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Cost And Returns Of Broiler Production - Agriculture - Nairaland

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Cost And Returns Of Broiler Production by maxipharo(m): 8:54pm On Dec 21, 2017
Cost and returns of broiler production is often a critical factor to be considered once there is a concept to invest in broiler production cost and returns of broiler production in Nigeria is important so as to evaluate the viability of investment in broiler production for “return of investment cost” and profit, which however could be foreseeably determined based on certain regulating principles of broiler production Generally the regulating principles of broiler production, accounts for the optimistic and pessimistic views and approach towards the cost and returns estimation of broiler production so as to provide a clear and accurate situation for the expectation of investment in broiler production. However, the projection of the costs and returns of broiler production in Nigeria can be practically be unactualized, actualized even more so surprising, depending on the management of the broiler as with every other livestock. These principles are vital to provide a bankable business plan for an investor for broiler production.
Principles and important guides for cost and returns of broiler
1. Type of House – deep litter with open sides for cross ventilation
2. Production plan – all-in- all- out
3. Feeding system – Ad libitum
4. Litter type – wood shavings of appropriate type and quality
5. Stocking density – 12 mature broiler per m2
6. Breed of broiler – viable commercial breeds/hybrids
7. Maturity age and live weight – 6-7 weeks and 1.6-2kg
8. Mortality – 5-10% maximum (including runts and deformed)
9. Feed intake – per broiler from start to finish
10. Price of mature live broiler
11. Recommend 6-6.5 production batch per year
12. One batch/production period takes 7-8 weeks to completion( including one week period of cleaning and rest of the pens)
13. Medication – maximum of 5% of the feed cost including payment for vet services
14. Minimum of 5 years financial projection is required for a business plan.
Assumption: Cost and returns of 600 broilers
*Assumption: 1. already available land with bore hole
2. Each production cycle will be made up of 600 birds per batch of production.
3. Minimum of 6 batches of birds per year
4. Selling price of mature broiler = #2000
COSTS
Expenditure
(Fixed cost) Cost Annual Cost Cost per batch
Building(10m/5m) 362500 30208.33 5034.78
Poultry Equipment and facilities 125200 15435.33 2572.22
Variable Cost
Day old chick@ #250 per chick __ __ 138,000
FEED
Starter (960kg @#140 per kg) __ __ 134,400
Finisher (1440kg @ #132 per kg) __ __ 190,080
TOTAL: 324,480
Medication (5% of feed cost, including Vet services) -----------------------------------16,224
http://www.agricincome.com/broiler-production/

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Re: Cost And Returns Of Broiler Production by rockyh(m): 9:44pm On Dec 21, 2017
maxipharo:

Cost and returns of broiler production is often a critical factor to be considered once there is a concept to invest in broiler production cost and returns of broiler production in Nigeria is important so as to evaluate the viability of investment in broiler production for “return of investment cost” and profit, which however could be foreseeably determined based on certain regulating principles of broiler production Generally the regulating principles of broiler production, accounts for the optimistic and pessimistic views and approach towards the cost and returns estimation of broiler production so as to provide a clear and accurate situation for the expectation of investment in broiler production. However, the projection of the costs and returns of broiler production in Nigeria can be practically be unactualized, actualized even more so surprising, depending on the management of the broiler as with every other livestock. These principles are vital to provide a bankable business plan for an investor for broiler production.
Principles and important guides for cost and returns of broiler
1. Type of House – deep litter with open sides for cross ventilation
2. Production plan – all-in- all- out
3. Feeding system – Ad libitum
4. Litter type – wood shavings of appropriate type and quality
5. Stocking density – 12 mature broiler per m2
6. Breed of broiler – viable commercial breeds/hybrids
7. Maturity age and live weight – 6-7 weeks and 1.6-2kg
8. Mortality – 5-10% maximum (including runts and deformed)
9. Feed intake – per broiler from start to finish
10. Price of mature live broiler
11. Recommend 6-6.5 production batch per year
12. One batch/production period takes 7-8 weeks to completion( including one week period of cleaning and rest of the pens)
13. Medication – maximum of 5% of the feed cost including payment for vet services
14. Minimum of 5 years financial projection is required for a business plan.
Assumption: Cost and returns of 600 broilers
*Assumption: 1. already available land with bore hole
2. Each production cycle will be made up of 600 birds per batch of production.
3. Minimum of 6 batches of birds per year
4. Selling price of mature broiler = #2000
COSTS
Expenditure
(Fixed cost) Cost Annual Cost Cost per batch
Building(10m/5m) 362500 30208.33 5034.78
Poultry Equipment and facilities 125200 15435.33 2572.22
Variable Cost
Day old chick@ #250 per chick __ __ 138,000
FEED
Starter (960kg @#140 per kg) __ __ 134,400
Finisher (1440kg @ #132 per kg) __ __ 190,080
TOTAL: 324,480
Medication (5% of feed cost, including Vet services) -----------------------------------16,224
http://www.agricincome.com/broiler-production/
A bag of starter feed cost about 3850which amounts to 152naira excluding transportation fare so make ur calculations based on that price

