FINE

FABRICATORS
Addres:Canal Bank Pulli No 5, Behind Sagar House .
Nawab Pura, Lahore - Pakistan Tel No:0092-4236543428 Fax No: 0092-42-36557147 E.mail:
info@finefabicators .com , web
www.finefabricators.com

FEASIBILITY OF BROILER SHED FOR 30,000
BIRDS
PREPARED BY: ( MUHAMMAD FARHAN SAFDAR )
14/3/2014

INTRODUCTION TO FINE FABRICATORS 4. PURPOSE OF THE DOCUMENT 3. EXECUTIVE SUMMARY. 7. BROILER PRODUCTION PROCESS 11. PROJECT COST SUMMARY 12. 6.FINE FABRICATORS TABLE OF CONTENTS 1. BRIEF DESCRIPTION OF PROJECT & PRODUCT CRITICAL FACTORS INSTALLED & OPERATIONAL CAPACITIES 8. PROJECT COST FEASIBILITY 13. POTENTIAL TARGET MARKET 10. 5. DISCLAIMER 2. COST OF EACH FLOCK FEASIBILTY OF BROILER SHED FOR 30’000 BIRDS 1 . GEOGRAPHICAL POTENTIAL FOR INVESTMENT 9.

it is based upon certain assumptions which may differ from case to case.FINE FABRICATORS 2 1. The purpose of this document is to facilitate potential investors in broiler farm by providing them a general understanding of the business with the intention of supporting potential investors in crucial investment decisions. marketing. The need to come up with pre-feasibility reports for undocumented or minimally documented sectors attains greater imminence as the research that precedes such reports reveal certain thumb rules. which form basis of any Investment Decision. however. Although. 2. production. best practices developed by existing enterprises by trial and error. PURPOSE OF THE DOCUMENT The objective of the pre-feasibility study is primarily to facilitate potential entrepreneurs in project identification for investment. the contained information may vary due to any change in any of the concerned factors. Fine Fabricators. including taking professional advice from a qualified consultant / technical expert before taking any decision to act upon the information. the material included in this document is based on data / information gathered from various reliable sources. The information has been provided on 'as is where is' basis without any warranties or assertions as to the correctness or soundness thereof. The prospective user of this memorandum is encouraged to carry out additional diligence and gather any information which is necessary for making an informed decision. Apart from carefully studying the whole document one must consider critical aspects provided later on. its employees or agents do not assume any liability for any financial or other loss resulting from this memorandum in consequence of undertaking this activity. and certain industrial norms that become a guiding source regarding various aspects of business set-up and it's successful management.DISCLAIMER This information memorandum is to introduce the subject matter and provide a general idea and information on the subject. The project pre-feasibility may form the basis of an important investment decision and in order to serve this objective. FEASIBILTY OF BROILER SHED FOR 30’000 BIRDS . Although. start-up. due care and diligence has been taken to compile this document. the document/study covers various aspects of project concept development. and the actual results may differ substantially from the presented information. finance and business management. The contained information does not preclude any further professional advice.

purchased from reputed hatchery/ company are raised on specially formulated feed for a period of about six weeks. We being the pioneers in Pakistan’s poultry equipment’s as realized. looking for ways to cost effectiveness through products and processes. The purpose built farm is acquired on rental basis. We work as closely as possible with all our customers.FINE FABRICATORS 3 3. We challenge them to think beyond their current needs. EXECUTIVE SUMMARY Broiler meat is a rich source of protein with an ever growing demand. 15 million. the Day Old Chicks (DOCs) of specific broiler strain e. 4. manufacture and fabrication. and that’s why our projects consistently won industry awards and we generate repeat business its something we are proud of. The proposed business started in a new constructed shed requires total estimated investment of Rs.g. BRIEF DESCRIPTION OF PROJECT & PRODUCT In the proposed broiler farm. After brooding and rearing period. we are now looking forward global dream: to make Fine Fabricators as international manufacturer in poultry industry. the Day Old Chicks (DOCs) are raised on high protein and energy feed in a conventional open housing system for a period of six weeks (All in-All out system). Babcock. The farm gate price of live bird is determined on daily basis. Our creative approach is what makes us stand out of the crowd. A conventional broiler farm of 30. with a turnover of six flocks per year.000 birds is suggested in this pre-feasibility study as a viable economic size to enter this business. We at Fine Fabricators are operating in conformance with ISO9001:2008 (Quality Management System) specialized in detailed design. Success of broiler farm largely depends on good management practices. Both rural and semi-urban areas are suitable for this business. INTRODUCTION OF COMPANY Fine Fabricator established in 1989 is one of the largest and specialized poultry equipment manufacturing company in Pakistan. FEASIBILTY OF BROILER SHED FOR 30’000 BIRDS . In broiler farming. birds are sold at farm gate on 'Live Body Weight' basis to traders or transported to market. 5.

