated against foot and mouth

a yeardisease three times a year against rabies once

and against hematic carbuncle once a year sprayed

against tick when considered necessary treacd for

parasites and provided with adequate supplies of

mineral salts

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

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384 796 1091 1329 1558 188 227325 5 112

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38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

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AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

-2-

Section II presents an assessment of cattle activities

in the Chapare which consider both cattle ranches and sill

set of c and rucomshyonclusionscattlemen In this assessment a

mendations are derived The proposed double purpose program

for the Chapare is presented in Section III and IV

Section III (Cattle Development Fund) describes the insshy

titution that will administer the Project and Section IV

describes the Small Farmer Module

ASESORA MIEN7O EAIRESA RIA L SA

-3-

II ASSESSMENT OF CATTLE ACTIVITIES

A CATTLE RANCHES

1 Manicone

This property whose owner is Mr Nicola Manicone is

of Villa Tunari (region 7) on thelocated 55 kins west on

road to Puerto Villarroel Land clearing activities

Lhis ranch begjan in 1978 Some thirteen hectares of

have been etablished in the lastbrachiaria paLures

thee hectares were establishedthrec years Of -even condishy

using brachiaria seed imported from Brazil the

landstion of these three-year old pastures on hIilly

Another six huctaresis excellent due to good management

were planted using brachiaria seed provided by S1FO t

a total a price of $b 4500kg taee pastures were

failure inasmuch an the qermination rate was neu iibie

thireen hectares of esuabiishedIn addition to the

tre are five hccLtcs of natural pasturUspastures

has 53 head of cL t of Wiamp [chThis ranch presently

is a total of37 are adults Considerin that there

eighteen hectare of imiprovud and natural pastures

has an anima lhec tare ratio of 25 A iuppl_th is ranch

kgjs of rice branr permentary fued cattle are given 25

animal are also given sufficienthead per week The at nigh tsupplie of ilL and ire k t in a corral

head of cubu cattle were trucked froii SntaTwenty five because of inadccJuateCruz of which nine died on the way

twenty 1lolstoins weretransportation Additionally

SAASESORAMIENTO EMIPRESARIAL

-4shy

brought from Cochabamba of which eight died as a

consequence of tick born diseases and climate The

remaining group of twelve cebu cows from Santa Cruz

were imported two months ago but are still wild and

afraid of people The condition of Manicones cattle

in general was observed to be excellent Cattle are

mostly docile even though they are handled by an indishy

vidual with limited experience and training Technical

and veterinary assistance is provided by Dr H Mogroshy

ve3o of MACA

This breeding operation is oriented to the production

of beef this is why current milkcheese production is

to clear some additionalminimal The owner expects

30-40 hectares to increase the size of his pasturelands

and herd At present he is not interesed in participatshy

ing in a steerfattening project

2 Aurora

The owners of this property are Ing Hector Vargas and

Mathias Bentrop who also operate the Centra Agropecuashy

rio Los Andes in the city of Cochabamba As in other

cases the principal income generating activities of

these individuals do not appear to be cattl growing

Aurora is located in the Chimor6 area (reqion 8) Thu

operation wa tarLud in 1976 on a 900 huctare concu-ion

Presently Lhere arc ome 200 hectares of cleared larnd

and about 160 hectlareui with iproved pIasturus Ptue

imlnplantation co t[ have reportedlv been hiteh ciu-s1

land clearing machinery fertilizer and lime were ucl

Twenty hectares of a brachiariakuJzu association estashy

blished four years ago were found o be in good condition

EMPRESARIAL SAASESORAMIENTO -5-

No drainage problems were found with the exception

of the lower pastures

The operation was started with 70 head cf cross bred

cebu cattle brought froi Beni for fattening Reportedly

there was much difficulty in handling the generally

wild-Beni cattle Because of this problem fattening

activities were discontinued At present Aurora has

90 head of cattle brought from Beni for both breeding

and fattening purposes

During the last three years Aurora has not been able to

excessivesow new pastures because of lack of labor and

rainfall Some sixty hectares are reidy for sowing

when weather permits The owners of Aurora expressed that

they entered the Chapare with limited knowledqe ana

experience i pasture and cattle management However

by now they believe to have learned enough to look conshy

fidently into the future At present because of t-hir

expansion plans they are not interested in particishyown

pating in any steer fattening projects nor in selling

or renting their property

3 Olmos

a cattle breeding operation whichMr German Olinos has

(region 8)is located 7 kins north-east of Valle Ivirza

lie has twenty five two-three year old cows and onu bull

which wuer brought from Beni when they were eight 1onths

old It was noted that of the initial shipmunt from leni

died as a consequence of poor transportaLionseven head

conditions

This property consists of a 200-hectare concession of

ASESORA MlENTO EAIIRESARIAL SA

-6shy

which twenty are cleared Four hectares of stargrass

pasture in excellent condition and two hectares of nashy

tural pasture were observed A total of fourteen hecta

res of rice were harvested this year with a yield of

some 500 quintales

Reportedly Mr Olmos plans to sow twenty additional

hectares of stargrass pasture It has not been determishy

ned whether he could be interested in participating in

any steer breedincfattening projects h1owever his proshy

perty is considered to be too small and inadequately

located to be able to play a significant role in a major

cattle project for the Chapare

4 Codex

Codex a private development group which is financed by

some western European donors has a 900-hectare concesshy

sion the Valle Ivirza area At present they have

100 hecCLAi -if natural pastures and 110 head uf cattle

Both )aILur -nd cattle were observed to be in poor

condiJion AI present its executives are seeking donashy

tion ftid Lo continue their operations

Coikx At ishments in the field are raLher liimited

Its main iol t is centered around a muaicail post i-

Valle IviLZ -iich provide a valu ibl service Lo the

pjea i pop)ula lJ of the area However at presenu the

organization lack the necessary managerial and technical

expertise to operate cattle breedingfattening activities

5 Aq roscij t

In order to obtain a $b 250000 loan from BAD to purchase

barbed wire in 1978 eight peasants formed the Sociudad

ASESORAMtENITO EMIRISA RIA L SA

-7 -

Cooperativa Agro-Forestal Sajta located 11 kms southshy

east of Valle Ivirza Each one of the members of this

organization has approximately one hundred hectares

One of the members is Rc erto Fiesta who has eighty

head of adult cattle and fifteen hectares of natural

yearsgrassland iiproved pastures were sown seven ago

but due to heavy stocking have been mostly lost The

excellentcondition of the animals was observed to be

being adequately handled and fed The existing natural

in condition to overstockingpastures are good but due

they are will become useless in the near future However

Mr Fiesta reported that the cnoperative members are

planning to etblish one hundred additional hectares

of pastures This farmer showed much interest in ruceiv

ing technical assistance According to BAB Mr Flieta

has proven to be one of their best clients Because of

these reasons this farmer could be usefully employed

as a paraprofessional in cattle-related activities in

the Valle Ivirza area

Another cooperative member is N Chac6n who has 120

fifteen hectares of natural grasslandhead of cattle and

This farmer has one hectare of merkeron grass which has

not yet been grazed In general the natural gras slands

of this farmer were obs-erved to be in bad condition due

mainly to inadequate management and overs tocki ng

In a 11 the rilnchu of the coope rat ive membe r it was

machineryobserved that land was cleared without with

no treenumerous tree trunk left in the field but

left to provide hade for the cattle In all ca the

source of the animals was identified as the Cochabatiba

valley and that they had originally suffered heavy lossshy

as from tick born diseases and climate

ASESORAMIENTO EMPRESARIAL SA

5 San Mateo

This 420-hectare property located 12 kms northwest

of Ibuelo initially belonged to Franz E Mthler who

developed it gradually util it had one hundred hectares

of pasturolandn HIoaever because of his inability to

pay back a bank loan this property was taken over by

the Banco do Brasil which is the present owner Reportshy

edly the bank intends to sell the property at a price

of $b 40000ha

After a visit to this property it was seen that no

pasturelands remain all of them havi~ig been covered

with secondary foreL growth However most of the barbed

wire fences remain in place

6 flatunchaco

This propurty belongs to some of the Directors of the

Banco do Cochabaiba It is located 30 km north of the

Chipiriri experimental station (area 4) and it i 200

area some W)ortshyhectares in with 100 hectares clared

edly this group is short of capital for purchasing catshy

tle

B SMALL FARMS

1 Farm a

This farm Is located in Chimor6 - Senda A its owner

being ia mumber of the Asociaci6n do Ganaderos d Chinioshy

r6

It was observed that the farm ha 34 ha of kudzu asshy

sociated with brachiaria In excellent condition and

ASESORAMtlINIO EMPRESARIAL SA

-9 shy

two cows one 1Holstein and one Brown Swiss cebu cross

provided by the heifer project The condition of these

animals was considored to be excellent

to be Ltthered for pasturing beingCattle were seen

takea care of by female members of the family and chil

dren It was expressed by the woman in charge of the

animals that the principal constraints that limit the

the lack of barbed wire forincrease of this here is

fencing She indicated much interest in obtaining

credit for the purchase of wire

2 Farm b

some two kms west of ShinahotaThis farm is located

Its owner has both pigs and cattle The pigs are bred

and fattened in a rudimentary fashion and the cattle

are held only for short periods of time to be louqhtshy

cred and sold to restaurants in Shinahota Obviousl

bol an-i cattle as secondary activithis farm has pijs

)uld not be considered in the implementationties and si

of any of the modules

3 Farm c

from La Jota ExperimentThis farm is located across

Staton and belongs to a religious peasant who do(- not

grow any kind of stimulant (eq coca tea coffee)

he ha s eciali ted i the p)roducLion of ba nana tomashy

toos all(d WLurltwlons An ouLL(inl q two-hectaro j)105shy

tation of bnanas -ociLtd with kudzu Wa o1)---siV(d

at this farm Thu ava ilable kudzu is us d to f-ed four

in gcod conditioncows which were seen to be

SAASISORAMI-NiO JA1MIRESARIAL

- 10 -

C CONCLUSIONS

1 Cattle Ranches

a All present large scale (gt 20 head) cattle activishy

ties in the Chapare are of a breedinq nature speci

fically there are no large-scale fattening activishy

ties

are from the rvjionsb The principil sourcet- of cattle

of Purists Arani and Cliza Ineothorjic valleys and

the Depirtment of Santa Cr

C The most polpular typ -f paLture in the Chapa re i

and kudzu Lill]per orlnan aSOCi LiOfl Of bt i

well with good r nt (ic fiel d rotZLion

p urinig ni(ht and rainy day

weeding etc) With proper fldfld(omeiQ U t i i8 tutishy

ma td that e8 illdLUn the Cha rC CAnl 11t f roIA

prevention of la at on-

eiyhtL Z(Ier ears

d The ue ul I ampciInll(17 for land clearin o088 arit

and adviilbh if it is perforited in accordace wi th

Wc- lh kaldtechnical criLria (ie not duri ng WkL

care not to detroy natural drainage wyiln8taking

etc)

a Wire fence are nucusiary for cattl brcudingiashy

tening activitLi in the Chapare

f Puromiel einp loyc(d to operate ratnch t v inotly

frOZl tiiiw li

g In gunwra l rincle do not have corra l or cruhe

ill the Clhai y Wtelfo i t-Iartcdh Exi tLIll(I cattt1 e r a nche t

as marginal uconldary act itiiLn by litiople wloc 0

__

IEORA4M1VNTO AUPRESBid L $-As4~~ MX

deg r

main sources of income are in other areas and who have generally speaking lacked sufficient technical expertise and financing These existing ranches are not profitable

i At present no large-scale cattle growingfattening operation in the Chapare can be profitable because of the high investment costs i6 land clearing pasture establishment and the construction of tho

necessary infrastructure

2 Small Farms

a Cattle in the Chapare are predominantly crosses of

Holstein and criollo breeds bought in the Cochabam

ba valleys There are also some head of Brown Swiss

oebu cattle brought from Santa Crux these are doing

extremely well In the Chapare

b Mortality rates among pure Holstains are high (S0)

especially among those animals which are brought

Into the Chapare without being previously Immunized

Some cattle brought from the Msothermic valleys

were observed to be resistant to tick related disa

goe

a The association of brachiaria and kudzu is predomi-ss

nant in the region With proper management these

pastures can be kept In excellent condition for up

to ton years In general small farmers keep their

pastures In better condition than the larger cattle ranches

d Pastures do not have an enough largo trees left to

provide shade for cattle

SAASESORAMIENTO EMPRESARIAL

- 12 shy

e Pastures generally have adequate supplies of water

for cattle

f Cattle are tended by the female members of the fashy

mily as well as by children

g In general farmers do not have corrals crushes

or fencing because of this cattle breedingfattenshy

ing activities require increased time and effort

from peasant families

h Sanitary care for small cattle growers is provided

by Dr 11 Mogrovejo and Mr Rom6n sxllca a peasant

from the ChimorC area This care involves monthly

spraying against tick and yearly vaccinations

against foot and mouth disease rabies and anthrax

Adult cows are vaccinated against brucelosis Anishy

mals are no treated for parasites nor are they

castrated

i Small farmc s prefer to purchase breeding heifers

rather than steers for fattening or oxen for animal

traction

j The average size of pastures is estimated to range

between 12 to 2 12 hectares while the stocking

rate is estimated to be two head per hectare of

pasture

k rhe principal limiting constraints to the developshy

ment of cattle breedingfattening activities in the

Chaparu are the lack of efficient channels for the

provision of fencing wire animals and grass seeds

of poor animal quality and inadequate pastu1 Because

ros milk production is minimal

SAASESORAMIENTO EMPRESARIAL

- 13 -

D RECOMMENDATIONS

1 Cattle Ranches

a These ranches should modify their current opera

tions moving to steer fattening rather than breedshy

ing By doing this they would make better prcGits

this is so because these operations already have

cleared lands fences and established pastures

Appropiate steers for fattening can be obtained

in the Department of Beni

b With reference to pastures with proper management

there are few problems For ranches with more than

20 hectares of pastures it is recommended that

weed control be done with tractors It is also

recommended that brachiaria associated with kudzu

pastures are best suited to the area

c If cattle are brought from the Beni to start with

they should be handled by personnel with horses

d Adequate corrals with crushes should be constructshy

ed in all ranches to facilitate sanitary control

and vaccinations Likewise pastures should be

properly divided by fences to make rotation posshy

sible

e Steers brought from Beni should be castrated one

month after arrivil vaccinated against foot and mouth

a yeardisease three times a year against rabies once

and against hematic carbuncle once a year sprayed

against tick when considered necessary treacd for

parasites and provided with adequate supplies of

mineral salts

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASESORA MIEN7O EAIRESA RIA L SA

-3-

II ASSESSMENT OF CATTLE ACTIVITIES

A CATTLE RANCHES

1 Manicone

This property whose owner is Mr Nicola Manicone is

of Villa Tunari (region 7) on thelocated 55 kins west on

road to Puerto Villarroel Land clearing activities

Lhis ranch begjan in 1978 Some thirteen hectares of

have been etablished in the lastbrachiaria paLures

thee hectares were establishedthrec years Of -even condishy

using brachiaria seed imported from Brazil the

landstion of these three-year old pastures on hIilly

Another six huctaresis excellent due to good management

were planted using brachiaria seed provided by S1FO t

a total a price of $b 4500kg taee pastures were

failure inasmuch an the qermination rate was neu iibie

thireen hectares of esuabiishedIn addition to the

tre are five hccLtcs of natural pasturUspastures

has 53 head of cL t of Wiamp [chThis ranch presently

is a total of37 are adults Considerin that there

eighteen hectare of imiprovud and natural pastures

has an anima lhec tare ratio of 25 A iuppl_th is ranch

kgjs of rice branr permentary fued cattle are given 25

animal are also given sufficienthead per week The at nigh tsupplie of ilL and ire k t in a corral

head of cubu cattle were trucked froii SntaTwenty five because of inadccJuateCruz of which nine died on the way