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Re: Cost And Returns Of Broiler Production by nuppyjay: 12:05am On Dec 22, 2017
Op am not disputing the during festive periods u can sell 2kg broilers for 2000naira and above and dat depends on the area u , if u are producing round the year were u have middle men u come to buy in bulk and resell in d market your selling price will b between 1100-1500 naira and the depends on ur bargaining power, if u are into supply of frozen bird eateries and hotels u sell per kg dressed weight.a kg goes btw 700 & 800naira depending on who u are supplying and 2kg live weight broiler will give btw 1.3 or 1.4kg after dressing so do the math u end up selling a bird for 1600 maximum if u are into supplies do ur market survey well don't misinform an investor that wants to invest in broiler business my two cent though

22 Likes 1 Share

Re: Cost And Returns Of Broiler Production by lonelydora: 1:01pm On Dec 22, 2017
Make i buy petrol first before i chop chicken. E no easy since morning for here oooo. Even at 270 per litre.
Re: Cost And Returns Of Broiler Production by credid(m): 1:03pm On Dec 22, 2017
G
Re: Cost And Returns Of Broiler Production by iHart(m): 1:03pm On Dec 22, 2017
following,
Re: Cost And Returns Of Broiler Production by PcNnews(m): 1:03pm On Dec 22, 2017
Someone do something, Fuel is 270 per litre in my area
Re: Cost And Returns Of Broiler Production by MissAprokoMedia(f): 1:04pm On Dec 22, 2017
PcNnews:
Someone do something, Fuel is 270 per litre in my area

270?? My side it was 230 per litre
Re: Cost And Returns Of Broiler Production by punterjob: 1:05pm On Dec 22, 2017
lipsrsealed
Re: Cost And Returns Of Broiler Production by Politiculator: 1:05pm On Dec 22, 2017
You are just beating around the bush op.
Practicals speaks louder than theory.

My advice to anyone going into broiler farming is that you should only start when you have a cold room​ where you can store and sell directly to customers instead of relying on middle men. They will frustrate you because they know you must sell the chickens or you must keep feeding them.

16 Likes

Re: Cost And Returns Of Broiler Production by engrjosefz(m): 1:05pm On Dec 22, 2017
Ok
Re: Cost And Returns Of Broiler Production by donnaD(f): 1:05pm On Dec 22, 2017
hmmmm is it by force to chop chiken??
Re: Cost And Returns Of Broiler Production by Tmex(m): 1:07pm On Dec 22, 2017
nuppyjay:
Op am not disputing the during festive periods u can sell 2kg broilers for 2000naira and above and dat depends on the area u , if u are producing round the year were u have middle men u come to buy in bulk and resell in d market your selling price will b between 1100-1500 naira and the depends on ur bargaining power, if u are into supply of frozen bird eateries and hotels u sell per kg dressed weight.a kg goes btw 700 & 800naira depending on who u are supplying and 2kg live weight broiler will give btw 1.3 or 1.4kg after dressing so do the math u end up selling a bird for 1600 maximum if u are into supplies do ur market survey well don't misinform an investor that wants to invest in broiler business my two cent though
Nice analysis, the difference between this speculation and the obtainable is the reality, farming is beyond all these. If government isn't serious about agriculture there's no way you can make a head way. I used to be like the OP, i learnt the hard way.

