Calculation of the cost of raising broilers

Summary of content: Calculation of the cost of raising broilers. The production cost of raising broilers consists of two parts: direct costs and indirect costs. Direct costs are also called variable costs, that is, costs that vary due to the quality of production technology. Indirect costs are also called constant costs, that is, regardless of the production performance, there are fixed costs. Direct costs include: ① Feed fees. Feed fee per unit weight of broiler chicken = feed conversion rate × feed price. ② Newborn baby fee. The fee for each newborn chick = the unit price of the newborn chick ÷ the sales rate. Sales rate = number of broilers sold ÷ number of chicks. Indirect costs include: ① Water, electricity, and heat costs. For each batch of broiler chickens used in the entire breeding process, the water, electricity and fuel costs are divided by the number of birds sold or the quotient of the total weight of the sales. ②Drug fee. It is the total cost of drugs used for epidemic prevention, treatment, disinfection, etc. for each batch of broilers,

The production cost of raising broilers consists of two parts: direct costs and indirect costs. Direct costs are also called variable costs, that is, costs that vary due to the quality of production technology. Indirect costs are also called constant costs, that is, regardless of the production performance, there are fixed costs. Direct costs include: ① Feed fees. Feed fee per unit weight of broiler chicken = feed conversion rate × feed price. ② Newborn baby fee. The fee for each newborn chick = the unit price of the newborn chick ÷ the sales rate. Sales rate = number of broilers sold ÷ number of chicks. Indirect costs include: ① Water, electricity, and heat costs. For each batch of broiler chickens used in the entire breeding process, the water, electricity and fuel costs are divided by the number of birds sold or the quotient of the total weight of the sales. ②Drug fee. It is the total cost of medicines used for epidemic prevention, treatment, disinfection, etc. for each batch of broilers, divided by the quotient obtained by the number of broilers sold or the total weight. ③Interest. Refers to the total amount of interest paid for fixed investment (long-term loans borrowed) and working capital (short-term loans) in a year, divided by the number of batches of broilers sold during the year, and then divided by the number or total weight of each batch sold quotient. ④ Repair costs. Repair costs collected to keep the building intact. Usually 5%~10% of the annual depreciation. ⑤ Depreciation expenses. Reserved for updating buildings and equipment. Generally speaking, the depreciation period of the brick-wood structure is 15 years, the wooden structure is 7 years, the simple 5 years, and the appliances and machinery are depreciated for 5 years. ⑥ Labor service fees. Refers to the total cost of broiler production and management labor, including entering the chicks, temperature, water supply, feeding, vaccination, observation of chickens, picking chickens, cages, cleaning, disinfection, transportation, shopping, etc. ⑦ Taxes. Mainly the taxes payable on the land, buildings, equipment, production, and sales used for broiler production. It is also calculated on each chicken or per kilogram of body weight. ⑧ Miscellaneous expenses. All expenses other than the above-mentioned direct and indirect expenses are classified as miscellaneous expenses, including insurance expenses, reserve funds, communication expenses, transportation expenses, transportation expenses, etc.

1 Chicken cost

The cost per kilogram of chicken = (feed meat ratio × average feed price) + chicken cost + [(medicine vaccine cost + staff salary + water, electricity and coal costs + depreciation fee + other expenses) ÷ number of slaughter ÷ slaughter weight (kg)] . Chicken fry cost = chicken fry price ÷ 1.02 ÷ survival rate ÷ slaughter weight (kg), where 1.02 is the number of chicken fry loss. In practice, most farmers count depreciation and personnel wages as profits instead of costs. For example, the cost of the medicine vaccine for the chicks is about 300 yuan per 1,000 households in the house, that is, the cost of the medicine vaccine per kilogram of chickens is about 0.17 yuan. Farmers use coal stoves for heat preservation, and the cost of water and electricity is about RMB 0.1. Other expenses such as litter and consumables are offset by income from chicken manure and feed bags. Therefore, when calculating the cost of hairy chickens for farmers, it can be simplified as: 1kg hairy chicken fry cost = feed meat ratio × average feed price + chicken fry price ÷ 1.74 + 0.27. Among them, 1.74 is the product of 95% survival rate, 1.8 kg slaughter weight, and 1.02 miao chicken loss. Therefore, the main indicators that affect the cost of hairy chickens are feed-to-meat ratio, average feed price and chicken price.

2 Feed to meat ratio

Feed to meat ratio, also known as feed conversion rate, refers to the ratio of feed consumed by broilers to the slaughter weight (www.nczfj.com). The feed-to-meat ratio is closely related to the quality of the feed. A poor feed has a high feed-to-meat ratio, while a good feed has a low feed-to-meat ratio. The feed-to-meat ratio is also affected by the season and feeding management conditions. The feed-to-meat ratio is low in spring and autumn, and high in winter and summer. The feed-to-meat ratio is lower for those with good feeding and management conditions, and higher for those with poor feeding and management conditions. Broiler breeds also have a great influence on feed-to-meat ratio. Broilers with fast growth rate and strong disease resistance have low feed-to-meat ratio, and chickens with slow growth rate and weak disease resistance have high feed-to-meat ratio. Assuming that the average feed price is 1.60 yuan/kg, the price of chicks is 2.70 yuan/each, the cost price per kilogram of chicken = feed meat ratio × 1.60 + 2.70 ÷ 1.74 + 0.27 = feed meat ratio × 1.60 + 1.82.

3 Average material price

The average feed price refers to the ratio of the cost of all feed used by broilers to the quantity of feed. If the feed-to-meat ratio under the general feeding condition of a certain feed is 2.0, the price of miao chicken is 2.70 yuan/each, and the cost price of hairy chicken = 2.0×feed price+1.82. When choosing feed, many breeders must consider whether the feed cost is the lowest, but also the growth rate. If the growth rate is slow, other costs will also increase relatively. Therefore, before using a new brand of feed, it is best to know the feed-to-weight ratio that the feed can achieve, or do a feeding experiment.

4 Chicken price

If the average feed price is 1.60 yuan/kg and the feed-to-meat ratio is 2.0, the cost price of chickens = chicken price ÷ 1.74 + 2.0 × 1.60 + 0.27 = chicken price ÷ 1.74 + 3.47. If the broiler feeding period is extended to increase weight, the cost of feed and the cost of young chickens will also increase. The higher the feed-to-meat ratio, the cost of the young chicken will decrease as the body weight increases.

5 Conclusion

To sum up, if the broiler weighs 1.8 kg, the survival rate is 95%, the feed-to-meat ratio is 2.0, the average feed price is 1.60 yuan/kg, and the chicken fry price is 2.70 yuan/bird, then the guaranteed cost of this batch of chickens should be per kilogram of hair. Chicken around 5.02 yuan. If other conditions remain unchanged, the cost will change by 0.08 yuan every time the feed-to-meat ratio changes by 0.05. Every time the material price changes by 0.05 yuan/dry gram, the cost price will change by 0.10 yuan. Every time the price of chicks changes by 0.50 yuan per bird, the cost will change by 0.29 yuan.