Profitability Analysis of Poultry Farming in Bangladesh: A Case Study on Sadar Upozilla in Dinajpur District

Abstract

Poultry farms, mainly chicken farms producing meat or eggs, can be highly specialized operations. To maximize profits and plan future enterprise activities, a feasibility analysis prior to investment and proper management during the operation are required. Proper management ensures efficient production and good quality products (meat or eggs). This is accomplished by controlling diseases, maintaining feed efficiency, proper handling of wastes, and proper sanitizing of the poultry house. Due to short turnover rates of poultry flocks and strong market demand, the poultry business could potentially be a profitable enterprise. This study details a profitability analysis on a flock of broilers raised for the purpose of meat production. A farm and its facilities were rented to grow and finish the flock for market delivery .This study aimed to determine the cost, return, and profitability of broiler production in some selected areas of Sadar Upozilla in Dinajpur District, Bangladesh. It was mainly based on primary data which were collected through well-structured questionnaire from the respondents of poultry production during the month of September, 2016. Selected samples consisted of 30 poultry farm owners selected by using purposive sampling technique. In the selected area maximum people are related with agriculture. The findings revealed that poultry production was a profitable enterprise. The people of this area said that, poultry farming and vegetables cultivation are profitable farm activity in a short run. This study also identified some problems in the production of poultry in the study area. Finally, based on the findings of the study, some recommendations were made for the development of poultry production in Bangladesh. Market prices of chicks, meat, and feed vary and these variations can affect enterprise profitability. When the price per kg of meat goes down, feed costs tend to decrease (compensating for the low meat price). When the price per chick increases, the price per kg of meat also tends to increase, thus compensating for the increased cost per chick. Since price variations are critical factors in determining future profitability.