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EXPERIMENT  STATION  LIBRARY 


Bulletin  265 


May,   1932 


NEW  HAMPSHIRE  AGRICULTURAL 
EXPERIMENT  STATION 


ECONOMIC  STUDY  OF  NEW 
HAMPSHIRE  POULTRY  FARMS 


By  H.  C.  WOODWORTH  and  F.  D.  REED 


UNIVERSITY  OF  NEW  HAMPSHIRE 
DURHAM,  N.  H. 


TABLE  OF  CONTENTS 


Page 

THE  STUDY    -Introduction    

Farms   Selected-  Type  and    Size 

THE    FINANCIAL    SIDE-    Investment £ 

Depreciation   Charlies    * 

Receipts     ' 

Expenses     (l 

Monthly  Relationship  of  Receipts  and   Expenses •> 

Financial  Returns   

GENERAL  DESCRIPTION  OF  MANAGEMENT— Breeding  Stock 13 

Management  oi  Layers  and   Breeders 

Brooding  and   Rearing 

LABOR-    Division   of  Time '  5>  J  'J 

Comparison  of  Labor  on  Laying   Flocks 

Comparison  of   Labor  in   Rearing  Pullets    '  S 

Labor   Efficiency    " 

Hired    Labor    "° 

FEED  CONSUMPTION  OF  LAYERS— Pullet  Layers 21 

Old  Hens   JJ 

Weekly  Feed  Consumption  per  Dozen   Eggs ~» 

MORTALITY  AND  CULLING— Mortality 24 

Cullin. 


Rate  of  Decrease  in  Population  of  Laying  Flock 2b 

Per  Cent  of  Housing  Capacity  for  the  Year 2 . 

F< ;<i  PRODUCTION— Annual   Egg  Production 28 

Egg   Production   by   Weeks 29 

Seasonal    Production    on    Individual    Farms 30 

EGG  SIZE: — Egg  Size  Distribution  by  Agcbf  Pullets 33 

Distribution  of  Eggs  into  tirades  by  Age  of  Pullets 34 

Effect  of  Dates  of  Hatch  on  Distribution  of  Eggs  into  Grades 35 

Difference  in  Egg  Size  Between  Flocks 36 

THE  PROBLEM  OF  DATE  HATCH— Production  Curves  on  Three  Dates  of 

Hatch       36> :;r 

The  Effect  of  Date  of  Hatch  on  Value  of  Total  Yearly   Product 39 

Evening  Up   Production ''■' 

Efficiency  in   Use  of  Equipment 4" 

THE  COST  OF  PRODUCING  MARKET  EGGS— Eggs  a  Joinl   Product 40 

A    Form u  la    

Use  of  Formula  in  Out  look  Work 

Relal  Lve  <  omparison  of  Cost  of  Producing  Eggs 

\--<~rf\     COS!        4«j 

Labor  Cost    4I_> 

Depreciation   of  Stock 

Use   of    Buildings 

Old    Hens    for    Market     Eggs 47 

COST  OF   PRODUCING    HATCHING    EGGS     Producing   Hatching   Eggs  for 

Replacements     48,  49 

INCUBATION    RECORDS  AND  COSTS  -Cost   of   incubation 50 

Cost    of    Producing    Day-Old    Chicks :>1 

GROWING    PULLETS     Detail    Records  on    Cost    of   Growing    Pullets  on    L8 

Farms     52,  53 

I  Be  of  Formula   in  Outlook  Work ,! 

Detail  Cost   of  Producing   Pullets   (Heavy   Breeds) 55 

Detail  Cos1   of  Producing    Leghorn    Pullets 57 

Further    Studies    Needed :,; 

SUMM  \I  Y    :,s 


Economic  Study  of  New  Hampshire  Poultry  Farms* 

H.  C.  WOODWORTH  and  F.  D.  REED 


Commercial  poultry  raising;  has  been  expanding  in  southern  New 
Hampshire  for  a  decade  or  more.  In  this  period  many  small  dairy  farms 
have  gradually  been  converted  into  poultry  establishments,  and  the  in- 
dividual poultry  farm  has  tended  to  become  larger  in  size  as  measured 
by  hens  housed.  This  development  of  the  highly  specialized  commercial 
poultry  farm  has  been  stimulated  by  a  period  of  very  favorable  condi- 
tions. 

Tn  the  first  place,  the  New  England  egg  markets,  especially  during 
fall  and  winter,  have  taken  large  quantities  of  fresh  hennery  eggs  at  a 
considerable  premium  above  mid-west  eggs.  Also,  grain  prices  since  the 
war  have  been  low,  giving  the  poultryman  a  favorable  feed-egg  price 
ratio.  In  addition,  a  large  group  of  poultrymen  developed  special  poul- 
try skill  and  technique,  which  enabled  them  to  turn  the  low-priced 
grain  into  premium  eggs  with  a  margin  that  encouraged  the  expansion 
of  the  industry.  The  development  of  disease-free  flocks  and  the  produc- 
tion of  eggs  in  early  fall  and  winter  by  use  of  early  hatched  pullets 
have  been  of  no  small  significance. 

According  to  the  1930  census,  the  value  of  poultry  meat  and  eggs 
produced  in  New  Hampshire  for  the  preceding  year  was  $6,464,481, — 
practically  double  the  figure  in  1920.  While  the  industry  as  a  whole  has 
sailed  along  without  mishap  and  with  good  margins  for  a  considerable 
period,  it  was  believed  that  a  detailed  economic  study  was  needed  as  a 
guide  to  the  future. 

Consequently,  a  study  was  undertaken  in  the  fall  of  1929  to  secure 
details  of  management  and  costs  on  twenty-three  commercial  poultry 
farms.  For  a  period  of  one  year  beginning  with  August  and  September, 
1929,  weekly  or  bi-monthly  visits  were  made  to  each  farm  to  collect  and 
check  information,  and  to  observe  the  individual  management  prob- 
lems. The  co-operating  poultrymen  kept  financial  records  of  expenses 
and  receipts,  weekly  egg  production,  brooding  and  incubation  records. 


*  Acknowledgment  is  made  to  the  staff  of  the  Poultry  Department,  especially 
to  T.  B.  Charles,  for  assistance  in  the  study. 

Acknowledgment  is  also  due  to  the  following-  poultry  farm  operators  for  their 
patience  in  keeping  records  and  for  their  co-operation  in  studying  poultry 
problems  : 

George    Blodgett  Harold  French  Harry  Tufts 

Ernest  Campbell  Edward    Larrabee  J.  P.  Weston 

Henry   Colson  .   Arthur  Lucas  Earl  Whipple 

Harry  Curtis,  Jr.  Thomas  Mazza  P.  O.  Whitney 

Victor  Eliason  George  McDuffee  W.  T.  Whittle 

Lindley  Farr  Robert  Merrill  Herbert  Willard 

Orlo  Fiske  Ernest  Paige  Henry   Willgeroth 

Perley  Fitts  Mrs.   Albert  Peterson  Irving  Wilson 

Arthur  Poor 


N.  II.  A.gr.  Experiment  Station        [Bulletin  265 


The  field  man  was  able  to  secure  data  on  egg  size  by  weighing  samples 
of  100  eggs  at  weekly  visits.  Much  of  the  other  material  gathered  and 
analyzed  could  not  have  been  secured  without  these  frequent  visits. 

Farms  Selected 

Farms  were  selected  in  Rockingham,   Strafford  and   Hillsborough 

Counties  on  the  basis  of  type,  size,  the  convenience  with  which  the  farm 
fitted  into  a  route  and  the  willingness  of  the  individual  to  co-operate. 
Very  few  commercial  poultry  farms  in  Xew  Hampshire  are  diversiii  sd 
to  the  extent  of  combining  poultry  with  such  other  enterprises  as  apple 
orcharding  or  dairying;  ami  consequently,  the  diversified  type  could 
not  be  included  in  the  study.  Thus,  all  the  farms  selected  were  of  a 
highly  specialized  commercial  poultry  type.  Fifteen  had  some  diversi- 
fication within  the  poultry  business  itself  through  the  production  of 
hatching  eggs,  day-old  chicks  or  breeding  stock.  Eight  specialized  in 
market  eggs. 

The  numlx  r  of  birds  (Table  1)  housed  in  the  fall  of  1929  ranged  from 
513  to  3,09!)  with  an  average  of  1,290.  Eight  farms  had  less  than  1,000 
layers,  and  three  had  over  2.000.  The  average  number  of  layers  for  the 
year  (a  figure  obtained  by  dividing  total  hen  days  for  the  year  by  365) 
was  995. 