twenty 1lolstoins weretransportation Additionally

SAASESORAMIENTO EMIPRESARIAL

-4shy

brought from Cochabamba of which eight died as a

consequence of tick born diseases and climate The

remaining group of twelve cebu cows from Santa Cruz

were imported two months ago but are still wild and

afraid of people The condition of Manicones cattle

in general was observed to be excellent Cattle are

mostly docile even though they are handled by an indishy

vidual with limited experience and training Technical

and veterinary assistance is provided by Dr H Mogroshy

ve3o of MACA

This breeding operation is oriented to the production

of beef this is why current milkcheese production is

to clear some additionalminimal The owner expects

30-40 hectares to increase the size of his pasturelands

and herd At present he is not interesed in participatshy

ing in a steerfattening project

2 Aurora

The owners of this property are Ing Hector Vargas and

Mathias Bentrop who also operate the Centra Agropecuashy

rio Los Andes in the city of Cochabamba As in other

cases the principal income generating activities of

these individuals do not appear to be cattl growing

Aurora is located in the Chimor6 area (reqion 8) Thu

operation wa tarLud in 1976 on a 900 huctare concu-ion

Presently Lhere arc ome 200 hectares of cleared larnd

and about 160 hectlareui with iproved pIasturus Ptue

imlnplantation co t[ have reportedlv been hiteh ciu-s1

land clearing machinery fertilizer and lime were ucl

Twenty hectares of a brachiariakuJzu association estashy

blished four years ago were found o be in good condition

EMPRESARIAL SAASESORAMIENTO -5-

No drainage problems were found with the exception

of the lower pastures

The operation was started with 70 head cf cross bred

cebu cattle brought froi Beni for fattening Reportedly

there was much difficulty in handling the generally

wild-Beni cattle Because of this problem fattening

activities were discontinued At present Aurora has

90 head of cattle brought from Beni for both breeding

and fattening purposes

During the last three years Aurora has not been able to

excessivesow new pastures because of lack of labor and

rainfall Some sixty hectares are reidy for sowing

when weather permits The owners of Aurora expressed that

they entered the Chapare with limited knowledqe ana

experience i pasture and cattle management However

by now they believe to have learned enough to look conshy

fidently into the future At present because of t-hir

expansion plans they are not interested in particishyown

pating in any steer fattening projects nor in selling

or renting their property

3 Olmos

a cattle breeding operation whichMr German Olinos has

(region 8)is located 7 kins north-east of Valle Ivirza

lie has twenty five two-three year old cows and onu bull

which wuer brought from Beni when they were eight 1onths

old It was noted that of the initial shipmunt from leni

died as a consequence of poor transportaLionseven head

conditions

This property consists of a 200-hectare concession of

ASESORA MlENTO EAIIRESARIAL SA

-6shy

which twenty are cleared Four hectares of stargrass

pasture in excellent condition and two hectares of nashy

tural pasture were observed A total of fourteen hecta

res of rice were harvested this year with a yield of

some 500 quintales

Reportedly Mr Olmos plans to sow twenty additional

hectares of stargrass pasture It has not been determishy

ned whether he could be interested in participating in

any steer breedincfattening projects h1owever his proshy

perty is considered to be too small and inadequately

located to be able to play a significant role in a major

cattle project for the Chapare

4 Codex

Codex a private development group which is financed by

some western European donors has a 900-hectare concesshy

sion the Valle Ivirza area At present they have

100 hecCLAi -if natural pastures and 110 head uf cattle

Both )aILur -nd cattle were observed to be in poor

condiJion AI present its executives are seeking donashy

tion ftid Lo continue their operations

Coikx At ishments in the field are raLher liimited

Its main iol t is centered around a muaicail post i-

Valle IviLZ -iich provide a valu ibl service Lo the

pjea i pop)ula lJ of the area However at presenu the

organization lack the necessary managerial and technical

expertise to operate cattle breedingfattening activities

5 Aq roscij t

In order to obtain a $b 250000 loan from BAD to purchase

barbed wire in 1978 eight peasants formed the Sociudad

ASESORAMtENITO EMIRISA RIA L SA

-7 -

Cooperativa Agro-Forestal Sajta located 11 kms southshy

east of Valle Ivirza Each one of the members of this

organization has approximately one hundred hectares

One of the members is Rc erto Fiesta who has eighty

head of adult cattle and fifteen hectares of natural

yearsgrassland iiproved pastures were sown seven ago

but due to heavy stocking have been mostly lost The

excellentcondition of the animals was observed to be

being adequately handled and fed The existing natural

in condition to overstockingpastures are good but due

they are will become useless in the near future However

Mr Fiesta reported that the cnoperative members are

planning to etblish one hundred additional hectares

of pastures This farmer showed much interest in ruceiv

ing technical assistance According to BAB Mr Flieta

has proven to be one of their best clients Because of

these reasons this farmer could be usefully employed

as a paraprofessional in cattle-related activities in

the Valle Ivirza area

Another cooperative member is N Chac6n who has 120

fifteen hectares of natural grasslandhead of cattle and

This farmer has one hectare of merkeron grass which has

not yet been grazed In general the natural gras slands

of this farmer were obs-erved to be in bad condition due

mainly to inadequate management and overs tocki ng

In a 11 the rilnchu of the coope rat ive membe r it was

machineryobserved that land was cleared without with

no treenumerous tree trunk left in the field but

left to provide hade for the cattle In all ca the

source of the animals was identified as the Cochabatiba

valley and that they had originally suffered heavy lossshy

as from tick born diseases and climate

ASESORAMIENTO EMPRESARIAL SA

5 San Mateo

This 420-hectare property located 12 kms northwest

of Ibuelo initially belonged to Franz E Mthler who

developed it gradually util it had one hundred hectares

of pasturolandn HIoaever because of his inability to

pay back a bank loan this property was taken over by

the Banco do Brasil which is the present owner Reportshy

edly the bank intends to sell the property at a price

of $b 40000ha

After a visit to this property it was seen that no

pasturelands remain all of them havi~ig been covered

with secondary foreL growth However most of the barbed

wire fences remain in place

6 flatunchaco

This propurty belongs to some of the Directors of the

Banco do Cochabaiba It is located 30 km north of the

Chipiriri experimental station (area 4) and it i 200

area some W)ortshyhectares in with 100 hectares clared

edly this group is short of capital for purchasing catshy

tle

B SMALL FARMS

1 Farm a

This farm Is located in Chimor6 - Senda A its owner

being ia mumber of the Asociaci6n do Ganaderos d Chinioshy

r6

It was observed that the farm ha 34 ha of kudzu asshy

sociated with brachiaria In excellent condition and

ASESORAMtlINIO EMPRESARIAL SA

-9 shy

two cows one 1Holstein and one Brown Swiss cebu cross

provided by the heifer project The condition of these

animals was considored to be excellent

to be Ltthered for pasturing beingCattle were seen

takea care of by female members of the family and chil

dren It was expressed by the woman in charge of the

animals that the principal constraints that limit the

the lack of barbed wire forincrease of this here is

fencing She indicated much interest in obtaining

credit for the purchase of wire

2 Farm b

some two kms west of ShinahotaThis farm is located

Its owner has both pigs and cattle The pigs are bred

and fattened in a rudimentary fashion and the cattle

are held only for short periods of time to be louqhtshy

cred and sold to restaurants in Shinahota Obviousl

bol an-i cattle as secondary activithis farm has pijs

)uld not be considered in the implementationties and si

of any of the modules

3 Farm c

from La Jota ExperimentThis farm is located across

Staton and belongs to a religious peasant who do(- not

grow any kind of stimulant (eq coca tea coffee)

he ha s eciali ted i the p)roducLion of ba nana tomashy

toos all(d WLurltwlons An ouLL(inl q two-hectaro j)105shy

tation of bnanas -ociLtd with kudzu Wa o1)---siV(d

at this farm Thu ava ilable kudzu is us d to f-ed four

in gcod conditioncows which were seen to be

SAASISORAMI-NiO JA1MIRESARIAL

- 10 -

C CONCLUSIONS

1 Cattle Ranches

a All present large scale (gt 20 head) cattle activishy

ties in the Chapare are of a breedinq nature speci

fically there are no large-scale fattening activishy

ties

are from the rvjionsb The principil sourcet- of cattle

of Purists Arani and Cliza Ineothorjic valleys and

the Depirtment of Santa Cr

C The most polpular typ -f paLture in the Chapa re i

and kudzu Lill]per orlnan aSOCi LiOfl Of bt i

well with good r nt (ic fiel d rotZLion

p urinig ni(ht and rainy day

weeding etc) With proper fldfld(omeiQ U t i i8 tutishy

ma td that e8 illdLUn the Cha rC CAnl 11t f roIA

prevention of la at on-

eiyhtL Z(Ier ears

d The ue ul I ampciInll(17 for land clearin o088 arit

and adviilbh if it is perforited in accordace wi th

Wc- lh kaldtechnical criLria (ie not duri ng WkL

care not to detroy natural drainage wyiln8taking

etc)

a Wire fence are nucusiary for cattl brcudingiashy

tening activitLi in the Chapare

f Puromiel einp loyc(d to operate ratnch t v inotly

frOZl tiiiw li

g In gunwra l rincle do not have corra l or cruhe

ill the Clhai y Wtelfo i t-Iartcdh Exi tLIll(I cattt1 e r a nche t

as marginal uconldary act itiiLn by litiople wloc 0

__

IEORA4M1VNTO AUPRESBid L $-As4~~ MX

deg r

main sources of income are in other areas and who have generally speaking lacked sufficient technical expertise and financing These existing ranches are not profitable

i At present no large-scale cattle growingfattening operation in the Chapare can be profitable because of the high investment costs i6 land clearing pasture establishment and the construction of tho

necessary infrastructure

2 Small Farms

a Cattle in the Chapare are predominantly crosses of

Holstein and criollo breeds bought in the Cochabam

ba valleys There are also some head of Brown Swiss

oebu cattle brought from Santa Crux these are doing

extremely well In the Chapare

b Mortality rates among pure Holstains are high (S0)

especially among those animals which are brought

Into the Chapare without being previously Immunized

Some cattle brought from the Msothermic valleys

were observed to be resistant to tick related disa

goe

a The association of brachiaria and kudzu is predomi-ss

nant in the region With proper management these

pastures can be kept In excellent condition for up

to ton years In general small farmers keep their

pastures In better condition than the larger cattle ranches

d Pastures do not have an enough largo trees left to

provide shade for cattle

SAASESORAMIENTO EMPRESARIAL

- 12 shy

e Pastures generally have adequate supplies of water

for cattle

f Cattle are tended by the female members of the fashy

mily as well as by children

g In general farmers do not have corrals crushes

or fencing because of this cattle breedingfattenshy

ing activities require increased time and effort

from peasant families

h Sanitary care for small cattle growers is provided

by Dr 11 Mogrovejo and Mr Rom6n sxllca a peasant

from the ChimorC area This care involves monthly

spraying against tick and yearly vaccinations

against foot and mouth disease rabies and anthrax

Adult cows are vaccinated against brucelosis Anishy

mals are no treated for parasites nor are they

castrated

i Small farmc s prefer to purchase breeding heifers

rather than steers for fattening or oxen for animal

traction

j The average size of pastures is estimated to range

between 12 to 2 12 hectares while the stocking

rate is estimated to be two head per hectare of

pasture

k rhe principal limiting constraints to the developshy

ment of cattle breedingfattening activities in the

Chaparu are the lack of efficient channels for the

provision of fencing wire animals and grass seeds

of poor animal quality and inadequate pastu1 Because

ros milk production is minimal

SAASESORAMIENTO EMPRESARIAL

- 13 -

D RECOMMENDATIONS

1 Cattle Ranches

a These ranches should modify their current opera

tions moving to steer fattening rather than breedshy

ing By doing this they would make better prcGits

this is so because these operations already have

cleared lands fences and established pastures

Appropiate steers for fattening can be obtained

in the Department of Beni

b With reference to pastures with proper management

there are few problems For ranches with more than

20 hectares of pastures it is recommended that

weed control be done with tractors It is also

recommended that brachiaria associated with kudzu

pastures are best suited to the area

c If cattle are brought from the Beni to start with

they should be handled by personnel with horses

d Adequate corrals with crushes should be constructshy

ed in all ranches to facilitate sanitary control

and vaccinations Likewise pastures should be

properly divided by fences to make rotation posshy

sible

e Steers brought from Beni should be castrated one

month after arrivil vaccinated against foot and mouth

a yeardisease three times a year against rabies once

and against hematic carbuncle once a year sprayed

against tick when considered necessary treacd for

parasites and provided with adequate supplies of

mineral salts

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAASESORAMIENTO EMIPRESARIAL

-4shy

brought from Cochabamba of which eight died as a

consequence of tick born diseases and climate The

remaining group of twelve cebu cows from Santa Cruz

were imported two months ago but are still wild and

afraid of people The condition of Manicones cattle

in general was observed to be excellent Cattle are

mostly docile even though they are handled by an indishy

vidual with limited experience and training Technical

and veterinary assistance is provided by Dr H Mogroshy

ve3o of MACA

This breeding operation is oriented to the production

of beef this is why current milkcheese production is

to clear some additionalminimal The owner expects

30-40 hectares to increase the size of his pasturelands

and herd At present he is not interesed in participatshy

ing in a steerfattening project

2 Aurora

The owners of this property are Ing Hector Vargas and

Mathias Bentrop who also operate the Centra Agropecuashy

rio Los Andes in the city of Cochabamba As in other

cases the principal income generating activities of

these individuals do not appear to be cattl growing

Aurora is located in the Chimor6 area (reqion 8) Thu

operation wa tarLud in 1976 on a 900 huctare concu-ion

Presently Lhere arc ome 200 hectares of cleared larnd

and about 160 hectlareui with iproved pIasturus Ptue

imlnplantation co t[ have reportedlv been hiteh ciu-s1

land clearing machinery fertilizer and lime were ucl

Twenty hectares of a brachiariakuJzu association estashy

blished four years ago were found o be in good condition

EMPRESARIAL SAASESORAMIENTO -5-

No drainage problems were found with the exception

of the lower pastures

The operation was started with 70 head cf cross bred

cebu cattle brought froi Beni for fattening Reportedly

there was much difficulty in handling the generally

wild-Beni cattle Because of this problem fattening

activities were discontinued At present Aurora has

90 head of cattle brought from Beni for both breeding

and fattening purposes

During the last three years Aurora has not been able to

excessivesow new pastures because of lack of labor and

rainfall Some sixty hectares are reidy for sowing

when weather permits The owners of Aurora expressed that

they entered the Chapare with limited knowledqe ana

experience i pasture and cattle management However

by now they believe to have learned enough to look conshy

fidently into the future At present because of t-hir

expansion plans they are not interested in particishyown

pating in any steer fattening projects nor in selling

or renting their property

3 Olmos

a cattle breeding operation whichMr German Olinos has

(region 8)is located 7 kins north-east of Valle Ivirza

lie has twenty five two-three year old cows and onu bull

which wuer brought from Beni when they were eight 1onths

old It was noted that of the initial shipmunt from leni

died as a consequence of poor transportaLionseven head

conditions

This property consists of a 200-hectare concession of

ASESORA MlENTO EAIIRESARIAL SA

-6shy

which twenty are cleared Four hectares of stargrass

pasture in excellent condition and two hectares of nashy

tural pasture were observed A total of fourteen hecta

res of rice were harvested this year with a yield of

some 500 quintales

Reportedly Mr Olmos plans to sow twenty additional

hectares of stargrass pasture It has not been determishy

ned whether he could be interested in participating in

any steer breedincfattening projects h1owever his proshy

perty is considered to be too small and inadequately

located to be able to play a significant role in a major

cattle project for the Chapare

4 Codex

Codex a private development group which is financed by

some western European donors has a 900-hectare concesshy

sion the Valle Ivirza area At present they have

100 hecCLAi -if natural pastures and 110 head uf cattle

Both )aILur -nd cattle were observed to be in poor

condiJion AI present its executives are seeking donashy

tion ftid Lo continue their operations

Coikx At ishments in the field are raLher liimited

Its main iol t is centered around a muaicail post i-

Valle IviLZ -iich provide a valu ibl service Lo the

pjea i pop)ula lJ of the area However at presenu the

organization lack the necessary managerial and technical

expertise to operate cattle breedingfattening activities

5 Aq roscij t

In order to obtain a $b 250000 loan from BAD to purchase

barbed wire in 1978 eight peasants formed the Sociudad

ASESORAMtENITO EMIRISA RIA L SA

-7 -

Cooperativa Agro-Forestal Sajta located 11 kms southshy

east of Valle Ivirza Each one of the members of this

organization has approximately one hundred hectares

One of the members is Rc erto Fiesta who has eighty

head of adult cattle and fifteen hectares of natural

yearsgrassland iiproved pastures were sown seven ago

but due to heavy stocking have been mostly lost The

excellentcondition of the animals was observed to be

being adequately handled and fed The existing natural

in condition to overstockingpastures are good but due

they are will become useless in the near future However

Mr Fiesta reported that the cnoperative members are

planning to etblish one hundred additional hectares

of pastures This farmer showed much interest in ruceiv

ing technical assistance According to BAB Mr Flieta

has proven to be one of their best clients Because of

these reasons this farmer could be usefully employed

as a paraprofessional in cattle-related activities in

the Valle Ivirza area

Another cooperative member is N Chac6n who has 120

fifteen hectares of natural grasslandhead of cattle and

This farmer has one hectare of merkeron grass which has

not yet been grazed In general the natural gras slands

of this farmer were obs-erved to be in bad condition due

mainly to inadequate management and overs tocki ng

In a 11 the rilnchu of the coope rat ive membe r it was

machineryobserved that land was cleared without with

no treenumerous tree trunk left in the field but

left to provide hade for the cattle In all ca the

source of the animals was identified as the Cochabatiba

valley and that they had originally suffered heavy lossshy

as from tick born diseases and climate

ASESORAMIENTO EMPRESARIAL SA

5 San Mateo

This 420-hectare property located 12 kms northwest

of Ibuelo initially belonged to Franz E Mthler who

developed it gradually util it had one hundred hectares

of pasturolandn HIoaever because of his inability to

pay back a bank loan this property was taken over by

the Banco do Brasil which is the present owner Reportshy

edly the bank intends to sell the property at a price

of $b 40000ha

After a visit to this property it was seen that no

pasturelands remain all of them havi~ig been covered

with secondary foreL growth However most of the barbed

wire fences remain in place

6 flatunchaco

This propurty belongs to some of the Directors of the

Banco do Cochabaiba It is located 30 km north of the

Chipiriri experimental station (area 4) and it i 200

area some W)ortshyhectares in with 100 hectares clared

edly this group is short of capital for purchasing catshy

tle

B SMALL FARMS

1 Farm a

This farm Is located in Chimor6 - Senda A its owner

being ia mumber of the Asociaci6n do Ganaderos d Chinioshy

r6

It was observed that the farm ha 34 ha of kudzu asshy

sociated with brachiaria In excellent condition and

ASESORAMtlINIO EMPRESARIAL SA

-9 shy

two cows one 1Holstein and one Brown Swiss cebu cross

provided by the heifer project The condition of these

animals was considored to be excellent

to be Ltthered for pasturing beingCattle were seen

takea care of by female members of the family and chil

dren It was expressed by the woman in charge of the

animals that the principal constraints that limit the

the lack of barbed wire forincrease of this here is

fencing She indicated much interest in obtaining

credit for the purchase of wire

2 Farm b

some two kms west of ShinahotaThis farm is located

Its owner has both pigs and cattle The pigs are bred

and fattened in a rudimentary fashion and the cattle

are held only for short periods of time to be louqhtshy

cred and sold to restaurants in Shinahota Obviousl

bol an-i cattle as secondary activithis farm has pijs

)uld not be considered in the implementationties and si

of any of the modules

3 Farm c

from La Jota ExperimentThis farm is located across

Staton and belongs to a religious peasant who do(- not

grow any kind of stimulant (eq coca tea coffee)

he ha s eciali ted i the p)roducLion of ba nana tomashy

toos all(d WLurltwlons An ouLL(inl q two-hectaro j)105shy

tation of bnanas -ociLtd with kudzu Wa o1)---siV(d

at this farm Thu ava ilable kudzu is us d to f-ed four

in gcod conditioncows which were seen to be

SAASISORAMI-NiO JA1MIRESARIAL

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C CONCLUSIONS

1 Cattle Ranches

a All present large scale (gt 20 head) cattle activishy

ties in the Chapare are of a breedinq nature speci

fically there are no large-scale fattening activishy

ties

are from the rvjionsb The principil sourcet- of cattle

of Purists Arani and Cliza Ineothorjic valleys and

the Depirtment of Santa Cr

C The most polpular typ -f paLture in the Chapa re i

and kudzu Lill]per orlnan aSOCi LiOfl Of bt i

well with good r nt (ic fiel d rotZLion

p urinig ni(ht and rainy day

weeding etc) With proper fldfld(omeiQ U t i i8 tutishy

ma td that e8 illdLUn the Cha rC CAnl 11t f roIA

prevention of la at on-

eiyhtL Z(Ier ears

d The ue ul I ampciInll(17 for land clearin o088 arit

and adviilbh if it is perforited in accordace wi th

Wc- lh kaldtechnical criLria (ie not duri ng WkL

care not to detroy natural drainage wyiln8taking

etc)

a Wire fence are nucusiary for cattl brcudingiashy

tening activitLi in the Chapare

f Puromiel einp loyc(d to operate ratnch t v inotly

frOZl tiiiw li

g In gunwra l rincle do not have corra l or cruhe

ill the Clhai y Wtelfo i t-Iartcdh Exi tLIll(I cattt1 e r a nche t

as marginal uconldary act itiiLn by litiople wloc 0

__

IEORA4M1VNTO AUPRESBid L $-As4~~ MX

deg r

main sources of income are in other areas and who have generally speaking lacked sufficient technical expertise and financing These existing ranches are not profitable

i At present no large-scale cattle growingfattening operation in the Chapare can be profitable because of the high investment costs i6 land clearing pasture establishment and the construction of tho

necessary infrastructure

2 Small Farms

a Cattle in the Chapare are predominantly crosses of

Holstein and criollo breeds bought in the Cochabam

ba valleys There are also some head of Brown Swiss

oebu cattle brought from Santa Crux these are doing

extremely well In the Chapare

b Mortality rates among pure Holstains are high (S0)

especially among those animals which are brought

Into the Chapare without being previously Immunized

Some cattle brought from the Msothermic valleys

were observed to be resistant to tick related disa

goe

a The association of brachiaria and kudzu is predomi-ss

nant in the region With proper management these

pastures can be kept In excellent condition for up

to ton years In general small farmers keep their

pastures In better condition than the larger cattle ranches

d Pastures do not have an enough largo trees left to

provide shade for cattle

SAASESORAMIENTO EMPRESARIAL

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e Pastures generally have adequate supplies of water

for cattle

f Cattle are tended by the female members of the fashy

mily as well as by children

g In general farmers do not have corrals crushes

or fencing because of this cattle breedingfattenshy

ing activities require increased time and effort

from peasant families

h Sanitary care for small cattle growers is provided

by Dr 11 Mogrovejo and Mr Rom6n sxllca a peasant

from the ChimorC area This care involves monthly

spraying against tick and yearly vaccinations

against foot and mouth disease rabies and anthrax

Adult cows are vaccinated against brucelosis Anishy

mals are no treated for parasites nor are they

castrated

i Small farmc s prefer to purchase breeding heifers

rather than steers for fattening or oxen for animal

traction

j The average size of pastures is estimated to range

between 12 to 2 12 hectares while the stocking

rate is estimated to be two head per hectare of

pasture

k rhe principal limiting constraints to the developshy

ment of cattle breedingfattening activities in the

Chaparu are the lack of efficient channels for the

provision of fencing wire animals and grass seeds

of poor animal quality and inadequate pastu1 Because

ros milk production is minimal

SAASESORAMIENTO EMPRESARIAL

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D RECOMMENDATIONS

1 Cattle Ranches

a These ranches should modify their current opera

tions moving to steer fattening rather than breedshy

ing By doing this they would make better prcGits

this is so because these operations already have

cleared lands fences and established pastures

Appropiate steers for fattening can be obtained

in the Department of Beni

b With reference to pastures with proper management

there are few problems For ranches with more than

20 hectares of pastures it is recommended that

weed control be done with tractors It is also

recommended that brachiaria associated with kudzu

pastures are best suited to the area

c If cattle are brought from the Beni to start with

they should be handled by personnel with horses

d Adequate corrals with crushes should be constructshy

ed in all ranches to facilitate sanitary control

and vaccinations Likewise pastures should be

properly divided by fences to make rotation posshy

sible

e Steers brought from Beni should be castrated one

month after arrivil vaccinated against foot and mouth

a yeardisease three times a year against rabies once

and against hematic carbuncle once a year sprayed

against tick when considered necessary treacd for

parasites and provided with adequate supplies of

mineral salts

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

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4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

