Financial and factor demand analysis of broiler production in Bangladesh

Abstract

Financial and factor demand analysis of broiler production has been estimated in this paper using a farm survey data of 210 farmers from four major broiler producing areas (i.e., Dhaka, Rajshahi, Mymensingh and Chittagong) of Bangladesh. Findings showed that broiler farming incurred most of its cost from its operating input, mainly feed. Broiler farming was financially profitable, but the performance of Mymensingh division was comparatively low, arising from a high unit cost of production and low unit price selling than the others. The net return was highest in Dhaka division, while Rajshahi division showed the highest ratio in returns on investment. However, in terms of cost (variable) and net return of broiler farming, no significant difference among the study areas was observed. The value of own price elasticity for feed, chick price, and labour price were negative and inelastic, which were -0.00249, -0.05718, and -0.13101, respectively. Besides, a complementary relationship was found between feed and day-old chick and feed and labour while day-old chick and labour were substitutes. The study also revealed that cross price elasticity was highly inelastic, and changes in the prices of inputs did not result in massive changes in the quantity demanded of other inputs for broiler farming.

Output Supply and Input Demand Response of Poultry Egg Farmers: Evidence From Nigeria

“…Additionally, it was discovered that the cross-price relationship between feed demand and DOC and drug/vaccine prices was complementary and inelastic, indicating that a decline in would be caused by a rise in DOC and vaccine prices. The result here can be compared to the study of which was conducted on broiler production in Bangladesh (Kamruzzaman et al, 2021). The demand for DOC with respect to the feed and labour prices was positive indicating that the pairs were substitutable in the production process.…”

“…Empirical studies show that the cost of feed alone is about 70% of the production cost in poultry production and this has made it difficult for small and medium-scale farmers to produce successfully (Mwanzia, 2010;Ashagidigbi et al, 2011). With these myriads of problems, the outlook on net returns is not likely to be favourable for the new investment in poultry egg subsector, thus daunting the interests of the new investors (Rahman et al, 2003;Kamruzzaman et al, 2021). The average variable and fixed costs in the poultry egg sector are too high in the long run and thus making small farms to be less efficient compared to large farms in Nigeria.…”

Financial and functionality analysis of a biogas plant in Bangladesh

“…Adopting small biogas plants largely depends on household cost-benefit scenarios ( Srinivasan, 2008 ). The project may have wider implications for reducing environmental degradation, poverty alleviation, and employment generation – but if these do not affect the firm’s profit, investors are omitted from the analysis ( Campbell and Brown, 2003 ; Kamruzzaman et al., 2021 ). A private project may receive a subsidy, pay tax or provide employment and reduce pollution.…”

Willingness to Pay for Safe Chicken Meat in Bangladesh: A Contingent Valuation Approach

“…Among different poultry meat, broiler (fuel chicken) alone contributes about 82% of global poultry meat production [24], and the meat consumption growth in developing countries is dominated by broiler due to its lower price [25,26]. Besides, lower production costs and a short rearing period have made it very popular among entrepreneurs, especially in South Asian countries [27,28]. e broiler can be produced in a safe way using Azolla (Azolla pinnata), spirulina, probiotics, phytobiotics, and other nonchemical feeds and inputs, which are safe for human health [29][30][31][32][33].…”