Disclaimer:
This case study is merely used to demonstrate the basic capital infrastructure and other recourses which are necessary to consider crocodile farming and which needs to be considered in establishing a crocodile farm. Prospective crocodile farmers are strongly advised to do proper research and obtain professional advise before making any decisions on the viability of crocodile farming. Given the variance in input costs associated with each location, the viability of crocodile farming will differ considerably in each particular circumstance, therefore each case will have to be considered independently and on its own merits.

Contents
Foreword
Operation of a Crocodile Unit
Overview
1. The Production System
    a) Source of Animals
    b) Animal husbandry
2. Pen Design and the Thermal Environment
3. Food and Water Requirements
4. Cropping, Flaying, Curing and Marketing
5. Schematic Diagram of Crocodile Production Unit

Forward

These Guidance Notes have been prepared in accordance with the SA Crocodile Farmer's Association:

"To promote crocodile farming in SA to high standards of quality and volumes of production for the benefit of all engaged in the industry and the people and economy of SA"

And is in terms of SACFA strategic imperatives:

To provide an instructional model for a new crocodile farm detailing geographical, construction, staffing, feeding, operational and financing requirements.

To co-operate with Government and other agencies in encouraging interested South Africans to participate in crocodile farming.

Operation of a Crocodile Unit

Overview

A model crocodile production unit is described which will produce 500 skins per year.

Whilst revenue for crocodiles may be derived from skin sales, meat sales, product sales and tourism, this model will show income only from skin sales, although meat income may very well become a significant source of income as the techniques and facilities for handling meat develop. Tourism is very dependent on the locality of the farm and therefore not included in this model.

This model will incorporate:

1. The Production System, including source of stock, hatchling and rearing stock husbandry.
2. Pen Design, and the Thermal Environment.
3. Food and Water requirements.
4. Cropping, Flaying, Curing and Marketing.
5. Capital Requirement.
6. An Economic Analysis.

1. The Production System

Crocodiles reared in an artificially heated environment reach a suitable commercial size after 18 to 30 months (1½ to 2½ years).

In order to produce crocodiles of this size (minimum belly width size of 27 cm) our model rearing station requires the following:

The costs of these inputs will obviously vary depending on the size of the production unit. This analysis makes the following assumptions:

a. Source of Animals

Eggs are obtained from breeding crocodiles held in captivity on crocodile farms or hatchings are bought in second source is assumed in this model.

Eggs are incubated by the producers and the resulting "hatchlings" are the starting stock for each cycle of production.

A production of 500 skins/annum will require 600 hatchlings at the outset, assuming<10% mortality and 2% runts (slow growing and diseased animals which are culled), in the first year and <5% mortality in the second year. Our model farm therefore would receive the 600 hatchlings, giving 500 slaughter animals at the end of year 2.

In order to meet these mortality standards, the management of hatchlings and rearing should be extremely good.

b. Animal husbandry

The acquired hatchlings would be introduced into hatchling ponds, where they would remain for 8 - 10 months.

Growth rates and survivability are linked to good management, ample food and a constant temperature of 32ºC. Fluctuations in any of the above can lead to severe stress, which in turn reduces the animals' resistance to disease and high mortality can be expected.

When the hatchlings have reached 8-10 months, they will be about 1 metre long and will need to be moved to growing or rearing ponds. At this point the stocking densities will be reduced to provide the animals with more space.

Rearing pens, unless the farm is in a suitable locality will also require heating to ensure optimal growth throughout the year. For the purpose of this model the cost of supplying heating in the second year will be included.

2. Pen Design and the Thermal Environment

Heating may be based on coal, diesel, electric or solar power, etc. Installation costs for solar are high and systems are largely untested. Coal-fired heating is cheaper to install, and is used successfully on many crocodile farms. Running costs can be high however, particularly if the unit is far from transport heads. This model uses water, heated in an automatically stoked, coal-fired kettle and pumped around 5 cm galvanised steel pipes, which in turn run through enclosed ponds and heat the pond water by heat exchange.

Design is by no means standardised on stations. Concrete pens, approximately 9m², each holding 50 hatchlings are currently preferred to larger pens holding 200 - 300 hatchlings at the same density. With smaller pens it is easier to maintain and regulate temperature, hygiene, and disease is more controllable in smaller enclosures. If pens are non-indoors, they are covered with plastic sheeting at night. Overheating during the day can be prevented by providing artificial shading. However "highveld" - conditions require adequate housing, ie indoor farming.