Table  1 — Size  of  flock  on   '-l  commercial  poultry  form  :  studied 


Farm  No. 

Total 
hen  days 
for  year 

Number 

average  birds 

for  year 

Maximum 
number 

of  birds 

1      

361,659 

991 
471 
654 

2.548 

1.040 
354 
697 
676 

1,519 
96? 

1,614 

2,105 
836 
495 
704 
458 
583 

1.1  17 
687 

1,107 
484 

1,3  56 

1,433 

• 

1.273 

2     

171.990 

610 

3     

238,820 

1,004 

4     

929.902 

3,099 

5     

379,630 

1,307 

(i     

129,329 

513 

7     

254. lis 

995 

8     

246,901 

761 

9     

554.328 

1 ,936 

10     

:;52.s;;:2 

1,341 

11                      

589.257 

2,126 

12       

70s,:>o:i 

2.727 

i ::    

305,011 

1,060 

14          

1  si). 677 

751 

15           

256,913 

1.057 

16        

167.07:; 

(i  1  3 

17                

212,899 

S62 

18           

407, S  Hi 

1,314 

1  *  #              

250,782 

1.000 

20          

404.1  10 

1,350 

21                          

176. 55: 

575 

22            

195,056 

1,731 

522,883 

1,673 

Total      

8,357,226 

995 

29.07S 

363,358 

1.290 

May,  1932] 


Economic  Study  of  Poultry  Farms 


5 


With  the  exception  of  two  young  men  under  30  who  had  been  in 
business  only  three  years,  the  operators  had  become  well  established. 
The  average  length  of  experience  in  commercial  poultry  keeping  of  the 
twenty-three  men  was  11  years.  One  man  had  kept  poultry  on  a  com- 
mercial scale  for  33  years.  The  operators  ranged  in  age  from  27  to  76 
years  with  an  average  of  43.  Pour  men  were  under  30,  and  three  were 
over  60. 

While  the  farms  do  not  represent  a  random  sample,  it  is  thought  that 
in  general  the  study  of  the  individual  farms  and  the  analysis  of  the 
group  as  a  whole  show  a  fairly  accurate  picture  of  the  commercial  poul- 
try industry  of  the  state. 


On   many  farms  old  dairy  barns  hare  been  remodeled  into  poultry 
houses  with  three  to  four  decks 


THE  FINANCIAL  SIDE 

Investment 

The  average  investment  of  the  23  farms  was  $13,424,  or  $10.40  per 
layer,  based  on  the  number  of  layers  housed  in  the  fall  of  1929.  (See 
Table  2.)  Of  this  investment,  real  estate  including  land  and  buildings 
represented  about  55%,  poultry  stock  29%,  equipment  13%  and  sup- 
plies 2%. 

The  smallest  individual  investment  was  $6,034,  and  the  largest  was 
practically  six  times  as  much,  or  $36,707.  Approximately  44%  of  the 
real  estate  value  was  in  special  poultry  buildings. 

When  the  farms  were  grouped  according  to  size  of  flocks  as  in  Table 
3,  the  inventory  per  bird  was  over  $19  in  flocks  below  800;  $13  for 


N.   II.  Age.  Expeeiment  Station        [Bulletin  265 


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May,  1932] 


Economic  Study  of  Poultry  Farms 


1 


flocks  between  800  and  1000;  approximately  $10  for  flocks  between 
1000  and  1400 ;  $8  for  flocks  of  1600  to  1800 ;  and  $10  for  flocks  above 
1800  layers.  As  the  size  of  flocks  increased,  total  investment  increased 
but  the  investment  per  bird  tended  to  decrease. 

Table  3 — Capital  investment  <t»<1  size  of  flock 


Size  of  flock 

Number 

of  farms 

A  vera  iri" 
inventory 

Inventory 
per  bird 

500   —      800      

6 

$7,432.66 
12,563.43 
11,182.90 
13,432.91 

$19.44 

801   —   1000      

3 

13.19 

1001   —   1200         

3 

10.75 

1201   —   1400      

5 

10.20 

1401           1600 

1601   —   1800      

2 

13,592.48 
24.642.76 

7.99 

1801          over           

4 

9.97 

23 

$13,424.06 

$10.40 

Depreciation  Charges 

Depreciation  on  special  poultry  equipment  and  buildings  was 
assumed  to  be  10%.  This  was  set  fairly  high  in  order  to  put  earnings 
on  a  more  conservative  basis.  Commercial  poultry  farming  has  become 
a  factory  proposition  in  which  large  amounts  of  purchased  feed  are 
converted  into  a  product  that  has  enjoyed  a  special  premium.  Yet  dis- 
ease and  lack  of  production  due  to  causes  beyond  the  control  of  the 
individual  have  in  certain  instances  turned  the  profits  of  apparently 
skilled  and  experienced  operators  to  heavy  losses.  Moreover,  new  meth- 
ods and  better  equipment  are  constantly  making  other  equipment  obso- 
lete. An  individual  may  find  it  difficult  to  dispose  of  his  holdings,  if  for 
any  reason  he  is  forced  to  give  up  the  business.  Under  these  conditions 
the  operator  should  hesitate  to  invest  in  fixed  capital  unless  the  princi- 
pal can  be  drawn  out  within  ten  years.  In  the  case  of  the  producer  who 
remains  in  business  and  is  successful  over  a  period  of  years,  10%  depre- 
ciation is  probably  higher  than  the  actual.  In  the  case  of  the  producer 
who  is  forced  to  quit  or  is  not  very  successful,  it  may  be  too  low.  The 
successful  man  with  large  income  will  not  object  to  a  10%  depreciation 
charge ;  the  beginner  will  do  well  to  make  estimates  on  at  least  this 
basis.  As  shown  in  Table  4,  the  depreciation  of  special  poultry  build- 
ings averaged  $365  per  farm,  and  depreciation  of  equipment  averaged 
$204 — a  total  of  $569  for  buildings  and  equipment. 

Receipts 

The  average  farm  cash  receipts  were  $9,636  (Table  5).  When  includ- 
ing the  increase  in  inventory  of  $453,  the  total  receipts  averaged 
$10,089.  This  is  a  gross  income  of  $7.82  per  bird  housed,  or  $10.13  per 
bird  when  based  on  the  average  number  of  laying  birds  through  the 
year. 

It  is  well  to  note  that  only  44%  of  the  gross  income  was  from  sale  of 
market  eggs  and  11%  from  hatching  eggs.  The  remaining  45%  was 
made  up  of  several  items,  including  live  and  dressed  fowl  11%,  broilers 
11%,  day-old  chicks  6.7%.    In  a  group  of  five  farms  which  specialized 


8                             X.  II.  Age.  Experiment  Station  [Bulletin  265 

Table  4-  Depreciation  charges*  —  average  of  28  farm* 

NkiI  EstaU 

Poultry  laying  houses $23.".. 50 

Barn    used   for   poull  ry 25. .51 

Permanenl  brooder  house.'- 32.35 

Other   poultry    buildings 72.01 

Total  depreciation  real  estate $365.37 

Equipmt  tit 

Batteries     S4.24 

Colony    houses    40.17 

Shelters      17.84 

Incubators     47.87 

Brooder  stoves    15.18 

Eoppers      7.99 

Fountains    3.36 

Egg   eases    1.96 

Shipping  coops   -90 

Miscellaneous  poultry  equipment 15.34 

General  equipment 

Car   or   truck"!" 39.85 

General  farm   m  ichinery 5.85 

M  iscella  aeous    3.07 

Total    depreciation    equipmen' $203.62 


Grand  total  depreciation         real  estate  plus  equipment $568.99 

*  Depreciation  charged  at   10%  on  poultry,  real  estate  and  equipment. 

No  depreciation  charged  on  other  real  estate  including  dwelling  house. 

Money    spent    for    minor    repairs   does   not   entitle    item    of    real    estate   or 

equipment  to  any  deduction  in  depreciation  charge, 
t    Where    car    or    truck    was    used     largely    for    business,    depreciation    was 
charged. 

in  market  eggs,  51.4' ,'  of  the  total  receipts  were  from  sale  of  market 
eggs,  18%  from  sale  of  broilers  and  roasters,  and  12.5%  from  sale  of 
fowl.  On  the  other  hand,  in  a  group  of  five  farms  which  specialized  in 
breeding,  the  receipts  from  sale  of  market  eggs  were  37.8%,  hatching 
eggs  17.9$  ,  dav-old  chicks  14.8%,  broilers  and  roasters  10.9%  and  fowl 
10.6%. 

