Economic production of broiler industry in Malaysia

Ahmad Daud R.; Nurul Aini M. Y.; Shamizah O. H.; Nurshuhada S.; Mohd Hishammfariz M. A.

Economic production of broiler industry in Malaysia

2021

Ahmad Daud R. | Nurul Aini M. Y. | Shamizah O. H. | Nurshuhada S. | Mohd Hishammfariz M. A.

The poultry industry is the most advanced and independent among livestock industry in Malaysia with over 100 percent self-sufficient level (SSL) since 2004. The Ministry of Agriculture and Food Industry (MAFI) has launched National Agrofood Policy 2021-2030 (DAN 2.0) in October 2021. One of the objectives is to increase the poultry’s SSL to 140.2 % by 2030, an increase from 104.10 % in 2020. The objective of this study was to analyze the production cost of selected commercial broiler farms in Malaysia. The scope of the study was to evaluate the economic assessment of broiler production in order to understand the industry widely and also to identify which segments along the production line need to be improved and at the same time to ensure that this industry remains competitive and productive. Production cost data were obtained from selected commercial broilers via questionnaire forms. The result showed that the average broiler production cost is RM4.40/kg. Small farms have higher total average cost per kg, which is RM4.70, followed by commercial scale farms at RM4.43 and medium-scale farms at RM4.29, respectively. Feed cost contributes 66 % of the total production cost of whole expenditure followed by day-old chick’s cost, 19 %. The average profit estimation is RM0.65/kg based on RM5.05/kg for the ex-farm price of live poultry.

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