ON average, the production cost of broiler chickens in Malaysia was recorded at RM6.53 per kg, while for eggs, the average production cost was recorded at 48 sen per piece in September this year, according to the Department of Statistics Malaysia. 

Chief Statistician Dr Mohd Uzir Mahidin said, assuming a 5%, 10% and 20% profit, the farm price of chicken per kg could be in the range of RM6.86 to RM7.84. 

“The profit margin of chicken per kg at the wholesale level was recorded at RM1.30, while the profit margin of chicken per kg at the retail level was at RM1.25,” he said in a media statement on the 2022 Chicken and Eggs Production Cost Special Research Report, today. 

For eggs, Mohd Uzir said, assuming a 5%, 10% and 20% profit, the farm price of eggs could be in the range of 50 sen to 58 sen per egg. 

“The profit margin per egg at the wholesale and retail levels were recorded at RM0.04 and RM0.02, respectively,” he said.  

Mohd Uzir said that among the biggest components in the production cost of broiler chicken were poultry feed (65.1%) and the purchasing cost of day-old chicks (16%). 

“The cost of poultry feed also differs according to the types. For broiler chicken, the average cost of poultry feed for the Starter type was RM132.04 per 50 kg, while for the Grower and Finisher types it was RM129.71 per 50 kg and RM126.96 per 50 kg, respectively. 

“Starter-type chicken feed is usually more expensive due to its higher nutrient content and suitability for chick growth,” he said. 

For layer chickens, the average cost of poultry feed for Starter type was RM131.57 per 50 kg, while for Grower and Finisher types it was RM117.08 per 50 kg and RM115.10 per 50 kg, respectively. 

“During the study, the purchasing cost of day-old chick (broiler) in Malaysia recorded an average of RM2.12 and RM3.32 for a day-old chick (layer). The price of chicks usually will change depending on the current market,” he said.  

Mohd Uzir said the composition of production costs for chicken eggs was 96.9% direct costs and 3.1% indirect costs, of which 76.2% was the cost of poultry feed and 15.8% was utility, salaries, and wages costs. 

“The purchasing cost of day-old chick comprised 2.2% from the overall production cost of eggs,” he said. 

He added that the report of the special study also provided analyses by state, farm capacity, and farmers, and could give a better picture of the production costs of chicken and eggs in Malaysia. – Bernama, December 30, 2022.