Friend
becoming a successful poultry farmer, like any other farming venture, is not
easy – but this is not to say that it cannot be done. Some small-scale farmers,
like you, are making a success of it so why not you? Here is some quick advice
before you join this industry.
Join other poultry farmers
Am
sounding like a socialist now... But while many small-scale poultry farmers have
to grow and sell their fully-grown chickens one batch at a time, this is not good
business. Farmers living in the same area, growing 500 chicks at the same time
and then fighting for market share is simply not ideal for the survival of all
the operations.
But,
if you band together as one business unit. Then you can be able to co-ordinate
and build up production volume so that you will be able to meet the demands of
the market with a steady supply of chickens a week. Transport and abattoir
clusters can also be formed as well as to address such as access to feed and
vaccines.
Secure a market first
Too
often, farmers are producing chickens and eggs and then trying to find a market
for their goods – that is the wrong way of running a business. In business, if
you do not have ready customers for the product, you don’t have a business.
First
ask your neighbours and local shops where they source eggs and chickens from.
Find out what they pay, what quantity they buy, and whether or not they’re
happy with their current supplier.
Location, location and location
Scout
for a suitable area to farm. If there are too many poultry farmers in an area already,
the price of poultry products drops. But if there’s a shortage in the area, the
price goes up. So find an area where there’s a broad range of farming activities
on the go.
Being
located away from other poultry farms can also help you prevent the spread of poultry
diseases into your chickens. Make sure your site has clean water, electricity,
good roads, a moderate climate and close proximity to markets.
Start small
Don’t
be tempted to go big from the start. Find a small gap in the market and go
through the process of learning and expanding. And don’t expect overnight
success. While large farms benefit from
economies of scale, a small farmer can make more money per unit because they
often sell directly to customers.
It’s
small volumes, but often the margins will be higher. Marketing is an active
process. Go and look for customers. Don’t wait for them to find you.
Manage your money
Once
you start making some money, manage it well. Always have cash in the bank and
do not blow it. Just take a small salary and have enough cash to fund the next cycle.
In this way, your business will grow, you will employ people to help, and your
salary can increase.
The first
aim for a new business is not be flaunt cash around – it’s to survive first
then to make profit.
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