Construction of these pens could be staged to meet the density requirements of the first intake of hatchlings. Whilst cash flow might dictate the necessity to stagger pen construction, it must be noted, that too much disturbance caused by excessive building activity near the crocodiles can contribute to high levels of stress.

An example of how this construction can be staged as follows:

The total requirement for pen space is therefore 6 x 9 m² and 12 x 50 m² pens.All crocodiles can than be moved/graded and densities adjusted in August of each year, freeing up the hatchling ponds for repairs or refurbishment, before a new intake of hatchlings.

A wide variety of pen designs are used for rearing stock. If a 30-month slaughter programme is to be maintained, it will be essential to house and heat these ponds, too.

In this example these are indoor ponds. Stocking densities will be very different to hatchling densities and a final pen area of about 1 m² per crocodile is necessary for animals in their final year. From the staged pen construction 12 pens are necessary to house these animals to final slaughter. A gentle sloping profile that is submerged under water is one of the simpler but successful designs.

An alternative that is not considered in this model is the use of unheated earth ponds to house the crocodiles. If food is plentiful it may be cheaper to do this but significant management problems can arise, disease control is difficult, skin quality can be compromised, and it will be necessary to keep the animals for significantly longer periods to achieve the 27 centimetre average skin size. Although heating and building costs will be markedly reduced by using earth ponds, SACFA recommends the construction of the normal indoor concrete pens.

3. Food and Water Requirements

Given a plentiful supply of food, the growth rate of a crocodile will depend largely on the animal's metabolic rate, which is determined by the temperature. Food conversion efficiency declines with age from over 50% in the first few weeks to less than 30% after some months. In this project, it is assumed that, by slaughter age, an animal will reach approximately 10 kg body weight at a 30% conversion rate. It will therefore consume 50 - 60 kg of food during a 24 - 30 month period. Wastage can significantly increase this and food consumption therefore needs to be monitored and adjusted. After allowing for wastage, it is calculated that an average of 70 kg of food will be required to bring each animal to slaughter stage, resulting in a total consumption of 11 tonnes in the first year and 32 tonnes per annum for each subsequent year.

Crocodile carcasses can be fed back to the crocodiles, assuming the meat is not marketed. 500 slaughter stock at 4 kg meat/carcass would provide 2 tonnes of meat, leaving a requirement of 30 tonnes of food from other sources (meat, fish and commercial concentrate feed). Pellet food is used very successfully, however more expensive but food to growth conversion is good and health control easier. Most commercial farms obtain meat from a variety of sources and at a variety of prices. It will also be necessary to refrigerate meat and fish, marking the minimum requirement of two 40 cubic foot deepfreezes essential. The food in this model, excluding transport, labour, but including essential vitamin and calcium additives, is costed in at R 400.00 per bag (50 kg).

Water requirements for a farm producing 500 crocodiles a year, based on 654 m² of pen space are calculated as follows:

Hatchling pens will have the water level dropped by approximately 0,1m, 6 days a week, and the crocodiles fed along the exposed concrete island. Once these ponds will be drained, cleaned and filled to depth of approximately 0,3 m. Each pond is calculated to hold 1,5 m³ water.

Rearing needs to be fed daily to three times a week, depending on food supplement, and feeding will be in a similar manner. Again, if water depth is assumed to be an average of 0,3m, the ponds will each hold 3,8 m³ water. Weekly water requirements therefore are:

In order to include washing out water 12 mega litres will be required annually.

It is essential that this water, particularly for the hatchlings, is clean i.e. borehole or filtered surface water.

4. Cropping, Flaying, Curing and Marketing

Crocodiles will be slaughtered using the "nape - stab" method or by culling at 24-30 months.

Following slaughter, the hide is removed along cut lines conforming to international practice. It is immediately washed and flayed. This is a skilled operation and reasonably labour intensive. Each hide is cured with an amount of clean salt, equivalent to at least twice the weight of the hide. The hides are then stored under chilled conditions, prior to transporting, grading, measuring, tagging and marketing must be understood but no costs are included for the sake of this model.

Costs incurred at this stage include tags, marketing commission, freight, insurance and handling charges which together amount to 20 to 25%.

Money from sale of skins is paid in US $.

5. Schematic Diagram of Crocodile Production Unit

HATCHING PENS (0 - 8 MONTHS)

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