g.000 birds. In some cases. Annually. the birds are sold on live body weight basis to traders. Birds are transported to the urban market and are sold to retailers or marketFEASIBILTY OF BROILER SHED FOR 30’000 BIRDS . the middleman provides DOCs and other farm inputs (feed. medication etc. • Application of good poultry husbandry practices such as timely feeding. GEOGRAPHICAL POTENTIAL FOR INVESTMENT Rural and peri-urban areas around major cities are suitable for setting up a broiler farm. INSTALLED & OPERATIONAL CAPACITIES In this pre-feasibility study. Awareness of supply and demand of chicken in the market as the price of chicken meat fluctuates throughout the year. Generally. Proximity of the farm to the city enables the farmer to establish links with the market for buying farm inputs and selling of grown-up birds. • • 7.000 birds are reared per annum. wholesale markets or sold directly to the shopkeepers in the urban markets. POTENTIAL TARGET MARKET Marketing of chickens follow traditional channels of distribution. Lahore. vaccination. 9. grown-up birds are distributed in the market through market agents and intermediaries such as Arhti and wholesalers. six flocks of birds are raised on the farm. watering. As six flocks are produced per year. swiftly. medication. broiler farming can be a profitable venture. all the calculations have been based on a flock size of 30. Rawalpindi. Peshawar and Quetta are recommended for starting a broiler farm. Faisalabad. 8.FINE FABRICATORS 4 After six weeks.) to the broiler farmers under a contract to buy back mature birds from them. lighting. Efficient marketing of the project and bulk supply to wholesalers.urban and rural areas around big cities e. 6. Sub. CRITICAL FACTORS • Background knowledge and related experience of the entrepreneur in broiler farm operations. temperature / humidity control and culling of uneconomical birds to ensure flock's best performance and higher efficiency in disease-free environment. Karachi. hence total 180. depending on area climate. vaccination. Hyderabad. With ever increasing demand for white meat. Setting up a farm at an isolated place will minimize the risk of disease.

Peshawar and Quetta etc. Carbolic Acid and Formalin. Keep light at high intensity 20-22 hours per day for the first week. Major domestic markets include all major cities across the country including Karachi. The equipment and walls of the shed should be checked for cleanliness. Litter is spread on the floor to prevent direct contact of birds with the floor. The wholesale and retail price of poultry meat is determined daily on consumer's demand and supply situation. Lahore. Disinfectants can be prepared with Phenol. The house should be vacant and sealed for 30 minutes after the fumigation so that the gas infiltrates in every corner. A solution of Sodium Hydroxide/Caustic Soda with warm water can also be used to clean the house. produced by putting Formalin on Potassium Permanganate. Flushing should be done by offering 250 gm glucose per gallon of water as readily available source of energy and to clear the digestive tract. The integrated processing units distribute frozen and dressed chicken packed in whole or cut-ups to the consumer through retail shops under their brand names. quality cuts or other forms to the market. active and bright eyed. Using new litter for each flock is good for raising disease-free broiler birds. BROILER PRODUCTION PROCESS • • • • • • • • • The broiler farming must begin with a clean and sanitized shed. Few poultry meat processing plants process raw poultry meat into dressed chicken. having healed navel. The layout of open conventional shed should be north-south to ensure clean. The DOCs should arrive at the farm early in the morning so that the management has a full day to observe them for any issue. The skin of shanks should be shiny. disinfection and spraying before the arrival of DOCs. To sanitize the shed from germs and insects. The DOCs should be procured from well reputed hatcheries and should be of uniform size. it is fumigated with Formaldehyde gas. It should be dry and free of moulds. dry and well-ventilated shed as this provides fresh air and carries off humidity. Rice-husk and sawdust are generally used as litter. 10. Special attention should be given to temperature and relative humidity FEASIBILTY OF BROILER SHED FOR 30’000 BIRDS .FINE FABRICATORS 5 street poultry shops. Closely regulate temperature of shed. Extensively wet and dusty litter should also not be used. Potassium Permanganate. The entire building and all equipment should be properly disinfected and fumigated. Caked or moldy material should be removed and refilled with fresh materials.

