Cost analysis on how to make money from poultry farming during this period
Today I want to address the people who complain about lack of jobs and drown themselves in misery. I want to show you how easy it is to make money by applying the laws of demand and supply by studying the market dynamics. Things will get better my friends when this pandemic is over.
Let’s face it, most households in Kenya and Africa have been affected by the corona pandemic. We can’t just sit down and cry, can we?
You want to sell meat chickens and a good choice is the improved kienyeji (improved indigenous chicken). For East Africans I would vouch for kuroiler, sasso, kenbro or rainbow rooster chicken variety). For Southern African countries you can try the botchsvelder or koekoek chicken variety. The target weight should be 1.8 kgs to 2kgs liveweight.
I always advise would-be farmers to start small. Do you have a spare room in the compound? Do you have a space in your backyard? Do you have a friend who is a carpenter and can come up with a cost effective poultry structure? Once the structure is in place think about other inputs.
With 50 birds you can get something small (assuming housing costs aren’t catered for).
- Cost of 50 improved kienyeji chicks=5000kshs
- Cost of 3 drinkers=600kshs.
- Cost of 3 chick feeders=450ksh.
- Cost of 3 large feeders=1050kshs.
- Cost of 2 brooding electric bulbs 100watts=100kshs (If there’s no electricity use 2 paraffin lamps)
- Cost of feeds=4 bags of 70 kgs kienyeji mash @2000kshs each=8,000kshs (from day one to 12 weeks). From 8 weeks apart from kienyeji mash feed them with vegetable remains,kitchen left overs, ground maize mixed with soya and leave them to scavenge in the compound.
- Vaccinations :
-2 newcastle vaccines@500kshs
-1 gumboro vaccine@350kshs
-1 fowl pox vaccine @350kshs
-1 fowl typhoid vaccine @400kshs
- Cost of 1 bag of wood shavings=250kshs
- Cost of electricity(for one month during brooding)=500kshs
- Waterbill for 3mths=900kshs.
Now that you’ve spend that much you want to sell your birds at a price that will bring you profits. At 12 weeks you can sell a huge cockerel at 800kshs and a hen at 600kshs
Let’s do the maths:
You started with 50 chicks and let’s assume you lost 10% due to illnesses or other unavoidable conditions like illnesses or being trampled on.You will have 45 birds and let’s assume among them 25 are cockerels and 20 are hens.
Sell 20 hens at 600kshs each and 25 cockerels at 800kshs you will have 32,000kshs.Let’s break it this way:
- Sale of 45 birds =32,000kshs
- Sale of chicken manure @ 200kshs a bag.20 bags =4,000kshs.
NET PROFIT=36,000Kshs-18,450kshs =18,550kshs
We have assumed that you didn’t spend a dime on housing costs in which case you would still make some substantial profit if you had spent on a small but affordable structure. You can also use locally available materials e.g jerricans in place of drinkers to cut costs.
Ladies and gentlemen, the above breakdown might not be very accurate and differs from place to place.They are just estimates but I believe that the youth,housewives or anyone seeking to make an extra income during this pandemic can benefit.
For maximum profits you’ve got to keep more chickens but be prepared to spend a lot.It is said that the higher the risks the greater the benefits.I welcome any corrections or positive criticisms on the above.
✍️POINTS TO TAKE HOME
- You’ve got to cut on feed costs which take 70% of the total cost of production. Instead of buying expensive feeds. You can come to Thika where there are lots of feed mills and buy raw materials and have them mixed. This cuts feed costs by 20%
- Another thing is that kienyeji improved are not meant for eggs because they are feed guzzlers. You would rather rear them to 12 weeks and spend less on feeds rather than rear them for 20 weeks for eggs and spend excessively.
- Another thing is that if you get f2,f3,f4 or f5 chicks instead of f1(first generation chicks) your birds are going to gain low weights and will have slow growths hence you will spend high on feeds. Avoid buying chicks from unscrupulous dealers you will regret. Such chicks have low immunity and are prone to infections therefore creating huge losses due to medication costs.
- Work on your market. Instead of selling a 3 mth old improved chicken at 500kshs(which is a loss) target seasons when the demand is high such as Christmas, Easter holidays, Idd ul fitr, mashujaa day and sell at between 800kshs to 1000 kshs.
- Target weddings, graduations, birthday parties .Walk to institutions and market your products, target local market days. Use social media e.g facebook and watsapp. Use onlike markets such as OLX and I kid you not there is always market out there. Our marketing strategies as Kenyans are poor.
It’s always good to be optimistic. You can choose to look at your glass as half full or half empty. Let’s not discourage those who want to make a living.
The biggest risk is not taking any risk… In a world that’s changing really quickly, the only strategy that is guaranteed to fail is not taking risks. I know there are some naysayers who will say that this is not workable. I dare them to come up with a workable plan instead of non constructive criticism.
COMPILED BY: Okuta Ngura || Founder, Owner and Managing Director at Ngura poultry care.
Contacts +254729568151 /+254771210349
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