Expenses 

The  average  cash  expense  on  the  23  farms  was  $8019  (Table  6).  This 
is  $(i.20  per  bird  housed,  or  $8.05  per  bird  based  on  average  number 
through  the  year.  Feed  represented  the  largest  single  expenditure,  be- 
ing about  65%  of  the  total.  The  fact  that  the  average  expense  for  pur- 
chased feed  was  over  $5000  indicates  the  importance  of  feed  prices.  A 
ten  per  cent  increase  in  price  of  Uhh\  without  a  corresponding  change 
in  price  of  poultry  products  would  be  disastrous  to  many  poultry  farm- 
ers. Hired  labor  was  the  next  largest  item  of  expense,  representing 
10%  of  the  total.  On  five  farms  averaging  less  than  500  layers,  the 
expense  for  labor  was  only  3%  of  the  total.  On  some  of  the  larger 
farms  it  ran  to  \l.lc/< . 


May,  1932] 


Economic  Study  of  Poultry  Farms 


Table  5 — Receipts  —  average  23  farms 


Number 


Market  eggs    9955.3   doz. 

Hatching-  eggs    1613.7  doz. 

Live    fowl     634      birds 

Ducks  and  geese 

Dressed   fowl     167.8  birds 

Pullets   sold     111.7  birds 

Cock   birds,    Live 49.7  birds 

Capons     2A   birds 

Cock  birds,   Dressed 5.4  birds 

Cockerels    1-2  birds 

Roasters,   Live    182.3  birds 

Boasters,  Dressed    17-7  birds 

Broilers,  Live    1657.3   birds 

Broilers,   Dressed     16.1  birds 

Started  chicks    1 1  -3  birds 

Day-old  chicks   3339 

Miscellaneous  poultry  receipts.... 

Grain    sold     

Trucking    

Commission  on  grain  sold.  .  .  . 

Custom   hatching     2701.1   eggs 

Equipment  sold    

Miscellaneous  farm  receipts 

Fruit      

Wood     

Crops     

Milk     

Other   stock     

Bent  of  house  to  hired  man .  . 
Increase  in  value   inventory 

Total   receipts    


Value 

Per  cent 

$4392.18 

43.5 

1124.09 

11.1 

827.62 

8.2 

1.78 
288.08 

2.9 

185.99 

1.8 

56.84 

.6 

7.23 

.1 

6.79 

.1 

3.10 
225.89 

2.2 

24.91 

.3 

1051.64 

10.4 

20.28 

.2 

6.52 

.1 

675.60 

6.7 

48.26 

.5 

314.69 

3.1 

35.95 

.4 

9.91 

.1 

80.46 

.8 

23.15 

.2 

13.42 

.1 

33.77 

.3 

4.43 
88.66 

.9 

45.82 

.5 

19.61 

.2 

18.70 

.2 

453.53 

4.5 

$10,088.90 


Monthly  Relationship  of  Receipts  and  Expenses 

In  a  business  with  large  expenses,  it  is  convenient,  although  not 
always  of  vital  importance,  to  have  fairly  even  distribution  of  the  rela- 
tionship between  receipts  and  expenses.  The  grain  bill  alone  averaged 
$434  per  month  per  farm,  and  on  one  farm  averaged  $1048  per  month ; 
if  income  is  delayed  over  many  months,  problems  of  finance  arise  which 
are  difficult  to  overcome. 

The  average  monthly  income  and  outgo  on  the  23  farms  as  shown  in 
Figure  1  were  not  constant.  Both  the  expense  curve  and  the  income 
curve  vary  during  the  year  and  show  no  particular  relationship  to 
each  other.  The  receipt  curve  was  high  in  October  and  again  in  March, 
April  and  May,  reaching  a  peak  of  $1100  in  April.  Receipts  were  below 
$750  in  November,  December,  January,  February,  June  and  July.  On 
the  other  hand,  the  expense  curve  was  highest  in  April  and  lowest  in 
November.  Expenses  exceeded  receipts  in  January  and  June.  The 
periods  of  greatest  margin  of  receipts  over  expenses  were  during  fall 
and  spring. 

Naturally,  this  monthly  relationship  of  receipts  and  expenses  varies 
greatly  with  different  farms  and  is  influenced  by  such  factors  as  time  of 


10 


X.  II.  Age.  Experiment  Station        [Bulletin  265 


Table  6     Expenses    -average    iS  farms 


Expen — 

Real   estate    

Equipment,  Poultry     

Equipment,  <  lenera  1     

Poultry   feed    

Supplies,    Poultry    , 

Shavings     

Straw     

Peat     

Coal     

Day-old  chicks   

Poultry   stuck    purchased 

Ducks    purchased      , 

Hatching  eggs    

Hired    labor     

.Miscellaneous    poultry    , 

Market    eggs    purchased. 

( !ustom    hatching    

Test  iu<^   and   certifical  ion  .  .  • 

Taxes     

Insurance     

Miscellaneous    farm 

Other   feed     

Truck    

Stock   purchased    

Apples      

Total   expenses     . . . 


Amount 

Value 

Pi  r  cenl 

$348.47 

1.4 

232.::: 

2.9 

71.40 

.'.i 

5212. 12 

65. 

76.40 

1. 

L35 

hales 

53.76 

.7 

35.6 

hales 

18.32 

.2 

8.3 

hales 

18.24 

.2 

129.99 

1.6 

679.5 

136.61 

1.7 

6.3 

ckls. 

17.3 

pullets-hens 

24.85 

.3 

.26 

2347.3 

eggs 

160.74 

2.1 

2608.6 

hours 

873.80 

10.9 

181.61 

2.3 

38.9 

dozen 

16.02 

.2 

1163.6 

eggs 

42.53 

.5 

64.83 

.8 

145.43 

1.8 

62.45 

.8 

49.48 

.6 

34.97 

.4 

28.60 

.4 

21.68 

.3 

3.16 

$8018.65 

brooding  operations,  date  of  selling  old  fowl  and  type  of  poultry 
business. 

Farms  doing  a  strictly  market  egg  business  show  a  more  uniform 
receipt  curve.  On  eight  farms  the  monthly  receipts  varied  from  $395 
in  February  to  $575  in  June.  In  general  the  receipts  were  above  $500 
in  October  and  November  due  to  a  combination  of  high  seasonal  egg 
prices  and  the  sale  of  old  hens,  and  again  in  June  due  to  sale  of  broil- 
ers; and  were  below  $450  in  September,  February,  July  and  August. 
On  the  same  group  of  farms  the  expenses  were  above  $500  in  March 
and  April  when  chicks  were  purchased  and  brooding  operations  were 
under  way.  Expenses  were  below  $400  in  September,  November,  De- 
cember and  February.  Expenses  exceeded  receipts  during  January, 
March,  April  and  August. 

On  the  other  hand,  eight  farms  doing  a  considerable  hatching  eix\: 
and  baby  chick  business  had  high  receipts  in  March,  April  and  May 
due  to  sale  of  hatching  eggs,  chicks  and  broilers.  The  receipts  were 
also  high  in  August,  September  and  October  due  to  the  high  seasonal 
price  of  market  eggs  and  sale  of  fowl.  The  expenses  tended  to  be  higher 
in  March,  April  and  May,  the  incubation  and  brooding  season. 

The  monthly  cash  income,  monthly  cash  expenses  and  relationship  of 
the  two  are  much  more  erratic  in  the  case  of  individual  farms  since  the 
averages  discussed  above  tend  to  smooth  out  the  differences.  But  the 
general  average  curves  of  income  and  expenses  will  serve  to  show  the 


May,  1932] 


Economic  Study  Of  Poultry  Farms 


11 


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Figure  1 — Monthly  relationships  of  cash  receipts  and  expenses  on  eight 
market  egg  farms,  on  eight  baby  chick  and  hatching  egg 
farms  and  on  all  2'A  farms.  (Taxes  and  insurance  were 
allocated  evenly  over  the   12   months.) 


12 


N.  II.  Agr.  Experiment  Station        [Bulletin  265 


need  of  adequate  financing  in  the  periods  of  low  margins  over  expenses. 
The  advantages  and  economy  of  the  various  credit  sources  should  be 
given  careful  consideration  by  the  poultrymen,  and  perhaps  some 
attention  to  organizing  the  business  to  avoid  short-time  credit. 

Financial  Returns 

Receipts  minus  expenses,  including  allowance  for  changes  in  inven- 
tory, averaged  $2070.  This  "farm  income"  is  the  return  on  capital 
invested  and  labor  and  management  of  the  operator. 