EMPRESARIAL SAASESORAMIENTO -5-

No drainage problems were found with the exception

of the lower pastures

The operation was started with 70 head cf cross bred

cebu cattle brought froi Beni for fattening Reportedly

there was much difficulty in handling the generally

wild-Beni cattle Because of this problem fattening

activities were discontinued At present Aurora has

90 head of cattle brought from Beni for both breeding

and fattening purposes

During the last three years Aurora has not been able to

excessivesow new pastures because of lack of labor and

rainfall Some sixty hectares are reidy for sowing

when weather permits The owners of Aurora expressed that

they entered the Chapare with limited knowledqe ana

experience i pasture and cattle management However

by now they believe to have learned enough to look conshy

fidently into the future At present because of t-hir

expansion plans they are not interested in particishyown

pating in any steer fattening projects nor in selling

or renting their property

3 Olmos

a cattle breeding operation whichMr German Olinos has

(region 8)is located 7 kins north-east of Valle Ivirza

lie has twenty five two-three year old cows and onu bull

which wuer brought from Beni when they were eight 1onths

old It was noted that of the initial shipmunt from leni

died as a consequence of poor transportaLionseven head

conditions

This property consists of a 200-hectare concession of

ASESORA MlENTO EAIIRESARIAL SA

-6shy

which twenty are cleared Four hectares of stargrass

pasture in excellent condition and two hectares of nashy

tural pasture were observed A total of fourteen hecta

res of rice were harvested this year with a yield of

some 500 quintales

Reportedly Mr Olmos plans to sow twenty additional

hectares of stargrass pasture It has not been determishy

ned whether he could be interested in participating in

any steer breedincfattening projects h1owever his proshy

perty is considered to be too small and inadequately

located to be able to play a significant role in a major

cattle project for the Chapare

4 Codex

Codex a private development group which is financed by

some western European donors has a 900-hectare concesshy

sion the Valle Ivirza area At present they have

100 hecCLAi -if natural pastures and 110 head uf cattle

Both )aILur -nd cattle were observed to be in poor

condiJion AI present its executives are seeking donashy

tion ftid Lo continue their operations

Coikx At ishments in the field are raLher liimited

Its main iol t is centered around a muaicail post i-

Valle IviLZ -iich provide a valu ibl service Lo the

pjea i pop)ula lJ of the area However at presenu the

organization lack the necessary managerial and technical

expertise to operate cattle breedingfattening activities

5 Aq roscij t

In order to obtain a $b 250000 loan from BAD to purchase

barbed wire in 1978 eight peasants formed the Sociudad

ASESORAMtENITO EMIRISA RIA L SA

-7 -

Cooperativa Agro-Forestal Sajta located 11 kms southshy

east of Valle Ivirza Each one of the members of this

organization has approximately one hundred hectares

One of the members is Rc erto Fiesta who has eighty

head of adult cattle and fifteen hectares of natural

yearsgrassland iiproved pastures were sown seven ago

but due to heavy stocking have been mostly lost The

excellentcondition of the animals was observed to be

being adequately handled and fed The existing natural

in condition to overstockingpastures are good but due

they are will become useless in the near future However

Mr Fiesta reported that the cnoperative members are

planning to etblish one hundred additional hectares

of pastures This farmer showed much interest in ruceiv

ing technical assistance According to BAB Mr Flieta

has proven to be one of their best clients Because of

these reasons this farmer could be usefully employed

as a paraprofessional in cattle-related activities in

the Valle Ivirza area

Another cooperative member is N Chac6n who has 120

fifteen hectares of natural grasslandhead of cattle and

This farmer has one hectare of merkeron grass which has

not yet been grazed In general the natural gras slands

of this farmer were obs-erved to be in bad condition due

mainly to inadequate management and overs tocki ng

In a 11 the rilnchu of the coope rat ive membe r it was

machineryobserved that land was cleared without with

no treenumerous tree trunk left in the field but

left to provide hade for the cattle In all ca the

source of the animals was identified as the Cochabatiba

valley and that they had originally suffered heavy lossshy

as from tick born diseases and climate

ASESORAMIENTO EMPRESARIAL SA

5 San Mateo

This 420-hectare property located 12 kms northwest

of Ibuelo initially belonged to Franz E Mthler who

developed it gradually util it had one hundred hectares

of pasturolandn HIoaever because of his inability to

pay back a bank loan this property was taken over by

the Banco do Brasil which is the present owner Reportshy

edly the bank intends to sell the property at a price

of $b 40000ha

After a visit to this property it was seen that no

pasturelands remain all of them havi~ig been covered

with secondary foreL growth However most of the barbed

wire fences remain in place

6 flatunchaco

This propurty belongs to some of the Directors of the

Banco do Cochabaiba It is located 30 km north of the

Chipiriri experimental station (area 4) and it i 200

area some W)ortshyhectares in with 100 hectares clared

edly this group is short of capital for purchasing catshy

tle

B SMALL FARMS

1 Farm a

This farm Is located in Chimor6 - Senda A its owner

being ia mumber of the Asociaci6n do Ganaderos d Chinioshy

r6

It was observed that the farm ha 34 ha of kudzu asshy

sociated with brachiaria In excellent condition and

ASESORAMtlINIO EMPRESARIAL SA

-9 shy

two cows one 1Holstein and one Brown Swiss cebu cross

provided by the heifer project The condition of these

animals was considored to be excellent

to be Ltthered for pasturing beingCattle were seen

takea care of by female members of the family and chil

dren It was expressed by the woman in charge of the

animals that the principal constraints that limit the

the lack of barbed wire forincrease of this here is

fencing She indicated much interest in obtaining

credit for the purchase of wire

2 Farm b

some two kms west of ShinahotaThis farm is located

Its owner has both pigs and cattle The pigs are bred

and fattened in a rudimentary fashion and the cattle

are held only for short periods of time to be louqhtshy

cred and sold to restaurants in Shinahota Obviousl

bol an-i cattle as secondary activithis farm has pijs

)uld not be considered in the implementationties and si

of any of the modules

3 Farm c

from La Jota ExperimentThis farm is located across

Staton and belongs to a religious peasant who do(- not

grow any kind of stimulant (eq coca tea coffee)

he ha s eciali ted i the p)roducLion of ba nana tomashy

toos all(d WLurltwlons An ouLL(inl q two-hectaro j)105shy

tation of bnanas -ociLtd with kudzu Wa o1)---siV(d

at this farm Thu ava ilable kudzu is us d to f-ed four

in gcod conditioncows which were seen to be

SAASISORAMI-NiO JA1MIRESARIAL

- 10 -

C CONCLUSIONS

1 Cattle Ranches

a All present large scale (gt 20 head) cattle activishy

ties in the Chapare are of a breedinq nature speci

fically there are no large-scale fattening activishy

ties

are from the rvjionsb The principil sourcet- of cattle

of Purists Arani and Cliza Ineothorjic valleys and

the Depirtment of Santa Cr

C The most polpular typ -f paLture in the Chapa re i

and kudzu Lill]per orlnan aSOCi LiOfl Of bt i

well with good r nt (ic fiel d rotZLion

p urinig ni(ht and rainy day

weeding etc) With proper fldfld(omeiQ U t i i8 tutishy

ma td that e8 illdLUn the Cha rC CAnl 11t f roIA

prevention of la at on-

eiyhtL Z(Ier ears

d The ue ul I ampciInll(17 for land clearin o088 arit

and adviilbh if it is perforited in accordace wi th

Wc- lh kaldtechnical criLria (ie not duri ng WkL

care not to detroy natural drainage wyiln8taking

etc)

a Wire fence are nucusiary for cattl brcudingiashy

tening activitLi in the Chapare

f Puromiel einp loyc(d to operate ratnch t v inotly

frOZl tiiiw li

g In gunwra l rincle do not have corra l or cruhe

ill the Clhai y Wtelfo i t-Iartcdh Exi tLIll(I cattt1 e r a nche t

as marginal uconldary act itiiLn by litiople wloc 0

__

IEORA4M1VNTO AUPRESBid L $-As4~~ MX

deg r

main sources of income are in other areas and who have generally speaking lacked sufficient technical expertise and financing These existing ranches are not profitable

i At present no large-scale cattle growingfattening operation in the Chapare can be profitable because of the high investment costs i6 land clearing pasture establishment and the construction of tho

necessary infrastructure

2 Small Farms

a Cattle in the Chapare are predominantly crosses of

Holstein and criollo breeds bought in the Cochabam

ba valleys There are also some head of Brown Swiss

oebu cattle brought from Santa Crux these are doing

extremely well In the Chapare

b Mortality rates among pure Holstains are high (S0)

especially among those animals which are brought

Into the Chapare without being previously Immunized

Some cattle brought from the Msothermic valleys

were observed to be resistant to tick related disa

goe

a The association of brachiaria and kudzu is predomi-ss

nant in the region With proper management these

pastures can be kept In excellent condition for up

to ton years In general small farmers keep their

pastures In better condition than the larger cattle ranches

d Pastures do not have an enough largo trees left to

provide shade for cattle

SAASESORAMIENTO EMPRESARIAL

- 12 shy

e Pastures generally have adequate supplies of water

for cattle

f Cattle are tended by the female members of the fashy

mily as well as by children

g In general farmers do not have corrals crushes

or fencing because of this cattle breedingfattenshy

ing activities require increased time and effort

from peasant families

h Sanitary care for small cattle growers is provided

by Dr 11 Mogrovejo and Mr Rom6n sxllca a peasant

from the ChimorC area This care involves monthly

spraying against tick and yearly vaccinations

against foot and mouth disease rabies and anthrax

Adult cows are vaccinated against brucelosis Anishy

mals are no treated for parasites nor are they

castrated

i Small farmc s prefer to purchase breeding heifers

rather than steers for fattening or oxen for animal

traction

j The average size of pastures is estimated to range

between 12 to 2 12 hectares while the stocking

rate is estimated to be two head per hectare of

pasture

k rhe principal limiting constraints to the developshy

ment of cattle breedingfattening activities in the

Chaparu are the lack of efficient channels for the

provision of fencing wire animals and grass seeds

of poor animal quality and inadequate pastu1 Because

ros milk production is minimal

SAASESORAMIENTO EMPRESARIAL

- 13 -

D RECOMMENDATIONS

1 Cattle Ranches

a These ranches should modify their current opera

tions moving to steer fattening rather than breedshy

ing By doing this they would make better prcGits

this is so because these operations already have

cleared lands fences and established pastures

Appropiate steers for fattening can be obtained

in the Department of Beni

b With reference to pastures with proper management

there are few problems For ranches with more than

20 hectares of pastures it is recommended that

weed control be done with tractors It is also

recommended that brachiaria associated with kudzu

pastures are best suited to the area

c If cattle are brought from the Beni to start with

they should be handled by personnel with horses

d Adequate corrals with crushes should be constructshy

ed in all ranches to facilitate sanitary control

and vaccinations Likewise pastures should be

properly divided by fences to make rotation posshy

sible

e Steers brought from Beni should be castrated one

month after arrivil vaccinated against foot and mouth

a yeardisease three times a year against rabies once

and against hematic carbuncle once a year sprayed

against tick when considered necessary treacd for

parasites and provided with adequate supplies of

mineral salts

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

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m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

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4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASESORA MlENTO EAIIRESARIAL SA

-6shy

which twenty are cleared Four hectares of stargrass

pasture in excellent condition and two hectares of nashy

tural pasture were observed A total of fourteen hecta

res of rice were harvested this year with a yield of

some 500 quintales

Reportedly Mr Olmos plans to sow twenty additional

hectares of stargrass pasture It has not been determishy

ned whether he could be interested in participating in

any steer breedincfattening projects h1owever his proshy

perty is considered to be too small and inadequately

located to be able to play a significant role in a major

cattle project for the Chapare

4 Codex

Codex a private development group which is financed by

some western European donors has a 900-hectare concesshy

sion the Valle Ivirza area At present they have

100 hecCLAi -if natural pastures and 110 head uf cattle

Both )aILur -nd cattle were observed to be in poor

condiJion AI present its executives are seeking donashy

tion ftid Lo continue their operations

Coikx At ishments in the field are raLher liimited

Its main iol t is centered around a muaicail post i-

Valle IviLZ -iich provide a valu ibl service Lo the

pjea i pop)ula lJ of the area However at presenu the

organization lack the necessary managerial and technical

expertise to operate cattle breedingfattening activities

5 Aq roscij t

In order to obtain a $b 250000 loan from BAD to purchase

barbed wire in 1978 eight peasants formed the Sociudad

ASESORAMtENITO EMIRISA RIA L SA

-7 -

Cooperativa Agro-Forestal Sajta located 11 kms southshy

east of Valle Ivirza Each one of the members of this

organization has approximately one hundred hectares

One of the members is Rc erto Fiesta who has eighty

head of adult cattle and fifteen hectares of natural

yearsgrassland iiproved pastures were sown seven ago

but due to heavy stocking have been mostly lost The

excellentcondition of the animals was observed to be

being adequately handled and fed The existing natural

in condition to overstockingpastures are good but due

they are will become useless in the near future However

Mr Fiesta reported that the cnoperative members are

planning to etblish one hundred additional hectares

of pastures This farmer showed much interest in ruceiv

ing technical assistance According to BAB Mr Flieta

has proven to be one of their best clients Because of

these reasons this farmer could be usefully employed

as a paraprofessional in cattle-related activities in

the Valle Ivirza area

Another cooperative member is N Chac6n who has 120

fifteen hectares of natural grasslandhead of cattle and

This farmer has one hectare of merkeron grass which has

not yet been grazed In general the natural gras slands

of this farmer were obs-erved to be in bad condition due

mainly to inadequate management and overs tocki ng

In a 11 the rilnchu of the coope rat ive membe r it was

machineryobserved that land was cleared without with

no treenumerous tree trunk left in the field but

left to provide hade for the cattle In all ca the

source of the animals was identified as the Cochabatiba

valley and that they had originally suffered heavy lossshy

as from tick born diseases and climate

ASESORAMIENTO EMPRESARIAL SA

5 San Mateo

This 420-hectare property located 12 kms northwest

of Ibuelo initially belonged to Franz E Mthler who

developed it gradually util it had one hundred hectares

of pasturolandn HIoaever because of his inability to

pay back a bank loan this property was taken over by

the Banco do Brasil which is the present owner Reportshy

edly the bank intends to sell the property at a price

of $b 40000ha

After a visit to this property it was seen that no

pasturelands remain all of them havi~ig been covered

with secondary foreL growth However most of the barbed

wire fences remain in place

6 flatunchaco

This propurty belongs to some of the Directors of the

Banco do Cochabaiba It is located 30 km north of the

Chipiriri experimental station (area 4) and it i 200

area some W)ortshyhectares in with 100 hectares clared

edly this group is short of capital for purchasing catshy

tle

B SMALL FARMS

1 Farm a

This farm Is located in Chimor6 - Senda A its owner

being ia mumber of the Asociaci6n do Ganaderos d Chinioshy

r6

It was observed that the farm ha 34 ha of kudzu asshy

sociated with brachiaria In excellent condition and

ASESORAMtlINIO EMPRESARIAL SA

-9 shy

two cows one 1Holstein and one Brown Swiss cebu cross

provided by the heifer project The condition of these

animals was considored to be excellent

to be Ltthered for pasturing beingCattle were seen

takea care of by female members of the family and chil

dren It was expressed by the woman in charge of the

animals that the principal constraints that limit the

the lack of barbed wire forincrease of this here is

fencing She indicated much interest in obtaining

credit for the purchase of wire

2 Farm b

some two kms west of ShinahotaThis farm is located

Its owner has both pigs and cattle The pigs are bred

and fattened in a rudimentary fashion and the cattle

are held only for short periods of time to be louqhtshy

cred and sold to restaurants in Shinahota Obviousl

bol an-i cattle as secondary activithis farm has pijs

)uld not be considered in the implementationties and si

of any of the modules

3 Farm c

from La Jota ExperimentThis farm is located across

Staton and belongs to a religious peasant who do(- not

grow any kind of stimulant (eq coca tea coffee)

he ha s eciali ted i the p)roducLion of ba nana tomashy

toos all(d WLurltwlons An ouLL(inl q two-hectaro j)105shy

tation of bnanas -ociLtd with kudzu Wa o1)---siV(d

at this farm Thu ava ilable kudzu is us d to f-ed four

in gcod conditioncows which were seen to be

SAASISORAMI-NiO JA1MIRESARIAL

- 10 -

C CONCLUSIONS

1 Cattle Ranches

a All present large scale (gt 20 head) cattle activishy

ties in the Chapare are of a breedinq nature speci

fically there are no large-scale fattening activishy

ties

are from the rvjionsb The principil sourcet- of cattle

of Purists Arani and Cliza Ineothorjic valleys and

the Depirtment of Santa Cr

C The most polpular typ -f paLture in the Chapa re i

and kudzu Lill]per orlnan aSOCi LiOfl Of bt i

well with good r nt (ic fiel d rotZLion

p urinig ni(ht and rainy day

weeding etc) With proper fldfld(omeiQ U t i i8 tutishy

ma td that e8 illdLUn the Cha rC CAnl 11t f roIA

prevention of la at on-

eiyhtL Z(Ier ears

d The ue ul I ampciInll(17 for land clearin o088 arit

and adviilbh if it is perforited in accordace wi th

Wc- lh kaldtechnical criLria (ie not duri ng WkL

care not to detroy natural drainage wyiln8taking

etc)

