small-scale livestock production this program was funded by the usda national institute for food and...
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Raising Sheep & Goats for
Profit
Small-Scale Livestock Production
This program was funded by the USDA National Institute for Food and Agriculture (NIFA) Beginning Farmer and Rancher Development Program (BFRDP) under award #2009-49400-05871.
There are unique production and marketing opportunities available to smaller-scale sheep and goat producers;
however, before you get started, you need to consider…
New marketing opportunities
Environmental stewardship
Production practices
Safe practices
Business licensing
Zoning restrictions
• Leveraging your herd management
• Overview of certification programs
• Evaluating program cost & benefits
New marketing opportunities
Certification and Marketing
• Consumers are interested in how livestock are raised, handled & processed
• Certification may allow you to secure a premium for product or expand market reach – Such as specialty food stores and restaurants that
require that their animal products be sourced from humanely raised animals
• How you manage your animals (your stewardship practices) can influence your marketing opportunities
Animal Welfare Certification Programs
• Distinguish livestock products as coming from humanely treated animals
• Certified production systems often are more expensive than non-certified
• Be sure to keep in mind the production costs and marketing benefits of following a certification program
Animal Welfare
Approved
USDA Organic
American Humane Certified
Food Alliance
Certified Naturally
Grown
HFAC Certified Humane
Possible Program Specifications for Herd Management
Outdoor access Indoor air quality & ammonia levels
Minimum bedded space; floor space
Castration, tail docking on sheep,
dehorning, ear marking
Transport time for slaughter
Evaluating Certification Programs
• Make sure program goals align with yoursGoals
• Understand the certification process & animals covered Certification
• Understand the program’s fee structureFees
• Calculate the time required to achieve and maintain certificationTime Commitment
• Estimate how your production costs may change under certificationProduction Costs
Evaluating Certification Benefits
Access to new markets that seek certified products
Possibility of charging higher
prices for products
Ability to connect with customers based on their
values
Access to marketing materials and support
from certifying organization
Certifier may help grower improve safe
production and handling techniques
Evaluating Certification CostsMore pasture area may be required for each animal enrolled in the certification program You may need more land
Changes to animal health care You may need to remove from your program sick animals that you vaccinate or medically treat
Changes to animal feeding You may need to use feed from specific sources or follow certain ingredient guidelines
Changes to animal housing You may need to build additional facilities to allow more space per animal
More detailed record-keeping on animal health and raising You may need to allow more time or hire someone to do this
Linking Production & Marketing Decisions
• Choose a breed that is appropriate for the markets you will serve (meat, fleece, milk)
• If you are producing meat animals, do you have a slaughter and processing facility that will work with your level of production and cuts you desire?
• Know who will buy your product before you produce it
• Take a course in Good Agricultural Practices (GAPs) – To understand how to prevent or reduce contamination of your
products throughout production, processing and sales – Obtaining GAPs certification is also a good marketing strategy
To be a good neighbor and food producer:• Manage manure properly• Monitor storm water
runoff• Dispose of mortalities
safely
Environmental stewardship
Good Stewardship Leads to Better Business Management
Minimizing:• Animal and
manure odors• Dust• Insects &
predators
Using best management practices to:• Dispose of
dead animals• Mitigate runoff
Leads to a:• Cleaner
production operation
• Healthier herd• Good neighbor
relationships
& =
Manage Manure Properly
Control unpleasant odors and dust
Know the nutrient content of your manure, apply based on nutrient/fertilizer value, and keep recordsSpread manure away from wells, springs, and watercourses
When possible, till in fall-applied manure
Keep piles of manure, spent bedding and spoiled feed away from watercourses
Monitor Storm Water RunoffConduct annual tests for bacteria and nitrates in well water
Locate livestock operations away from wellheads; protect wellheads in pastures (consult local/state wellhead protection laws) Use buffers and setbacks to protect surface waters from direct contact with animal waste and process waste waterDivert clean water (run-on) around production and waste storage areas using berms, ditches grassy swales, roof gutters
Dispose of Dead Animals Safely
Abide by state/local laws
Render within 48 hours, where service is available (dead animals used to create a new, usable product)
Compost in pile or bin, at high temperature (130o-150oF)
Bury on farm, at least 300 feet away from a watercourse and 3-ft deep, above the wet season high watertable
Bury/dispose at a licensed landfill
• Maintaining a healthy herd
• Managing sick animals
Production practices
• Housing that is clean, ventilated and predator proof• Adequate enclosure and fence height, especially for
goats• Access to clean water at all times• Nutritionally complete food, including forage, salt &
minerals• Appropriate parasite control• Protection from extreme temperatures, including
water heaters for winter, and shade during hot months
Managing for Healthy Animals Includes Providing…
Observe your animals and learn what behaviors are normal, so you recognize unusual behaviors indicating a possible health issue
Check your animals regularly-twice daily is best for monitoring health and behavior
Become familiar with common small ruminant health issues and diseases
For the breed you are raising, know the lambing/kidding age and years of reproductive capability
As a Good Herd Manager, You Should:
Meet the nutritional needs of your animals at their current state (during gestation, lactation, maintenance, etc.)