Assuming  the  returns  on  capital  as  b%  of  the  inventory,  the  interest 
would  average  $671  annually.  This  taken  from  the  farm  income  would 
leave  $1399  for  returns  on  the  operator's  labor  and  management,  or 
"labor  income."  As  shown  in  Table  7,  the  labor  income  varied  from 
-$726  to  $8342.  Six  operators  had  minus  labor  incomes,  five  were  be- 
tween 0  and  $1000,  seven  had  between  $1000  and  $2000,  and  five  had 
over  $2000.  The  labor  income  per  bird  (using  average  number  of  birds) 
averaged  $1.40.  In  addition  to  this,  the  family  used  farm  products  in 
the  home, — not  only  poultry  products,  but  a  considerable  amount  of 
garden  produce  as  well  as  milk,  and  wood.  Valuation  of  these  items  is 
shown  in  Table  8  on  the  basis  of  farm  prices.  In  the  case  of  eggs  used 
in  the  home,  value  was  placed  at  25^  per  dozen,  since  most  of  them  were 
cracked  or  dirty  and  rather  difficult  to  market.  The  total  average  value 
of  products  from  the  farm  used  in  the  home  was  estimated  at  $248.  It 
is  well  to  recall  also  that  the  operator  had  a  house  to  live  in  which 
might  be  conservatively  estimated  as  worth  $250  per  year. 

Table  7 — Farm   income  and  labor  income  on    individual  farms 


Rank  in 
income 


Farm 
income 


Labor 
income 


Value  of 
farm  product' 
used  in  home 


Labor  income 

plus  value 
produce  used 


23 

22 

21 

20 

19 

is 

-\: 

16 

15 

1  ! 

13 

12 

11 

Ki 

9 

8 

7 

6 

4 

2 

1 


$393.55 

-$720.07 

$125.00 

-$601.67 

22.09 

005.40 

422.50 

-  182.90 

109.09 

594.37 

425.00 

-  109. 37 

540. 90 

-  114.01 

135.00 

20.39 

232.30 

69.38 

292.50 

22:;.  12 

4  1 1 .84 

41.02 

104.91 

03.29 

799.82 

85.83 

158.25 

244. OS 

L55  1.99 

687.91 

552.00 

1239.9! 

1303.42 

735.13 

130.00 

805.13 

l  176.55 

812.20 

180.50 

992.7  0 

1299.10 

936.00 

340.00 

1270.00 

1446.44 

1009.02 

120.00 

1  1S9.02 

1986.40 

1272.70 

622.00 

1894.76 

1789.31 

1295.70 

343.75 

1039.4  5 

2023.36 

1309.30 

305.00 

1674.36 

2192.00 

15S9.05 

377.50 

1900.55 

264  1.70 

1028.77 

10S.75 

1797.52 

2  148.23 

1087.42 

212.50 

1899.92 

2869.70 

2095.14 

100.00 

2195.14 

2784.53 

2221.75 

175.00 

2390.75 

3605.06 

3020.37 

190.00 

3210.37 

6691.33 

5481.21 

147.50 

5628.71 

(1177.72 

S3  12.30 

85.00 

8427.30 

$2070.25 


$1399.05 


$248.38 


$1647.43 


May,  1932]           Economic  Study  of  Poultry  Farms  13 

Table  8 — Farm  products  and  estimated  value  used  in  home 

(Average  23  farms) 

Estimated 

Product  value 

Pork      $1.09 

Coal     1.39 

Wood 71 .09 

Poultry     5.43 

Fowl      27.09 

Broilers      2.93 

Roasters      2.83 

Eggs      43.70 

Milk      37.09 

Garden      46.09 

Miscellaneous     2.69 

Butter    6.96 


$248.38 


GENERAL  DESCRIPTION  OF  MANAGEMENT 

In  a  general  way  in  the  group  of  23  farms,  flock  management  prac- 
tices were  fairly  well  standardized.  However,  the  details  of  manage- 
ment, which  in  many  cases  are  the  determining  factors  in  success  or 
failure,  varied  on  the  different  farms. 

Breeding  Stock 

Most  New  Hampshire  poultrymen  have  used  pullets  for  breeding 
stock  for  many  years,  and  the  enviable  record  of  hatchability  and  liv- 
abilty  of  chicks  indicates  that  this  practice  has  not  lowered  the  vitality 
of  the  stock.  Increased  egg  production  and  size  of  bird  indicate  that 
progress  has  been  made  in  breeding  under  the  pullet  system.  Of  late 
years,  however,  due  mainly  to  prevailing  lower  prices  of  fowl  and 
broilers,  more  poultrymen  are  making  a  practice  of  keeping  over  the 
best  20%  of  the  birds  for  the  second  laying  year  and  securing  hatching 
eggs  from  these  pens. 

It  has  been  estimated  that  90%  of  the  poultry  population  of  the  State 
are  heavy  breeds  with  Reds  greatly  predominating.  The  23  flocks  in 
this  study  were  divided  as  follows :  19  Reds,  2  White  Leghorns,  1  Reds 
and  Leghorns,  and  1  Reds  and  Rocks. 

The  New  Hampshire  Reds  are  an  exceptionally  early  maturing 
strain.  They  mature  at  from  four  to  five  months,  and  have  a  body 
weight  of  4!/2  to  5%  pounds  when  housed,  and  usually  6  or  6V2  pounds 
at  the  end  of  the  first  laying  year.   Certain  strains  exceed  this  weight. 

Management  of  Layers  and  Breeders 

The  birds  are  housed  in  permanent  quarters  in  pens  of  100  to  300  at 
about  the  time  laying  commences.  Very  few  poultrymen  have  yards  for 
the  lavers,  and  in  most  cases  the  birds  are  never  allowed  out  of  doors 
after  being  placed  in  the  laying  pens. 


14 


X.  II.  Age.  Experiment  Station        [Bi-lletiv  265 


The  type  of  house  varies,  although  in  nearly  all  eases  an  open  front 
i>  used.  On  many  farms,  old  dairy  barns  have  been  remodelled  into 
poultry  houses  with  three  to  four  decks.  Three  to  four  square  feet  of 
floor  space  per  bird  is  usually  allowed — 3.47  square  feet  for  the  Red 
flocks  and  3.31  square  feet  for  the  three  Leghorn  flocks.  None  of  the 
farms  furnished  the  birds  with  artificial  heat. 

Mash  was  kept  before  the  birds  at  all  times.  The  majority  of  the 
poultrymen  fed  commercial  mashes,  although  some  were  using  the  Xew 
England  Conference  Ration,  or  ;i  formula  of  their  own  based  on  the 
conference  ration.  The  method  of  scratch  feeding  varied.  Some  men 
fed  scratch  in  hoppers  and  kept  it  before  the  birds  at  all  times,  thereby 
allowing  them  to  adjust  the  mash-scratch  ratio  according  to  their  body 
requirements.  Others  fed  a  definite  amount  morning  and  night,  limit- 
ing the  quantity  according  to  the  condition  of  the  birds.  Still  other 
variations  of  scratch  feeding  systems  were  found.  A  wet  mash  was  gen- 
erally fed  during  certain  periods  either  to  stimulate  production  or. 
with  fattening  ingredients,  to  prevent  fall  molt  in  early  hatched  pul- 
lets. Green  feed  was  also  used  extensively;  germinated  oats  were  most 
popular,  with  cabbage  and  mangles  following.  Those  men  not  feeding 
an  accessory  green  or  succulent  generally  incorporated  alfalfa  leaf 
meal  in  the  mash.  Cod  liver  oil  or  cod  liver  meal  was  generally  fed  dur- 
ing the  entire  period  that  the  layers  were  housed.  Only  two  of  the  23 
farms  were  using  liquid  milk.  Condensed  or  semi-solid  buttermilk  was 
more  popular. 

Thirteen  farms  used  lights  on  their  laying  flocks,  turning  them  on 
in  such  a  way  as  to  allow  the  birds  a  twelve  or  thirteen  hour  day. 
Over  half  the  farms  furnished  the  layers  warm  water  during  the  cold 
weather  period,  either  by  carrying  or  through  the  use  of  heated  foun- 
tains.   Shavings,  straw,  peat  or  hay  were  used  for  litter. 

