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Starting Your Own Broiler Business

Dr. Raymond de Asis, a respected veterinarian, briefs us on the basics of starting a backyard broiler business.

The deluge of inquiries and phone calls in our office regarding the basics of poultry production and the mechanics of starting up a broiler business has prompted us to devote an article (a cover story, no less) on the topic. We’ve consulted with Dr. Raymond Peter G. de Asis, a veterinarian, and animal science expert who operates his own broiler business to shed light on the ABCs of broiler production.

The 32-year-old broiler expert is a master’s degree holder of animal science major in nutrition and minor in biochemistry from the University of the Philippines in Los Banos. It was also in the same state university where he obtained his doctor of veterinary medicine in 1988. Dr. de Asis is an active member of the United Broilers Association (UBRA). The following are excerpts from our interview:

Before deciding to put up a broiler business, I suggest that you determine how much capital you have or can borrow. The amount of capital you have determines how big your broiler business can be. Understand also that a broiler business could be considered as a high risk business because the farm gate prices of broiler can change at any given day. At present, many are encouraged to put up a broiler business due to the high farm gate prices, but remember that this is not guaranteed to extend to the time when you are ready to market. My dad always told me that when he was just starting to set up his business, it was quite easy to predict when the farm gate price of broiler would be high. That was the time when there were only few broiler raisers, and not too much external factors were then affecting the market.

Just to give you an idea of the amount of capital needed, allow me to give you some figures. A day-old-chick (DOC) today costs between Php20 and Php23 per chick. Feeds could cost from anywhere between Php18 and Php22 a kilo. For the duration of the growout, the broiler chick could take in around 3-3.5kgs of feed per bird. Medication, vaccination, and supplementation would cost us between P1.00 to as high as P7.00 per bird. Add to that-labor, electrical, farm rental (if renting) which is around P10 per bird. For backyard broiler raisers, this would be lower because you can remove labor cost and, to some extent, electrical cost. All in all, each bird would cost its roughly between Php90-Php130 to raise a bird to its ideal market weight. Of course many factors can affect this figure. This is just an estimate.

For your startup business, you have to add equipment and building cost. Equipment would include infrared gas brooders for the chicks, feeders in three (3) sizes (small, medium, large), drinkers and industrial electric fans. This would cost its anywhere between Php40 and Php100 per bird. Building cost would depend on the building material used-weather they’re steel, good lumber or coco lumber. This would cost us from Php40-Php150 per bird.

Once you have the capital needed, you need to look for a site where to place your broiler house. The site should not be located anywhere near an existing broiler, layer, game fowl farm. This minimizes the risk of transferring diseases during outbreaks.

With regards to the building design, if possible, the length of the broiler house should run from east to west. This prevents direct sunlight from penetrating the side walls of the house which could cause heat build-up inside. Ventilation is very important. Allocate at least one (1) square foot of floor space per bird. If constructing an open-sided type of housing, elevate the house about 1.5 meters from the ground. This ensures proper circulation of air helps ease the collection of fecal matter underneath the house after each harvest. The building should be rat proof, bird proof and cat proof. Trees could be planted on the sides of the house to provide shade during hot season and can also serve as protection from storms or weather disturbances. The roofing should be the monitor type and high enough to provide better air circulation inside the broiler house.

Now that you have constructed the house, it’s time to prepare the house for the arrival of the chicks. First, thoroughly clean the house with the use of a high pressure washer to remove dust, fecal matter or any debris left inside it. After that you have to disinfect the house including all the equipment inside it. There are a lot of disinfectants in the market-just take note of the precautions in using it. Safety of our personnel always comes first.

Day-old-chicks (DOCs) can be sourced from a number of companies including the big ones like San Miguel, Robina Farms, Vitarich etc. A number of local cooperatives can also provide DOCs.

Just take note that where you get your chicks. The company or person you got them from should have a good track record.

Keep a good record of your farm operation. Take note of the daily mortality and daily feed intake. List down all vaccinations and medication procedures undertaken. Monitor daily the appearance and performance of the flock. The first two weeks are very critical because this is the stage when the chicks are most vulnerable to diseases and stress factors such as temperature fluctuations. Monitor weekly their weights so that you can be accurate in predicting when our birds are ready for market. Too big a bird (2.0kg above) could be harder to market than an average sized bird (1.6 to 1.9 kg live weight). So before you even purchase our DOCs, take note of the market demands in your area whether they prefer large or averaged-sized birds.

Many diseases can affect the flock. Nowadays, viral disease outbreaks are kept at a minimum due to good vaccination and medication practices. Some of the diseases we vaccinate against include New Castle disease, Infectious Bursal disease, Mycoplasmosis ( in some farms), coccidiosis (again in some farms), Infectious Bronchitis and many others.