20. The desired Feed Conversion Ratio (FCR) is 2.e. Follow the recommended vaccination schedule. also known as 'Artificial Mother' as it provides necessary heat to DOCs shortly after arrival till 7 days of age. hoppers and troughs. The brooder is essential part of broiler • farming. Send the dead birds to lab for postmortem examination if there is excessive mortality. ft of space which can be replaced by 15 watts bulb in the start of third week. Broilers are fed two types of ration i. light intensity should be 40-60 watts per 200 sq. Follow bio-security plans by not allowing visitors or attendants to enter sheds without disinfected boots and clothes. Mostly. 24 hours light is provided during brooding and early growing period. • Starter feed should be offered as a source of energy to chicks as it is easily digestible and a good source of energy.Hydro Vaccine Sub-cut injection 21-22 days Infectious Bursal Disease (IBD) IBD Vaccine (Gumboro) In drinking water 25-26 days IBD+ND IBD+ND Vaccines In drinking water FEASIBILTY OF BROILER SHED FOR 30’000 BIRDS . The temperature for brooders should be 99 F. • Feeding three or four times each day will stimulate feed intake and prevent wastage. • Keep feed free from aflatoxins.FINE FABRICATORS 6 maintenance in the shed. Vaccination can be provided to chicks through eye drops. • • • • Table 1: Vaccination Schedule for Broiler Birds Age in Days 1 day Disease Infectious Bronchitis Disease (IBD) Vaccination IB-Vaccine Procedure Aerial spray or eye drops 5 days Newcastle Disease (ND) ND-Vaccine (Lasota) Eye drops 8 days Infectious Bursal Disease (IBD) IBD Vaccine (Gumboro) Eye drops 17-18 days Hydro Pericardium Disease HPS. Initially. There are many feed mills that prepare these formulated feeds. Remove dead birds immediately and dispose them properly. for first fifteen days. drinking water and subcutaneous injections. encircled by chick guard/sheets. Place rodenticide out of the reach of DOCs. Remove all leftover feed from bins. Check regularly the availability of water and feed for chicks. broiler starter (mash or crumb form) fed up to four weeks of age and then broiler finisher (mash or crumb form) fed from fifth to sixth week.

806.00 4.U Cost 10 48 1 16 6 3 60 1 1 1 1 2 1 1 1 40000 1450 55000 5490 17063 27000 3100 1250000 100000 175000 380000 600000 350000 250000 100000 TOTAL TOTAL FEASIBILTY OF BROILER SHED FOR 30’000 BIRDS RS RS RS 9.000 BROILERS REARED IN ENVIRONMENTALLY CONTROLLED HOUSE Total Cost(Rs.000.00 250.818. TOTAL 3 EQUIPMENTS CONE FANS 54" AIR INLETS VENTILATION WINCH SYSTEM INSULATED WINDOWS INSULATED DOORS SMALL FAN 36" COOLING PADS CHINA FEEDING AND DRINKING SYSTEM PAK CONTROLLER SYSTEM ERECTION HEATER MUNTER DEISEL GENERATORS WEIGHING SCALE ELECTRIFICATION MISC.000.000.000.00 2.000.200. FINE FABRICATORS ( A RELIABLE NAME IN POULTRY INDUSTRY) 12. disinfection etc.00 Total Cost RS RS RS RS RS RS RS RS RS RS RS RS RS RS RS RS 2+3 400.000.00 1. It is assumed that land is available 2 BUILDING Cost of one Poultry house 45'x400'=18000 sq. Cost details are mentioned below.00 195.00 186.00 100.000.818.00 11.00 100.00 55. 1 LAND Land required for shed construction is 1. Generator Room.000.00 102.000.000.000.000.5 acre.).250.00 1.00 15.FINE FABRICATORS • 11.00 . Feed Store.000.ft.00 87.600.) CAPITAL INVESTMENT. medication. The New Castle Disease and Gumboro are extremely dangerous diseases that can eradicate the entire flock. Boundary Wall and official rooms.000.806.000 birds).00 350.000.00 380.378. 7 Mortality losses should be kept below 8% by timely prophylactic measures (vaccination. FEASIBILITY REPORT FOR 30.840.000.00 81.000. ITEMS No of units P.00 69.000. PROJECT COST SUMMARY A detailed financial model has been developed to analyze the commercial viability of broiler farm (30.

000 9 Miscellaneous charges (Rs.) at Feed Conversion Ratio (FCR) of Particulars # 1.000 150.FINE FABRICATORS 13.000 100.8 kg each @ Rs.8 3 4 5 Total feed consumption (No.000 8 Farm Rent (2 months) (Rs.9 2.127/kg live weight FEASIBILTY OF BROILER SHED FOR 30’000 BIRDS 8 .1 1 Cost of day-old chicks @ Rs.) 100.000 200.4 3.) 2040 2160 2280 4050000 4387500 4590000 4860000 5130000 240.000 200.) 200.000 240.000 200.000 240.000 200.000 100.7 1.) 200.000 240.000 5667500 5964650 6143480 6381920 6620360 RS 6652260 © @ 1950 Vaccination/Medication Rs.000 100.) Total:- cost 1800 RETURN Sale of 29100 birds weighing 1.8/bird Labour charges (Rs.000 200.000 200.)(Depends on market rate) 2 Feed consumption per bird (kg) 3 3.000 6 7 Electricity / POL charges (Rs.0 2.000 150.000 150. of bags) Cost of feed/bird Rs.45/kg (Rs.6 3.000 240. 40/chick 1200000 1200000 1200000 1200000 1200000 (Rs.25 3.000 150.000 200.8 1.000 100.000 150. COST PER FLOCK: (B): EXPENDITURE (Rearing expanses for one flock of 30000 broilers of 5-6 weeks) Sr Expenditure(Rs.000 200.