Opinion: 7 Most Important Ways To Calculate Profit For A Poultry Farm

Do you want to venture into poultry farming and achieve maximum success through precise profit calculation?

Follow these seven essential tips to help you get started on the right foot.

FEED COST PER EGG: To determine your profit, calculate the cost of feed per egg.

Simply divide the total cost of feed by the number of eggs produced per layer.

This will give you a clear understanding of how much feed is needed for each egg laid, aiding in budgeting and management.

BREAK-EVEN CALCULATOR: Utilize a spreadsheet to create a break-even calculator.

This tool helps you determine the price per pound or per bird needed to cover all costs, ensuring you know the minimum income required to stay afloat.

Understanding your break-even point is crucial for financial planning.

PROFIT MARGIN: The profit margin for a chicken farm typically hovers around 10%.

Knowing this figure can help you set realistic financial goals and expectations.

By keeping track of expenses and revenues, you can work towards improving this margin over time.

NUMBER OF CHICKENS: The number of chickens you need directly correlates with your desired egg production.

For instance, to produce about a dozen eggs per week, you will require approximately 3 to 5 laying hens.

For two dozen eggs, plan on having 6 to 10 laying hens to meet your needs effectively.

LIGHT: Light plays a significant role in egg production, especially during winter.

To maintain consistent egg-laying, keep the lights on for 14 hours a day.

This practice helps to simulate longer days, encouraging hens to lay eggs regularly despite seasonal changes.

TYPE OF CHICKEN: The choice of chicken type significantly impacts profitability.

Generally, local chickens are considered the most profitable.

Broilers follow closely behind, while spent layers and aged broiler breeders tend to yield the least profit, so select your breeds wisely to maximize earnings.