Trainees’ Manual – Feasibility Study

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Feasibility Study

Before you decide that you want to become a poultry farmer you must undertake a feasibility study that is researched thoroughly into all aspects of meat production or egg production to determine if you are going to make a profit. Otherwise you may be wasting time and money. When you have done your research you can then make a business plan. Your business plan will allow you a better chance of borrowing money from the bank to get your enterprise started. The most important question is, do you have a market for your produce?

Some of the questions you need to ask are given below:

Chick costs

How much are day old layer chicks or point of lay pullets?

How much are day old broiler chicks?

Where can you buy them from?

How far away is the supplier from you?

Does the supplier deliver?

If the chicks are delivered, how much will it cost?

If no delivery, how will you collect them and what will it cost?

Broiler costs

It may be possible to buy young chicks from a farmer who broods chicks for sale. This is also an opportunity for an enterprising farmer who has an incubator.

Can you buy 3-week-old or 5-week old broilers? If so where?

How much do 3-week-old or 5-week old broilers cost?

Do they deliver and charge. Is there a minimum number?

How much will it cost me to transport them if they don’t deliver?

Layer costs

What is the cost of point-of-lay (16-18 weeks) pullets?

Do they deliver free or charge?

How much do they charge?

If no delivery, how much will it cost me to pick them up?

Feed costs

Where is there a supplier close to me?

How much per bag and size (kg) for broiler starter?

How much per bag and size (kg) for broiler finisher?

How much per bag and size (kg) for pullet finisher?

How much per bag and size (kg) for layer feed?

Does the supplier deliver. If so at what charge?

If not, how will I get the feed and cost?

Equipment and water

Where can I get medical supplies and vaccines?

Where can I get medical advice?

Where can I get floor litter?

How much will it cost?

Where will I get water from?

Do I have sufficient for drinking water and cleaning equipment and my own house?

Market survey questions

Where will I sell my broilers?

Who will I sell them to? (neighbours, schools, local market, local shop, processing plant, middle man)

Who else is selling chickens in your area? How much are they charging per bird or per kg?

What age are they selling them at? Why will people buy from you? What will you charge per bird/kg?

How many birds can you sell per week or month?

How do you know that you can sell that many?

Egg sales

Where will you sell your eggs?

Who will you sell them to? (neighbours, schools, local market, shop)

How much will transport be?

How much will you charge for 12 eggs mixed size?

Who else is selling eggs and as mixed or graded?

How much do they charge for 12?

How many can you sell per week?

How do you know that you can sell that many?

Is there a market for boiled eggs?