Analysis of leech farming costs and profits: how much can you earn?

Artificial leech farming in China began in the early 1990s, but at that time results were minimal because of a lack of the necessary ecological and biological knowledge about leeches. Since 1995, people have carried out fairly comprehensive studies of the leech's living habits, feeding habits, reproduction and ecology, giving leech farming initial development. Let's take a look below at leech farming costs and profits!

The farming prospects for leeches

At present, market demand for leeches is increasing year by year, wild leech resources are being depleted year by year, stocks in various places are running short of supply, and the supply-demand gap is as high as more than 50%. These factors are the main reasons why leech prices have risen sharply for years in a row. A survey of 17 specialized Chinese medicinal herb markets nationwide showed that, starting from 2000, leech prices rose sharply year after year, rising from 150 yuan in 2002 to 160 yuan in 2003, 170 yuan in 2004, 180 yuan in 2005, 190 yuan in 2006, 200 yuan in 2007 and 230 yuan in 2008. From 2009 to 2011, leech prices soared continuously, rising to 380 yuan in 2009, then soaring again to 740 yuan in 2010, and by 2011 they had soared to 800-820 yuan.

The farming costs of leeches

For leech farming costs, taking a farming area of 5 mu as an example, land lease costs about 0.3-0.4 wan yuan, site excavation 0.4 wan yuan, anti-escape netting 0.25 wan yuan, most bait can be bred yourself but must be purchased initially at a cost of about 0.3 wan yuan, applying farmyard manure 0.05 wan yuan, 250 kg of breeder leeches about 8 wan yuan, management costs 1.2 wan yuan, disinfection 0.02 wan yuan, and water and electricity 0.15 wan yuan, for a total investment of about 10 wan yuan. Of course, the size of the investment also determines the size of the farming scale; the farming benefit is not judged by the size of the site but by the leech seedlings stocked per 1 mu. Only when the breeder leeches reproduce and the young grow up can weight gain occur.

The farming profits of leeches

Leeches are hermaphroditic and cross-fertilize, and every breeder leech can reproduce. Generally a breeder leech reproduces 3-4 times a year, producing 2-3 egg cocoons each time, with an average annual egg production of 4, and each egg cocoon can hatch more than 20 young leeches. Due to natural enemies, strength and environmental factors, the survival rate of young leeches is above 90%, so each breeder leech can produce 72 commercial leeches per year. Each kilogram of live leeches contains about 150, and 7 kg of live leeches can be dried into 1 kg, with a market price of 400 yuan per kg, so each breeder leech has an annual output value of 27 yuan. If there is one mu of farming area and 5,000 are stocked, the annual output value is more than 130,000 yuan in gross income; after deducting facilities, bait and other costs, the net profit is around 100,000 yuan, and the profit from farming 5 mu is as high as 500,000 yuan. Using high-density, intensive production, stocking 1,000 in an area of 5 sq m can yield an annual output value of more than 25,000 yuan; after deducting the costs of seedlings, feed and facilities, the profit from leech farming is more than 20,000 yuan.

Suggestions for leech farming

1. If funds are insufficient, do not engage in leech farming. What counts as enough, and what counts as insufficient? If you have 100,000 yuan in hand, you can set aside 2.2-2.5 wan yuan to invest, and arrange another 0.5 wan yuan to handle unforeseen expenses. That way, even if the leech base encounters a “storm” and loses these 3 wan yuan, you will not be left with nothing and push your family life into hardship. Finally, one more reminder: do not borrow money or take out loans, and be sure to act within your means.

2. If you are a young man starting a business, with no industry experience and no funds in hand, then you must obtain your family's support and understanding. Be sure to discuss it with your family and have the whole family work together, so that there can be longer-term development.

3. Those who do not have internet access or the ability to deal with emergencies are advised not to farm. In the information age, receiving, processing and understanding information is a very important investment ability; poor reception and handling of information will lead to investment failure.

4. If there are pollution sources locally, do not engage in leech farming. The key factor in raising leeches well is the water source. Without a good ecological water source, with acidity and alkalinity not up to standard and unsuitable soil, forcing yourself to farm will only lead to investment failure, and it would be better to choose another investment project.

5. For leech farming, plan the farming time well. Once you start leech farming, you must be prepared to see returns only after a year and a half, or even two years. If you intend to kill and process them right after they finish laying eggs, that is another matter. At the same time, not all investments bring returns, but without investment there will certainly be no return at all. This is the investment mindset that investors must have.