a Wire fence are nucusiary for cattl brcudingiashy

tening activitLi in the Chapare

f Puromiel einp loyc(d to operate ratnch t v inotly

frOZl tiiiw li

g In gunwra l rincle do not have corra l or cruhe

ill the Clhai y Wtelfo i t-Iartcdh Exi tLIll(I cattt1 e r a nche t

as marginal uconldary act itiiLn by litiople wloc 0

__

IEORA4M1VNTO AUPRESBid L $-As4~~ MX

deg r

main sources of income are in other areas and who have generally speaking lacked sufficient technical expertise and financing These existing ranches are not profitable

i At present no large-scale cattle growingfattening operation in the Chapare can be profitable because of the high investment costs i6 land clearing pasture establishment and the construction of tho

necessary infrastructure

2 Small Farms

a Cattle in the Chapare are predominantly crosses of

Holstein and criollo breeds bought in the Cochabam

ba valleys There are also some head of Brown Swiss

oebu cattle brought from Santa Crux these are doing

extremely well In the Chapare

b Mortality rates among pure Holstains are high (S0)

especially among those animals which are brought

Into the Chapare without being previously Immunized

Some cattle brought from the Msothermic valleys

were observed to be resistant to tick related disa

goe

a The association of brachiaria and kudzu is predomi-ss

nant in the region With proper management these

pastures can be kept In excellent condition for up

to ton years In general small farmers keep their

pastures In better condition than the larger cattle ranches

d Pastures do not have an enough largo trees left to

provide shade for cattle

SAASESORAMIENTO EMPRESARIAL

- 12 shy

e Pastures generally have adequate supplies of water

for cattle

f Cattle are tended by the female members of the fashy

mily as well as by children

g In general farmers do not have corrals crushes

or fencing because of this cattle breedingfattenshy

ing activities require increased time and effort

from peasant families

h Sanitary care for small cattle growers is provided

by Dr 11 Mogrovejo and Mr Rom6n sxllca a peasant

from the ChimorC area This care involves monthly

spraying against tick and yearly vaccinations

against foot and mouth disease rabies and anthrax

Adult cows are vaccinated against brucelosis Anishy

mals are no treated for parasites nor are they

castrated

i Small farmc s prefer to purchase breeding heifers

rather than steers for fattening or oxen for animal

traction

j The average size of pastures is estimated to range

between 12 to 2 12 hectares while the stocking

rate is estimated to be two head per hectare of

pasture

k rhe principal limiting constraints to the developshy

ment of cattle breedingfattening activities in the

Chaparu are the lack of efficient channels for the

provision of fencing wire animals and grass seeds

of poor animal quality and inadequate pastu1 Because

ros milk production is minimal

SAASESORAMIENTO EMPRESARIAL

- 13 -

D RECOMMENDATIONS

1 Cattle Ranches

a These ranches should modify their current opera

tions moving to steer fattening rather than breedshy

ing By doing this they would make better prcGits

this is so because these operations already have

cleared lands fences and established pastures

Appropiate steers for fattening can be obtained

in the Department of Beni

b With reference to pastures with proper management

there are few problems For ranches with more than

20 hectares of pastures it is recommended that

weed control be done with tractors It is also

recommended that brachiaria associated with kudzu

pastures are best suited to the area

c If cattle are brought from the Beni to start with

they should be handled by personnel with horses

d Adequate corrals with crushes should be constructshy

ed in all ranches to facilitate sanitary control

and vaccinations Likewise pastures should be

properly divided by fences to make rotation posshy

sible

e Steers brought from Beni should be castrated one

month after arrivil vaccinated against foot and mouth

a yeardisease three times a year against rabies once

and against hematic carbuncle once a year sprayed

against tick when considered necessary treacd for

parasites and provided with adequate supplies of

mineral salts

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASESORAMtENITO EMIRISA RIA L SA

-7 -

Cooperativa Agro-Forestal Sajta located 11 kms southshy

east of Valle Ivirza Each one of the members of this

organization has approximately one hundred hectares

One of the members is Rc erto Fiesta who has eighty

head of adult cattle and fifteen hectares of natural

yearsgrassland iiproved pastures were sown seven ago

but due to heavy stocking have been mostly lost The

excellentcondition of the animals was observed to be

being adequately handled and fed The existing natural

in condition to overstockingpastures are good but due

they are will become useless in the near future However

Mr Fiesta reported that the cnoperative members are

planning to etblish one hundred additional hectares

of pastures This farmer showed much interest in ruceiv

ing technical assistance According to BAB Mr Flieta

has proven to be one of their best clients Because of

these reasons this farmer could be usefully employed

as a paraprofessional in cattle-related activities in

the Valle Ivirza area

Another cooperative member is N Chac6n who has 120

fifteen hectares of natural grasslandhead of cattle and

This farmer has one hectare of merkeron grass which has

not yet been grazed In general the natural gras slands

of this farmer were obs-erved to be in bad condition due

mainly to inadequate management and overs tocki ng

In a 11 the rilnchu of the coope rat ive membe r it was

machineryobserved that land was cleared without with

no treenumerous tree trunk left in the field but

left to provide hade for the cattle In all ca the

source of the animals was identified as the Cochabatiba

valley and that they had originally suffered heavy lossshy

as from tick born diseases and climate

ASESORAMIENTO EMPRESARIAL SA

5 San Mateo

This 420-hectare property located 12 kms northwest

of Ibuelo initially belonged to Franz E Mthler who

developed it gradually util it had one hundred hectares

of pasturolandn HIoaever because of his inability to

pay back a bank loan this property was taken over by

the Banco do Brasil which is the present owner Reportshy

edly the bank intends to sell the property at a price

of $b 40000ha

After a visit to this property it was seen that no

pasturelands remain all of them havi~ig been covered

with secondary foreL growth However most of the barbed

wire fences remain in place

6 flatunchaco

This propurty belongs to some of the Directors of the

Banco do Cochabaiba It is located 30 km north of the

Chipiriri experimental station (area 4) and it i 200

area some W)ortshyhectares in with 100 hectares clared

edly this group is short of capital for purchasing catshy

tle

B SMALL FARMS

1 Farm a

This farm Is located in Chimor6 - Senda A its owner

being ia mumber of the Asociaci6n do Ganaderos d Chinioshy

r6

It was observed that the farm ha 34 ha of kudzu asshy

sociated with brachiaria In excellent condition and

ASESORAMtlINIO EMPRESARIAL SA

-9 shy

two cows one 1Holstein and one Brown Swiss cebu cross

provided by the heifer project The condition of these

animals was considored to be excellent

to be Ltthered for pasturing beingCattle were seen

takea care of by female members of the family and chil

dren It was expressed by the woman in charge of the

animals that the principal constraints that limit the

the lack of barbed wire forincrease of this here is

fencing She indicated much interest in obtaining

credit for the purchase of wire

2 Farm b

some two kms west of ShinahotaThis farm is located

Its owner has both pigs and cattle The pigs are bred

and fattened in a rudimentary fashion and the cattle

are held only for short periods of time to be louqhtshy

cred and sold to restaurants in Shinahota Obviousl

bol an-i cattle as secondary activithis farm has pijs

)uld not be considered in the implementationties and si

of any of the modules

3 Farm c

from La Jota ExperimentThis farm is located across

Staton and belongs to a religious peasant who do(- not

grow any kind of stimulant (eq coca tea coffee)

he ha s eciali ted i the p)roducLion of ba nana tomashy

toos all(d WLurltwlons An ouLL(inl q two-hectaro j)105shy

tation of bnanas -ociLtd with kudzu Wa o1)---siV(d

at this farm Thu ava ilable kudzu is us d to f-ed four

in gcod conditioncows which were seen to be

SAASISORAMI-NiO JA1MIRESARIAL

- 10 -

C CONCLUSIONS

1 Cattle Ranches

a All present large scale (gt 20 head) cattle activishy

ties in the Chapare are of a breedinq nature speci

fically there are no large-scale fattening activishy

ties

are from the rvjionsb The principil sourcet- of cattle

of Purists Arani and Cliza Ineothorjic valleys and

the Depirtment of Santa Cr

C The most polpular typ -f paLture in the Chapa re i

and kudzu Lill]per orlnan aSOCi LiOfl Of bt i

well with good r nt (ic fiel d rotZLion

p urinig ni(ht and rainy day

weeding etc) With proper fldfld(omeiQ U t i i8 tutishy

ma td that e8 illdLUn the Cha rC CAnl 11t f roIA

prevention of la at on-

eiyhtL Z(Ier ears

d The ue ul I ampciInll(17 for land clearin o088 arit

and adviilbh if it is perforited in accordace wi th

Wc- lh kaldtechnical criLria (ie not duri ng WkL

care not to detroy natural drainage wyiln8taking

etc)

a Wire fence are nucusiary for cattl brcudingiashy

tening activitLi in the Chapare

f Puromiel einp loyc(d to operate ratnch t v inotly

frOZl tiiiw li

g In gunwra l rincle do not have corra l or cruhe

ill the Clhai y Wtelfo i t-Iartcdh Exi tLIll(I cattt1 e r a nche t

as marginal uconldary act itiiLn by litiople wloc 0

__

IEORA4M1VNTO AUPRESBid L $-As4~~ MX

deg r

main sources of income are in other areas and who have generally speaking lacked sufficient technical expertise and financing These existing ranches are not profitable

i At present no large-scale cattle growingfattening operation in the Chapare can be profitable because of the high investment costs i6 land clearing pasture establishment and the construction of tho

necessary infrastructure

2 Small Farms

a Cattle in the Chapare are predominantly crosses of

Holstein and criollo breeds bought in the Cochabam

ba valleys There are also some head of Brown Swiss

oebu cattle brought from Santa Crux these are doing

extremely well In the Chapare

b Mortality rates among pure Holstains are high (S0)

especially among those animals which are brought

Into the Chapare without being previously Immunized

Some cattle brought from the Msothermic valleys

were observed to be resistant to tick related disa

goe

a The association of brachiaria and kudzu is predomi-ss

nant in the region With proper management these

pastures can be kept In excellent condition for up

to ton years In general small farmers keep their

pastures In better condition than the larger cattle ranches

d Pastures do not have an enough largo trees left to

provide shade for cattle

SAASESORAMIENTO EMPRESARIAL

- 12 shy

e Pastures generally have adequate supplies of water

for cattle

f Cattle are tended by the female members of the fashy

mily as well as by children

g In general farmers do not have corrals crushes

or fencing because of this cattle breedingfattenshy

ing activities require increased time and effort

from peasant families

h Sanitary care for small cattle growers is provided

by Dr 11 Mogrovejo and Mr Rom6n sxllca a peasant

from the ChimorC area This care involves monthly

spraying against tick and yearly vaccinations

against foot and mouth disease rabies and anthrax

Adult cows are vaccinated against brucelosis Anishy

mals are no treated for parasites nor are they

castrated

i Small farmc s prefer to purchase breeding heifers

rather than steers for fattening or oxen for animal

traction

j The average size of pastures is estimated to range

between 12 to 2 12 hectares while the stocking

rate is estimated to be two head per hectare of

pasture

k rhe principal limiting constraints to the developshy

ment of cattle breedingfattening activities in the

Chaparu are the lack of efficient channels for the

provision of fencing wire animals and grass seeds

of poor animal quality and inadequate pastu1 Because

ros milk production is minimal

SAASESORAMIENTO EMPRESARIAL

- 13 -

D RECOMMENDATIONS

1 Cattle Ranches

a These ranches should modify their current opera

tions moving to steer fattening rather than breedshy

ing By doing this they would make better prcGits

this is so because these operations already have

cleared lands fences and established pastures

Appropiate steers for fattening can be obtained

in the Department of Beni

b With reference to pastures with proper management

there are few problems For ranches with more than

20 hectares of pastures it is recommended that

weed control be done with tractors It is also

recommended that brachiaria associated with kudzu

pastures are best suited to the area

c If cattle are brought from the Beni to start with

they should be handled by personnel with horses

d Adequate corrals with crushes should be constructshy

ed in all ranches to facilitate sanitary control

and vaccinations Likewise pastures should be

properly divided by fences to make rotation posshy

sible

e Steers brought from Beni should be castrated one

month after arrivil vaccinated against foot and mouth

a yeardisease three times a year against rabies once

and against hematic carbuncle once a year sprayed

against tick when considered necessary treacd for

parasites and provided with adequate supplies of

mineral salts

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASESORAMIENTO EMPRESARIAL SA

5 San Mateo

This 420-hectare property located 12 kms northwest

of Ibuelo initially belonged to Franz E Mthler who

developed it gradually util it had one hundred hectares

of pasturolandn HIoaever because of his inability to

pay back a bank loan this property was taken over by

the Banco do Brasil which is the present owner Reportshy

edly the bank intends to sell the property at a price

of $b 40000ha

After a visit to this property it was seen that no

pasturelands remain all of them havi~ig been covered

with secondary foreL growth However most of the barbed

wire fences remain in place

6 flatunchaco

This propurty belongs to some of the Directors of the

Banco do Cochabaiba It is located 30 km north of the

Chipiriri experimental station (area 4) and it i 200

area some W)ortshyhectares in with 100 hectares clared

edly this group is short of capital for purchasing catshy

tle

B SMALL FARMS

1 Farm a

This farm Is located in Chimor6 - Senda A its owner

being ia mumber of the Asociaci6n do Ganaderos d Chinioshy

r6

It was observed that the farm ha 34 ha of kudzu asshy

sociated with brachiaria In excellent condition and

ASESORAMtlINIO EMPRESARIAL SA

-9 shy

two cows one 1Holstein and one Brown Swiss cebu cross

provided by the heifer project The condition of these

animals was considored to be excellent

to be Ltthered for pasturing beingCattle were seen

takea care of by female members of the family and chil

dren It was expressed by the woman in charge of the

animals that the principal constraints that limit the

the lack of barbed wire forincrease of this here is

fencing She indicated much interest in obtaining

credit for the purchase of wire

2 Farm b

some two kms west of ShinahotaThis farm is located

Its owner has both pigs and cattle The pigs are bred

and fattened in a rudimentary fashion and the cattle

are held only for short periods of time to be louqhtshy

cred and sold to restaurants in Shinahota Obviousl

bol an-i cattle as secondary activithis farm has pijs

)uld not be considered in the implementationties and si

of any of the modules

3 Farm c

from La Jota ExperimentThis farm is located across

Staton and belongs to a religious peasant who do(- not

grow any kind of stimulant (eq coca tea coffee)

he ha s eciali ted i the p)roducLion of ba nana tomashy

toos all(d WLurltwlons An ouLL(inl q two-hectaro j)105shy

tation of bnanas -ociLtd with kudzu Wa o1)---siV(d

at this farm Thu ava ilable kudzu is us d to f-ed four

in gcod conditioncows which were seen to be

SAASISORAMI-NiO JA1MIRESARIAL

- 10 -

C CONCLUSIONS

1 Cattle Ranches

a All present large scale (gt 20 head) cattle activishy

ties in the Chapare are of a breedinq nature speci

fically there are no large-scale fattening activishy

ties

are from the rvjionsb The principil sourcet- of cattle

of Purists Arani and Cliza Ineothorjic valleys and

the Depirtment of Santa Cr

C The most polpular typ -f paLture in the Chapa re i

and kudzu Lill]per orlnan aSOCi LiOfl Of bt i

well with good r nt (ic fiel d rotZLion

p urinig ni(ht and rainy day

weeding etc) With proper fldfld(omeiQ U t i i8 tutishy

ma td that e8 illdLUn the Cha rC CAnl 11t f roIA

prevention of la at on-

eiyhtL Z(Ier ears

d The ue ul I ampciInll(17 for land clearin o088 arit

and adviilbh if it is perforited in accordace wi th

Wc- lh kaldtechnical criLria (ie not duri ng WkL

care not to detroy natural drainage wyiln8taking

etc)

a Wire fence are nucusiary for cattl brcudingiashy

tening activitLi in the Chapare

f Puromiel einp loyc(d to operate ratnch t v inotly

frOZl tiiiw li

g In gunwra l rincle do not have corra l or cruhe

ill the Clhai y Wtelfo i t-Iartcdh Exi tLIll(I cattt1 e r a nche t

as marginal uconldary act itiiLn by litiople wloc 0

__

IEORA4M1VNTO AUPRESBid L $-As4~~ MX

deg r

main sources of income are in other areas and who have generally speaking lacked sufficient technical expertise and financing These existing ranches are not profitable

i At present no large-scale cattle growingfattening operation in the Chapare can be profitable because of the high investment costs i6 land clearing pasture establishment and the construction of tho

necessary infrastructure

2 Small Farms

a Cattle in the Chapare are predominantly crosses of

Holstein and criollo breeds bought in the Cochabam

ba valleys There are also some head of Brown Swiss

oebu cattle brought from Santa Crux these are doing

extremely well In the Chapare

b Mortality rates among pure Holstains are high (S0)

especially among those animals which are brought

Into the Chapare without being previously Immunized

Some cattle brought from the Msothermic valleys

were observed to be resistant to tick related disa

goe

a The association of brachiaria and kudzu is predomi-ss

nant in the region With proper management these

pastures can be kept In excellent condition for up

to ton years In general small farmers keep their

pastures In better condition than the larger cattle ranches

d Pastures do not have an enough largo trees left to

provide shade for cattle

SAASESORAMIENTO EMPRESARIAL

- 12 shy

e Pastures generally have adequate supplies of water

for cattle

f Cattle are tended by the female members of the fashy

mily as well as by children

g In general farmers do not have corrals crushes

or fencing because of this cattle breedingfattenshy

ing activities require increased time and effort

from peasant families

h Sanitary care for small cattle growers is provided

by Dr 11 Mogrovejo and Mr Rom6n sxllca a peasant

from the ChimorC area This care involves monthly

spraying against tick and yearly vaccinations

against foot and mouth disease rabies and anthrax

Adult cows are vaccinated against brucelosis Anishy

mals are no treated for parasites nor are they

castrated

i Small farmc s prefer to purchase breeding heifers

rather than steers for fattening or oxen for animal

traction

j The average size of pastures is estimated to range

between 12 to 2 12 hectares while the stocking

rate is estimated to be two head per hectare of

pasture

k rhe principal limiting constraints to the developshy

ment of cattle breedingfattening activities in the

Chaparu are the lack of efficient channels for the

provision of fencing wire animals and grass seeds

of poor animal quality and inadequate pastu1 Because

ros milk production is minimal

SAASESORAMIENTO EMPRESARIAL

- 13 -

D RECOMMENDATIONS

1 Cattle Ranches

a These ranches should modify their current opera

tions moving to steer fattening rather than breedshy

ing By doing this they would make better prcGits

this is so because these operations already have

cleared lands fences and established pastures

Appropiate steers for fattening can be obtained

in the Department of Beni

b With reference to pastures with proper management

there are few problems For ranches with more than

20 hectares of pastures it is recommended that

weed control be done with tractors It is also

recommended that brachiaria associated with kudzu

pastures are best suited to the area

c If cattle are brought from the Beni to start with

they should be handled by personnel with horses

d Adequate corrals with crushes should be constructshy

ed in all ranches to facilitate sanitary control

and vaccinations Likewise pastures should be

properly divided by fences to make rotation posshy

sible

e Steers brought from Beni should be castrated one

month after arrivil vaccinated against foot and mouth

a yeardisease three times a year against rabies once

and against hematic carbuncle once a year sprayed

against tick when considered necessary treacd for

parasites and provided with adequate supplies of

mineral salts

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASESORAMtlINIO EMPRESARIAL SA

