Is Raising Broiler Chickens Profitable? An Analysis of Costs, Profits, Prospects and Price per Bird

Broiler chickens are a commonly farmed poultry in our country, and per capita chicken consumption far exceeds that of pork and beef. So is raising broiler chickens profitable? How much does one cost? What about the prospects, costs and profits? Currently, the social purchase price of live broiler chickens in the Binzhou area is 3.58-3.68 yuan/jin, and the price of chicks in the Linyi area is 2.20-2.70 yuan/bird. The weight of each broiler chicken varies, so the price also differs.

Is raising broiler chickens profitable?

Chicken is one of the most common meats on ordinary people's daily dining tables. In 2016, national chicken consumption was 13 million tons, with a market size of nearly 200 billion yuan, making it a major industry, so to speak.

With its inherent advantages of high efficiency and low cost, the broiler farming industry has become the most industrialized sector in China's animal husbandry field. Our country's total chicken output has grown from 1.358 million tons in 1984 to 11.44 million tons in 2009, and continues to grow at a rate of 5%-10% per year. Because its quality is widely recognized, domestically produced chicken is not only exported to countries such as Japan and South Korea, but multinational catering brands like KFC, which have always had high food safety requirements, also basically purchase domestically produced chicken. In 2010 alone, Yum! Brands China, to which KFC belongs, purchased 180,000 tons of chicken raw materials, and 98% of this chicken came from local Chinese suppliers.

So, as long as you keep the right mindset and maintain a good attitude. Only with a calm mind can you remain invincible, correctly analyze the market situation, and make your farming business bigger and better!

What are the prospects, costs and profits of raising broiler chickens in 2018?

Prospects:

Broiler chickens are the most commonly raised poultry by humans. Domestic chickens originated from the wild red junglefowl, and their domestication history is at least about 4000 years, but it was not until around 1800 that chicken meat and eggs became mass-produced commodities. With the development of the broiler industry, per capita chicken consumption has also far exceeded that of pork and beef. Currently, China has become the world's second-largest chicken producer after the United States, and per capita chicken consumption is second only to pork.

Costs:

Construction investment

1. Raise 8-9 birds per sq m, requiring a practical greenhouse area of 1200 sq m.

2. Each greenhouse is about 250 sq m, requiring 4 greenhouses, each 30 m long and 8.5 m wide.

3. The total land area is about twice the practical greenhouse area, because there needs to be appropriate spacing between greenhouses, so the total land area is about 2400 sq m (3.6 mu).

4. Online flat rearing: the ground is level, steel wires are stretched at 0.7 m above the ground with a longitudinal spacing of 6 cm, a walkway 1.1-1.2 m wide is left in the middle, and special plastic netting is laid on top. With 2 m as one compartment, pillars are built around the walls with cement blocks or bricks, doors and windows are left in the middle, and the roof consists, from inside to outside, of one layer of plastic film, one layer of straw curtain, one layer of plastic film, and small red tiles hung on the outer layer, four layers in total. The construction cost is about 80 yuan per sq m, so the construction cost of each greenhouse is about 20,000 yuan, and the total construction cost of 4 greenhouses is about 80,000 yuan.

Feeding costs

1. The annual average purchase of chicks is about 3.5 yuan per bird.

2. Based on 42 days of raising, each bird needs about 5 kg of feed, with a feed-to-weight ratio of 1.85:1, and the total feed cost is about 11.4 yuan.

3. The medication cost for the whole process is 0.7 yuan per bird, water and electricity cost 0.2 yuan, coal cost 0.1 yuan, and labor cost 0.4 yuan, about 1.4 yuan in total.

The total cost per bird above is about 16.3 yuan, and the cost for 10,000 broiler chickens is 163,000 yuan.

Profits:

Based on broiler chickens growing to 42 days with a body weight of 2.7 kg, and an annual average of 8.0 yuan per kg of live chicken, the sales revenue per bird is 21.6 yuan, and the sales revenue of 10,000 broiler chickens is 216,000 yuan.

1. The feeding cost per broiler chicken is 16.3 yuan, the sales revenue is 21.6 yuan, and the profit is 5.3 yuan; the profit for 10,000 meat ducks is 53,000 yuan.

2. Recovering the construction cost requires raising 1.5 batches of broiler chickens. Based on raising 5-7 batches per year, with an average of 6 batches, the construction investment can be recovered that same year, with a profit of 238,000 yuan. So raising broiler chickens can still make money.