Buying or selling pigs can be very challenging and frustrating when farmers and buyers overlook some basic checks that must be conducted before their animals are sold or bought. I will look at true stories to get farmers understand that if one ignore due diligence, it can lead to lock up of capital and eventual collapse of the farm.
Mr Kwesi Agyeaman with a pig farm in Obuasi had 60 matured pigs to sell. He contacted Mr Ofori in Kumasi who needed all the animals.Value of the animals was Gh48,000.0 . They agreed 0n the payment plan, Mr Kwesi promised to pay 60% of the total cost of the animals with the balance being paid in one month. He however asked Mr Ofori, the pig farmer to transport the animals to his farm.
Believing the deal was sealed, Mr Ofori Carted the 60 matured pigs to Kumasi. Upon reaching Kumasi after 2 hours, Mr. Kwesi Agyeaman told him that something came up so he should leave the animals and come for all the money after one month. Considering all the stress he had gone through, Mr. Ofori obliged and left the animals. After six months, he is still chasing his money. Less than 20% of the total cost has been paid and all the animals had been sold.
Lesson: It is not too advisable to cart your animals in bulk to a buyer unless you have dealings with the buyer already and he is trustworthy. Let the buyer come to your farm, weigh your animals, collect your cash and collect a post dated checque on the balance. If you do not like the deal, at least keep your animals.
And please, do not wait for your animals to mature before you look for market. The moment you start your farm, invest in your market outlet.
Mr Greenfield from Eyinam on the Kumasi road contacted Olumo that he had 10 pigs to sell. He sent watsup pictures of the farm and the animals. Mr Olumo was pleased with what he saw. Part payment was sent via mobile money. Mr Greenfield who is in the USA informed the farm manager to send the pigs to Olumo in Winneba. After six hours journey, 4 sheep, 2 goats and 4 skelewu pigs arrived at Olumo’s farm. After series of exchanges, the sheep and goats were sent back and skelewu pigs maintained at the farm because money had been transferred already.
Lesson: Buy only what you see with your ‘kolokolo’ eyes. Unless you know the farm and the owner and an idea of what the farmer feeds the animals, don’t even try. Drive to the farm, see the conditions under which the animals is being reared before you decide to buy.
Case 3 & 4
Mr coffie, a pork joint operator needed some pork. He contacted a new supplier who supplied him free range pigs probably due to the price. He loses some few customers when the pigs were grilled and fried due to the change of taste.
The Army General, has he is usually called needs 500kg of pork every week. Mr Appia from Takwa promised to send him some lean pigs. 30 pigs were transported to the Generals farm. After one week when 2 were pigs were slaughtered, they were too fatty so the general could not supply them. About GH30,000 had been locked up in cash on fatty pigs he cannot sell.
Deal only with a trusted middle man. Buy from farmers who only deliver the best product. For those who supply to other client, buy a few carcass weight to ascertain the quality of the pork and don’t consider the farmer if his pigs does not meet your specification.