Diversification of Revenue Stream
To future-proof our business and provide resilient returns, we are diversifying revenue streams across multiple complementary business lines. This includes strategic investments in wheatgrass production, which will provide constant protein feedstock for our dairy cows, ensuring a self-sufficient supply chain and lowering feed costs, increasing milk production and enhancing profitability.
INVESTMENT PLAN: SUSTAINABLE WHEATGRASS PRODUCTION FOR LIVESTOCK FEED AT DN AGRAR GROUP
DN AGRAR Group is positioned to lead the next frontier in sustainable farming with the integration of vertical farming for wheatgrass production, utilizing CO₂ captured from the Biomethane plant. This innovative solution will enable the production of 40 tons of wheatgrass daily, with the possibility of replacing 25% of the current feedstock.
The vertical farming system offers multiple advantages, including consistent, high-yield production, water efficiency, and land conservation. For DN AGRAR, this project is an opportunity to capitalize on cutting-edge technology while enhancing sustainability, lowering costs, and improving the health and productivity of livestock.
Estimated Investment:
Between EUR 3-4 million for 20 tons produced
Financing:
Bank loan
ROI:
Approx. 3 years
KEY INVESTMENT HIGHLIGHTS
Sustainable & Efficient Production
Utilizing CO₂ captured from the Biomethane plant, this system creates a closed-loop model, reducing waste and carbon emissions. The vertical farming system provides protection from weather elements, ensuring consistent and reliable wheatgrass production all year round, regardless of external climate conditions.
Water Efficiency
Hydroponic farming significantly reduces water usage by over 90% compared to traditional agriculture. With rising water scarcity concerns, this farming method uses far fewer resources to produce the same amount of feed, making it a highly water-efficient option for livestock feed production.
Benefits
• No pesticides or herbicide required
• Uses less than 90% of the water needed by conventional crops
• Predictable yields, no agricultural equipment necessary
As food quality will increase, ensuring continuous freshness, we anticipate a rise in the milk yields per cow, and/or a decrease in the tons of feed consumed per cow.
The expansion of the livestock herd won’t impact investments in new equipment or land acquisitions. Additionally, in the context of climate change, this project will increase predictability and less fluctuation in the quality of feed, leading to improved digestion for the cows.
Land and Crop Efficiency
Popular crops such as barley, alfalfa, and wheat micro-greens could be partly replaced by production of wheatgrass in the vertical farm, providing a fresh and high-quality feed option for livestock.
Resilient and Reliable Production
The combination of protected environments and fully controlled indoor systems ensures that wheatgrass can be grown consistently and reliably. This protection from adverse weather conditions (e.g., droughts, or extreme temperatures) makes the farm resilient to climate variability and ensures a steady supply of feed to support livestock year-round.
Environmental and Economic Benefits
Reduced Emissions:
The hydroponic system eliminates the need for transportation, reduction of groundwork, and machinery involved in cultivating traditional feed outdoors. This reduces carbon emissions associated with farming practices and transportation logistics.
No Chemicals:
The short and efficient production cycle does not require the use of chemical fertilizers, herbicides, or pesticides, ensuring clean, chemical-free feed for livestock and contributing to a healthier food system.
Food Security
This farming method offers increased resilience in the food supply chain. By reducing dependency on traditional feed crops and external agricultural conditions, DN AGRAR Group ensures a consistent and reliable food supply, and a constant protein level at its feedstock for livestock, which is vital for stable agricultural production.
INVESTMENT STRATEGY
Environmental Impact
CO₂ Capture:
By integrating CO₂ from the Biomethane plant into the farming process, this system reduces overall carbon emissions, demonstrating a commitment to sustainable farming and climate action.
Land Conservation:
Vertical farming systems help free up agricultural land that can be used for other crops, promoting biodiversity and reducing the pressure on the land to produce livestock feed.
Revenue Streams
The wheatgrass will be directly used as feedstock, providing a cost-effective and sustainable alternative to traditional feed crops. By eliminating transportation costs and reducing reliance on external feed suppliers, DN AGRAR Group will drive significant cost savings and improve profit margins.
The ability to diversify into additional markets (e.g., human health products, juices) offers even more revenue potential, expanding the group’s profit opportunities.