The most common diseases of poultry though, affect the respiratory and digestive systems of the broiler. Signs/symptoms often observed include rales, sneezing, unformed or foul smelling fecal matter. Many of these diseases have overlapping signs and symptoms so it is very important that if changes are observed in the behavior, appearance, or growth characteristics, the matter should be reported to a qualified veterinary practioner so that an appropriate course of action be taken.

Some important performance indicators worth looking into include FCR, mortality rate, harvest recovery rate, average body weight.

To get the feed conversion ratio (FCR), just divide the number of kilogram of feeds by the total body weight of the whole flock (class A birds only) after harvest. This is a good indicator of the efficiency of your operation. This is interpreted as the number of kilograms of feed needed to be consumed by the bird for it to gain one (1) kilogram of body weight. The lower this ratio, the better.

Mortality rate is just the percent of birds that died throughout the duration of the growth cycle. Aim for a mortality rate of not greater than 5% of the total population including the extra birds.

Harvest recovery rate is the percentage of birds that we were able to market. This should not be lower than 90%. A good target is in the range of 93%-96%.

To get the average body weight, simply divide the total number of kilos that were marketed by the total number of birds that were sold. A good average would be around 1.6 to 2.0kg.

Good luck on your broiler business venture!

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29 Responses to “Starting Your Own Broiler Business”

  1. Bryan Says:
    Is that really 33.5 kgs per bird?it seems very expensive… well im planning to start a very small business…
  2. nica Says:
    nag start p0 ako ng broiler business pero honestly wla tlga ko alam bka pwde nio po ako i guide nttkot ako bka malugi ako pg nagkasakit mga alaga ko syang nmn pinuhunan ko
  3. Sandy Espinosa Says:
    Dear Nica,

    We from bioorganic plus (phils.), inc. producer of most preferred PROBIOTICS can answer your fear not to fear in raising your broilers. we have developed a protocol on broiler on how to prevent the disease on broiler using the technology of Good bacteria. In 37 days you can harvest your broilers without any antibiotics.

  4. Sandy Espinosa Says:
    we are willing to transfer the technology on how to raise broilers without antibiotics.we are now producing Antibiotic Free Chickens. Minimal cost big savings and healthy chickens.
  5. Sandy Espinosa Says:
    Dear Veterinarians,

    Kindly share the information on how to produce Antibiotic Free Chicken.We have seen the potential of Livestock Plus Probiotics. Help people not to risk their money in a traditional yet damaging technology of Antibiotics in raising Chickens and even Hogs. Wake up dear doctors of veterinary medicine. Thank you so much.

  6. trebor_doc Says:
    Hi Sandy!
    I’m interested.
    Please send me your products’list and prices.
    Best regards,
  7. JUDE MELENDREZ Says:
    Hi ms sandy, i am an OFW here in Dubai together with my family. Due to the current credit crisis, our company has started redundancy for employees and i’m planning to put up a small scale poultry in our 1 hectar farm lot in Magallanes, Cavite.

    can you provide me more info about your products, pls. send it to: lito_melendrez@yahoo.com or jude.melendrez@gmail.com, i’ve heard of ATOVI feed mix which results in a harvest of 1.6 kg in only 28 days. JUDE MELENDREZ

  8. Sandy Espinosa Says:
    Any questions regarding the antibiotic free chicken just dial this number DR. Nilo Dela Cruz 09209237379. VetMed and our consultant in BIOORGANIC PLUS (PHILS.), INC.
    Any questions regarding the zero chemical agricuture just dial this number DR. Lino Cortes 09053548264 Plant Geneticist from Missouri.
    Let’s make our world a better place to live in.
    Stop poison technology.
    Thank you Agribusinessweek.com may you continue this open communication to all filipino people. God Bless and more power
  9. drew gonzales Says:
    hi sandy, im interested on your products for broiler and hog raising.
    please e-mail me your protocol for broilers and hogs with product info and prices.
    isidro_noel_gonzales@yahoo.com

    thank you and hope to hear something from you.

    bydwy, m from cebu, please also indicate on how to avail your products.

  10. JUDE MELENDREZ Says:
    Hi Sandy, thanks for the email sent… by the way too, i’m actually thinking of starting a Mini-contract growing style broiler production, wherein i intend to distribute 50pcs. day-old-chicks + feeds and medz to beneficiary families (farmers) na kapitbahay ng farmhouse ko sa amin sa Magalllanes, Cavite, i intend to start with 5-10 families, i’d give them the inputs and even loan them some 1000-2000 pesos (per family) to build an adequate broiler housing to start with, i will buy from them the broiler produced at 10 or 20% value of current farm gate prices.