-9 shy

two cows one 1Holstein and one Brown Swiss cebu cross

provided by the heifer project The condition of these

animals was considored to be excellent

to be Ltthered for pasturing beingCattle were seen

takea care of by female members of the family and chil

dren It was expressed by the woman in charge of the

animals that the principal constraints that limit the

the lack of barbed wire forincrease of this here is

fencing She indicated much interest in obtaining

credit for the purchase of wire

2 Farm b

some two kms west of ShinahotaThis farm is located

Its owner has both pigs and cattle The pigs are bred

and fattened in a rudimentary fashion and the cattle

are held only for short periods of time to be louqhtshy

cred and sold to restaurants in Shinahota Obviousl

bol an-i cattle as secondary activithis farm has pijs

)uld not be considered in the implementationties and si

of any of the modules

3 Farm c

from La Jota ExperimentThis farm is located across

Staton and belongs to a religious peasant who do(- not

grow any kind of stimulant (eq coca tea coffee)

he ha s eciali ted i the p)roducLion of ba nana tomashy

toos all(d WLurltwlons An ouLL(inl q two-hectaro j)105shy

tation of bnanas -ociLtd with kudzu Wa o1)---siV(d

at this farm Thu ava ilable kudzu is us d to f-ed four

in gcod conditioncows which were seen to be

SAASISORAMI-NiO JA1MIRESARIAL

- 10 -

C CONCLUSIONS

1 Cattle Ranches

a All present large scale (gt 20 head) cattle activishy

ties in the Chapare are of a breedinq nature speci

fically there are no large-scale fattening activishy

ties

are from the rvjionsb The principil sourcet- of cattle

of Purists Arani and Cliza Ineothorjic valleys and

the Depirtment of Santa Cr

C The most polpular typ -f paLture in the Chapa re i

and kudzu Lill]per orlnan aSOCi LiOfl Of bt i

well with good r nt (ic fiel d rotZLion

p urinig ni(ht and rainy day

weeding etc) With proper fldfld(omeiQ U t i i8 tutishy

ma td that e8 illdLUn the Cha rC CAnl 11t f roIA

prevention of la at on-

eiyhtL Z(Ier ears

d The ue ul I ampciInll(17 for land clearin o088 arit

and adviilbh if it is perforited in accordace wi th

Wc- lh kaldtechnical criLria (ie not duri ng WkL

care not to detroy natural drainage wyiln8taking

etc)

a Wire fence are nucusiary for cattl brcudingiashy

tening activitLi in the Chapare

f Puromiel einp loyc(d to operate ratnch t v inotly

frOZl tiiiw li

g In gunwra l rincle do not have corra l or cruhe

ill the Clhai y Wtelfo i t-Iartcdh Exi tLIll(I cattt1 e r a nche t

as marginal uconldary act itiiLn by litiople wloc 0

__

IEORA4M1VNTO AUPRESBid L $-As4~~ MX

deg r

main sources of income are in other areas and who have generally speaking lacked sufficient technical expertise and financing These existing ranches are not profitable

i At present no large-scale cattle growingfattening operation in the Chapare can be profitable because of the high investment costs i6 land clearing pasture establishment and the construction of tho

necessary infrastructure

2 Small Farms

a Cattle in the Chapare are predominantly crosses of

Holstein and criollo breeds bought in the Cochabam

ba valleys There are also some head of Brown Swiss

oebu cattle brought from Santa Crux these are doing

extremely well In the Chapare

b Mortality rates among pure Holstains are high (S0)

especially among those animals which are brought

Into the Chapare without being previously Immunized

Some cattle brought from the Msothermic valleys

were observed to be resistant to tick related disa

goe

a The association of brachiaria and kudzu is predomi-ss

nant in the region With proper management these

pastures can be kept In excellent condition for up

to ton years In general small farmers keep their

pastures In better condition than the larger cattle ranches

d Pastures do not have an enough largo trees left to

provide shade for cattle

SAASESORAMIENTO EMPRESARIAL

- 12 shy

e Pastures generally have adequate supplies of water

for cattle

f Cattle are tended by the female members of the fashy

mily as well as by children

g In general farmers do not have corrals crushes

or fencing because of this cattle breedingfattenshy

ing activities require increased time and effort

from peasant families

h Sanitary care for small cattle growers is provided

by Dr 11 Mogrovejo and Mr Rom6n sxllca a peasant

from the ChimorC area This care involves monthly

spraying against tick and yearly vaccinations

against foot and mouth disease rabies and anthrax

Adult cows are vaccinated against brucelosis Anishy

mals are no treated for parasites nor are they

castrated

i Small farmc s prefer to purchase breeding heifers

rather than steers for fattening or oxen for animal

traction

j The average size of pastures is estimated to range

between 12 to 2 12 hectares while the stocking

rate is estimated to be two head per hectare of

pasture

k rhe principal limiting constraints to the developshy

ment of cattle breedingfattening activities in the

Chaparu are the lack of efficient channels for the

provision of fencing wire animals and grass seeds

of poor animal quality and inadequate pastu1 Because

ros milk production is minimal

SAASESORAMIENTO EMPRESARIAL

- 13 -

D RECOMMENDATIONS

1 Cattle Ranches

a These ranches should modify their current opera

tions moving to steer fattening rather than breedshy

ing By doing this they would make better prcGits

this is so because these operations already have

cleared lands fences and established pastures

Appropiate steers for fattening can be obtained

in the Department of Beni

b With reference to pastures with proper management

there are few problems For ranches with more than

20 hectares of pastures it is recommended that

weed control be done with tractors It is also

recommended that brachiaria associated with kudzu

pastures are best suited to the area

c If cattle are brought from the Beni to start with

they should be handled by personnel with horses

d Adequate corrals with crushes should be constructshy

ed in all ranches to facilitate sanitary control

and vaccinations Likewise pastures should be

properly divided by fences to make rotation posshy

sible

e Steers brought from Beni should be castrated one

month after arrivil vaccinated against foot and mouth

a yeardisease three times a year against rabies once

and against hematic carbuncle once a year sprayed

against tick when considered necessary treacd for

parasites and provided with adequate supplies of

mineral salts

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

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0 0162 0 0 0 162 tP1PAYIxU-M

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11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

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of ppVE00

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tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

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] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

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4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAASISORAMI-NiO JA1MIRESARIAL

- 10 -

C CONCLUSIONS

1 Cattle Ranches

a All present large scale (gt 20 head) cattle activishy

ties in the Chapare are of a breedinq nature speci

fically there are no large-scale fattening activishy

ties

are from the rvjionsb The principil sourcet- of cattle

of Purists Arani and Cliza Ineothorjic valleys and

the Depirtment of Santa Cr

C The most polpular typ -f paLture in the Chapa re i

and kudzu Lill]per orlnan aSOCi LiOfl Of bt i

well with good r nt (ic fiel d rotZLion

p urinig ni(ht and rainy day

weeding etc) With proper fldfld(omeiQ U t i i8 tutishy

ma td that e8 illdLUn the Cha rC CAnl 11t f roIA

prevention of la at on-

eiyhtL Z(Ier ears

d The ue ul I ampciInll(17 for land clearin o088 arit

and adviilbh if it is perforited in accordace wi th

Wc- lh kaldtechnical criLria (ie not duri ng WkL

care not to detroy natural drainage wyiln8taking

etc)

a Wire fence are nucusiary for cattl brcudingiashy

tening activitLi in the Chapare

f Puromiel einp loyc(d to operate ratnch t v inotly

frOZl tiiiw li

g In gunwra l rincle do not have corra l or cruhe

ill the Clhai y Wtelfo i t-Iartcdh Exi tLIll(I cattt1 e r a nche t

as marginal uconldary act itiiLn by litiople wloc 0

__

IEORA4M1VNTO AUPRESBid L $-As4~~ MX

deg r

main sources of income are in other areas and who have generally speaking lacked sufficient technical expertise and financing These existing ranches are not profitable

i At present no large-scale cattle growingfattening operation in the Chapare can be profitable because of the high investment costs i6 land clearing pasture establishment and the construction of tho

necessary infrastructure

2 Small Farms

a Cattle in the Chapare are predominantly crosses of

Holstein and criollo breeds bought in the Cochabam

ba valleys There are also some head of Brown Swiss

oebu cattle brought from Santa Crux these are doing

extremely well In the Chapare

b Mortality rates among pure Holstains are high (S0)

especially among those animals which are brought

Into the Chapare without being previously Immunized

Some cattle brought from the Msothermic valleys

were observed to be resistant to tick related disa

goe

a The association of brachiaria and kudzu is predomi-ss

nant in the region With proper management these

pastures can be kept In excellent condition for up

to ton years In general small farmers keep their

pastures In better condition than the larger cattle ranches

d Pastures do not have an enough largo trees left to

provide shade for cattle

SAASESORAMIENTO EMPRESARIAL

- 12 shy

e Pastures generally have adequate supplies of water

for cattle

f Cattle are tended by the female members of the fashy

mily as well as by children

g In general farmers do not have corrals crushes

or fencing because of this cattle breedingfattenshy

ing activities require increased time and effort

from peasant families

h Sanitary care for small cattle growers is provided

by Dr 11 Mogrovejo and Mr Rom6n sxllca a peasant

from the ChimorC area This care involves monthly

spraying against tick and yearly vaccinations

against foot and mouth disease rabies and anthrax

Adult cows are vaccinated against brucelosis Anishy

mals are no treated for parasites nor are they

castrated

i Small farmc s prefer to purchase breeding heifers

rather than steers for fattening or oxen for animal

traction

j The average size of pastures is estimated to range

between 12 to 2 12 hectares while the stocking

rate is estimated to be two head per hectare of

pasture

k rhe principal limiting constraints to the developshy

ment of cattle breedingfattening activities in the

Chaparu are the lack of efficient channels for the

provision of fencing wire animals and grass seeds

of poor animal quality and inadequate pastu1 Because

ros milk production is minimal

SAASESORAMIENTO EMPRESARIAL

- 13 -

D RECOMMENDATIONS

1 Cattle Ranches

a These ranches should modify their current opera

tions moving to steer fattening rather than breedshy

ing By doing this they would make better prcGits

this is so because these operations already have

cleared lands fences and established pastures

Appropiate steers for fattening can be obtained

in the Department of Beni

b With reference to pastures with proper management

there are few problems For ranches with more than

20 hectares of pastures it is recommended that

weed control be done with tractors It is also

recommended that brachiaria associated with kudzu

pastures are best suited to the area

c If cattle are brought from the Beni to start with

they should be handled by personnel with horses

d Adequate corrals with crushes should be constructshy

ed in all ranches to facilitate sanitary control

and vaccinations Likewise pastures should be

properly divided by fences to make rotation posshy

sible

e Steers brought from Beni should be castrated one

month after arrivil vaccinated against foot and mouth

a yeardisease three times a year against rabies once

and against hematic carbuncle once a year sprayed

against tick when considered necessary treacd for

parasites and provided with adequate supplies of

mineral salts

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

__

IEORA4M1VNTO AUPRESBid L $-As4~~ MX

deg r

main sources of income are in other areas and who have generally speaking lacked sufficient technical expertise and financing These existing ranches are not profitable

i At present no large-scale cattle growingfattening operation in the Chapare can be profitable because of the high investment costs i6 land clearing pasture establishment and the construction of tho

necessary infrastructure

2 Small Farms

a Cattle in the Chapare are predominantly crosses of

Holstein and criollo breeds bought in the Cochabam

ba valleys There are also some head of Brown Swiss

oebu cattle brought from Santa Crux these are doing

extremely well In the Chapare

b Mortality rates among pure Holstains are high (S0)

especially among those animals which are brought

Into the Chapare without being previously Immunized

Some cattle brought from the Msothermic valleys

were observed to be resistant to tick related disa

goe

a The association of brachiaria and kudzu is predomi-ss

nant in the region With proper management these

pastures can be kept In excellent condition for up

to ton years In general small farmers keep their

pastures In better condition than the larger cattle ranches

d Pastures do not have an enough largo trees left to

provide shade for cattle

SAASESORAMIENTO EMPRESARIAL

- 12 shy

e Pastures generally have adequate supplies of water

for cattle

f Cattle are tended by the female members of the fashy

mily as well as by children

g In general farmers do not have corrals crushes

or fencing because of this cattle breedingfattenshy

ing activities require increased time and effort

from peasant families

h Sanitary care for small cattle growers is provided

by Dr 11 Mogrovejo and Mr Rom6n sxllca a peasant

from the ChimorC area This care involves monthly

spraying against tick and yearly vaccinations

against foot and mouth disease rabies and anthrax

Adult cows are vaccinated against brucelosis Anishy

mals are no treated for parasites nor are they

castrated

i Small farmc s prefer to purchase breeding heifers

rather than steers for fattening or oxen for animal

traction

j The average size of pastures is estimated to range

between 12 to 2 12 hectares while the stocking

rate is estimated to be two head per hectare of

pasture

k rhe principal limiting constraints to the developshy

ment of cattle breedingfattening activities in the

Chaparu are the lack of efficient channels for the

provision of fencing wire animals and grass seeds

of poor animal quality and inadequate pastu1 Because

ros milk production is minimal

SAASESORAMIENTO EMPRESARIAL

- 13 -

D RECOMMENDATIONS

1 Cattle Ranches

a These ranches should modify their current opera

tions moving to steer fattening rather than breedshy

ing By doing this they would make better prcGits

this is so because these operations already have

cleared lands fences and established pastures

Appropiate steers for fattening can be obtained

in the Department of Beni

b With reference to pastures with proper management

there are few problems For ranches with more than

20 hectares of pastures it is recommended that

weed control be done with tractors It is also

recommended that brachiaria associated with kudzu

pastures are best suited to the area

c If cattle are brought from the Beni to start with

they should be handled by personnel with horses

d Adequate corrals with crushes should be constructshy

ed in all ranches to facilitate sanitary control

and vaccinations Likewise pastures should be

properly divided by fences to make rotation posshy

sible

e Steers brought from Beni should be castrated one

month after arrivil vaccinated against foot and mouth

a yeardisease three times a year against rabies once

and against hematic carbuncle once a year sprayed

against tick when considered necessary treacd for

parasites and provided with adequate supplies of

mineral salts

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAASESORAMIENTO EMPRESARIAL

- 12 shy

e Pastures generally have adequate supplies of water

for cattle

f Cattle are tended by the female members of the fashy

mily as well as by children

g In general farmers do not have corrals crushes

or fencing because of this cattle breedingfattenshy

ing activities require increased time and effort

from peasant families

h Sanitary care for small cattle growers is provided

by Dr 11 Mogrovejo and Mr Rom6n sxllca a peasant

from the ChimorC area This care involves monthly

spraying against tick and yearly vaccinations

against foot and mouth disease rabies and anthrax

Adult cows are vaccinated against brucelosis Anishy

mals are no treated for parasites nor are they

castrated

i Small farmc s prefer to purchase breeding heifers

rather than steers for fattening or oxen for animal

traction

j The average size of pastures is estimated to range

between 12 to 2 12 hectares while the stocking

rate is estimated to be two head per hectare of

pasture

k rhe principal limiting constraints to the developshy

ment of cattle breedingfattening activities in the

Chaparu are the lack of efficient channels for the

provision of fencing wire animals and grass seeds

of poor animal quality and inadequate pastu1 Because

ros milk production is minimal

SAASESORAMIENTO EMPRESARIAL

- 13 -

D RECOMMENDATIONS

1 Cattle Ranches

a These ranches should modify their current opera

tions moving to steer fattening rather than breedshy

ing By doing this they would make better prcGits

this is so because these operations already have

cleared lands fences and established pastures

Appropiate steers for fattening can be obtained

in the Department of Beni

b With reference to pastures with proper management

there are few problems For ranches with more than

20 hectares of pastures it is recommended that

weed control be done with tractors It is also

recommended that brachiaria associated with kudzu

pastures are best suited to the area

c If cattle are brought from the Beni to start with

they should be handled by personnel with horses

d Adequate corrals with crushes should be constructshy

ed in all ranches to facilitate sanitary control

and vaccinations Likewise pastures should be

properly divided by fences to make rotation posshy

sible

e Steers brought from Beni should be castrated one

month after arrivil vaccinated against foot and mouth

a yeardisease three times a year against rabies once

and against hematic carbuncle once a year sprayed

against tick when considered necessary treacd for

parasites and provided with adequate supplies of

mineral salts

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

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if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

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32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

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AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

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AIUIA IIEAJCII2000

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DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

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] - 44 S elo ent

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0 0MAL0

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ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAASESORAMIENTO EMPRESARIAL

- 13 -

D RECOMMENDATIONS

1 Cattle Ranches

a These ranches should modify their current opera

tions moving to steer fattening rather than breedshy

ing By doing this they would make better prcGits

this is so because these operations already have

cleared lands fences and established pastures

Appropiate steers for fattening can be obtained

in the Department of Beni

b With reference to pastures with proper management

there are few problems For ranches with more than

20 hectares of pastures it is recommended that

weed control be done with tractors It is also

recommended that brachiaria associated with kudzu

pastures are best suited to the area

c If cattle are brought from the Beni to start with

they should be handled by personnel with horses

d Adequate corrals with crushes should be constructshy

ed in all ranches to facilitate sanitary control

and vaccinations Likewise pastures should be

properly divided by fences to make rotation posshy

sible

e Steers brought from Beni should be castrated one

month after arrivil vaccinated against foot and mouth

a yeardisease three times a year against rabies once

and against hematic carbuncle once a year sprayed

against tick when considered necessary treacd for

parasites and provided with adequate supplies of

mineral salts

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

EMPRESARIAL SAASESORAMIENTO

- 14 shy

f It will be necessary to register cattle brands

g In relation to breeds it is recommended that crossshy

bred cebu cattle be employed they are better adapted

to the region

h With refererence to land clearing activities for

pasture establishment on a large scale it is esshy

sential that appropriate technology be used Due to

the lack of labor and the relative short period of

time in which there is adequate weather conditions

for operations in the Chapare it is necessary to use

machinery However it is doubtful that major land

clearing efforts could be economically justified It

could prove to be economic that pasture establishshy

ment activities be carried out together with rice

production For the establishment of pasture in conshy

junction with rice it is recommended that two kgs of

brachiaria and two kgs of kudzu seed be employed per

hectare assuming a germination rate of at least 85

ppr cent

i For the provision of veterinary assistance it is

important that each farm or a group of them hire its

own veterinarian

2 Small Farms

a It is recommended that rather than steer fattening

cattle breeding for the production of beef and milk

be undertaken by small farmers in the Chapare This

recommendation is based on the following arguments

1) If only steer fattening activities aru undertaken

the regions cattle population will not increase

being always dependent on supplies from Beni

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAASESORAMIENTO EMPRESARIAL

- 15 shy

2) It is appreciated that peasants will have greater

interest in participating in a program in which

they can breed their own cattle

3) Cattle breeding activities will tend to improve

the nutritional condition of the families milk

will be produced as well as income from the

sale of fattened steers Eventually a cheese inshy

dustry will develop

4) The main source of significant numbers of steers

for fattening is the Beni the problem with these

animals is their wildness this makes them unsuit

able for handling by horseless small farmers

(women and children) Before these animals can

be handled by peasants it is necessary that they

be tamed At present ft is not feasible to estabshy

lish a large-size ranch for taming of these anishy

mals

b These is a need to implement 12 to 2 12 hectare

modules with one to five head of cattle depending

on the individual capacity of the farmer This capashy

city will be determined in accordance with the avaishy

lability of labor economic capacity and the avaishy

lability of infrastructure (fencing corrals ctc)

c It is essential that appropriate pasture management

practices be adopted It is recommended that an asshy

sociation of brachiaria and kudzu be used to estabshy

lish any new pastures

d It is recommended that pasture establishment activi

ties be linked with and clearing and rice producshy

tion activities Specifically brachiaria should be

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASl SORA MfINTO EMPRESA RIAL SA