Brooding  and  Rearing 

Colony  houses  arc  still  the  most  common  type  of  brooder  building  in 
New  Hampshire,  although  most  of  the  newer  plants  use  the  permanent 
continuous  type.  On  four  farms  chicks  were  brooded  in  these  new  type, 
coiil  in  nous  hot  water  brooder  systems  with  a  central  source  of  heat. 
On  four  other  farms  the  newly  hatched  chicks  were  kept  in  batteries 
for  two  or  more  weeks.  The  other  farms  brooded  chicks  with  a  stove 
in  each  pen. 


One  of  Die  larger  poultry  plants  tiiat  co-operated  in  the  study 


Mat,  1932] 


Economic  Study  op  Poultry  Farms 


15 


Where  batteries  were  not  used,  the  chicks  after  removal  from  the 
incubator  were  placed  under  the  brooder  canopy  and  feed  was  gener- 
ally placed  before  them  immediately.  In  all  but  a  few  cases,  scratch 
was  not  fed  until  the  third  or  fourth  week.  Most  poultrymen  fed  noth- 
ing but  a  starting  mash  for  the  first  few  weeks.  Generally,  the  birds 
were  kept  in  confinement  until  nine  or  ten  weeks  of  age  when  they 
were  either  placed  on  range  in  the  common  New  England  range  shelter 
or  were  allowed  to  range  in  front  of  the  brooder  house.  A  few  farms 
had  wire  porches  for  use  the  first  nine  or  ten  weeks. 

Pullets  were  placed  on  unlimited  sod  range  at  nine  or  ten  weeks  of 
age.  The  usual  practice  was  to  use  a  range  once  in  three  years,  leaving 
it  idle  for  two  years.  This,  of  course,  required  three  ranges  used  in 
rotation. 

Fifteen  farms  had  piped  water  to  the  range,  and  eight  of  these  had 
installed  automatic  fountains. 

LABOR 

On  the  23  farms,  an  average  of  6087  hours  of  man  labor  was 
accounted  for.  Of  this  amount  3234  hours,  or  53%  of  the  total,  was 
provided  by  the  owner;  2609  hours,  or  43%,  by  hired  labor;  and  only 
245,  or  4%,  by  the  owner's  wife  or  other  members  of  the  family.  The 
amount  of  poultry  farm  work  done  by  members  of  the  family  other 
than  the  operator  was  very  small,  averaging  only  about  forty  minutes 
per  day  per  farm.  Considering  the  average  size  of  flocks  to  be  1290  at 
the  maximum,  the  amount  of  hired  labor  required  seems  large.  The  23 
farms  employed  14  hired  men  on  a  full  time  basis,  and  in  addition  a 
total  of  16,322  hours  of  hired  seasonal  or  part  time  labor.  The  cost  of 
this  hired  labor,  including  in  a  few  cases  an  estimate  on  value  of  board 
provided,  was  $20,092.61,  or  $874  per  farm.  The  average  cost  of  all 
labor  hired,  including  both  regular  and  extra,  was  33.4^-  per  hour. 

Table  9 — Man  hours  monthly  expended  by  owner  and  others 
—  average  of  23  farms 


Month 


Hours  expended  by 


f 

Other 

Hired 

Cost  of 
hired 

Total 
hours 

Owner 

Wife 

unpaid  labor 

labor 

labor 

labor 

254.9 

13.6 

177.2 

$60.66 

445.7 

266.3 

10.6 

1.7 

198.0 

59.83 

476.6 

257.1 

10.4 

1.8 

190.0 

74.90 

459.3 

267.2 

10.6 

1.7 

193.5 

65.70 

473.0 

272.0 

13.2 

1.8 

191.3 

65.71 

478.3 

261.0 

13.0 

3.9 

180.5 

60.71 

458.4 

291.0 

18.3 

18.4 

230.0 

75.61 

557.7 

300.0 

27.0 

5.9 

256.8 

83.01 

589.7 

278.6 

34.5 

.... 

278.6 

89.92 

591.7 

274.0 

18.3 

2.8 

237.3 

77.97 

532.4 

254.0 

17.9 

2.0 

240.7 

81.75 

514.6 

258.1 

11.9 

5.3 

234.7 

77.83 

510.0 

September 
October 
November 
December 
January     . 
February 
March     .  .  . 
April 

May     

June 

July      

August 


Total 


3234.2 


199.3 


45.3 


2608.6 


$873.59 


6087.4 


16 


N.  II.  Age.  Experiment  Station       [Bulletin  265 


Monthly  labor  requirements  varied  considerably,  but  the  expend- 
ituiv  was  evened  up  somewhat  by  work  on  odd  tasks,  repairs,  building, 
etc.,  during  the  dull  periods.  The  amount  of  labor  needed  is  naturally 
Largest  during  the  brooding  season  before  the  young  stock  is  put  on 
the  range.  On  the  average  farm  this  peak  labor  requirement  is  in 
March,  April  and  -May.  and  is  partly  taken  up  by  longer  working  days 
on  the  part  of  the  owner  himself.  Note  in  Table  9  that  the  owner's 
Labor  in  hours  per  month  jumps  from  255  in  September  to  291  in  March 
and  300  in  April.  The  requirements  drop  off  in  June  and  are  lowest 
during  the  fall  and  winter. 

Division  of  Time 

Work  on  poultry  farms  consists  of  so  many  small  and  varied  opera- 
tions and  shifts  so  greatly  from  day  to  day  that  accurate  figures  on 
division  of  time  are  very  difficult  to  obtain.  However,  through  monthly 
estimates  by  the  poultrymen  data  were  secured  which  give  the  approxi- 
mate division  of  time  of  the  daily  regular  chore  work.  A  fairly  large 
proportion  of  total  labor  comes  under  the  classification  "miscellaneous 
poultry,"  which  includes  work  such  as  cleaning  pens,  moving  birds, 
marketing,  dressing  fowl,  and  all  time  on  poultry  aside  from  regular 
chore  work.  It  is  interesting  to  note  in  Table  10  that  "chore"  work 
accounts  for  about  75%  of  the  total  labor  expended. 


Table  10 — Man   hours  spent  on   hoi.s,  chicks,  incubation,  etc.,  by   months 

—  Average  28  farms 


On 

On 

On 

miscel- 

On 

On 

miscel- 

On 

On 

in- 

laneous 

real 

outside 

laneous 

Total 

Month 

hens 

chicks 

cuba  ti  on 

poultry 

estate 

labor 

farm 

labor 

hoars 

hours 

hours 

hours 

hours 

hours 

hours 

h  rars 

September 

L96.9 

68.3 

.... 

1 1 3.2 

13.3 

2.6 

5  1.1 

445.7 

<  October 

210.7 

35.6 

142.1 

17.8 

.... 

64.4 

476.6 

November 

217.4 

17.1 

3.7 

157.8 

8.4 

54.0 

459.:! 

I  December 

225.2 

14.9 

6.3 

175.2 

.9 

50.5 

47:;.  0 

.l.i  auary 

221,9 

30.1 

12.7 

L65.2 

2.4 

46.0 

478.3 

February 

213.6 

64.2 

22.!! 

118.8 

:;.:; 

36.2 

458.4 

M;i  rch 

107.2 

145.8 

31.6 

1  10.0 

0.5 

.... 

36.6 

5  5  7.7 

April 

196.5 

225.2 

28. 1 

Ot.l 

3.9 

2.6 

42.0 

580.7 

May 

182.2 

2:;7.7 

Ki.2 

86.1 

5.2 

2.0 

61.7 

501.7 

.1  line 

17:;.:. 

20:5.7 

1.7 

90.0 

4.8 

2.6 

56. 1 

532.4 

July 

172.1) 

L68.8 

.... 

05.7 

7.0 

.... 

71.1 

514.6 

A  hL!  list 

190.4 

124.3 

.... 

1  :;:!.:! 

0.4 

2.6 

50.0 

5  10.0 

Total 

2  i  13.5 

1  :::::>.  7 

122.'.) 

1508.5 

82.9 

13.0 

620.9 

60S7.4 

As  would  be  expected,  labor  on  the  Laying  flock  represents  the  larg- 
est item,  accounting  for  .'}!)..">',  of  the  total  labor  for  the  year.  This 
daily  chore  work  on  hens  is  largest  from  October  to  February,  when 
the  number  of  layers  is  largest,  and  is  at  the  lowest  point  during  dune 
and  duly.    (Fig.  2) 

Labor  on  brooding  and  rearing  young  stock  is  not  very  high  until 
March  and  reaches  its  peak  in  April  and  May.  Naturally,  labor  require- 


May,  1932]  Economic  Study  of  Poultry  Farms 


17 


ments  for  young  stock  drop  off  as  soon  as  the  birds  are  put  on  range, 
which  on  most  farms  was  in  June. 