Provide some mental stimulation and an enriching environment for your animals
Keep breeding records, as well as animal health records
Have a plan for surplus animals (beyond your breeding, meat or milk animal needs since the extra feed is a cost to you)
As a Good Herd Manager, You Should:
Taking Care of Sick AnimalsWork with a local veterinarian with small ruminant experience (if you live in a remote area, you may need to learn basic care practices)
Have a herd health plan & vaccination schedule
Develop a quarantine procedure for sick animals; watch for news alerts from your state veterinarian’s office
In case of disease outbreak, have a plan for cleaning and disinfecting vehicles & equipment, and protecting your employees
Develop a disposal plan for dead animals
Keep detailed records of your animals’ health
Safe practices• Worker safety• Good
Agricultural Practices (GAPs)
• Milk and meat products
Safe Handling: Worker Safety• Sheep and goats can carry organisms that may
cause infection and disease in humansWhen handling animals or their wastes, wear
protective clothing, wash your hands afterward, & treat all cuts and abrasions immediately
• Both species can jump, bite, kick or run into their handlers, causing injury
Learn proper handling techniques and never turn your back on animals in a pen
Be aware of potential injuries from contact with gates, chutes, wire pens, and electrical sockets
Safe Handling: Good Agricultural Practices (GAPs)• On mixed crop/livestock farms, keep livestock out of
food production and handling areas to prevent contamination of food products
• Ensure that animal wastes do not directly or indirectly contaminate drinking or irrigation water
• If you produce compost from your livestock manure: 1. keep records of composting dates and production
process, 2. separate raw and finished compost, and 3. store compost on high ground, away from fields and
water sources to prevent run-on
Safe Handling on Farms with Crop & Livestock: GAPs
• Wash and sanitize vehicles and equipment used for handling or transporting livestock before transporting food for human consumption
• Make sure workers change clothes and wash their hands after handling livestock and before handling food crops
Safe Handling of Milk and Milk Products
• Refrigeration is most important factor in maintaining safety of milk (Grade A milk must be maintained at 45 °F or below), as well as butter, cream, whipped topping, sour cream, yogurt, cheeses, etc.
• Temperatures must be maintained through distribution, delivery and storage
• Note that safe refrigerator storage times differ depending on the product, and only butter, ice cream and pasteurized fresh whole or skimmed milk may be frozen
Safe Handling of Meats
• Remember to have quality control over your product from harvest through processing, storage and distribution
• How you handle the product affects:– how safe it is for your consumers– your product’s quality– your product’s shelf life
Business licensing Which licenses you need depends on:– Whether you are selling milk
or meat
– Where you plan to sell your product
Getting Permission to do Business• County, municipal & Homeowners Association or
Neighborhood/Unincorporated Community Covenants• Business registration (typically from your state’s
Secretary of State, although some cities & counties also require business registration)
• IRS Employer Identification Number (EIN, if you have employees)
• State taxes (sales tax, income tax, workers’ compensation, unemployment insurance)
• City/County sales tax license • Business licenses (depending on your sales outlet and
products(s) offered for sale)To check on your state’s tax and licensing requirements: http://www.sba.gov/content/learn-about-your-state-and-local-tax-obligations
Licensing for Milk Sales
• Federal regulations define milk and milk products by their ingredients. – This is important for grading and labeling, and for knowing
which license you need for your business.• For goat and sheep milk production and sales, all states
have different licensing requirements and permit costs.• In many states, raw milk sales are illegal and all milk &
milk products sold must be pasteurized. – Contact your state department of public health to learn
about regulations in your state– Educate yourself on the food safety issues surrounding raw
milk production
Regulations for Pasteurized Milk
• Use FDA/USDA guidelinesGrading
• All bottles, containers & packages with milk or milk products must be labeled, indicating the common name of the hooved animal. See FDA guidelines.
