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ECONOMICS OF LAYER FARMING
  1000 layers in deep litter system
A FIXED CAPITAL
a  BUILDINGS
   Brooder cum grower house for 1000 birds @ 1.5 sq feet per bird and rs 200/sqfeet      300000
   Layer house for 1000 @ 2 sq ft * Rs 200/sq feet                                       400000
   Office cum feed store room of 400 sq feet @Rs 300/ sqfeet                             120000
   Total                                                                                820000
b Equipments
 1 Cost of equipments like brooders, feeders, waterers@Rs40/ bird                         42000
 2 Cost of electric installation                                                           5000
   Total                                                                                  47000
   TOTAL FIXED COST                                                                     867000

B OVERHEAD COST
a   Depreciation on buildings @ 10%                                                       82000
b   Depreciation onequipments @ 20%                                                        9400
    TOTAL OVERHEAD COSTS                                                                 91400

C RECURRING EXPENDITURE /WORKING CAPITAL

a                                                                                         17600
    Cost of 1100 day old chicks @ Rs 16/ bird
b   Cost of feed for 1100 chicks @1.5kg/ bird @ rs 16/kg     chick mash                   26400
c   Cost of feed for 1050 chicks @6kg/ bird @ rs 14/kg       grower ration                88200
d   Cost of one labour for 5 months @ 2000/ month                                         10000
e   Cost of medicine, litter, transportation & electricity    4/ bird                      4200
    COST OF REARING PULLETS TILL POINT OF LAY (20 weeks)                                128800

D COST OF EGG PRODUCTION (20-72 weeks)
a Cost of feed for 1000 birds @40kg/ bird @ Rs 15/kg                                     600000
  Cost of one labour for 12 months @ 2000/ month                                          24000
  Cost of medicine, litter, transportation & electricity 2/ bird                           2000
  COST OF EGG PRODUCTION                                                                626000
  TOTAL EXPENDITURE                                                                     846200

E   INCOME
a   Sale of eggs @290/ bird @ Rs 2.5/ egg              1% breakage , 99 % marketing      717750
b   sale of gunny bags @ Rs 5/kg                                950 bags                   4800
c   Sale of poultry manure @ Rs 500/ tonne                                                24000
d   Sale of culled birds @Rs 80 / bird                          (12% mortality)           70400
    Gross return/ year                                                                  816950
    Gross profit                           (Income- recurrent expenses)                  62150
    Net profit                         ( gross profit- operational fixed cost)          -29250
    Profit / year                                                                        10750
    Profit per bird                                                                      -29.25
    Cost of production of 1 egg                                                  2.58
    Cost of production of 1 ready to lay pullet                                118.17
1050
Birds                                        1100
Birds                                        1000 space           1.5

cost of 1 chick                                 16 cost 1         200
feed/ bird                                    47.5 space             2
cost of 1 kg feed                               17 cost 2         200
Cost of electricity, litter & medicines          4 space          400
Labour                                           6 cost           300
labour cost                                  2000 equipment         40
cycles                                           7 chick mash       16
no of birds                                  1000 chick mash       1.5
wt of bird                                       2 grower mash      14
cost of chicken (live)                          60 grower mash       6
                                                   layer            15
gunny bags =                                  950 feed              40
cost of g bag                                    5
manure                                       332.5
cost of manure                                500
eggs no                                       290
cost of egg                                    2.5


                                     1100      1.5         1650
                                     1050        6         6300
                                     1000       40        40000
                                                          47950

                                               48
                                               48
                                     1575
                                     6300
                                     7875   3937.5
                                             157.5
ECONOMICS OF LAYER FARMING
  10000 layers in deep litter system
A FIXED CAPITAL
a  BUILDINGS
   Brooder cum grower house for 10000 birds @ 1.5 sq feet per bird and rs 200/sqfeet      3000000
                               Layer house for 10000 @ 2 sq ft                            4000000
   Office cum feed store room of 400 sq feet @Rs 300/ sqfeet                               120000
   Total                                                                                 7120000
b Equipments
 1 Cost of equipments like brooders, feeders, waterers@Rs20/ bird                          200000
 2 Cost of electric installation                                                            10000
   Total                                                                                   210000
   TOTAL FIXED COST                                                                      7330000

B OVERHEAD COST
a   Depreciation on buildings @ 10%                                                        712000
b   Depreciation onequipments @ 20%                                                         42000
    TOTAL OVERHEAD COSTS                                                                  754000