600 
550 
500 

450 
400 
350 

DC 

§300 


£250 
^200 


150 

100 

50 

0 


Misc.  Farm 
Real  Estate 
Incubation 
Misc.  Poultry 
Chicks 
Hens 


*)*&} 


5lpt  Oct  Nov. 


Figure  2 — A   comparison  of  monthly  labor  requirements  of  hens, 

chicks,  etc.,  on  23  farms. 

The  amount  of  miscellaneous  poultry  labor  is  largest  during  October, 
November,  December  and  January,  the  "dull"  season.  "When  labor  re- 
quirements for  chore  work  are  low,  the  poultryman  uses  the  extra  time 
by  making  repairs  on  poultry  equipment,  moving  brooder  houses  and 
range  shelters  to  new  locations,  and  cleaning  and  spraying  houses. 
With  the  approach  of  the  busy  brooding  season  the  time  available  for 
this  miscellaneous  work  naturally  becomes  less,  and  the  labor  on  odd 
jobs  drops  off.  The  miscellaneous  farm  work  on  crops  or  animals  not 
connected  with  poultry  amounted  to  only  620.9  hours  per  farm,  or 
about  10%  of  the  total. 


Comparison  of  Labor  on  Laying  Flocks 

The  regular  chore  work  on  hens  on  the  23  farms  averaged  2.4  hours 
per  hen  annually,  ranging  from  1.1  hours  on  Farm  11  to  5.8  hours  on 
Farm  6.    (Table  11) 

On  the  14  farms  with  less  than  1000  hens,  the  daily  chores  on  laying 
flocks  averaged  2.7  hours  per  hen  per  year,  and  on  the  9  farms  with 
over  1000  hens,  2.2  hours.  The  men  with  larger  flocks  tended  to  have 
more  efficient  equipment  and  to  use  their  time  to  better  advantage.  The 


1> 


N.  II.  Age.  Experiment  Station        [Bulletin  265 


daily  chore  work  was  not  the  only  time  spent  on  hens,  but  it  offers  a 
good  comparison  between  farms.  When  the  miscellaneous  work  on 
hens  is  included,  the  comparison  is  not  as  complete  because  different 
poultrymcn  carry  their  services  to  different  phases  of  the  production 
and  marketing  program.  Some  packed  their  eggs  in  cases  without 
grading  or  candling  and  sold  to  peddlers  weekly.  Others  carefully 
graded  and  even  retailed  eggs.  Some  sold  the  broilers  or  fowl  at  whole- 
sale in  one  lot  without  much  attention  to  selection.  When  all  the  labor 
(including  miscellaneous)  on  hens  is  included,  the  average  was  3.3 
hours  per  hen  per  year,  and  the  range  was  from  2.1  to  7.2  hours. 

Table  11 — Comparison  of  man  labor  on   chore   work  on   .?•?  farms 


Hours 

Number 

chore 

of  pullets 

Total  hours 

work 

Average 

Total  hours 

Hours 

raised  plus 

chore  work 

per  100 

Farm 

number 

chores  on 

per 

breeding 

on  raising 

pullets 

number 

layers 

layers 

layer 

cockerels 

pullets 

raised 

1 

99] 

2224 

2.2 

2048 

969 

47 

2 

471 

1010 

2.1 

721 

619 

86 

3 

654 

1945 

3.0 

1855 

3184 

172 

4 

2548 

5370 

2.1 

4300 

1959 

46 

5 

1040 

2115 

2.0 

1825 

1119 

61 

6 

354 

2057 

5.8 

985 

1879 

191 

7 

697 

1571 

2.2 

1346 

925 

69 

8 

676 

1630 

2.4 

811 

717 

88 

9 

1 5 1  it 

2735 

1.8 

1915 

964 

50 

10 

967 

2756 

2.8 

1855 

1313 

71 

11 

1014 

1715 

1.1 

3508 

1598 

46 

12 

2105 

7386 

3.5 

2620 

3429 

131 

13 

836 

2240 

2.7 

1175 

898 

76 

14 

40") 

1380 

2.8 

800 

910 

114 

15 

704 

1467 

2.1 

812 

852 

105 

16 

458 

947 

2.1 

772 

862 

112 

17 

583 

1183 

2.0 

1410 

931 

66 

IS 

1  1  17 

2086 

1.9 

1500 

1034 

69 

19 

687 

2220 

3.2 

1262 

1371 

109 

20 

1107 

2  74  9 

2.5 

1180 

785 

66 

21 

484 

14  83 

3.1 

1210 

847 

70 

22 

1356 

2798 

2.1 

2304 

1990 

84 

23 

1433 

3 1 58 

2.2 

2270 

999 

44 

Total 

22896 

54225 

38544 

30160 

Weighted 

average 

2.37 

78 

Comparison  of  Labor  in  Rearing  Pullets 

In  the  production  of  pullets,  the  regular  chore  work  per  100  pullets 
raised  averaged  78  hours,  with  a  range  of  Hi  to  101  hours.  On  13  farms 
the  time  on  pullets  was  below  SO  hours  per  100  pullets,  and  on  7  farms, 
it  was  over  100  hours.  The  13  smallest  flock  of  pullets  raised  used  90 
hours,  and  the  10  largest  flocks  used  71   hours  per  100  pullets. 


May,  1932] 


Economic  Study  of  Poultry  Farms 


19 


Labor  Efficiency 

"When  the  farms  are  grouped  by  average  number  of  layers,  the  total 
hours  of  labor  is  greater  for  the  larger  flocks,  but  the  total  hours  per 
bird  decreases  from  10  hours  in  the  less-than-500-birds  group  to  ap- 
proximately 5  hours  per  hen  in  the  1001-1500  group.  (Table  12.)  On 
larger  farms  no  significant  change  appears  in  hours  per  bird.  It  is  well 
to  note  that  in  the  flocks  of  over  1000  birds  about  one  half  as  much 
labor  was  required  per  bird  as  in  flocks  under  500  birds. 


Table  12 — Labor  reauirments  and  size  of  farm 


Labor  summary 


Number 
farms 

Average 

number 

birds 

Hours  man 

A 

labor 

Average 
cost  hired 
man  labor 

Percent 

of 

total 

labor 

hired 

Average  number 
birds  for  year 

r 

Average 
per  farm 

Average 

per 
100  birds 

Average 

hired 
per  farm 

Less  than  500 

501  —  1000 
1001  —  15C0 
1501  —  2000 
Over  2000 

5 

9 
5 
2 
o 

406 

755 

1211 

1567 

2326 

4064 
5743 
6023 
7510 
11428 

1000 
761 
497 
479 
491 

339 
2194 
2910 
4069 
7934 

$128.11 
644.93 
1052.26 
1330.98 
2836.68 

8.3 
38.2 
48.3 
54.2 
69.4 

Average  all  farms 

23 

995 

6087 

611 

2609 

$873.59 

42.8 

The  explanation  of  this  wide  difference  in  efficiency  may  lie  partly 
in  the  fact  that  the  man  with  500  birds  spends  more  time  because  he 
has  proportionally  more  time  to  spend.  He  is  disposed  to  use  freely  the 
time  which  he  has  available.  With  a  change  in  philosophy  and  in  meth- 
ods, perhaps  he  could  just  as  well  take  care  of  more  birds. 

Of  course,  most  of  the  500-bird  flocks  are  operated  by  those  just 
entering  the  business  or  those  feeling  their  way  financially  before  ex- 
panding too  rapidly.  If  they  are  successful,  in  a  few  years  they  will 
have  the  ability  and  capital  to  have  a  larger  unit.  The  small  farms  are 
often  lacking  in  labor-saving  equipment  and  in  organization  of  work  to 
do  things  quickly. 

It  is  difficult  to  compare  operations  between  farms  because  the  men 
combine  jobs  in  different  ways  to  such  an  extent  that  the  time  required 
to  do  one  particular  task  is  indefinite.  Gathering  eggs,  for  instance,  is 
associated  with  watering  at  noon,  with  feeding  at  night  and  with  cull- 
ing in  the  morning. 

High  labor  requirements  were  due  to  one  or  more  of  the  following 
factors : 

1.  Poor  arrangement  of  buildings,  requiring  much  travel  in 

feeding,  gathering  eggs,  etc. 

2.  Poor   water    system,    requiring    much    additional    time    in 

lugging  water,  cleaning  utensils,  etc. 

