1 AIT Asian Institute of Technology

Analysis of factors affecting profitability in the yellow-feathered broiler farming industry : a case study of Guangxi, China

AuthorXingtong, Lu
Call NumberAIT Thesis no.AB-24-06
Subject(s)Broilers (Chickens)--China

NoteA Thesis submitted in partial fulfillment of the requirements for the degree of Master of Agribusiness Management in Agribusiness Management
PublisherAsian Institute of Technology
Series StatementThesis ; no. AB-24-06
AbstractGlobal demand for chicken products continues to rise, and enhancing production efficiency and profitability in broiler farming is critical for assuring food supply, farmer income, and long-term industry development. Although the existing literature has extensively examined the factors impacting broiler production efficiency and profitability, empirical research concentrating on underdeveloped nations or local specialty breeds is limited. The purpose of this study is to determine the important determinants influencing the production efficiency and profitability of yellow-feathered broilers in Guangxi, China, to serve as a reference for emerging countries' local specialty poultry industries. The study collected thorough input-output data from 115 yellow-feathered broiler farms in Guangxi using questionnaire surveys and field interviews. Data Envelopment Analysis (DEA) was used to assess the technical efficiency of farms of varying sizes and production strategies. Tobit regression and multiple linear regression were used to investigate the elements that affect efficiency and profitability. The results show that the "company + farmer" production model (coefficient 0.05), lower chick costs (coefficient -0.02), lower disease prevention costs (coefficient -0.05), higher feed prices (coefficient -0.28), and higher broiler selling prices (coefficient 0.04) are the most important factors in increasing farming efficiency. Meanwhile, regional advantages (coefficient 1226419.69), technological efficiency development (coefficient 3315709.22), the "company + farmer" model (coefficient 583782.9), and scientific disease control (coefficient -661730.58) are the primary drivers of farm profitability. The study also concludes that economies of scale are insignificant and that just raising the scale will not improve farming efficiency or profitability. Based on these findings, the study recommends strongly pushing the "company + farmer" production model, bolstering scientific and technological innovation and extension, enhancing the industrial chain, and focusing on boosting output per unit. These ideas provide valuable information for governments to develop precise support measures. Future studies might improve labor cost accounting models, expand risk prevention and control mechanism research, and delve futher into the balance between financial advantages and social welfare to boost the broiler industry's long-term development.
Year2024
Corresponding Series Added EntryAsian Institute of Technology. Thesis ; no. AB-24-06
TypeThesis
SchoolSchool of Environment, Resources, and Development
DepartmentDepartment of Food, Agriculture and Natural Resources (Former title: Department of Food Agriculture, and BioResources (DFAB))
Academic Program/FoSAgribusiness Management (AB)
Chairperson(s)Zulfiqar, Farhad;Yaseen, Muhammad (Co-Chairperson);
Examination Committee(s)Tsusaka, Takuji W.;Himanshu, Sushil Kumar;
Scholarship Donor(s)China Scholarship Council (CSC);
DegreeThesis (M. Am.) - Asian Institute of Technology, 2024


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