Backyard cattle farming is another option if you’re looking for investment in the Philippines. This may sound “old school” but when properly managed, it can give a sustainable income that can top-up your investment portfolio. Let me share you how we invest in simple backyard cattle farming.
I live and grew up in the province of Laguna where the general source of income are agricultural products. These are mixed of common agri-products like vegetables, rice, fisheries, poultry, livestock products and much more. If you came from the province, you know what I mean.
My father started backyard cattle farming back when I was a child even if we don’t own them. What I mean is he served as the caretaker for those cattle from other people and earn a commission upon selling. He took care 2 – 3 heads depending on the availability. It’s called “paalaga” or “paiwi” in our province. When it’s time to sell, the owner will deduct all the expenses and the profit will be divided into two. The owner and the caretaker will share the net profit.
On that process, he used to earn a decent amount although it only happens when selling the cattle. My father never minds how much the profit was. It’s his hobby and leisure anyways. For an investment of around P18,000, the cattle can be sold at around P25,000 to P30,000 after a year if properly taken care of. That means for a P12,000 profit, he can get P6,000 per head as the caretaker(the other P6,000 for the owner). In 3 heads, he can get P18,000 as profit.
That’s a good return on investment compared to savings account and time deposits right? And remember, my father only used his time taking care of those cattle. He just simply let the cattle eat grass on our backyard and other vacant land/farm near our house. Not bad right?
After several years, we bought our own the cattle and started our own backyard cattle farming. Since then my father took the whole profit and gain more. For me, that’s a simple but rewarding type of investment.
Right now, we have 9 heads and my father is taking care of them. Me and my lovely wife, my brother and my sister owned those. After a year and a couple of months, we’re seeing a good ROI if we’re about to sell these cattle this year(based on the estimate how the cattle have grown now). I’ll update this once we decided to sell them. See the picture above? That’s my father taking care of his friends. 🙂
This our simple backyard cattle farming investment story. I hope you get some inspiration. 🙂
From our story, here are some points that can help you if you’re interested in backyard cattle farming.
Update: We sold one of our beloved cattle and got more than 66% ROI. Read the article here.
Advantages of backyard cattle farming
- Small capital (You can start with 15,000)
- Low Risks
- Easy to Manage
- Good ROI
- Can be a hobby and leisure while earning money
Some disadvantages of backyard cattle farming
- ROI may come a little bit longer (depends on how the cattle grow or when you sell them)
- Your money will be parked for a year or two (Not advisable if you’re going think you’ll need the money soon)
- Cattle may get sick/accident and other uncontrollable events could happen (I think the same goes with other livestock investment)
Note: This is the basic backyard cattle farming. There are others who do this as a business and owned hundreds of heads of cattle. That’s a different story. What I shared is a “hobby-investment” type of backyard cattle farming. I hope you get my point. DTI also share information on how to invest in Dairy Cattle Farming here.
If you run “backyard cattle investment” too, kindly share your insights and story below. I hope this article has been informative, thank you for your time. Cheers!