Labeling
• Store between 33°F and 41°FRefrigerating
• Keep clean and sanitary• Maintain refrigerationTransporting
• Animals must slaughtered & processed under continuous inspection (either Federal or State inspection systems)1
To sell packaged meat direct to the
consumer
• Must use Federal or State inspected facility
• Required: Labeling – i.e., Net Weight using Standard Weights and Measures2
• Optional: Grading
To sell packaged meat to retail
buyers, wholesale or farmers’ market
1- Only Federally inspected and certain state facilities are approved for out of-state sales.2- Your processor can help guide you through the packaging and labeling process.
Licensing for Retail & Wholesale Meat Sales
Custom Exemption to USDA Slaughter and Processing Requirements, for
Direct Sales
Sold before slaughter to new
owner
Labeled NOT FOR SALE
Processed for household use
Processed for non-paying guestsAND
AND
OR
One More Thing About Meat and Milk Sales…
Many farmers’ markets require vendors to carry their own liability insurance policy for product sales
For more info on licensing and regulations,check with your local Extension office or state Department of Agriculture?
• Zoning is a restriction on the way land can be used
• Zoning regulations may include where you can (or can’t) raise animals
Zoning restrictions
County & Municipal Zoning Regulations
• Present your plans early―your local planning and zoning board may have ideas to make your business more viable or to protect your resource base
• Once you are in operation, remember to consult local officials before making any changes to your business (to structures or to products you sell)
County & Municipal Zoning Regulations
• Larger livestock (including sheep and goats) typically prohibited in non-agriculturally zoned county & municipal districts
• Your Homeowners’ Association may also have restrictions on livestock
• Many counties & municipalities allow private ownership/production of a small number of sheep and goats in agricultural districts. However, animal slaughter may be prohibited.
Always verify the types & numbers
of animals legally allowed
on your property before starting your business
Regulations in districts where commercial livestock production is permitted may
include:
Commercial or agricultural
permit requirements
Permit fee often required
Size and type of animal
structures; location on your
property
Limited number of animals allowed; pasture
specifications
Standards for odor, noise, dust
Limited or no allowable
slaughter on premises
Building a Profitable Business Involves
Building Customers
through
Marketing
Safe handling practices
Building Community
through
Good resource & animal
stewardship
Building Business Processes
through
Research & compliance
with regulations
and certifications
that lead to a sustainable business!
Good neighbor relations
Questions?
Acknowledgements
• Blake Angelo, Colorado State University Extension, Urban Agriculture
• Thomas Bass, Montana State University Extension, Livestock Environment
• Dr. Marisa Bunning, CSU Food Science and Human Nutrition• Emily Lockard, CSU Extension, Livestock• Dea Sloan, CSU Agricultural and Resource Economics• Martha Sullins, CSU Extension, Agriculture and Business
Management• Dr. Dawn Thilmany, CSU Agricultural and Resource Economics• Heather Watts, CSU Agricultural and Resource Economics• Wendy White, Colorado Department of Agriculture• David Weiss, CSU Agricultural and Resource Economics
Photo Credits – flickr.comAll photos used under the Creative Commons License
Kkirugi4923613664
A Roger Davies4670542941
ynskjen423389418
BryanAlexander3348954673
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