Is improved KARI kienyeji chicken Farming profitable?

Are you wondering how profitable is improved KARI kienyeji chicken farming in Kenya? This post has costs and benefits analysis for 100, 200, 500 and 1000 birds. Also known as the indigenous, traditional or country chicken in English. Its farming is the most profitable in Kenya. Its meat and eggs have higher retail prices compared to exotic products. Besides, the cost of producing them is lower since they are resistant to common disease outbreaks.

There is a rising demand for quality white meat and organic eggs. Consumers believe that traditional breeds have higher nutrition and better taste than hybrid broilers and layers. It has attracted many poultry farmers to raise them intensively in modern poultry houses. They also follow a strict feeding and vaccination program. But how much cost and profits can you make from keeping them in Kenya?

Facts about improved KARI kienyeji chicken

The sector is a priority value chain in 29 of the 47 counties in Kenya. Research institutions like the KALRO, continually breed better dual-purpose breeds like the KARI improved kienyeji chicken. Other improved kienyeji chicken breeds in Kenya are the Kuroilers, Kenbro, Sasso and the Rainbow rooster

Their maturity period is 4-5 months and has higher yields. A mature male can weigh up to 3 kg live weight. The hens weigh 1.9-2.5 kg. As a result, the price of live Improved kienyeji chicken is KES 800 and KES 600 per rooster and hen, respectively. Their eggs are brown and nutritious and the meat is deep read with yellow fat.

Typically, subsistence kienyeji chicken farming is common in rural areas. Farmers prefer the free-range or semi-intensive production systems; They will follow a non-routine feeding and vaccination program. They will give them whole grains such as maize, domestic waste and kale leaves. Disease control is by keeping the homestead and poultry houses clean

Assumptions for KARI Improved chicken farming Profit Analysis

This analysis makes the following assumptions for the required amounts and prices for chicken feed, vaccines and other inputs.

  • The farmer’s chicken stock comprises 50% roosters and 50% hens
  • There is a 10% loss of cockerels, hens and eggs.
  • The selling prices are Ksh 800 and Ksh 600 for mature cockerels and ex layer hens. A tray of Kienyeji eggs is Ksh 450 and manure bag is Ksh 30.
  • Labour requirements are 1person at 4,000 monthly for 21 months.
  • The Kienyeji vaccination schedule is in the analysis as a precautionary measure. It is against Marek, Newcastle, Gumboro, Fowl Typhoid and Fowl Pox diseases.
  • The cost of one-day-old chicken for sale is around KES 100      
  • Kienyeji feeding program needs three types of feeds;              
    • The maximum amount of feed fed to chicks per day from week 1 to week 8 is 60g
    • The maximum amount of feed fed to growers per day from week 9 to week 19 is 90g
    • The maximum amount of layers mash fed to hens only per day from week 20 to week 84 is 120g.

Costs and Profits for rearing 100 Improved KARI Kienyeji chicken

How profitable is Improved KARI kienyeji chicken farming - 100 birds

The following is the expected revenue and cost of raising 100 traditional chicken. It uses current market prices and standard feed requirements.

Your overall sales revenue after selling mature birds, eggs and poultry manure are Ksh. 258,890. It assumes a loss of ten per cent loss of the birds and eggs. 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 operating cost of raising 100 traditional birds is Ksh 165,790 without capital expenditure. The large portion, 92 per cent, is for buying chicken feed.

The gross revenue for raising100 indigenous chicken is Ksh 92,600. After a further deduction of Ksh 84,000 additional cost of labour, you will get a net profit of Ksh 8,600.

A beginner in poultry keeping will incur an initial capital investment of Ksh 72,030; for a new kuku kienyeji chicken house, brooding equipment, and other reusable items like feeders.

Costs and profit for 200 improved KARI Kienyeji chicken in Kenya

Gross margin Analysis for 200 improved indigenous chicken

The following is a cost-benefit/ Gross margin analysis (CBA) for rearing 200 Improved KARI Kienyeji chicken for meat and eggs in Kenya. It uses the current market prices and the above-given assumptions.

The revenue of selling mature live birds (mature cockerels and hens), poultry manure and eggs is Ksh 516,780.  The bulk of it is after selling eggs as the primary product. You can increase your profits by incubating the eggs and selling vaccinated one-day-old chicks. You would increase the price of one egg from Ksh 15 to Ksh 100.

The larger portion of the operating is buying chicken feed at Ksh 306,800. The total operating cost of the project is Ksh 330,480 to get a gross profit of Ksh 186,300.  After considering the cost of monthly labour of Ksh 4000 for  21 months, you will pocket Ksh. 102,300 net profit.

As a beginner, you will incur a one-time capital expenditure of Ksh 144,060 to make a kienyeji chicken house

Profit analysis for rearing 500 Kuroilers in Kenya

Improved KARI Kienyeji chicken profits-500 birds

The following is a projection of revenues and costs of rearing 500 Improved KARI Kienyeji chicken like Kuroilers in Kenya. The analysis uses the current market prices and the above assumptions for feed quantities and vaccines.

The gross sales revenue for 500 indigenous chicken farm is Ksh1, 294,200.  The most significant sales are from selling eggs.

The operating costs for raising 500 chicken is Ksh 810,850. It will give you a gross profit of Ksh 483,350 and a net profit of Ksh 399,350 after deducting labour costs of Ksh 84,000.

As a startup venture, you need a capital expenditure of Ksh 277,550 for a fully functional 500 chicken house.  The overall costs and profits for keeping 500 indigenous chickens are as shown above.

How profitable is Kenbro farming-1,000 birds

Cost and benefits analysis for 1000 Improved KARI Kienyeji chicken

The following is a gross margin analysis for rearing 1,000 improved KARI kienyeji chickens like the improved KALRO kienyeji chicken or Kenbro.  It uses the current market cost, prices, and the above assumptions required for farm inputs and labour.

You will get a total revenue of Ksh 2, 223,750 after marketing your live birds, eggs and poultry manure.

The operating cost for your 1000 chicken farm is Ksh 1,620,600 excluding the one-time capital expenditure of Ksh 455,100 for beginners. The most significant expense is buying commercial chicken feed at a value of Ksh 1,501,500.

The projects’ gross revenue is Ksh 603,150. The only additional cost is labour at Ksh 168,000 getting you a net profit of Ksh 435,150. The overall benefits for keeping 1000 layers are as shown above.

 The gross and net profits of raising indigenous chicken assume the worst-case scenario. The conventional and best-cases will give you a higher income.  

How to succeed in Improved Kienyeji farming?

  • Formulate kienyeji chicken mash or feed at home using cheaply available sources like maize, wheat, sunflower seeds etc.
  • Raise the improved kienyeji breeds like Improved KARI Kienyeji, kenbro or Kuroilers. They grow or mature faster. Besides they grow big giving you higher yields.

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5 Responses

  1. Leo Ogallo says:

    I was very happy to read this report. However, its summarized information, it has reference to all necessary capital costs, operational cost, feed costs and labor costs to help one figure out gross margin and net profits, for different number of birds, say 100, 200, 500 and 1,000.

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