3.  Unsystematic  organization  of  daily  chore  work. 

4.  Poultry  in  very  small  units  requiring  extra  attention. 

5.  Unhandy  equipment  or  poor  interior  arrangement  of  pens. 

6.  Physical  ability  of  operator. 

7.  Uneconomic  management  practices  requiring  large  labor 

expenditure. 


20  X.  II.  Agb.  Expeeiment  Station        [Bulletin  265 

Tn  many  instances,  the  use  of  extra  labor  resulted  from  lack  of  avail- 
able capital  rather  than  from  lack  of  understanding  of  the  problem. 
Farms  with  inadequate  equipment  were  considering  changes  to  save 
labor  as  fast  as  their  capital  warranted. 

Practicallv  every  farm  contributed  some  rather  ingenious  labor- 
saving  method  or  device.  On  one  farm  the  operator  had  practically  cut 
out  the  large  amount  of  labor  necessary  to  clean  dropping  boards  by 
merely  placing  his  roosts  over  a  wire-mesh  frame.  The  droppings  thus 
required  cleaning  only  a  few  times  a  year.  In  spite  of  the  fact  that  this 
method  was  wasteful'  of  space  it  suited  that  particular  poultry-man's 
conditions.  On  several  farms  were  found  home-made  automatic  water- 
ing devices,  automatic  switches  for  turning  on  lights  in  laying  pens, 
central  heating  plants  for  brooding,  carriers  and  many  other  devices 
for  saving  labor. 

Hired  Labor 

On  the  small  farms  about  8%  of  the  total  labor,  or  339  hours,  was 
hired,  and  on  the  large  farms  69%,  or  7934  hours.  The  cost  of  this 
labor  averaged  $128  on  the  small  farms,  and  $2837  on  the  large  farms. 
The  nine  farms  in  the  501-1000  bird  size  found  it  necessary  to  hire  38% 
of  their  total  labor,  which  represented  an  out-of-pocket  expense  of 
$64.1. 

In  contrast  to  these  rather  large  expenditures  for  labor  was  the  situ- 
ation on  certain  individual  farms.  For  instance.  Farm  18,  with  an  aver- 
age  of  1117  layers  and  a  baby  chick  business,  hired  only  250  hours  of 
labor,  representing  an  expenditure  of  only  $84.  In  other  words,  on  this 
particular  farm  of  over  1000  birds  only  7%  of  the  total  labor  was 
hired.  The  efficiency  comes  from  well-planned  daily  chores  and  a  well 
organized  plant  layout, 

This  matter  of  hired  labor  is  of  tremendous  importance  to  the  indi- 
vidual poultryman,  and  with  threatened  lower  margins  will  in  the 
future  need  to  be  given  more  attention.  The  size  of  business  must  be 
adjusted  to  the  available  labor.  On  a  one-man  plant,  sufficient  layers 
should  be  housed  to  use  the  operator's  time  to  best  advantage.  The 
number  will,  of  course,  depend  on  the  physical  ability  of  the  operator 
and  the  type  of  poultry  business.  The  operator  who  expects  to  keep  a 
year-round  man  should  plan  not  only  to  have  business  of  sufficient  size 
to  keep  both  the  hired  man  and  himself  busy  but  to  use  the  time  advan- 
tageously. Some  of  the  farms  have  more  layers  than  one  man  can  care 
for  conveniently,  and  yet  not  enough  to  keep  a  hired  man  employed  to 
advantage  at  all  times;  under  these  circumstances  the  operator  and  the 
man  put  in  the  time  but  do  not  operate  efficiently  during-  most  of  the 
year.  An  increase  in  size  of  business  beyond  the  point  where  outside  or 
additional  labor  must  be  employed  should  be  planned  only  when  the 
additional  income  will  more  than  offset  the  additional  expenses,  includ- 
ing the  cost  of  extra  labor. 


May,  1932] 


Economic  Study  of  Poultry  Farms 


21 


FEED  CONSUMPTION  OF  LAYERS 
Pullet  Layers  (Heavy  Breeds) 

Accurate  daily  feed  consumption  and  egg  production  records  were 
secured  on  15  of  the  23  pullet-laying  flocks  (all  heavy  breeds)  repre- 
senting a  total  of  10,879  birds  for  the  year.  From  these  data  the  rela- 
tionship between  weekly  feed  consumption  and  weekly  production  of 
eggs  was  studied. 

It  will  be  noted  in  Figure  3  that  the  feed  consumption  curve  and  the 
egg  production  curve  rise  and  fall  somewhat  in  unison.  Increased  pro- 
duction is  accompanied  by  increased  feed  consumption,  and  those  who 
attempt  to  increase  production  at  certain  periods  resort  to  wet  mashes, 
etc.,  to  get  the  birds  to  eat  more.  Lighting  of  laying  pens,  through  in- 
creasing the  length  of  day,  also  makes  it  possible  for  the  laying  birds  to 
assimilate  more  feed. 


Figike  3 — Weekly  feed  consumption  curve  and  weekly  egg  production 
curve  on   15  pullet  flocks   (heavy  breeds). 


A  study  of  the  separate  curves  for  mash  and  scratch  brings  out  sev- 
eral interesting  facts.  Apparently,  mash  consumption  follows  the  pro- 
duction curve  more  closely  than  does  scratch  consumption.  This  is  true 
except  during  June,  July  and  August.  Then  consumption  of  mash  holds 
up  while  production  drops.  This  is  largely  due  to  attempts  to  stay  the 
rapidly  dropping  production  by  wet  mashes. 

In  the  case  of  scratch  consumption,  the  curve  rises  from  September 
15th  on,  in  spite  of  the  fact  that  production  drops  very  low.  This  is  un- 
doubtedly due  to  the  increased  energy  requirements  of  the  birds  in 
maintaining  body  heat  during  the  cold  weather. 

Table  13  consists  of  a  summary  on  the  individual  farms  of  average 
feed  consumption  per  bird  (per  week),  together  with  the  average  per 
cent  production  for  the  year,  and  feed  per  one  dozen  eggs.  The 
weighted  average  per  bird  per  week  for  these  flocks  shows  .81  lbs. 
mash,  1.19  lbs.  scratch,  2.00  lbs.  total  feed.  Of  the  total  feed,  40.5% 
was  mash.  Thus  on  an  annual  basis,  it  required  42.1  lbs.  of  mash,  61.9 
lbs.  scratch  or  a  total  of  104  lbs.  of  feed  to  keep  a  laying  bird.  The  aver- 


22  N.  II.  Age.  Experiment  Station        [Bulletin  265 

age  production  on  these  flocks  vras  39.3%.  Using  average  feed  eon- 
sumption  and  average  production  on  these  flocks,  8.71  lbs.  of  feed  was 
required  to  produce  a  dozen  eggs.  The  variation  in  amount  of  feed  per 
week  in  the  individual  flocks  was  from  1.75  lbs.  to  2. "24  lbs. 


Table  13- 

-.1  verage 

in  (  klii  ft  i 
on 

//  consumption 

11  pitllt  1  pur]; 

p<  r  bird  tin 

s 

'/  ]>'  r  aozt  « 

eggs 

Farm 

Total 

Per  cent 

Per  cenl 

V 1  per 

number 

Mash 

Sera:  ih 

Ee  ed 

ma  ^Ii 

production 

l\    I/..T1    etfUS 

lbs. 

lbs. 

lbs. 

% 

'; 

lbs. 

18 

.(is 

1.21 

1.89 

36.0 

:  9.8 

8.14 

99 

.48 

1.37 

1.85 

25.9 

37.9 

8.37 

6 

.::; 

L.09 

L.82 

40.1 

44.3 

7.04 

1 

.91 

1.13 

°..04 

44.6 

42.5 

8.23 

21 

.73 

1.13 

1.86 

39.2 

43.2 

7.3,8 

16 

.87 

1.18 

2.05 

42.4 

311.4 

8.92 

5 

.66 

1.22 

1.88 

35.1 

36.1 

8.93 

23 

.89 

1.20 

2.09 

42.6 

39.6 

9.05 

7 

.77 

1.20 

1.97 

39.1 

41.5 

8.14 

14 

.92 

1.1  1 

2.03 

45.3 

42.0 

8.28 

13 

.98 

1.23 

2.21 

44.3 

39.9 

9  50 

9 

.75 

1.10 

1.85 

40.5 

40.4 

7.85 

3 

.83 

.92 

1.75 

47.4 

27.0 

11.11 

8 

.94 

1.01 

1.95 

48.2 

41.0 

8.15 

11 

.96 

1.28 

2.24 

42.9 

40.1 

9.58 

Weighted 

Average 

.81 

1.19 

2.00 

40.5 

39.3 

8.71 

In  spite  of  the  fact  that  the  weekly  feed  consumption  and  weekly  egg 
production  seem  to  fluctuate  together  when  all  the  farms  are  grouped 
together  as  indicated  in  Figure  3,  there  appears  to  be  little  relationship 
between  annual  feed  consumption  and  production  when  individual 
farms  are  compared  with  each  other.  This  is  probably  due  to  differ- 
ences in  strain  of  birds,  in  management,  and  in  feed. 

