BROILER EVALUATION, MARKETING MODEL AND PROFITABILITY


A broiler is evaluated by WEIGHT and NOT by age. To a post like; “How much do I sell my 3-4 months broiler?”..the usual response is; ” What’s their average weight” and this is to support the first sentence that broiler is evaluated by what it weighs…and not by old it is.

AGE IS JUST A NUMBER…

While some elite farmers now produce 3kg broiler within 6-7weeks, some are still getting that same weight in almost double of that duration i.e 12 weeks. So age is not a realistic nor accurate measure in evaluating broiler. That popular saying used in getting what is beyond us..’ Age is just a number’..can also be aptly applied to broiler production/business.

3 – 4 MONTHS of BROILER PRODUCTION. HIT OR MISS? PROFIT OR LOSS? 

Different strokes for different folks…

A similar post to this sub-topic(Hit or Miss) generated a stir in this group a few days ago and that is the main reason for this very post. While it’s widely believed among broiler farmers that broiler value depreciates with age( especially when it’s above 8 weeks), this belief cannot be considered totally true. In broiler business, there are many different models to operate with but your TARGET MARKET is the main determinant of the model to adopt.

TYPES OF EXISTING MARKETING MODELS IN BROILER BUSINESS

MODEL 1.        3—4 WEEKS PRODUCTION( POPULARLY KNOWN AS BROOD N SELL)

Usual target weight is below 1kg and the price is around #600-#700 per bird..depending on your location. This model is the easiest and fastest as one can repeat as much as possible cycles in a year in as much as there is demand/market for it. The strength of the model lies in;

Faster ROI. 

Minimal risk of a disease outbreak. Shorter duration of the production cycle.

N.B: The profitability here depends on VOLUME and not UNITS..i.e the profit per bird is nothing to smile at but if that meagre amount can go in five hundred places(or even 1000) with ready/target market within 3-4 weeks..then that can transform to something meaningful.

MODEL 2.     5—6 WEEKS PRODUCTION( Usually targeted at Processors, off-takers, Clearance agents). Target weight is around 1.8kg to 2.2kg and the selling price varies. Range of #530 to #600/kg.

‘Broiler-businesswise’, it’s VERY possible for farmers operating with MODEL 1(Brood n Sell) to make MORE PROFIT than those of MODEL 2. This is another post for another day.

Just like Model 1, the profitability here also depends on VOLUME.

MODEL 3.    8—10 WEEKS( FESTIVE PERIODS MODEL)

The target weight is about 3–4.5 kg and selling price largely depend on your LOCATION, MARKETING STRATEGY e.t.c. Under the good economic condition, this is usually valued at #2,500–#3,500 per one.

N.B; DIRECT SALES to final consumers translates to MAXIMAL PROFITABILITY in this model. IF POSSIBLE, AVOID THE MIDFIELDERS( Middlemen n Median-women)

MODEL 4.    12—14 WEEKS i.e. 3 MONTHS plus! ( SPECIALTY BIRDS, ROOSTER, PREMIUM PRICE, SURVIVAL OF THE FATTEST)

Many wonders if farmers still raise broilers for a lengthy period of 3 months! How do they make their profits?!

Ok, here you are… 

As stated earlier, this is speciality bird( i.e. usually ordered with specifications(the order/demand can be from Church, Mosque, Cooperatives, Politicians, Organizations, In-laws e.t.c) or it is what your local market clearly demands..i.e Rooster/’Broilcock’..not broilers).

Only the experienced & smart broiler farmers can operate with this model and make a profit. The target weight is usually around 5–6Kg and evaluated at #5,000—#6,000/one. 

Can people really afford #6k worth of chicken?! 

YES!!! 

BODY SIZE, LOCATION, TARGET MARKET & MARKETING STRATEGY are the master keys in this model).

In fact, this very model that many consider as time & resource-wasting is the business secret/weapon of some broiler farmers.

NOTABLE KEY-POINTS

To every model listed here, there is a standard and expected body-weight within a specified duration. The problem and loss begin when getting average weight of model 2 in the duration of model 3(TIME/DURATION OF GROWTH IS ALSO A KEY PROFITABILITY INDICATOR IN BROILER BUSINESS) OR when you don’t really know how to evaluate the birds you have at hand…and if you don’t know the worth of that bird you have at hand, then how would you know the value of those two birds in the bush(..no, i mean market)

Another worthy point is to UNDERSTAND YOUR LOCAL MARKET.        

NOT what they really WANT/WISH(because everyone wants good things) but what they can AFFORD. Raising imported turkey in an area where people regard old layers as luxury is a fool-proof technique & faster strategy to win that ‘honorary’ award/title… “EX-FARMER”/”RETIRED FARMER”.

Do you wonder why old layers sell faster than broilers during festive periods? The answer is simple n straight-forward… Pocket-weight speaks louder than a wish. So, UNDERSTAND YOUR LOCAL MARKET.

CONCLUSIONS

YOUR OWN ” 6″ MAYBE MY OWN “9”

In broiler business, there is nothing like a ‘one-size-fits-all’ approach. You just need to understand those factors that determine your profitability in the business( Target weight, Duration of growth, Marketing Strategy, Market type e.t.c) and make sure you balance those factors.

So if you still wonder if those 3 months broiler-farmers really make a profit..then, you may need to read this post all over again because for every different folk..there is a different stroke. Moreover, there are several ways to kill a broiler.

Gulliver’s Farm


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