- 16 shy

interplanted with rice after the last hoeing when

the rice is about 30 cms high kudzu can be planted

vegetatively after the rice has been harvested Vegshy

etative planting of kudzu will save time in pasture

establishment Figure 1 shows the recommended process

for pasture establishment

FIGURE 1

PASTURE ESTABLISIIMENT PROCESS FOR SMALL FARMSTshy1 Aprximae citeApril1 to

D cem r Dlirch Ihrch AugustAproximate date Septei~ber Novc bcr

Plant rice sw Harves Plant Land RoadActivity Clear land Brachiaria rice Kudzu Gr

e A maximum stocking rate of two animal units per hectare

of improved pastures is recommended

The cut and carry method of cattle feeding should notf

be considered for the modules This recommendation is

based on the following

1) This feeding method is not practiced at present by

Chapare farmers

2) Given that one adult animal consumes an avurakje of

50 kgs of grass per day the cut and carry feuding

method would require excessive amounts of labor from

women and children

g It is suggested that a Cattle Development Fund be estabshy

lished in the Chapare in the form described in Section

III

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAASESORAMIENTO EMPRFSA RIA L

- 17

III CATTLE DEVELOPMENT FUND (CDF)

A BACKGROUND AND JUSTIFICATION

In 980 a Fondo Ganadero (FG) program was started in the Beni

with World Bank support Since then this program has

out approximatelyexperienced continuous growth having lent

12000 head of cattle and sold about 15000 rolls of barber

wire to small cattlemen at below market prices At the end

of 1982 the Beni FG showed a net profit of twenty five

million Bolivian pesos

It is important to point out that the financial positions

of the Beni FG and its borrowers have not been seriously

damaged by the devaluation of the Bolivian peso this from

the fact that loan repayments have been expressed in kiloshy

grams of meat l

(eq nastureA FG is essentially a bank that lends in kind

seeds barbed wire cattle etc) and receives interest

and capital repayments also in kind (ecr meat) The

specially suited to improve welfare conditions ofFG is

is so because it controls speculationsmall cattlemen this

by input merchants also it requlates the price of breeding

and permits the small cattlemenstock and fattening steers steers as inthe sale of finished cattle instead of youna

the past

PG prooram that was initiated in 19601 It nceds to he noted that a

in Santa Cruz has exericnc d financial difficulties l1kever these

provisions were iivi(edifficulties arose becaue in this program no

for the adoption of inc(-we generating activities durinca the initial two

years as a consecquence both the Santa Cruz G and the borrowers have

experienced financial problems

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAASESORA MIENTO EMPRESA RIAL

- 18 -

Through a FG small farmers can

a) Obtain technical a-d financial support b) have an

entity that can obtain funds and channel these to romote

the growth of cattle activities c) increase their cattle

production efficiency d) use more efficiently their land

e) have a low cost and reliable supply source of cattle

and inputs and f) have a viable marketing channel for their

end products

It could have been suggested that a heifer type program (11P)

be implemented to promote small farm cattle activities in

the Chapare H1owever it is considered that a FG approach

a) As opposedis preferable because of the following reasons

FG programs have increased small farmer participationto liP

in ownership and administration b) while liP programs are

farmers FG proqrams aredirected mainly to the poorest

farmer population in generaldirected to serve the small

c) as opposed to FG lIP programs depend on donations of

the formulation of economically soundfunds rather than on

projects and e) FG programs offer the possibility of a

more accelerated and comprehensive development of a regions

cattle breeding fattening potential

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAASESORAMIENTO EMPRESARIAL

- 19 -

B GENERAL DESCRIPTION

Basically the Cattle Development Fund (CDF) will be organshy

ized to help the small farmer (SF) to increase his producshy

tivity and to utilize the capacity of his land by loans

in kind of breeding animals and inputs Technical assist

ance will be provided to help the SF buildup the necessary

infrastructure and veterinary assistance to reduce mortality

and increase production The following items will be financed

in kin~d

1 Heifers and bulls ready for breedingof a type readily

adaptable to the humid tropical conditions of the Chashy

pare

2 Grass seed of Brachiaria decumbens a variety already

well proven in the area

3 Fencing wire (barbed) and the necessary staples

These investments and the necessary technical services will

all be paid for by the SF in kind from his own production

either with animals rice or maize

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASESORAMIENTO EMIRSARIAL SA

- 20 -

C CATTLE HERD DEVELOPMENT (See Annex A)

1 Cattle

The program contemplates the purchase of 500 Swissshy

sameBrown-cebu cross of heifers and 25 bulls of the

breed Both heifers and bulls are to be approximately

two years old

These cattle will be purchased in Santa Cruz and transshy

ported to the Chapare within a three year period The

first year105 head will be purchasedthe second and

third year 210 head will be purchased

2 C o s t s

The cost of these cattle are higher than other breeds

because of their dairy origin The heifers will cost

$b 70000 each and the bulls will cost $b 120000 each

These prices include the transport to the Chapare

3 Program

The program contemplates the delivery of two heifers

(on the average) to each selected small farmer (SF)

follow a special program as out-This SF will have to

lined in Section IV and return to the CDF one heifer

and one steer of about 2 years old in year 3 and anoshy

ther heiferalso of about 2 years old in year 4

In this manner the CDF not only maintains the original

number of 500 heifers but also increases thie number

of modules of two heifers each to every SF At the end

of year 8 the number of new participating SF or modushy

les will increase to 512 besides the original 250

modules (See Annex B)

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASESORAMIENTO EMPRESARIAL SA

- 21 -

With respect to the bulls these will be delivered

also to selected small farmers at the rate of one

for every 20 heifers

These SF will in turn hire for a small charge the bulls to

the other SF who have heifers but no bulls

As the CDF alse replaces the bulls every 3 years

it increases the herd continuously At the end of

year 8 the total number of steers that reached the

market will increase to 563 (See Annex C)

D FINANCIAL PROJECTIOlS

1 Infrastructure

The cost of the required infrastructure has not been

charged to the Project as it is hoped that one of the

entities already established in the Chapare such as

the Cattlemens Association PRODES FENACRE IBTA etc

awill provide these items or that it is treated as

separate Project that will provide services to the

various Chapare Projects

Regardless of the source the following items will be

required in year 1

A four wheeled traction vehicle for the technicians

A house for the technicians

Furniture and equipment for the house

An office for the Project

Office equipment

A storage barn for inputs

Veterinary equipment

Other items

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAASESORAMIENTO EMPRESARIAL

- 22 -

Provision is to be made for approximately the same

items and cost ($b 20 millon) after four or five years

to accomodate the increase of technicians and office

personnel

2 Fixed Capital Requirements (See Annex B)

The requirement for fixed capital is for the purchase

of the 500 heifers and the 25 bulls This requirement

of which 5 is contributed by the CDF is needed in

years 12 and 3

Operating Capital Requirements (See Annex B)3

The requirement for operating capital is for inputs and

is needed only in year 0 ($b 18 millon of which 5

is contributed by the CDF)

a) Inputs Thbe requirements of operating capital for

the purchase of inputs will be $b 1778000 in year

0 for the initial 50 modules This amount will purshy

per kilo barhedchase Brachiaria seed at $b 2700

per kilo and fencing stat)les at $bwire at $b 18

will financed450 a kilo These three items be to

the SF throughout the life of the Project

b) Animal ealth The requirement of operatingJ capital

for animal health items consists of the purchae of

mineral alts amounting tovaccines medicines and

a total of $b 900 per animal unit

upplicd toc) Mark-uL) All the above input will be

the small farmer with a minimal mark-up of 10 over

managementcost estimated to cover losses spoilage

expenses etc

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASESORAMIENT(O EMPRESA RIAL SA

- 23 shy

d) Technical Assistance Technical assistance adminisshy

tration costs will cover the veterinarians salaries It is

estimated that the veterinarians will make 12 visits

per year at a cost of $b 6000 ner SF or module

e) other items Other items cover travelling expenses

this increasesfuel and maintenance insurance etc

at the rate of 20 annually

4 Financing Requirements (See Annex B and C)

The capital contribution of the Cattle Development Fund

5 which will be provided by the membersis estimated at

of the CDP (Cattlemens Association PRODES FENACRE

IBTA etc) The Central Bank will provide 76 and Prishy

vate Banks will provide 19 Therefore the Central Bank

of 95 and the Private Banks willwill finance 80

for both fixed investof 95 Interest ratesfinance 20

ment capital and operating capital are current ie Ban

The terms for the co Central 38 Private Banks 48

fixed investment loan are for a period 8 years with 4

years grace and for the operating canital loan are for

a period of one year

Fixed capital financing will be required only for the

bulls (yearspurchase of the original 500 heifers and 25

1 to 3) Operating capital financing will be required

only for the first year (year 0)

in Annex CThe repayment schedule is presented

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASESORAMIENTO EIMPRESA RIA L SA

- 24 -

E FINANCIAL ANALYSIS (See Annex D)

1 Cash Flow

a) Inflow The cash inflow is generated by four operashy

tions The first one results when the SF pays cash

($b 70000) for one heifer (the other heifer is

financed) The second one results when some SF pay

cash for the bulls The third one results when the

SF purchases the required inputs (wire seed and

staples) and the fourth one results when the Si

pays for technical assitance and veterinary products

cash means not only moneyIt should be noted that

but also rice or maize which the CDF can in turn

into cash The CDF will deal primarilytransform

in kind

b) Outflow The cash outflow results from six operations

The first one is the purchase of inputs The second

one is the purchase of veterinary products The third

one i the veterinarians costs ( only salaries)

The fourth one is otner expenses The fifth one is

the loans and the sixth one isinterest expenses on

the amortization of capital

c) Results The cash flow generated by the ProjcCt is

positive as it can certainly maintain itself and

at the same time increase the number of animal units

of cattle in the Chapare hhe mill dficit in the 1it

year caJn 1x-P sily cover(xl with n oc)rat-ion- -nd a hin

2 Not Preent Vtlue

The net preent value of the cash flows ha been calceb

lated at 32 (current opportunity cost of money)

The capital contribution of the CI)F hts been pllaccd at

year 0 at its present value and the cas h inflow haive

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

AsrI oR4AILN I) 1MIRIIAARIs4 L SA

bull25 shy

been also placed at year 0 at its present value To

estimate the value of the cattle at year 8 it is

one year oldassumed that 500 hei fert and about 250

to t-he CDF The value of the 500animal unit belonq

each (it beef value)heifers iS eStimated at $b 50000

and for the one-year-old animal units at $b 20000

The total value of the cattle at year 8 is 5b 30

million

Based on these premises the net present value of the

Project is Sb 4293000

3 Internal Rate of Return

The internal raite of retun is I-ased on the above

premi ke and i calculated at 19 This i without the

value Of ttie ctte At year 8 if this is included the 7RR is over 1CJu

F CONCLUSIONS

1 Leavino out tile ill ra tructue roauiror en t s nd usin

current intLret IItt5 with sl-tatic PriCe1 and cots

the Projtct i vidile aind hi(IhlNv 1 i ficitl to the

developntL of C(ttl4 ICt ivit it o1the 1 r i

in the Cha xi ro It does not ent optitdi nl oroblens

financial or t lWi

2 The requAired ivti 0pjoxigntely b 363

Inillon of which h 30 rillion require- financinq in

a peric d (t 4 ytJtA1

3 A Cona id r tirl hofrd of adIpted b1oodi no aniwl will

bo built up itl I lq tht rojtct riOd of Ii yevorti (up1

it d A124 headto 2271 ldilll uoit o I dult c-Ile

includili the calvvi) with all vittAtd valtlo o1 $b

105 nillit(S

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASESORAMWENTO EMPRESARIAL SA

- 26 shy

4 The social and economic status of the small farmer will

increase enormously Likewise the availability of catshy

tle and milk will clearly improve his diet and the diet

of his family

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASESORAMWNIO EMIRESARIAL SA - 27 -

IV SMALL FARMER MODULE

A MODULE DESCRIPTION

The small farmer module is a cattle breeding and fattening

module tailored for the small farmers of the Chapare

Several modules have been studied ranging from 1 head of

cattle to 5 head of cattle Out of these different modules

it is assumed that the module of two heifers and one hectare

of improved pasture is the most representative

The other modules can be easily analysed as there is a

lineal relationship with the selected module (See Annex H)

B SMALL FARMER REQUIREMENTS (2 heifers and 1 hectare of pasture)

The small farmer will have to comply with some requirements

to participate in the program

These requirements are

1 That the farmer is an established resident in the Chashy

pare

2 That the farmer has a definite interest in the program

3 That the farmer has available land (at least 35 hectashy

res) for cattle breeding and fattening purposes

4 That the farmer can purchase in cash or in kind (rice

or maize) one heifer worth $b 70000

5 That the farmer agree to follow the program particulary

with res-pect to the technical assistance and animal

health practices as provided by the CDF

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

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nZATr110 CAL 3 3 3 33 3DeAia AD ~

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SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

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441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

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SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

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20 0

0 92

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1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

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R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

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ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

- 28 - ISESORAMIENTO EMPRESARIAL SA

C ASSUMPTIONS (See Annex E)

1 That the farmer will be able to purchase from the Cattle

Development Fund one heifer with his own funds ($b 70000)

2 That the labour required for land clearing of one hectare

for the sowing of rice or maize and pasture and for the

fence and corral constructions will be provided by the

farmer and his family

3 That any additional costs required will be covered by the

result of the harvest of the extra hectare (other than

his normal sowings) estimated at $b 24500 in the case

of riceat Chapare prices

4 That one in ten farmers can afford to purchase a bull ($b

120000) and hire it for service to nine neighbours

5 That the two heifers breed in year 1 and that one of

the calves is a female

6 That as his cattle increase the farmer will increase his

pasture arcaby half an hectare a year and that the inputs

required will be paid for with the resulting harvest

After year Iou- Illy i leuiin i aluts will be paid from

incowe derived from Lhi -olt (I ciiL Le

7 lIw L bucuilu U()I I 1i iWc I a( i ll ii oi(lI i 111(1 1) 11 1r

the farrrer will wili L Cl Lt uu WLioII ILthi j ljILLd

and animal health provided by the CDF aftei lie has

amortized his loan in year 4 These two charaos are calshy

culated at $b 500 a visit once a month and $b 1000 per

aniiii imiil her year refpcctiv]y lly aiw paid iii kind

It I1II lji oI l ich y a- iL harvest tiiiiw

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

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ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

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310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

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11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

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of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

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(UflLo 51)

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--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

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1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

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32 a 42)3R1tI NL I 11E

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~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

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96727600

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AY

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DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

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ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASESORAMIENTO EMPRESARIAL SA

29 -

D MODULE PROGRAM (See Annex F)

As the breedingfattening module is a long term program

The following detailed year by year steps have been outshy

lined

Year 0

In this year the SF clears the required land (one hectare)

of forest regrowth and sows rice or maize He then receishy

ves from the CDF enough Brachiaria seedbarbed wire and

fencing staples to establish and fence-in the one hectare

of pasture Labour is provided by the SF and his family

The cost of these inputs is estimated at $b 39600

Year 1

As soon as his pasture is firmly established he receives

from the CDF two cross-bred cebu heifers of

approximately two years old estimated price with transport

cost to the Chapare at $b 70000 each One of these heifers

he has paid for

The financed heifer will carry the CDFs registered brand

until such a time as the farmer has paid offhis loan At

the end of the year the farmer will pay off in kind (rice

or maize) for the following technical services received

during the year These are his only expenses

a) Animal health (vaccines medicines mineral-salts etc)

estimated at $b 1000 per animal unit

b) Veterinary and technical assistance once a month at

$b 500 per visit 12 minimal visits

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

10 11

tO 10 10 110 10 l 10

nZATr110 CAL 3 3 3 33 3DeAia AD ~

a 0

Best Available Documefli

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAASESORAMIENTO EMPRESARIAL

- 30 -

Year 2

Again his only expenses are the charges for technical

services received as in year 1 He pays in kind

Year 3

At the end of year 3 the SF hands over to the CDF one

heifer and one steer from his own production and of the

same age as the heifer originally received in year 1 With

these two animals the SF pays off the loans received from

the CDF in year 0 and 1 Again he pays technical services

received during the year

Year 4

At the end of year 4 the SF hands over to the CDF one

more steer of his own production also two years old

With this animal the SF pays off all outstanding financial

and management charges

The SF pays for technical services received during the year

Year 5 to 8

It has been assumed that because of his increasing herd

and the necessity to yearly increase the acreage of his

pastures the SF will continue to require technical assistshy

ance and to purchase the necessary inputs that the increases

for his ownwill require The SF will have steers to sell

account in years 4 7 and 8 therefore can afford tc buy

the necessary inputs and pay for the technical services

received

From year 8 onwards the SF will have animals to sell on a

yearly basis

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

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ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

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0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

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106 1280 11 35 63 73 87

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5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

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3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

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SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

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I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

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0 0 1) 31 26 11 2i2

0 013810 13510

1 l

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ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

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11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

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+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

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~f~i0 bull 0

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A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

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bull pttl lI eurowat)

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ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

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Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAASESORAARMENTO EMPRESARIAL

- 31 -

E CONCLUSIONS (See Annex G)

1 It should be noted that the farmer contributes 100

of the working capital and 74 of the fixed investments

2 For the loan of one breeding heifer and the necessary

inputs to establish a one hectare pasture the SF pays

back two heifers and one steer

By the end of 8 years the SF has 35 to 4 hectares of

fenced-in pasture and a small breeding herd of 8 animal

units and 3 calves lie will sell a steer in year 4

Starting in year 7 he sells a steer a year and if he

wishes he can increase his breedinq herd to the capashy

city of the available land For example 10 hectares of

improved pastures will stock 20 animal units with calves

3 The internal rate of return for this module is calculashy

ted at 15

4 The value of his herd at year 8 is calculated at $b

396000 furthermore in the same year the accumulated

cash flow amounts to $b 85000

5 That the value of the cattle increases from $b 160000

in year 1 to $b 396000 in year 8 In year 4 after

paying outstanding obligations to the CDF the farmer

becomes owner of all the cattle the value of which

reaches the sum of $b 396000 by the end of year 8

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

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SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

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0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

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441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

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ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

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i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

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pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

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20 0

0 92

YI80 YR I YR 2

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R$2 YR5 I1 A

0 0MAL0

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38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

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A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

o 3 2- 7 5 7 S 143

AtINEX A DovelomentflCUAP~~IHord

HERD DE11FLPUIT

YR 4 yR~ YR 6 YR 7 YR 8YR 0 YR1I YR 2 YR- 3

$AtA 211 25 3 0 37 45 52

213 266 32036 107 176 183FO 1Rt 213 266 320

BULTs S5T 1 YR

00 36 107 176 183ZIM 2580 0 35 104 170 177 201

ctjERS 2 Y40 170 177 207 2583 0 0 35 1043aIr TWj1S-t 2 Y S

2594 31241803 2151

1 o 1 1

0 185 621 1187 1497

TJTD 0 0 0 1

0 3 9 15 15 18 22 27 7147 59

0 8 214 39 41C A WrE 6 8 ti 1 il5 0 0 1

33

5 5 6 8 10 0I R Y 5 650 1 3 6

Dj tT 3 32YP 00 00 0 1 3 5 5 arLt3)CIRL12 YRS

106 1280 11 35 63 73 87

Tomt

5 10 10

100 200 200IFIFEu6 2 YRG 105 210 210 0 0 0 0 a

TO VAL 0

3ArF3shy231 tz

314 101 165 172 201aL1S~E~ tLLED I 6 9 0lLILLCE 1 6 a

COL Lo

0 33 )5 151 163 ill1) 0

Stli$3442SIAISIS

80 81 SO) all 8) 80 JtUI43 1)o 80l

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250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