Capital Investment Breakdown
Infrastructure Setup:
A one-time investment to build the vertical farm fully equipped with climate control technology, hydroponic systems, and CO₂ integration to optimize wheatgrass growth. These systems will be installed on-site at DN AGRAR Group’s facilities to minimize transportation costs and ensure freshness.
ROI Timeline
With high operational efficiency and low resource usage, DN AGRAR Group expects a return on investment (ROI) within 3 years.
The combination of cost savings, scalability, and sustainable practices ensures long-term profitability, quality control, predictability, and a positive financial outlook.
* Production of 20 tons/day
WHY WHEATGRASS FOR LIVESTOCK FEED?
Nutritional Profile for Livestock:
Wheatgrass is packed with essential nutrients—vitamins, amino acids, antioxidants, and minerals, constant high level of protein—which contribute to better animal health and higher productivity.
Healthier cows are more productive, with improved milk yields and growth rates, ultimately leading to higher profitability.
Healthier Cows, Better Yields:
Wheatgrass supports better digestion and nutrient absorption, boosting the immune system and reducing the likelihood of diseases.
Cows fed on wheatgrass are healthier and less reliant on veterinary care, reducing operational costs and improving overall profitability.
Improved Milk Quality:
Wheatgrass has been shown to improve the quality of milk, offering nutritional benefits to consumers. This can be a marketable differentiator in an increasingly health-conscious food market
Efficient Feed Conversion:
Wheatgrass is easily digestible, meaning cows can extract more nutrients and convert them into energy efficiently. This leads to better feed-to-product ratios, reducing the overall cost of feed per unit of milk.
Happy cows
Healthy milk
Satisfied customers
Resilient Food Supply:
With protected, controlled environments, vertical farming ensures consistent year-round production of high-quality feed, mitigating the risks posed by climate change or unpredictable weather patterns that often disrupt traditional crop farming.
PROJECTED IMPACT
Environmental Leadership
This project reduces the environmental footprint of traditional livestock feed production. The use of hydroponic farming and CO₂ integration showcases how DN AGRAR Group is leading the way in sustainable, resource-efficient agriculture.
Economic and Cost Efficiency
By replacing 25% of traditional feedstock with wheatgrass, DN AGRAR Group can significantly lower its feed costs and increase milk yield per cow. The ability to produce feed on-site, without relying on expensive transportation or external suppliers, will enhance profitability while reducing reliance on volatile feed markets.
Healthier, More Productive Livestock
Healthier cows lead to better productivity, whether in terms of milk production or meat quality. By providing a chemically-free, nutrient-rich feed, DN AGRAR can improve animal welfare, while increasing yields and profitability.
Scalability
The vertical farming model is inherently scalable. Once successful at the first location, DN AGRAR can replicate this system at other sites, rapidly expanding production and reaping the benefits of economies of scale.
Land Use Efficiency
The ability to free up hectares of land per year through the use of vertical farming systems offers significant benefits in terms of land optimization and the potential for alternative uses, such as growing more crops for human consumption.
TIMELINE AND MILESTONES
Pre-Launch Phase
2025
Secure funding, finalize partnerships for land, technology and CO₂ systems.
Complete feasibility studies and develop financial and environmental impact projections.
Construction & Setup
2026
Build vertical farming, and install hydroponic equipment.
Recruit and train staff to operate the new systems efficiently
At end of 2026, we will begin the production of 20 tons/day, for the Cut 1 farm.
Initial Production Phase
2027
Begin the production of wheatgrass, integrating it into the livestock feeding system.
Monitor livestock health, feed quality, and operational performance to optimize production.
Full-Scale Operation
2028
Reach full production capacity of 40 tons of wheatgrass per day.
Evaluate financial returns, operational efficiencies, and environmental impacts, adjusting the system as needed for maximum performance.
Integrating CO₂ capture systems.
At the end of 2028, we will begin the vertical farm construction for Cut 2 farm, for a 20 tons/day production.
Doubled Capacity
2029
By investing in this project, you are helping to shape a more sustainable agricultural future while reaping the benefits of a scalable, cost-effective, and environmentally responsible solution.