4 Likes

Re: Cost And Returns Of Broiler Production by lurdmoel: 1:07pm On Dec 22, 2017
Ok
Re: Cost And Returns Of Broiler Production by Turks: 1:08pm On Dec 22, 2017
Very easy to breakdown on paper. When it comes to the real thing, so many factors come into play.

7 Likes 1 Share

Re: Cost And Returns Of Broiler Production by EazyMoh(m): 1:08pm On Dec 22, 2017
Nice write up OP. I always have passion for livestock keeping.
Anyway as pointed above the selling price is unrealistic. That's how I saw a federal government agency on skill acquisition giving selling price of catfish at N900 per KG.
If you base your study on that kind of high selling cost which is mostly realizable by those selling small amounts directly to consumers, you are likely to fail.

3 Likes

Re: Cost And Returns Of Broiler Production by ariyebaba(m): 1:09pm On Dec 22, 2017
MissAprokoMedia:

270?? My side it was 230 per litre

#350 @ black market here in Ilorin (maraba)

1 Like

Re: Cost And Returns Of Broiler Production by Danialuone: 1:11pm On Dec 22, 2017
waooo nice return on investment (all things being equal)
Re: Cost And Returns Of Broiler Production by galaxy2020(m): 1:15pm On Dec 22, 2017
Let us just endure it, Baba told us these things will come to pass b4 we can start enjoying come 2018. Change we voted, change we are reaping. ����
Re: Cost And Returns Of Broiler Production by Nobody: 1:16pm On Dec 22, 2017
Abeg anyone don see Ymodulus end of the year thread.
Re: Cost And Returns Of Broiler Production by OlujobaSamuel: 1:17pm On Dec 22, 2017
@op, what you wrote is the ideal, what is out there is the reality/actual, the market is not the same with your writeup, except your buyers are in lekki and ph.

2 Likes

Re: Cost And Returns Of Broiler Production by lawsbanks: 1:19pm On Dec 22, 2017
lonelydora:
Make i buy petrol first before i chop chicken. E no easy since morning for here oooo. Even at 270 per litre.

where
Re: Cost And Returns Of Broiler Production by MrMakaveli20(m): 1:22pm On Dec 22, 2017
lonelydora:
Make i buy petrol first before i chop chicken. E no easy since morning for here oooo. Even at 270 per litre.
lowest I could get here is 235 per litre, yet 5k fuel just manage pass half tank. This country is sick

3 Likes

Re: Cost And Returns Of Broiler Production by Abeyjide: 1:23pm On Dec 22, 2017
Good meat available . Just supplied to a customer.

1 Like 1 Share

Re: Cost And Returns Of Broiler Production by zakim(m): 1:24pm On Dec 22, 2017
lonelydora:
Make i buy petrol first before i chop chicken. E no easy since morning for here oooo. Even at 270 per litre.
we are talk about how to make money not how to spend money....pls talk about broilers

1 Like

Re: Cost And Returns Of Broiler Production by lonelyisland(m): 1:33pm On Dec 22, 2017
Politiculator:
You are just beating around the bush op.
Practicals speaks louder than theory.

My advice to anyone going into broiler farming is that you should only start when you have a cold room​ where you can store and sell directly to customers instead of relying on middle men. They will frustrate you because they know you must sell the chickens or you must keep feeding them.
. Guy I'm telling you.. This Christmas broiler cost price was 1500 at my hand but those market people were priceing the birds 1200. I nearly cried shaa.. But wetin man pikin go do..

4 Likes 1 Share

Re: Cost And Returns Of Broiler Production by Meel: 1:33pm On Dec 22, 2017
.

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