    What i would like to request from your group is to help me teach this farmers the technology of broiler production, can you help me put up a small training seminar like this? also at this seminar you could have the chance to let us know about the advantage of your product…

  11. ahmed abdellatif Says:
    hi every body,
    i am a veterinarian from egypt i am suffering alot from the effect of mycotoxins on my broilers…………..
    please if any one could help me send information to my e.mail a_abdellatif 2000@yahoo.com
  12. Neil Ochoco Says:
    Hi. I’m a CPA from SGV here in Makati and I am planning to start a small poultry business in our hometown in Bohol. I would just like to inquire how much would be the estimated capital needed to start this investment? How many days is the cycle for the chicks to be ready for sale to the market? Any information to start my small business plan is highly appreciated. Please contact me at neil.eric.e.ochoco@ph.ey.com. Thank you very much.. More power..
  13. Mr. Mary Neck Daulong Says:
    I started a small broiler business last year 2008, however, my poultry business was down due to mortality and diseases of the chicks. But, i will not give-up of putting a poulty business because i believe that it is a tool to propel me the new life. I would like to buy 100-200 chicks, for my business on August 2009. Please give me tip where to buy chicks A as well as the feeds at a reasonable price. You can email me at Daulongv@yahoo.com for the information. thank you for reading my message.
  14. andrew Says:
    hi im a economic student, we given a project planning or business planning. and mine broiler raising.
    mahal naman ng 33.5kgs per bird. if may 1000 bird about 603,000 ang cost!!!!
    thanks for your site i got some idea about my project. pero yung feeds cost per bird parang expensive masyado..
  15. tom Says:
    yes, thats too much, imagine ang output mo aabot ng 51,000 per 500 heads, pag nabenta mo ng 90 per kilo aabot lang ng 45000 lugi pa, mali po yung 35.5 per bird sa tingin ko mas less pa dun dahil masyado mataas fcr
  16. admin Says:
    @andrew, sorry, there was a mistype in the article.. it should be 3-3.5 kgs…
    have already corrected the cost per bird…
  17. ma. divina t. henson Says:
    i would like to know where to buy class A chiks. start to raise 6k hds. and also were to buy good quality feeds.the poultry is located at bulacan.
  18. ma. divina t. henson Says:
    is there any institution to attend any seminar for raising broiler
  19. FredSan Says:
    Hi i jus started a small piggery business with 5 sows but totally have no background in this kind of business and relied only on the asking thy neighbor method etc. kindly help me where can I get total info related to this business? any help is highly appreciated.
  20. Fred Mendoza Says:
    Hi I would like to know where to get DOC from a reliable source in Capas, Conception, Tarlac area. Good thing we just started with 100 birds in May. After 2 months these birds have not grown that much, so we let them go outside the housing. They are free range now and they just started to grow and it ia already Oct. They are approaching 1kg now live. In short these breed are no good for business. It will help us get back on tract to our business plan if you could point us to the right direction. Thanks much.
  21. admin Says:
    @Fredsan, you may refer to the Techno Guide for complete reference in Piggery.
  22. keith Says:
    good am.

    I just recently raised broilers (500 heads) and am on my 18th day. SIrs, just would like to know how to monitor the weight of birds? DO we do this on a weekly basis? Do you have a guide on the average weight of birds based on age?

    THANK YOU AND GOD BLESS.

  23. ronald manzano Says:
    Hi I would like to know where to get day old chicken(DOC) from a reliable source in Pangasinan area. Thanks.
  24. Moustapha Diagne Says:
    Dear Sir or Madam,
    We are interested in distributorship of your products in East Africa we would like to buy or we are interested in Eggs hatching for broilers and layers, concentrated feeds(that we can mix with maize available in big quantity in Tanzania), all medicals, minerals, supplements products for all animals.
    We just purchase 70 acres of land building a modern poultry farm any advice ?
    for Moustapha Diagne
  25. sabina Belizaire Says:
    I’m interested in the use of probiotics for broilers and layers. Please send more info on product and pricing.
  26. tiera Says:
    I’m planning to start a broiler and layer business in Aklan. Can you give me advice where to buy DOC in aklan or from main company itself?? Give me some tips in starting this kind of business.. you can contact me; dekhon07@yahoo.co.uk.. thank you.
  27. Ann Marie Says:
    i’ve inquired through a large agrivet here in Cebu about getting broiler chicks from them…it’s way too expensive! its double the estimated price of 20 pesos! They are selling it for 40 pesos each! has the price really changed drastically or they are just overpricing? do you think there will be a good returns of investment considering that the chicks and feeds are so expensive already?
    I badly need your idea on this. I dont have any much information, but im researching.
  28. edward cu Says:
    DOC chicks price ranges from 30-36 php.to this date. Farm gate price of chicken is very volatile and goes up and down extremely in a matter of hours. better buy live chicken from a farm and sell it in your neighborhood roi is shorter and safer.
  29. jesus dlc Says:
    good day were planning to put up poultry business in IBA zambales, Can you give me a tip where to buy DOC in Zambales , Pampanga or nearby provinces. and lastly what poultry house design is the most likely to build. thanks a lot

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