3.1. Evaluation indicators

The Intensive Poultry Farming Industry in the Sahelian Zone (CDI, 1996, 56 p.)

3. QUESTIONNAIRE

		3.1. Evaluation indicators
		3.2. Market information
		3.3. Assessing raw material requirements
		3.4. Investment required
		3.5. Assessing the competition
		3.6. Integration in the poultry farming industry

3.1. Evaluation indicators

On reading this guide, it is clear that poultry farming requires varying degrees of technical expertise. Managing broiler type breeding stock is a much more delicate matter than managing a flock of laying hens, which is itself more difficult to handle than a broiler unit.

Every activity in the poultry farming industry has its own specific technical features which the manager must be on top of and appropriately qualified staff are essential.

For guidance, some indicators for the summary evaluation of projects are given below.

Poultry farms

PRODUCTION	CYCLE	TURNROUND	MANAGEMENT	QUANTITY OF FEED
Broilers	7 weeks	Quick	Easy	4 kg/bird
Pullets	18 0 weeks	Slow	Delicate	8 kg/bird
Layers of eggs for consumption	52 weeks	Quick	Delicate	40 5 kg/bird
Layer breeding stock	72 weeks	Slow	Very Delicate	50 kg/bird

Operating costs and parameters according to capacity in the industry

Unit	Capacity	Approximate initial cost in FCFA	Electricity Kw/hour	Water Litre/hour
Feed factory	1 tons/hour	30,000,000	27
Hatchery	8 400 eggs/weeks	24,000,000	2.5	75
Abattoir	50 0 chickens/h	2,000,000	5	450
	300 00 chickens/h	20,000,000	30	500
	500 00 chickens/h	43,000,000	50	700
Egg trays	360 trays/hour	40,000,000	12	55
Poultry houses		10 a 20,000 FCFA/M² (local construction)

With the aid of the above indicators and answers to the questions posed in the following pages, promoters of poultry farming projects or an activity in the industry will be able to assess the economic viability of their plans.

3.2. Market information

Whether the project deals with hatching eggs, day-old chicks, eggs for consumption, broilers, replacement stock for egg production, slaughter of chickens or manufacture of compound feed, it is essential to collect a certain amount of information to assess its relevance. This may be obtained partly from official bodies, but direct interviews of operators at various stages of the production process importers, distributors or even consumers can be excellent sources of information.

Quantitative aspects (per product)

LOCAL PRODUCTION	NO
	YES
OVERALL PRODUCTION INCLUDING MAIN PRODUCERS:		QUANTITY/YEAR (1) ..................................
..................................	..................................	QUANTITY/YEAR
..................................	..................................	..................................
..................................	..................................	..................................
..................................	..................................	..................................
	TOTAL/YEAR (2)	..................................
	Market share (%):	100x(2)/(1) ...............................................

IMPORT	NO
	YES
OVERALL PRODUCTION INCLUDING MAIN PRODUCERS:		QUANTITY/YEAR (3) ...................................
		QUANTITY/YEAR
..................................		..................................
..................................		..................................
..................................		..................................
..................................		..................................
	TOTAL/YEAR (4)	..................................
	Market share (%):	100 x(4)/(3)...............................................

Qualitative aspects

Discussions will be held with distributors and consumers to find out their requirements in terms of product characteristics (pigmented flesh yes/no, yellow feet yes/no, white or brown egg shells. Live, drawn or eviscerated chicken, fresh or frozen, pre-packed or not, etc.).

Economic aspects

Economic aspects should not be overlooked. It is useful to get an idea of some of the costs and prices current in the industry.

COSTS		PRODUCTION
		TRANSPORT	..................................
		DISTRIBUTION	..................................
PRICE	paid to the	PRODUCER	..................................
	paid to the	IMPORTER	..................................
	paid by	WHOLESALER	..................................
	paid by	RETAILER	..................................
	paid by	CONSUMER	..................................

BEFORE LAUNCHING INTO A POULTRY FARMING PROJECT IT IS IMPERATIVE TO CHECK ON THE

· OUTLETS OFFERED BY THE MARKET AS WELL AS ITS SOLVENCY
· HENCE THE NEED FOR CAREFUL DESIGNING

3.3. Assessing raw material requirements

This means assessing the quantity, sources of supply (local or imported) and costs of raw materials, energy, water and labour without forgetting fiscal obligations.

Raw material	Quantity/year	Unit price	Total
Purchase hatching eggs	..................................	..................................	..................................
Purchase chicks	..................................	..................................	..................................
Purchase pullets	..................................	..................................	..................................
Purchase feed	..................................	..................................	..................................
Production factors	..................................	..................................	..................................
Prophylaxis	..................................	..................................	..................................
Energy	..................................	..................................	..................................
Water	..................................	..................................	..................................
Staff training	..................................	..................................	..................................
Skilled labour	..................................	..................................	..................................
Unskilled labour	..................................	..................................	..................................
Fiscal obligations	..................................	..................................	..................................
Total			..................................

3.4. Investment required

	Payable in local currency	To be funded in foreign currency	TOTAL
Land and buildings	..................................	..................................	..................................
Machines and equipment	..................................	..................................	..................................
Other	..................................	..................................	..................................
Working capital	..................................	..................................	..................................
TOTAL	..................................	..................................	..................................

1. EQUITY:	..................................
2. BORROWED FUNDS:	..................................
3. TOTAL:	..................................

3.5. Assessing the competition

It is desirable to know who one's direct competitors are in the zone or region in which one wishes to operate. Maintaining relationships with competitors is an asset which makes it possible to discover their strengths and weaknesses. It is a way of getting to know the tricks of the trade, its advantages and drawbacks, difficulties and obstacles to its development.

Such information will help you to place yourself in relation to your competitors and see how you can provide that something extra they do not have.

3.6. Integration in the poultry farming industry

It can be useful and profitable to consider integration in the industry through agreements to cooperate with other operators, in order to guarantee outlets for your products and provide you with regularity in your various supplies and a degree of price stability.