Are you wondering what how much money you can make in poultry farming? In this post, will give you an enterprise analysis to determine your income and costs of rearing broilers in Kenya We have the costs of rearing four different chicken flocks sizes of 100, 200, 500 and 1000 chicken for meat.
By referring to this farming guide, you can make your own poultry farm business plan for any number if animals such as 50 broilers in Kenya or 300. Your analysis can cover some of the following areas;
- Business case with detailed costs and benefits analysis.
- Resource plan estimating vaccines, chicken feed, labor and cash needed to run a successful farm
- Draw a poultry production calendar to know when to conduct each activity
- Keep updated farm records for informed decision making.
Facts about broilers market in Kenya
Is Broiler farming profitable in Kenya? The key facts about chicken meat market; production and consumption in Kenya makes broilers rearing one of the most profitable agribusiness ideas in the region.
- The per capita consumption of poultry meat in Kenya is 0.6 kilogram per person every year.
- The total or gross market demand of of chicken meat in Kenya is 35,000 tons per annum.
- In the 2019 census, Kenya had a population of 2.91 million broiler chickens. Most of them are reared using intensive production method in urban and peri-urban areas of Nairobi, Ruiru, Mombasa and Kisumu.
- The broiler chicks price in Kenya is Ksh 100 from major a poultry farm or hatchery like the Kenchic.
- The commercial chicken feed prices in Kenya are Ksh 3,700 for the growers & Finisher mash, and Ksh 3,800 for the broiler starter feed.
- The Fryers or broilers chicken mature in 42-50 days (7 weeks) only in Kenya.
- A mature broiler weighs around 500 grams.
- The average price of mature broilers in Kenya is Ksh 450
How to Raise Broiler chickens
Wondering what is the appearance, weight or how long do broilers take to mature? Following are common characteristics of hybrid broiler breeds in Kenya
- Most have white feathers. However, specialists suggest that any chicken raised for meat is a broiler.
- The hybrid and exotic birds are highly vulnerable to infections and diseases than other chicken breeds.
- You will keep both cocks and hens since all of them provide meat.
Assumptions for a broiler poultry farm Profits Analysis
Broilers have special needs from chick level to maturity. You will follow a strict feeding and vaccination program for best results. You can produce and market individually or enter a contractual arrangement in an out-grower scheme.
The analysis uses the current market prices for farm inputs and labour and final products. It also makes the following assumptions for chicken feed quantities required and the vaccination schedule.
- The average price of broiler chicken in kenya is Ksh 450. You can sell a bag of chicken manure for Ksh 30 to organic vegetable farmers.
- The analysis anticipates a 2 % loss of chickens during the production period.
- Your chicken feeding program require starter and finisher feed in following amounts;
- 100 g of broiler starter feed per chick (10 kg for 100 chicks) per day for the first 21 days.
- 180 g of broiler finisher feed per bird (18 kg for 100 birds) each day from 4th week to slaughter.
- The broiler feeds prices in Kenya is Ksh 3,700 and Ksh 3,800 for a 70kg bag of a broiler finisher feed and starter feed respectively.
- The cost of hiring one person is Ksh 4,000 per month. If you are raising many chickens like 1,000 birds, use at least two workers.
- You need a round feeder for every 30 chicks and a one round drinker for 50 chicks.
Cost of rearing 100 broilers in Kenya
The following is the projected cost of rearing 100 broilers in Kenya. It uses current market prices and the vaccination and feed programs by the Kenchic.
The total sales revenue for selling 100 broiler birds and manure is KES 44,250. It assumes a loss of two per cent loss of the birds. Poor feeding, hygiene and vaccination can lead to more losses. Observing better farm practices like disinfecting poultry houses and value addition will give you more sales revenue in the long run.
The cost of rearing 100 broilers in Kenya is Ksh 42,670. The largest portion, around 95 per cent, is for buying chicken feed. You will spend fewest amounts on vaccines and treatment at Ksh 580 only.
The gross revenue for raising100 meat birds is Ksh 1,580. After a further deduction of Ksh 6,000 additional cost of labor, you will get a net loss of Ksh 4,420.
A beginner in poultry keeping will incur an initial capital investment of Ksh 71,870. It will be for constructing a chicken house, getting brooding equipment and other reusable items like waterers and feeders.
Costs and profits of rearing 200 broilers in Kenya
Are you looking for a broiler farming business plan in Kenya to raise 200 chickens? This cost and profit guide uses the current market prices and the above-given assumptions.
The revenue of selling mature broilers as live birds and poultry manure is Ksh. 88,500. The bulk of it is after selling live birds as the primary product and Ksh 300 from marketing manure as the by-product.
The large portion of the operating costs of raising them is buying broilers feed at Ksh 62,760. The total operating cost of the project is Ksh 84,990 to get a gross profit of Ksh 3.510. Similar to raising 100 chicken, the labour cost is Ksh 6,000 to get you a net loss of Ksh 2,490.
As a beginner, you will incur a one-time capital expenditure of Ksh 143, 740.
Cost of rearing 500 broilers in Kenya
The following is a projection of revenues and costs of raising 500 broiler chicken in Kenya. The analysis uses the current market prices and the above assumptions for feed quantities and vaccines.
The gross revenue for 500 broiler poultry farm is Ksh 221,250. Significant sales are from selling 490 live birds at Ksh 450 each.
The operating costs for raising 500 broiler chicken are Ksh. 213,580. It will give you a gross profit of Ksh 7,670 and a net profit of Ksh 1,670 after deducting labour costs of Ksh 6,000.
As a startup venture, you need a capital expenditure of Ksh 276.750 for a fully functional 500 chicken house. The overall costs and profits for keeping 500 broiler chickens are as shown above.
Cost of rearing 1000 broilers in Kenya
The following is a gross margin analysis for a 1,000 broiler chicken farm. It uses the current market cost, prices and the above assumptions required farm inputs and labour.
You will get a total revenue of Ksh 442,500 after marketing your live birds and poultry manure.
The estimated cost of rearing 1000 broilers chicken in Kenya is Ksh. 431,800. It excludes the one-time capital expenditure of Ksh 453,500 for beginners. The most significant expense is buying commercial chicken feed at a value of Ksh 313,800.
The projects’ gross revenue is Ksh 10,700. The only additional cost is labour at Ksh 6,000 getting you a net profit of Ksh 4,700. The overall benefits for keeping 1000 layers are as shown above.
Broiler farming profit tips
The gross and net profits of raising fryers chicken appear to be very low, you can consider the following tips to make extra profits
- Stagger your production to have up to to seven (7)* broods in an year. If you have a capacity of 100 birds, you can raise 700 birds in an year compounding your profits 7 times.
- Slaughter and market dressed chicken meat since value-added products fetch more profits than live birds.
- Apart from manure, sell other by products like feet, gizzards and heads which is a delicacy in street food shops.
* Assumption is that you allow 21 days to fumigate and sanitize the poultry house before introducing the next flock and produce for 49 (52-3) weeks of active production.