Only
Member
- Location
- Powys/Shropshire border
How much more expensive for 32000 shed
Diversifying in to free range egg production
- Thread starter Lloydsfreerange
- Start date
Daniel
Member
- Location
- Mildenhall, Suffolk
Get 3 phase, our single phase shed gives a fair bit of trouble with the motors, they're all cheap rubbish and the capacitors give out.
R J
Member
- Location
- Herefordshire
Definitely go 3 phase , much better in the long run
How much are set up cost per bird today?
Is 16000 still the most efficient multiple of size?
Is 16000 still the most efficient multiple of size?
Only
Member
- Location
- Powys/Shropshire border
Need 64000 as most efficent
R J
Member
- Location
- Herefordshire
64000 is not always the most efficient,
16000 or 32000 can be more efficient just depends how it fits in with the rest of your business
16000 or 32000 can be more efficient just depends how it fits in with the rest of your business
Daniel
Member
- Location
- Mildenhall, Suffolk
Fridays cut the price of mediums by 5p yesterday. Still sheds going through planning and being built.
Do you have a packer who has offered you an egg contract? I.e. have you got a guaranteed outlet for your eggs?
Do you have a packer who has offered you an egg contract? I.e. have you got a guaranteed outlet for your eggs?
No not yet.
Just in the research phase at the minute.
Would an automated 16000 be able to be done by 1 person?
And do if so what would the average daily working hours be?
Daniel
Member
- Location
- Mildenhall, Suffolk
Yes easily, about 4 or 5 hours a day.
I wouldn't spend too much time researching this stuff though until you know that someone will buy your eggs, what price they will pay, and what is the minimum size of shed they will collect from.
Until you can answer those questions you can't really look at equipment and sheds etc.
I wouldn't spend too much time researching this stuff though until you know that someone will buy your eggs, what price they will pay, and what is the minimum size of shed they will collect from.
Until you can answer those questions you can't really look at equipment and sheds etc.
dannewhouse
Member
- Location
- huddersfield
I had heard profit was a range of 6-11 per bird per year, with repayments labour etc nocked off, <did sound 2 good to be true.
£2 per bird per flock sounds realistic, that's £1.44 per year based on a 72 week flock.
so a 32,000 bird would leave £46,222 profit per year which doesn't sound bad but you are borrowing 1 mil!
£2 per bird per flock sounds realistic, that's £1.44 per year based on a 72 week flock.
so a 32,000 bird would leave £46,222 profit per year which doesn't sound bad but you are borrowing 1 mil!
Netherfield
Member
- Location
- West Yorkshire
I've 'heard' lots of things on lots of subjects, but prefer to believe someone with the experience of @Daniel , but I know for certain it's not a get rich quick scheme.
dannewhouse
Member
- Location
- huddersfield
to be fair chap I herd form has just put his money where his mouth is, 32k laying shed think 1st hens come march?
suppose he isn't speaking from experience mind.
That's a load of rubbish, John Nix is saying £6 a bird at least in his latest costings analysis
You never meet a poor egg farmer
sherg
Member
- Location
- shropshire
somewhere on here a couple of years ago someone put some costings up from Wynnstay and Lloyds I think, at the time one or 2 said it was optimistic but the figures were more like £2 a bird by the time you'd put finance and labour in
Daniel
Member
- Location
- Mildenhall, Suffolk
John Nix is rather behind the curve i'm afraid, there will be very few producers making a profit this year due to falling egg prices and rising feed costs. I'm not saying free range egg production hasn't been a good thing over the last few years, but as usual, too many have piled in and its going to take a good while to sort out.
At a meeting last night Tesco's head of poultry sales said he thought a further price cut was coming after Christmas.
He also had a lot to say about stakeholders in the industry working together, sustainability and many other buzzwords. Unfortunately lacking from his talk was any clear idea as to whether he thought 'producer profitability' was a worthwhile concept.
warksfarmer
Member
Looked into it this not to long ago and setup cost was £32/bird. The contract type arrangements suggest around a £2/bird profit after all costs. However when you look closely those costs are not thorough enough so I think it was closer to £1.25/bird being realistic but also cautious at the same time. However the contract people were making far to much out of supplying the feed in my view seeing that the core ingredient wheat we had on farm. They would buy the wheat off us at market price in return for supplying the chicken feed but I still think their margin was to much so I would be looking at milling on site and buying in the ingredients. Over the life of the sheds you would save thousands of pounds.
At the time the contract type agreement income was £700k of 32,000 birds per year.
I also think they were a bit optimistic on the number of eggs per year which I think @Daniel agreed with at the time we looked. In their costings they also did not allocate interest on the borrowed money for the setup costs which at the time we £12k per year to then knock off the profit which is about 50 pence per bird.
Their labour costs were not correct as they suggested £21k/year per staff member and there would be 2 full timers on a 32,000 unit. In reality if you can do this with existing staff, thats where it starts to look attractive because if you are already paying say 3 staff members £30k each including overtime then along with yourself the 4th, you could run a 32,000 bird unit within existing staff costs so you would straight away save £42k per year on the contract type agreement costs. You'd probably have to bolster it with some top up staff when your busy during harvest but never less thats a cost to play around with.
Lastly I don't think they allocated enough cost for shed clean down after every flock. They were advocating dry cleaning which was surprising but even so just assuming the existing staff can do that in the allotted time was wrong. Its clearly a contract cleaning company job where they come in and hit it quickly.
A husband of one of my customers family has been in free range/battery layers for many decades, he sells all his wheat and buys in feed as he says its much cheaper than milling their own, seems crazy but they are very clued up and sell all their eggs direct or to small retailers,perhaps that shows these companies selling feed to their farmers are screwing them, no surprise there then
- Location
- Scottish Highlands
dannewhouse
Member
- Location
- huddersfield
i think it will be cheaper to buy in if you buy and sell at the right times, peaks / troughs in the market