Effect of changes in live chicken prices and feeds on the optimal length of broiler chicken rearing in large-scale commodity production
2006
Gruzewska, A.
The results of 80 production cycles of broiler chickens, fattened on a large-scale farm situated near Siedlce in the years 2000-2004, were analysed in the research. The adjustment of the model and estimation of the function parameters: production, feed costs as well as average and marginal product was attempted. Two levels of live chicken prices and three levels of the prices of feed mixtures were taken into account. The intersection points of the average and marginal product were attempted. The intersection points of the average and marginal product functions made it possible to approximately calculate the moment in which further broiler fattening became non-profitable because of the feed costs. For both levels of live chicken prices and all the levels of the prices of mixtures the intersection points of the average and marginal product functions were determined. It was found that the decrease in live chicken prices as well as the prices of chicken feed mixtures accelerates the moment of the production becoming non-profitable
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