Framework for evaluating the economic efficiency of a cooperative sheep slaughter house at Bangalore, India

Expansion and/or improvement of the two existing slaughter houses will not solve the problem of supplying high quality meat to the ever growing population of the city of Bangalore. Consolidation of the entire operations of slaughtering, dressing, distribution, and of the ownership of the animals and products under a cooperative arrangement appears to be a better situation.

The overall objective of this study is to provide information and develop cost data pertaining to the construction and equipping of a model slaughter house for the Bangalore area that is designed like the packing houses presently existing in the United States of America. The specific and detailed objectives are these:

1. To describe in sufficient detail the physical and technical specifications of a new slaughterhouse adapted to the needs of the Bangalore market area.

2. To describe the methodological approach to the measurement of various costs associated with the assembling, slaughtering, and dressing operations for sheep.

3. To develop the cost functions associated with the operation of the proposed model plant at varying rates of utilization.

4. To present the appropriate theoretical framework for evaluating the economic efficiency of plant operation.

5. To indicate the steps needed to set up a cooperative stockyard in the vicinity of the slaughter house and a cooperative organization to operate the model slaughter house. It is presumed that the basic approach of the model plant and organization can then be applied to other areas, time periods, and local conditions by altering the prices of plant inputs and other factors to satisfy the conditions that are associated with the different situations.