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150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

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19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

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1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

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38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

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AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SSESORMENTO -MPRESA

0T4 n1D 7CR CATTLE DEMAY7H-MT -CidPARE

RO YR I

100oF 4M -2--YRS -------

5003 0j I HA 112 rFERSORIG)6OF I HAJ42 U1EIF113 (toV)

0~ 0 A1IjtL IJUITS (AU) 105

6360EPS )3 636001M XZEI1 07

O t 120

u S UIPP

0 1C 03GIES 54 QSO 1U DLT210900 0 6905TOTAtLitt

40tiKI3 CAPITAL

270 510 Z8Jl I SM 16001 1440 23841

ett 68 135 Il V0M1

1775 35$1rAEiU5 ~93AiA ktmA~ti38 900AU X-tJ30-) 3 60r0PUDJL 301)

C130) aUtL~CE0

177a 425-) 803

0 521076 FN A IV 19 rvi E)) 0 1312

101)SFoll 1 1034) 0 6905

ljr4vT CAPE Ars

7189

441~J $F~ )313

I~ ll t 141) 1

ANNEX R CDRCapital Requirements

3 YR yR8 TOTAL5 6YR2 1T yR 4 yR

500200 N0 0

250100 100 100 94 106 512

384 796 1091 1329 1558 188 227325 5 112

312720 12720

2725- 0 0 0

3 5 00

0 0 0 0 00 0 0 09ZI100 10905i5 74 11 0 04 31oi13310 13810 0 0 0

($1300N)

506 572 572 4416575 1405 605 j43 353 217b)13600 2160 315 28 2700 3053 121 142161 101 5 135

3313 3r6i 376123Ol44411 A66 3P 35 1402 16)4 16 14 81124

346 716 gal 119i 3112 193 4571 195))900 16511 2100 217

360 432 518 62 746 356 1075 495J

0 0 a 0 00 0 0 102 Mod0 96100dA546047q 5465 15-03 8145

wo

17i611 01 sI

10400 104)1 0 60

0 0 1) 31 26 11 2i2

0 013810 13510

1 l

41 11 0713 1 j)

A E J A 3Vl

Best AvallhziLo D c~in

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAiff+if gtI EPRESA SR MIET

if AL

ANNIEX C

FOR~ UD FCR CATM~E DEVrEWPtIUT-CAPAIRE Repaymnt~l Schedule and Cattle Flow 000)Z1IDDUL)E cor 34sA2 $i I Iss222tX3333828$gsIsO

YR 0 YR1 YR 2 3 YR1 YR 5 YR6 Y 7 Y 8 A+oif o ifo ififfifo

+8B lJ1 0 52468 157463 26239 26239341 26239 25189 2201 16793

BALANU CAPITAL 1050 3169 52468 52168 146946

0AYNE10s CAP~ITALif

9971 99T1 9i372 8375 558370 19946 5282 9971iTrRT sAy1=1sif

1986560 656o 6297 55100 1312 3936 6560ICPITAL3hL W 0 262 781 1312 1312 3673

CAPITAL 3119 3023 26465 176330 630 1889 31169 31469114FO432 PAXIct9r

0 0 0 (L 1351 0 0 0

4AYC A

1351 2 +0 7 P0 110 31 t t tS 10 1351lCAPITALAjytEiE 6 5 5130 0 0 0

tAL(X3V 16 AS 513 0-IMP3

8L 0 0 0 0 0 0AIAL338

310 0338 0 0 0SCAP14-Ai

0 0162 0 0 0 162 tP1PAYIxU-M

1312 31)35 6564) 6560 0056619a-i 1AUr 0 0 0

11 12515 110T) 74 111175 204 7W 1312() 1312

41F6Ti3~l

Aii AIE M~AIJ(t

of ppVE00

5 1 10 Nex10lie JUSIE oV4Ars 1UA

tUt1AL JLLtrG Mi I1U( 5t A54) 100 125 753SC-i~~~ULTZ 200 10050tso M5

L~ V~ UEL1Evj40 (CRIG) I0N 188 2QJ 1- RtAZ~ ~trRI)2 100 r~f)50 100 l2) 75 M1

ALJIJ

(UflLo 51)

ift+ i f j s a ++Nifii

+ ifshyif f i if if ifi

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

--

K ASESOfAMI7NO EMPRES4RAL SA~ V

35

it 4-4 -+ U U +

L4Ii

U00cor Financial Analyis-CH4AFARlZWITE MOR MI FOR 0ATTh DEV

2 YR5 YR-6 YR7 YR 8 7QWALYR9 YR 1I YR Yt 3 -YR 4

---- -CAOF~i PROJECTIONLOW

_fo 533535250 7875 7000 6563i4FEL ZP 7003500 7000 8750 0 0 0 0 30003 j+SL)0 0600 1200 1200 tISTPER P2SALF$ $ 10000 2400 4800 6000 3600 51400 000 27000

flUEr5 (RP 13ALE $B 12000 600P 563E 635 63680006liEUS

66 6 6 2 7(34 300 600 750 450o 672 60 53

RAWSEEM 3 3000M KIM 3000 3392 3392 277684000 21400 35814 3200BARBSED WIRE $13 2041A1600 IN0 3200)

150 141 1 91301~500K3 31K0l4 75 150 88 113 M6JTAVLE3 )3 1975 3950 4933 2963 44214 3950 3703 4197 19 3421(TOLAI 111PUTS 3935 4571 19541)2772300 900 1650 2100 3372TASO(VS) 1882 2273 gills105 3814 796 1091 1329 1558A110Atj 1Ak 1000AU 0 lilIttWT UZILOANS 0 0 0 0 321930 6560 13120 13120 0

0 0 0 16 ClUtT6 IIG 1689 0 0 0 0 0

0 0 17260 3145 691 691 0 0 01ERSC0NTl T1lVE3T IE7T 0 0 0 890 0 0IJORKING 89 0 0

19233 21966 23111 1879513753 15360 28232 31569 17665 21926t coErA

314)6905 3810 13810 0 0 0 0 0zvriIo0 3043)1778 3555 414144 2556 3D82 3555 3333 376n 3768

1WPJ 3 90 1196 140 16911 812419 16911~ll~ 3146 7Z16 98AAM~AL HEA~jTd 11hT)95 900) 150 2100 2772 3312 3915 4571

TbFODtIAL ASSISTANCE (VETrS) 300 360 432 518 62i 7115 S95 1101lt 4953

1140 R N 2 21 7672 13120 I312O3 13120) l25jj VI) 11

I rFampT 2W561639 0 0 0 1312 3936 65amp3 656 A0RTlNATlC A h u1A i 10 1138OCU 105 An 1091jji 5 8A 1 -7 1I I1 OF B

1773 13519 221453 27 145 20701 227 25907 291117 283668 922 T-0VAI E iAP2otITJR1

V3)1975 1841 57146 4423 -3036 -651 -6676 431 -51 0OALMd 71kW

1915 3816 9565 13937 10951) 103003 3621 -3857 1911PQbtlADCAS3 FLOW

-3036 -651 -6676 -71131 214563 18)lOAn~t mLw wo P ufR 1811 149j 50 3 3732

0 1615 ptm 1RILUMI0 89 3145 691 691 0 0 0 0

501-1ITVAIA 0W woP17RCO11i AT 32 P FT VA IV W CC All 32 a 793

32 a 42)3R1tI NL I 11E

AT -47 9 0 bull 6 5 2 04 T--4 CAf4 FlII P IoKI - 0 ig1AT 100I9

~f~i0 bull 0

-04

A0 MILLIONSI1r101r1rliVALfI OF aAC III

4-0 - DTcunne-la loBetAv

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

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310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

4SSOR$MI1ENTO EMPRESARIAL S14

IDIL1 7OR 61=L FARNER AN4NEX 9

2 HEIFERS 2 YFS

33MtRSI 2 yRs $8 700004131 X 2 E tAUDI $3 - 5000AKX Oi0A

t 30 114A 15 600 X 100 KA

SuWING1 WED 2 ChA 13 300010 X 100 KA LAVR 6DMI $13 600 VAY X 100 HA

y7MG i MOTS 250 P101 $5 200041 K 0110 ICI20 WIRE 14 II IG $8 20000M K 040 I

3TCAPbES 5 Q104 $B 500KO K 040 Kt160 LA2CJR 40 ICI $3 600DAY x 040104

CORRAL it CRUH 1 23133$ 600AY 2

0 1 CONIZIOOI ES (EXCLUDING PERSONAL C0UTRZ3UMiN TrAL

140000 500 -LENRIIO18000 W 600 3600

96727600

0Z)0400

AY

pound~~QALOW~la R IM POSTS CORRAL CRUSH LOCAL WVOOD-18 a F -CQWC4a1I (so 700))

WIIIUG CAPITAL 00)

i 1 I0IAL AI3lSSjCE 12 1 S 500ll600 L~k 5 DAYS A 600 $MAn320 ArLHELH2 HEX A 1000) Af_

AIUIA IIEAJCII2000

pUTE O aIZO 0 DAYS A 600 $)D--CLUM0 DAYS A 600 $sDPA

DtAIIIArI bull j-jrQ (EXjiUIIIO PE$ CCCIIR IMil IIII1

bull pttl lI eurowat)

USED

20 0

0 92

YI80 YR I YR 2

YRI YR 1 YIR5 YR 6 YRT YR 8 TOM

tl7

I ~ ~ ~ 701

2101

(FVVf ZAPITLL

+

4

_-11+Wo

310 m 10141 0 0 0 0 0

m

3)4d0

) 0d C 1ft ~ l I 1

i4 hJBest Avcdkiblo DocuLICi4 P

ilt-A

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

4

4$SOMlEQ BWRVSRIL SA

] - 44 S elo ent

dIunmE I YR 1 1 2 I I IEER6 1 YR 1nvztas a Mw

1STUARS 2 Y93-

0 4 6 7 6 6 7 10 11 miomAL ANIAL ttIZTS 0 2 4i 65 opSn

0vSF 3322222

Cow1 Ar M-13

CALMVE

R$2 YR5 I1 A

0 0MAL0

0 0 0 0 0TOMFS H 0

0 2 I 0 0NMLV~ 2

OAL 0

NO 0 0Me 0 0

4 A ~~PS A 1 3

A4 0 C

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ISESORAMI MRSR4 4

38

COMUE FOR THE S1hALL FARM a iiunanotal Anals

LOiE OF CULTIVATED PASTURE 2iS 2 YRS

CASH FLOW PROJECTION~ (6B)

YRO YR $ l2YR- 3 YRo4 YR-5 6 YR 7 Tor YAPr1c tt

dExy]4 $70000 yeni8 70000 140000

ATER5 2 YRS8 48000 48000 0 46000 W80 391000 M AIubAL 0 0 0 118000 118000 0 0 1400 3

oM1ORLWITLO 31600 7000 0 0 0 100I w10000 12000 0 0 4800 5416W+TmrAL78000 39600 148000 10000 130000 118000 0 0 480Il

xvIUDUHE

TVM3TIMTS 39600 140000 0 0 0 0 0 0 0 140OW 0 0 0 0 0 0Pl0u 0

5000 00 00 410002000 4000 600) 5w000 4000

X 44l(tHEALTHI (AU) 0 0 0 ooAU0 0 0 0 0

1 r IfAINAE 0

60) 600 6000 00 140

FI~E E~7571)0pja(61ILTZER 0 0 (V 0 0 5 0 ) 0 O

ZOICAls A331I0TAN0E 6000 00 600 00

YR-)a 0 0 700) 0 0 0 0 7004)

flt00OOSrapUOGRA11 HANDLING 0 0 110Mo 0 0 11o80M 0 0 0 0AZ~U r CRDTI

1480 100 130000 0 0I0MT)AL EXPICURZ 36o0

0 0 37000 10000 -110WO 3513W 11400 85000)COH0 FLOW 0 0 MY)4 0 o 37000 270T 16000AC0CUUrAVD CA0P O +5MV IO I|OM 13)

361000 AWRT Wl0 O 171E0I)0 10 140)46

CONTh 0CAILI flOW woPnA3 o11 00 121M4 37004 1000 -11W0) 3500 430pm 0WI) +cR121MMilt0 0

OFR III 15$ I+ S P4$114AII15441414$1 160000 20000 26600 26000 V800 298000 396004U 17600CAvrAT~tZAV7IuU 1t 13CK 0

TvAL CF1uvOWwo l00 ) 1114000 303101 VOW0 347000 43300 64600oi O00

Pi~3~4 IAI1r1 C7W4 waPC nt S ~ 7lj3

Pllaj do YAW(I zrZh7k11IA PACIC 01 WII tOF 15

1iCtLUD93 VkLUZ OF 0-V(CK AT U 31 )

A9 3 IAV1)

Best Available Document

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

AN~NEX H

-39

1Desorintion of Modules

Five Cattle BroadingFatteninlg modules have been prepared

Module NO I - 05 hectare 1 heifer

Module NO 2 - 10 2 heifers 3 heifersModule NO 3 - 15 4 heifersModule NO 4 - 20

5 - 25 5 heifersModule N

Module N02 has been analyzed and projected for six years

to show herd development and the financial situation of

the S concerned The same parameters can be applied to

any of the other modules

a) It has been asumed that the SF will purchase one hei-shy

for

b) The second heifer plus grass seed barbed wire and feng

ing staples will be financed by the project

c) It has also been assumed that the SF will contribute

by supplaing the necessary labor for pasture establishshy

ment and the construction of fences corral and crush

d) The SF will annually pay for animal health costs and

interest charges It is estimated that these operating

costs will be covered by the rice or maize harvested

from the extra hectare sown with rice or maize before

the grass seed is sown

e) To keep pace with the increased herd size the SF will

have to increase his pastures at the some rate ie onehalf

hectare per year(See herd Projection Annex F )The year

ly harvest results will enable the 5 to pay the opershy

ating costs of each modules

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

MIENTOASESORAM EMIRESA RIi L SA

- 40 shy

f) For every twenty licifers the Project will select

one SF to receive a selected bull for service

with the other nine holders of heifers The bulls

will be sold in ctshl or in kind

The holder will make a small charge for service

to the SF that have the heifers

2 Herd Development of CDF (Annex A )

a) Thc project will purchas-e cattle for three years

only as shown below from years three onwards it

becomes self supporting with cattle produced with

in the Proje-t

Years

1 2 3 4 5 6 7

-10 - - -Purchase Bulls 5 10 -200 - -Purchase leifers 100 200

- 1 6 8 9Production Bulls - shy

34 101 165 172Production -teers

b) The number of borrowers will increase after the

first ten modules according to the number of cattle

available and the size of the pastures sown to accoshy

modate these cattle

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

EMPRESARIAL SAASESORAMIENTO - 41 -

MODULE No 1

Half a hectare of Pasture (Brachiaria DecumbensKudzu)

grazing for one Heifer

AI Land Clearing

It is calculated that SF (Small Farmer) can clear half a

hectare of regrowth (rain forest all cleared) in 15 workshy

ing days with his family 15 days x $b 600day = $b 9000

sown with rice or maize as is The cleared area will then be

customary

AII Infrastructure

x 70mts with barbed wireThe area will be fenced in 70 26

and posts at 4mrs intervals0 Km 65 posts at $b 20

= $b 20800 2 Kgs$b 1300 1040mts wire at $b 20

$b 1000 Total $b 23100 A simshy=staples at $b 500

ple corral and crush 5 x 5 mts will be cnstructed the

in module 2 in a high corner of the paddocksame as

Cost $b 27600

AIIIPasture Sowing

The same as in Module Ndeg2

AIV Pasture anaaement

The same as in Module N02

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAASESORAMIENTO EMPRESARIAL - 42 -

MODULE NO 2

One hectare of Pasture(Brachiaria DecumbensKudzu to carry

2 Breeding Heifers

AI Land Clearing

-As this is forest regrowth(the high forest has all been

cleared) it is calculated that the SF(small farmer) can

clear this in 30 days with his family 30 work days at $b

600 = $b 18000 The area will be sown to rice or maize

as customary 6 days x 600 = 3600

AIIInfrastructure

The cleared area will be fenced with live posts at 4 mts

interval with four stands of barbed wire A simple corral

and crush will be constructed in one corner of the highest

land (drainage) The corral to be 5 x 5 mrs with a total

of 23 mts including the crush It will be made with double

posts at 25 mts interlaced with timber or palms (see shy

sketch Annex K )Cost is calculated at 2 work days per mt

ie 2 x $b600 x 23 = $b 27600 - Fencing is 40 of 1 Km

= $b 2000 1600 mts ofand takes 100 posts at $b 20

$b 32000 and 3 Kgs of staples at $b 500wire at $b 20

= $b 1500 total 35500 It is estimated that this work

can all be done by the SF and his family

AIII Pasture Sowing

Brachiaria Decumbens and Kudzu are recommended because

they are the varieties that have best adapted to the Cha

pare conditions When the rice or maize is between 20-30

high and after the last hoeing around December the cms

sown between the rows Brachiaria seed is

This system is successfully practised for pasture establishment

both in the Chapare and Cobija areas

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAASESORAMIENTO EMPRESARIAL

- 43 -

When the rice or maize has been harvested in March the

Kudzu is planted vegatively 2 kilos of Brachiaria are

required per hectare(germination at least 85) costing

$b 3000 per kilo The pasture should not be grazed unshy

til after the Brachiaria has seededthenonly lightly

grazed in June or July (see Annex I on Brachiaria by

CIAT)

Pasture Management

As one hectare is too small to divide for rotation it is

recommended that every care is taken to avoid damage by

over-grazing (see Annex NO J by CIAT on Pasture Manashy

gement)Also to avoid puddling cattle should be shut in

at nights and on rainy days After rains standing water

should be drained off Every five years it is recommended

that lime at the rate of 500 kilos per hectare be applied

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ISESORAMlENTO EMPRESARIAL SA - 44 -

MODULE No 3

One-and-a-half hectares of Pasture(Brachiaria Decumbens

Kudzu Grazing for three Heifers

AI Land Clearing

The SF will not be able to clear this area of regrowth

by himself and will have to hire labour which can be

paid from the proceeds of the harvest 30 days x 15 has

x 600 = $b 27000 The area is sown to rice or maize as

is customary

AII Infrastructure

Fencing of paddock 122 x 122 mts with division for rotashy

ting is 061 Km requires 153 posts at $b20 $b 3060

2440 mts wire at $b20 = $b 48000 5 Kgs staples at

$b500 = $b 2500 Total $b 54360 Simple corral and

crush as in module 2 costing $b 27600

AIII Parture Sowing

The same as in Module NO 2

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAEMPRESARIALASESORAMIENTO- 45