C RECURRING EXPENDITURE /WORKING CAPITAL

a                                                                                          176000
    Cost of 11000 day old chicks @ Rs 16/ bird
b   Cost of feed for 11000 chicks @1.5kg/ bird @ rs 16/kg     chick mash                   255750
c   Cost of feed for 10500 chicks @6kg/ bird @ rs 14/kg       grower ration                882000
d   Cost of 2 labours for 5 months @ 2000/ month                                            20000
e   Cost of medicine, litter, transportation & electricity     2 / bird                     22000
    COST OF REARING PULLETS TILL POINT OF LAY (20 weeks)                                 1355750
D COST OF EGG PRODUCTION (20-72 weeks)
a Cost of feed for 10000 birds @40kg/ bird @ Rs 14/kg                                     6000000
  Cost of 2 labourers for 12 months @ 2000/ month                                           48000
  Cost of medicine, litter, transportation & electricity 1/ bird                            10000
  COST OF EGG PRODUCTION                                                                  6058000
  TOTAL COST OF EGG PRODUCTION                                                           8167750

E   INCOME
a   Sale of eggs @290/ bird @ Rs 2.5/ egg              1% breakage , 99 % marketing       7177500
b   sale of gunny bags @ Rs 5/kg                                 9500 bags                  49950
c   Sale of poultry manure @ Rs 500/ tonne                                         500     250000
d   Sale of culled birds @Rs 80 / bird                           (12% mortality)           704000
    Gross return/ year                                                                   8181450
    Gross profit                           (Income- recurrent expenses)                   767700
    Net profit                         ( gross profit- operational fixed cost)             13700
    Profit / year                                                                          13700
    Profit per bird                                                                          1.37
    Cost of production of 1 egg                                                   2.47
    Cost of production of 1 ready to lay pullet                                 124.58
10500
Birds                                       11000
Birds                                       10000 space                 1.5

cost of 1 chick                                 16 cost 1               200
feed/ bird                                       4 space                   2
cost of 1 kg feed                               16 cost 2               200
Cost of electricity, litter & medicines          4 space                400
Labour                                           2 cost                 300
labour cost                                  2000 equipment               20
cycles                                           7 chick mash          15.5
no of birds                                 10000 chick mash             1.5
wt of bird                                       2 grower mash            14
cost of chicken (live)                          60 grower mash             6
                                                   layer                  15
gunny bags =                                  950 feed                    40
cost of g bag                                    5                    2000
manure                                          28                        12
cost of manure                                500
eggs no                                       290
cost of egg                                    2.5



                                   11000      1.5          16500
                                   10500        6          63000
                                   10500       40         420000
                                                          499500
                                            49.95          10000    499500
                                            49.95                     499.5
                                     1575
                                     6300
                                     7875
                                                             79.5      500     39750
                                                            7950


