Poultry Business – SS1 Livestock Farming Lesson Note (Second Term)

So far, we have learned how to keep birds alive and healthy. But if you want to be a successful farmer, you must also be a good businessman or businesswoman. You can have the healthiest birds in the world, but if you spend more money than you make, your farm will close down.

Today, we will learn how to track our money, keep records, and sell our products for a good profit.

Cost Analysis (Where Does the Money Go?)

Before you start, you must understand your Capital (the money you need to start) and your Operating Costs (the money you spend every day).

1. Fixed Costs (One-time big spending):

• Building the poultry house (The Pen).
• Buying equipment like feeders, drinkers, and crates.
• Buying a generator or water tank.

1. Variable Costs (Money you spend regularly):

• Buying the chicks: The cost of day-old chicks.
• Feed: This is your biggest expense! (About 70% of your total cost).
• Medication/Vaccines: Keeping them healthy.
• Labor: Paying people to help.
• Electricity and Water.

The Secret to Profit: Profit=TotalSales−TotalExpenses If your expenses are higher than your sales, you are running a “Loss.” A good farmer always looks for ways to reduce waste—like preventing birds from spilling feed on the floor.

Record Keeping (The Farm’s “Memory”)

A farmer who doesn’t keep records is just “playing.” You cannot remember everything in your head. Records help you see if you are making progress or if a disease is starting.

Types of Records you must keep:

• Production Records: How many eggs were laid today? How many birds were sold?
• Feeding Records: How many bags of feed did the birds eat this week? (If they stop eating, they might be sick).
• Health Records: When did we vaccinate? Which birds died (Mortality)?
• Financial Records: How much did we spend on fuel? How much did we get from selling manure?

Marketing of Broilers

Broilers are sold for their meat. Timing is everything in broiler marketing.

• Target the Festivals: In Nigeria, the best time to sell broilers is during Christmas, Easter, Sallah, or New Year. Prices go up because everyone wants chicken!
• Weight Matters: Most customers want birds that look “heavy.” Proper feeding in the last two weeks (Finisher stage) is key.
• Selling Options:
  1. Live Birds: Selling them directly in the open market.
  2. Dressed Birds: Killing, cleaning, and freezing them to sell to supermarkets, hotels, or restaurants. You can charge more for “dressed” birds because you have done the extra work of cleaning them.

Marketing of Eggs

Eggs are a “daily” business. Since hens lay every day, you need a steady plan to sell them so they don’t pile up and spoil.

• Grading: Sort your eggs into sizes (Large, Medium, Small). Selling a crate of “Jumbo” eggs brings more money than a mixed crate.
• Packaging: Always use clean, strong crates. Broken eggs are lost money.
• Finding Customers: * Wholesalers: People who buy 50–100 crates at once to sell in the market.
  1. Retailers: Small provision shops or egg hawkers.
  2. Direct Consumers: Neighbors or people who buy for their homes.
  3. Confectioneries: Bakers who need many eggs for cakes and bread.

Tips for Winning in the Poultry Market

1. Be Honest: If you sell a crate of 30 eggs, make sure none are cracked or rotten. If you build a good name, customers will always come back to you.
2. Sell the Waste: Don’t throw away the poultry droppings! Bag them and sell them to vegetable farmers as “Organic Manure.” This is extra profit.
3. Start Small: Don’t start with 1,000 birds if you have never kept 10. Learn the business with a small number first, then grow.

Class Activity / Review

1. Math Challenge: If you bought 50 chicks for ₦30,000 and spent ₦70,000 on feed and medicine, but you sold all the grown birds for ₦150,000, how much is your profit?
2. Why is it important to record when a bird dies (Mortality)?

Homework: Interview a local poultry farmer or an egg seller in the market. Ask them: “What is the biggest problem you face when trying to sell your products?” Write down their answer