MODULE NO 4

Two hectares of Pasture(Brachiaria DecumbensKudzu grazing

for four Heifers

AI Land Clearing

Same as module 3 but will take 60 work days at $b600 $b

36000 Will also be paid for by the harvest results

AII Infrastructure

Area to be fenced 141 x 141 mts with division to enable ro-

Lation 070 Km 175 posts at $b 20 = $b 3500 2820 mts

wire at $b 20 $b56400 6 Kgs staples at $b 500 = $b

3000 Total $b 62900 For this module the simple corral

and crush will be 10x 10 mts total 43 mts costing $b

L )51600 (Annex N

AIIIPasture Sowing

The same as in Module N0 2

AIVPasture Management

The same as in Module N0 2

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

EMPRESARIAL SAASESORAMIENTO

- 46 -

MODULE NO 5

Two and a half hectares of Pasture(Brachiaria Decumbens

Kudzu grazing for five Heifers

AI Land Clearing

The same as in module NO 3 but will take 75 work days $b600

= $b 45000 Will also be paid for from the harvest results

AIIInfrastructure

x 158 mts with division to enable Area to be fenced in 158 = 4000 3200 mts

rotation 074 Km 200 posts at $b 20

wire at $b 20 $b 64000 7 Kgs staples at $b 500 $b

3500 Total $b 71500 A simple corral and crush 10 x 10

mts (Annex- L ) total 43 mts will be constructed costshy

ing $b 51600

AIIIPasture Sowing

Same as in Module N0 2

AIV Pasture Management

Same as in Module N0 2

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

--

ANNEX I ISESORA EIrN7O EMPRESARIAL SA

April 1980

Information Bulletin No 11

Perennial Grass

BRACHIARIA

-

ij euro 2 Il o 0 j

2 I 4

by j Prepared 4

Center of Investi atiof for Tropical Agriculture (AT)

British Tropical AGricultural Nission (MB)

Calle FNuflo de Chivez No11O Casilla 247 Santa Cruz Bolivia

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASESORAMIENTO EMPRESARIAL SA

- 48 -

Brachiaria decumbens cv Basilisk

BRACJIARIA GRASS

Every grass like any er cultivated planthas basic requirements to ensure s endurance and Productivity NEVTET 3ESS IT WILL NOT GIVi -OSIPIVE RESUV1TS U EFS

IT IS SOWN UNDER SUITAB3LE COLt IONF AND IN qTiIjl RTUIiD MANNER The following recommei uns nre based on seversl years experience and experiments cti out in the Demartment of Santa Cruz by the tech- ins of the CIAi Briti sh I-lission

WIEPE _1SOW Brachiarin adants well to mnny tynes of soil but it prefers lirht to medium soils s ionp frs they nre aell drained It cannot stand un to strnnnt water It is a very nfrfressive grnss with a h irh yield and for this reason it is recommended that ii be soIn in fertile soil where it cnn realize itnotential verthless it also Fives interesting results in t)e Poor soils of the plain- It cnn wi thstnd the lior 5 moniths of the dry season but it nt 800 ram nnnun rninfallneeds 8easi nnd nrodilces better with IOnn m or more ID Il NO GOOD 1-P [C -J ~OO BAD] Y DiAIMEPD LAD

l1ie LU OW As tis grinss is so anressive IT IS NOT I CoriNDED THIAT IT1 E T- WITH TOGELLTEiR Li(JU[]E alihouh the search for suitnble lefiumes for this nurnose continues 4 to 5 krha of seed is used IT I O PnAC1 TtIE NCID II TAiE GROU1D AT A I)PII OF 1to 2 ems NO 1D101ORtE

BY 1lAN) Sowinrg cn be done with a dibbler nrovided care is taken that the holes are not very deeP Noinr can be done in a maize nintch as long- an the mrze Js not highnr than 20 to 7)0 cms it the time of sowinr the rj110r It is sown between the rows of mnAe with 110 to 50 cms beteen each clutch The reed is taken between the tlmmb nnd forefinrer and thin - m5 n ti fy is n1 nced i n eleh hole (nhout 5ln seeds)

Y PACOVP NCf In 1and nl ouThed and hnrroed rowfin con be done by mchine in Purrows with 50 to ( ms between fuirrows in a continuomls 1) U( TOOstroam 1101 1]gtJ010 NCAIHR [lhe seed must be sown at n ditenth of I to P crs only

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAASESORAMIENTO EMPRESARIAL

- 49 -

WHEN TO SOW Sowing is done when the rains have

set in and there is no danger of drought during the first

6 weeks after sowing Normally this would be from the

end of November until the first fortnight in February in

the Santa Cruz area although in Yapacani it is possible

to sow earlier in September or October because there is

a higher rainfall in this district A DROUGHT AT TIE

TIME OF PLANTING WOULD KILL MANY SMALL PLANTS AND THUS PREJUDICE THE ESTABLISIWENT OF YOUR PASTURE

11OW TO MANAGE TIHE PASTURE To avoid the danger of in the first stage the pasture must beover-grazing

treated with care at the beginning If it is not sown the pasture may be ]ightly graedtogether with maize

for a few days 10 to 12 weeks after sowing Alternatively

the nasture may be slashed to encourage the formation of THE PASTURE TO BE -TA-11 ORnew shoots but NEVER ALLOW

GRAZED BETWVJ A HEIGHT OF 10 to 15 cms above the ground

In the first year it is advantageous to allow the

Brnchiaria to seed down once (sown in November - December it will form flowers in March - April) to obtain coverage Normal grazing of Br3vchiaria begins once the seed formed in this first phase has fallen or 4-5 months after sowJng

Ideal management after the establishment period is

to make sure that the grass never reaches maturity beyond the formation of the first flowers and that it is never grazed below a heirf-t of 10 cms above the ground

DO NOT GRAZ 01 SLASh 3EO1 A I11 IG11T OF 10 ems

For further informnuion consult the technicians of

CIA British ission Casilla L7 Santa Cruz - Bolivia

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

- 50 -

ANNEX J ASESORAMIENTO EMPRESARIAL SA

BOL 177

GENERAL CONCEPTS

of

PASTURE MANAGE[IENT

By

C R HORRELL

Head of the British Tropical

Agricultural Mission

Box 359

Santa Cruz - Bolivia

Technical Co-operation

to THE CENTER OF INVE3TIGAION 100R TROPICAL AGRICLrTURE

Box 247

SANTA CRUZ - BOLIVIA

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

ASESORAMIENTO EMPRESARIAL SA

- 51-

PREFACE

-In view of the variability in the production of pastures

since their yield depends on their good or bad management shy

the nresent pamphlet has been prepared in order to explain

the princinles of grass growing and the way in which grasses

are affected by their exloitation

This document is for the technicians and ranchers of our possessregion as an adjunct to the knowledge they already

Head of the BritishThe author Dr CR IHorrell at present Tronical Agricultural 1ission an authority on pasture

since 1953reduction has been working on this subject

ere in [Ianta Cruzin s Africa and Tronical America in the 1960s nd introducedhe worked for three years

Green Panic (Dwarf Ginea) Gycine Lab-Lab nnd other and feed lefumesspecies of grasses

In the name of the Center of Investigation for Tropical congratulate thankAgriculture (CIAT) and the author

for the present technical contribution to our Depnrtment

Ing Carlos Vaca Diez B

EXECUTIVE DIRECITRO CIAT

Santa Cruz Bolivia April 27th 1977

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

- 52 -SAASESORAMIENTO EMPRESARIAL

GENERAL CONCEPTS OF PASTURE MANAGEMENT

By

CR IIORRELL

Head of the British Trooical

Agricultural Mission

(Technical Co-operation)

Santa Cruz Bolivia

1 A FEW FACTS ABOUT PLANT GROWT11

Plants make food (carbohydrates and proteins) from the carbon dioxide in the air and the mineralswater

which they find in solutbion in the water in the soil usn sun1li[ht as a souirce of ei errgy The 1eaves are p]in ts factory the green Tl 1onts canled chloronhyl tre the nucninery which carries ol the nrocess of

tlilt n iant jth)roduction Therefore it cnn be seen all its leaves cut is not- Jn good shane for raod frowth and when the process of fgernination or re-srow h begrinsn the plannt uses Tie food stored oreviously in the seed tlie roots or runners as the case may ho

When this re-gFrowth Js hirvested by g ung or cuttirig the slant miust again cal] on its reserves Io strt the roeos of making shoots once more he constant dofoliation o-1

the p1a t hen it is in the inifiti s1ares afrro etllst s kl 1 1 hits reserves weakens ji -ind in extroele caes

In Ihie d yiminedintiely after defolJ)ion 1an ts ro very slowly (with a (ldly prodIuction on one tri -l ot- o t80 kg per hec tre nor day) Tvo or tlhree wee r

the rhythin of frrowth Fgrnd u1i y nccelerntesI i a (1111y prod uc tion o d kgs - on tle -nil lc e900 js renched

have tL-ied( to ill u tfrnle i n01iortann fact in gti re 1 Und ert ~g iheniomonon mant ~this bi olo-icl is Ver y l for nnyone who wirhes to ohf iin good nrod acti on his

tss shy2 Nalmura] y the hioloi ] lln w 7 ly o I 2 le of V10 Liva ted 1otle] 1 0 enrIiv1 as well as 1

e e i thwrof Jn 1onrif ed Inn e lI a l i cr l)l y cae 31 T P n very (di f er en T)lie Iil wva Ued I a 1 V

ne( frcaler c-ie 1min L e rIl tum]iu 1 nane

(T111no 11oe tp~ifC of feood ~Tl wimi chc~ i s w)alce( by und enirnble pltns Und er-r casos a (1 e aese in the n tri v vCVw lueno f-- m ort

seci ns

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

-53-

A V V-

VjV

Iii P

or- Ory 30 4D

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

3

iA~ 1T M Eof

- 54 - ASESOampeAHIjiNTO EMIRESARIAL SA

Bat the berinning of the dry season in certain in the woody plnntsrefgions likewise ceunes an increase

very hotTo control the forest plnnts the fire must be rind nnli ed at the time thc forest is mo t user ) tible tht jis after the new leaves have snrouted nt the od of

is s eldomthe dry season It Must Oe noted thot fire t)ninpsuccessful in e]iminatinr shrubs al-hough burhfO

can -ontrol their increase

It in sup~etod esnecinlly for nntive rnses in dry rvivng KM7rerions that one nrensire of n-he rniny

season is such thnit tile inimnls leove -_of _-the ant

uicon med On the otler haind unnr Ihe Nindi-ea dry when 1t1e nlints nre mlure -d-in a 1aitent cond itlion they can be rrnzed as inter sely aIs the Illmls ru ore

It dry roions the control o shrubs nidiuseless nlnnts

is very -nportntit Accordivy to rcnenrch shiubn use i nrapa atimes more viter from the soi] thnn

bi loss of production in iie InttLer 1evertelers some

shruhs coWtribute to tlhe nutritLi on or the h rd in ex treme

cnes a iso it is a food thini to eve trees fo~r shade

Researeers stLil dises the piroblem of continuous

Frv7i n versus rot-o wTnar-ra nr in n hynokt il s tiuat io he e tile 1)Vwoes re of or lond i a lwys

ideal for tile ned1occ jn1 eues ion the ota ion 1 system has lit tle advantere over con lnuou- rrainl ]lverlh0eens -in nracfice it s not onessii) tO an ea1dmietai 111idell

the tivre We p oio i iis n consideld(d treslie ill u Ill I- hothe ev L LIi))I Oleer ot niI) very

v n ti ies4 f Vii a~ led Li -- esnr n I i aeasl (lle v-]is tiresm n I i 3itea-iv - ol isn rel at ]vol1 y nowhere- Lao n

rnd tht ar of rl 10 nt j nritl l lt e Ueve o)ed

hhen the norods of rent hoeen rrrnzin ire o j le

5 rmniicCl IrfI11Ol-1n 0l71 i Ynri( ~r~ vi

i~~O (1n Itt~ c j1pnuu1 r i pi- ol vie r( ir lo to i i et ijVo Vi)uII n)O(I Lill 1 un il) L t i

nnblorll toIf )otIion llrti r ] it i nis ) tinn

ho0hnoon 1inin Irse vo~ li mould(le ye n wi r ie on no in L -i) to e i i I 1wc toL ocr- nete I ce n1e te ny

-- Z shy _-- - - - - shy

ni c c i o u ( 4~ii 5I t i i i I

I i ivou M 1 i- r -ev litt nepiu i ty 1 11 o (( I h - w t((

o V II i 1l i i l e li I i ~l )(dtelWho l)i 1) ii))(r~lieherdof ti (001 i (i P V I ) t () In iitr tnt

t Ct o tfl(I f Io roll) )t()o 1 Yi)n ti ill Ws i h ))I )) of I)n b~(oVoll of it)Iiry-j IM i ) rV

ill tilo euro)1o(old (

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

- 55 -SAASESORAMIENTO EMIPRESA RIAL

TABLE NO 1

REST PERIOD ON PASTURE YIELDEFFECT OF

No of Annual Yield days rest kgDry riaha

1 17800YARA2 UA (1) 28 26500(grpss)m2 - 33000

1- l 00OIRALRO (++) 28 56 2120(Io -ume)

654O AuslT-r]ia dry climate 112

(+) Pvn 1972 FAO Project SF 323

(++) Au-1iia - in a dry climate

TABLE NO 2

BEEF CATTLE

NUTRIT]ION REQUIREIMENTS -

kg Dry D6i 25Prot Mnterial ctibility Digest

TO GROW 05 kgday 32 72

ER 150 kg g12E 100k cf 86 5

57 412CY121 CALF 97

POT IIA I TALiTCE ONJ Y

8 1100 kg(- 56 57 42 58 0 28DY CO

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SEE TABLE 2

5

IAT TAE 2

ASESORAMIENTO EMPRESARIAL SA

- 56 -

The discerning reader will easily perceive that a method his been described above of moderating the great seasonal fluctuations in the growth of the pastures which in the absence of good management can be so damaging to cattle production

INUIfITIONAL NEEDS OF THE ANIMAL

Table 2 shol that stock of different ages and states of

production tiso have different nu-titional needs Calves and hiph- oducing stock such as milk cows need high quality grass in otiher words grass in its best state of production old animals and dry cows can maintain themselves without loss on more mature grass of relatively inferior quality

asnowin[ this we can adant our management in such a way to obtain the best possible benefit from the pastures

belowdurin(7 the whole year as will be put forth

i3E3T ADVANTAGEUSING TilE PASTURES3 l]TW

The rnncher who understands well the tenets discussed so far will use his best pastures for his young calves and second

stock He must use his inferiorclass pastures for his adult oasures for his dry cows making sure that they have available mineral s-li ]ements in case of need

When there ore citivated pastures on the farm these must be used for the type of stock which have the greatest need for good nuirition (caves and milk cows) and tile pasture must be -ianaged on a rotational basis At the time when there is too much Prass the rotation must be speeded up

reducing7 tile rest period of the paddock in order to control the excessive growth and preserve the high nutritional con tent of the grass and also achieve maximum animal production

the growth of the grass is slow pratiseAt -Ite time when loner in eachslowe rolation havin the animnls remain

for a while the rate of growthPI ((Ki t iliO means sacrificing of thfe a11imnls to the advantafge of the carrying capacity

hungerof the widdocks thus avoiding the scarcity and which c Ir occur later on

the dry season and when there is a shorte of 7razing]arin his breeding cows are drythe rinchcr must make sure thait

so that triir food requirements are minimal (See Table 2 cind compare the requirements of a dry cow with a 3-month-old calf)

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

57- ASESORAMIENTO EMPRESARIAL SA

6 PRIORITIES IN RANCH MANAGEMENT

To intensify production it is nearly always necessary to

put in more capital Before investing more money it is

advisable to find out whether the management ofthe ranch When this has been done it wid1 be easieris profitable

to determine for what nurpose the new investment is needed in order to increase future profits

ranch the mostTo increase the present profits from the important aspects of management which we must consider come under -the following headings and must be applied in the following ordershy

i) Flexibility in herd management

ii) Pasture Management

iii) Use of improved grasses

iv) Application of fertilizers if necessary and if it has

been proved economically sound

i) and ii) but to put thingsWe have already seen headings in proper perspective I wish to end my talk naming the

factors which we consider important under heading i) Flexibility in herd management when it aoplies specifically

to breeding e will enumerate them in the order in which

consider they should be applied as followsshywe

a) ineral Nutrition

It is essential to make sure that there is no mineral

deficiency A deficiency of phosphorus is very common There are places in theespecially in the native grasses

tropics where the addition ad lib of a mineral mixture

containing 120 of elemental phosphorus can increase the

calving rate by 10 - 15

b) Control of the Breedingr Season

In intensive breeding it is recommended that calving should is tenderbe at the beginning of the season when the grass

thereby the cost to the cow of suckling is reduced because the dry season and thereforethe cow suffers little in

produce calves more regularlycontinues to

c) Prclise Pregnancy Lestin

hus barren cows are eliminated In this operation ihe dry season) the heifers that are pregnant for(before

the first time -hould be seT)arated and put on better pastures

than the adult cows Ensuring good nutrition for the young

cows produces an increase in the percentage of pregnancy the

following year

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

- 58-

ASESORA MIENTO EMPRESARIA L SA

d) Early Weaning

The calves should be weaned some months before the onset

of the dry season This is for two reasons First-

The cows freed from suckling can return to the native pastures and gain a bit of weig-ht before the period of shortage of grazing In some districts we are told that

an increase of 11 - 150 in the calving rate has been gained

by the introduction of this practice

be taken toSecond- Enrly weaning allows the calves to sown pasturesa controlled area where there ace top quality

which alows them to continue growing instead of remaining at a standstill or losing weight If the necessary care is talen the female calves handled in this way can return in a few months to less juicy pastures and still reach the recired weight for breeding (251 - 500 kgs) when they

are 211- - 2 months old

SPECIAL NOTICE

It is well known that emany cultivated pastures in Santa Cruz do not last for as many years as they should This is mainly due to bad management and mostly to over-grazing Also when a pasture is grazed too intensely the plants lose vigor and end up dying and the field is invaded by undesirable plants

The author surgests as a general rule that whatever grazing system is used the grass siould not be consumed below a height of 20 cms This ensures that the plants remain vigorous and more productive and thus have a longer life

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

SAASESORAMIENTO EMPRESARIAL

- 59 shy

Til CENTEIR OF INVESTIGATION FOR TROPICAL AGRICULTURE (dIAT) was created by Supreme Decree No 12251 on the lkth February 1975 Its objectives are to foment Agricultural Investigation increase with technical scientific and economic Foundalions the whole deve]opment -to impel and vitnlize extension and watch over the conservation of renewable natural resources for the benefit of the Department of Santa Crui CIAT is controlled by a Board of Directors formed by the iinistry of Native Jfairs and Ag[riculture the Development Corporation of Santa Cruz the Gabriel Ren6 Ioreno University the Eastern Agricultural Chamber and the Chamber of Industry and Commerce of knnta Cruz

It receives technica l assistance from the governments of the Uniited Kinfdom (13) United StaLes (CID) witzerland (COTESU) aind Republican China The research progrms include the fields of rice maize-sorghum oil-producing plants wheat fruit cotton protection of crops arrig ation pests pastures for stock animal health agricultural economy and agricultural extension

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

77

SAASESORAMIENTO EMPRESARIAL - 60 - ANNEX K

PA 5 TURE

0t

HIamp1I-1LAND pA S TVfP i

q( C)

-- --

I

(Im1- 4eeR)5100

DE5I6N FOR SMALL CORPAL

ANO 5U11U 7FE

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

- 61 -

ANNEX L ASESORAMIENTO EMPRESARIAL SA

PA5TLRE

ol

)

T qI6H LAND pA5TURE

DE5I6fI

1000

FOR 5MALL MAN MIUTE

(NA7tPv

COPPAL

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk

LTI

oT

r-P

kwe

shy

Lr

kN

rA

~

pk