                                   135.58

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Economics Of Layer Farming

  • 1. ECONOMICS OF LAYER FARMING 1000 layers in deep litter system A FIXED CAPITAL a BUILDINGS Brooder cum grower house for 1000 birds @ 1.5 sq feet per bird and rs 200/sqfeet 300000 Layer house for 1000 @ 2 sq ft * Rs 200/sq feet 400000 Office cum feed store room of 400 sq feet @Rs 300/ sqfeet 120000 Total 820000 b Equipments 1 Cost of equipments like brooders, feeders, waterers@Rs40/ bird 42000 2 Cost of electric installation 5000 Total 47000 TOTAL FIXED COST 867000 B OVERHEAD COST a Depreciation on buildings @ 10% 82000 b Depreciation onequipments @ 20% 9400 TOTAL OVERHEAD COSTS 91400 C RECURRING EXPENDITURE /WORKING CAPITAL a 17600 Cost of 1100 day old chicks @ Rs 16/ bird b Cost of feed for 1100 chicks @1.5kg/ bird @ rs 16/kg chick mash 26400 c Cost of feed for 1050 chicks @6kg/ bird @ rs 14/kg grower ration 88200 d Cost of one labour for 5 months @ 2000/ month 10000 e Cost of medicine, litter, transportation & electricity 4/ bird 4200 COST OF REARING PULLETS TILL POINT OF LAY (20 weeks) 128800 D COST OF EGG PRODUCTION (20-72 weeks) a Cost of feed for 1000 birds @40kg/ bird @ Rs 15/kg 600000 Cost of one labour for 12 months @ 2000/ month 24000 Cost of medicine, litter, transportation & electricity 2/ bird 2000 COST OF EGG PRODUCTION 626000 TOTAL EXPENDITURE 846200 E INCOME a Sale of eggs @290/ bird @ Rs 2.5/ egg 1% breakage , 99 % marketing 717750 b sale of gunny bags @ Rs 5/kg 950 bags 4800 c Sale of poultry manure @ Rs 500/ tonne 24000 d Sale of culled birds @Rs 80 / bird (12% mortality) 70400 Gross return/ year 816950 Gross profit (Income- recurrent expenses) 62150 Net profit ( gross profit- operational fixed cost) -29250 Profit / year 10750 Profit per bird -29.25 Cost of production of 1 egg 2.58 Cost of production of 1 ready to lay pullet 118.17
  • 2. 1050 Birds 1100 Birds 1000 space 1.5 cost of 1 chick 16 cost 1 200 feed/ bird 47.5 space 2 cost of 1 kg feed 17 cost 2 200 Cost of electricity, litter & medicines 4 space 400 Labour 6 cost 300 labour cost 2000 equipment 40 cycles 7 chick mash 16 no of birds 1000 chick mash 1.5 wt of bird 2 grower mash 14 cost of chicken (live) 60 grower mash 6 layer 15 gunny bags = 950 feed 40 cost of g bag 5 manure 332.5 cost of manure 500 eggs no 290 cost of egg 2.5 1100 1.5 1650 1050 6 6300 1000 40 40000 47950 48 48 1575 6300 7875 3937.5 157.5
  • 3. ECONOMICS OF LAYER FARMING 10000 layers in deep litter system A FIXED CAPITAL a BUILDINGS Brooder cum grower house for 10000 birds @ 1.5 sq feet per bird and rs 200/sqfeet 3000000 Layer house for 10000 @ 2 sq ft 4000000 Office cum feed store room of 400 sq feet @Rs 300/ sqfeet 120000 Total 7120000 b Equipments 1 Cost of equipments like brooders, feeders, waterers@Rs20/ bird 200000 2 Cost of electric installation 10000 Total 210000 TOTAL FIXED COST 7330000 B OVERHEAD COST a Depreciation on buildings @ 10% 712000 b Depreciation onequipments @ 20% 42000 TOTAL OVERHEAD COSTS 754000 C RECURRING EXPENDITURE /WORKING CAPITAL a 176000 Cost of 11000 day old chicks @ Rs 16/ bird b Cost of feed for 11000 chicks @1.5kg/ bird @ rs 16/kg chick mash 255750 c Cost of feed for 10500 chicks @6kg/ bird @ rs 14/kg grower ration 882000 d Cost of 2 labours for 5 months @ 2000/ month 20000 e Cost of medicine, litter, transportation & electricity 2 / bird 22000 COST OF REARING PULLETS TILL POINT OF LAY (20 weeks) 1355750 D COST OF EGG PRODUCTION (20-72 weeks) a Cost of feed for 10000 birds @40kg/ bird @ Rs 14/kg 6000000 Cost of 2 labourers for 12 months @ 2000/ month 48000 Cost of medicine, litter, transportation & electricity 1/ bird 10000 COST OF EGG PRODUCTION 6058000 TOTAL COST OF EGG PRODUCTION 8167750 E INCOME a Sale of eggs @290/ bird @ Rs 2.5/ egg 1% breakage , 99 % marketing 7177500 b sale of gunny bags @ Rs 5/kg 9500 bags 49950 c Sale of poultry manure @ Rs 500/ tonne 500 250000 d Sale of culled birds @Rs 80 / bird (12% mortality) 704000 Gross return/ year 8181450 Gross profit (Income- recurrent expenses) 767700 Net profit ( gross profit- operational fixed cost) 13700 Profit / year 13700 Profit per bird 1.37 Cost of production of 1 egg 2.47 Cost of production of 1 ready to lay pullet 124.58
  • 4. 10500 Birds 11000 Birds 10000 space 1.5 cost of 1 chick 16 cost 1 200 feed/ bird 4 space 2 cost of 1 kg feed 16 cost 2 200 Cost of electricity, litter & medicines 4 space 400 Labour 2 cost 300 labour cost 2000 equipment 20 cycles 7 chick mash 15.5 no of birds 10000 chick mash 1.5 wt of bird 2 grower mash 14 cost of chicken (live) 60 grower mash 6 layer 15 gunny bags = 950 feed 40 cost of g bag 5 2000 manure 28 12 cost of manure 500 eggs no 290 cost of egg 2.5 11000 1.5 16500 10500 6 63000 10500 40 420000 499500 49.95 10000 499500 49.95 499.5 1575 6300 7875 79.5 500 39750 7950 135.58