TECHNOLOGY FOCUS - CHEMICAL ENGINEERING - Preferred Conditions: The livestock excrement of fuel is dried to a moisture content of 25-35 wt.%. The livestock excrement of fertilizer is dried to a moisture content of 50-60 wt.%. The ratio of drying operation of livestock excrement of fuel with respect to that of fertilizer is 0.1-1. The manufacturing ratio of fuel or litter, and fertilizer is 1-5:1-5. The residence time of livestock excrement of fuel or litter is 1.5-3 times with respect to that of fertilizer during drying. The ash component discharged during combustion which contains a portion of phosphoric acid and potassium is added in a weight ratio of 0.001-0.01 during manufacture of fertilizer and stirred uniformly. The crushed material of livestock excrement and wood chips are supplied into a hopper (1) while stirring through a screw type feeder. A two-stage screw feeder is advanced in the mixing-granulating portion while transferring to the lower stage. The fuel is supplied from the middle step of the cylindrical combustion portion. Several air-blowing openings are provided. Airflow in the combustion portion is raised spirally along the inner wall. An air-blowing opening is further provided in the combustion acceleration position. The heat-exchange portion carries out dust collection of the combustion gas using a cyclone. Hot air from the heat exchanger is sent to the dryer which indirectly or directly dries livestock excrement. The fuel is a mixture of livestock excrement with a moisture content of 35 wt.% or less and crushed material of wood chips. The blend ratio of livestock excrement in the mixture is 50-200 vol.%. The wood chips is waste material of coppiced timber, and has a size of 0.05-10 mm. Mixing is carried out using a horizontal type agitator with a rotating wing, installed in the lower portion of the hopper. The cylindrical combustion apparatus has an inner dimension of 500-1500 mm, an outer dimension of 900-2000 mm, and a height of 1500-3000 mm. The direction of nozzle is made into an angle of 15-35 degrees with respect to the central point, the air speed is set to 50-100 m3/minute. 2-3 Blowing nozzles are attached under the fuel insertion opening. The bottom portion of combustion apparatus is covered with refractory component which responds to high-temperature melting. Powder and aggregates are removed as ash. The livestock excrement having high water content has a water content of 70 wt.% or more. The dryer is a rotary kiln type dryer or stirring type dryer with a jacket.