Old  Hens  (Heavy  Breeds) 

Tn  the  same  way,  figures  on  feed  consumption  and  egg  production 
were  obtained  on  six  lots  of  old  hens,  representing  an  average  of  647 
birds  for  the  year.  The  relationship  between  feed  consumption  and  pro- 
duction was  not  found  materially  different  from  that  of  pullets.  How- 
ever, the  proportion  of  scratch  to  mash  sums  higher  in  the  case  of  old 
hens. 

A  summary  of  the  feed  consumption  and  production  of  the  individual 
flocks  is  shown  in  Table  14.  It  will  be  noted  that  average  feed  con- 
sumption per  bird  per  week  was  slightly  lower  than  that  of  pullets:  1.0 
lhs.  compared  to  2.  lbs.  Of  (his  total,  only  34'  t  was  mash,  as  compared 
to  40..")'  '<  for  pullets.  Production  of  old  hens  was  lower.  Amount  of 
feed  per  one  dozen  eggs  was  much  higher,  12  lbs.,  as  compared  with  8.7 
lbs.  For  pullets.  In  other  words,  it  took  3.3  lbs.  more  feed  to  produce  a 
dozen  cows  from  old  hens. 


May,  1932] 

Economic  Study 

of  For 

ltey  Farms 

23 

Table  14— 

Average 

weekly  feed  consumption  per  bird 
on  six  old  hen  flocks 

and 

per  doz 

en  eggs 

Farm 
number 

Peed 
Mash 

CO 

isumed  per  bird 

A 

per 

week 

Per  ci  nl 
Mash 

Per  cent 
production 

Feed  per 
dozen  eggs 

Scratch 

To 

tal  feed 

18 

lbs. 
.68 

lbs. 
1.23 

lbs. 

1.91 

3.").  6 

% 
25.7 

lbs. 

12.7  1 

22 

.4  6 

1.51 

1.97 

23.3 

26.0 

12.1H) 

(i 

.74 

L.03 

1.77 

41.8 

35.4 

8.57 

1 

.65 

1.15 

1.80 

36.1 

22.4 

13.74 

21 

.47 

1.33 

1.80 

26.1 

24.6 

12.54 

16 

.93 

1.13 

2.06 

45.1 

28.7 

12.42 

Weighted 
Average 

.65 

1.26 

1.91 

34 

27.4 

11.96 

Weekly  Feed  Consumption  Per  Dozen  Eggs 

The  week-by-week  feed  consumption  per  dozen  eggs  is,  of  course, 
influenced  by  changes  in  the  rate  of  production  of  eggs  and  to  some 
extent  by  season  of  the  year. 

The  average  feed  consumption  was  8.7  pounds  of  grain  per  dozen 
eggs  in  the  pullet  flocks  and  12  pounds  in  the  old  hen  flocks.  As  shown 
in  Figure  4,  the  feed  requirement  of  pullets  per  dozen  eggs  was  greatest 
during  the  months  of  October,  November  and  December — the  period 
of  lowest  production.  It  varied  from  a  peak  of  12.2  lbs.  in  October 
when  production  was  29 %,  to  5.3  lbs.  in  March  when  production  was 
55%.  " 


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WEEK  BEGINNING 


Figure  4 — Weekly  feed  consumption  per  dozen  eggs  in  15  pullet  flocks 

(heavy  breeds) 


24 


X.  II.  Age.  Experiment  Station        [Bulletin  265 


In  contrast  to  this  the  feed  consumption  per  dozen  eggs  in  old  hen 
flocks  varied  from  6.7  lbs.  in  March  with  50' <  production  to  the  very 
high  requirement  of  60.8  lbs.  in  November,  when  production  was  only 
.")',  .  Old  hen  flocks  took  over  nine  times  as  much  feed  per  dozen  eggs 
in  November  as  in  March.  Of  course,  while  these  weekly  comparisons 
are  interesting,  the  situation  over  the  year  period  is  of  much  greater 
significance.    However,  a  study  of  Figure  5  does  indicate  that,  on  the 


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41 


Wax  Bcginning 

Figure  5 — Weekly  feed  consumption  per  dozen  eggs  in  6  old  hen  flocks 

(heavy  breeds) 

average,  old  hens  are  carried  several  months  in  the  fall  at  a  consider- 
able net  feed  cost.  It  is  roughly  estimated,  for  instance,  that  in  the 
four  months  of  October,  November,  December  and  January  the  product 
of  100  old  hens  assuming  average  rate  of  mortality  and  culling  would 
be  121  dozen  eggs,  worth  approximately  $70,  while  the  feed  cost  would 
be  2995  pounds,  or  approximately  $75.  Thus,  under  price  conditions  at 
the  time  of  the  study  the  income  from  egg  production  from  old  hens 
was  not  sufficient  to  cover  feed  cost  from  October  to  February.  In 
this  case,  the  poultryman  has  much  the  same  problem  that  the  dairy- 
man has  with  respect  to  carrying  dry  cows  over  a  long  period. 

Mortality  MORTALITY  AND  CULLING 

The  average  mortality  of  the  laying  flock  based  on  the  maximum 
number  of  birds  was  16.9  per  cent.  In  other  words,  out  of  100  birds 
housed  in  the  fall  16.9  died  before  the  year  was  up.  The  actual  number 
that  died  averaged  217.6  birds  per  farm.  The  per  cent  mortality  figure 
was  obtained  by  dividing  the  actual  number  that  died  (217.6)  by  the 
maximum  number  of  birds  (1290.3)  housed  per  farm.  The  mortality 
per  farm  ranged  from  f).(i  to  35.9%.  Only  5  farms  had  less  than  10% 
mortalitv  on  layers;  6  farms  had  from  10-15%;  4  farms  had  from  15- 
20%  ;  and  8  farms  had  over  20%. 


May,  1932]  Economic  Study  of  Poultry  Farms  25 

There  was  apparently  little  correlation  between  the  size  of  the  flock 
and  the  mortality  since  both  large  and  small  flocks  are  well  scattered 
in  all  the  mortality  percentage  groupings. 

The  actual  weekly  mortality  per  farm  did  not  vary  greatly  through- 
out the  year.  Losses  were  slightly  heavier  during  March,  April,  May 
and  June,  the  period  of  heaviest  production,  averaging  over  5  birds  per 
farm  per  week  during  that  period.  At  other  seasons  the  losses  averaged 
less  than  4  birds  per  week  per  farm. 

Estimated  at  meat  prices,  the  average  loss  of  218  birds  per  farm  from 
the  laying  flock  would  amount  to  about  $300.  The  actual  loss  in  many 
instances  may  be  much  greater  than  the  value  of  the  birds  for  meat, 
since  heavy  losses  early  in  the  laying  period  reduce  the  potential  earn- 
ing capacity  of  the  flock. 

Mortality  in  old  hens,  based  on  number  of  old  hens  kept  over  for  a 
second  year,  was  18%.  Mortality  in  pullets  was  16.2%.  The  difference 
is  slight  and  probably  not  significant. 

Culling 

Out  of  a  maximum  number  of  birds  per  farm  of  1290,  culling  during 
the  year  removed  850,  or  66%.  Mortality  removed  another  17%,  leav- 
ing only  17%  of  the  original  birds  to  be  inventoried  at  the  end  of  the 
year.  Heavy  culling  started  about  June  15  and  reached  its  peak  about 
October  1,  when  housing  room  was  needed  for  the  new  crop  of  pullets. 
Culling  from  November  to  May  was  low  and  nearly  constant,  averag- 
ing about  11  birds  per  week  per  farm. 

It  is  quite  probable  that  too  heavy  culling  of  the  market-egg  birds 
is  practiced  on  many  farms.  Such  culling  during  the  winter  and  spring 
leaves  the  poultryman  with  a  greatly  depleted  flock  in  July  and  Au- 
gust. But  on  the  other  hand,  many  poultrymen  cull  too  little.  A  careful 
daily  check  on  the  condition  of  individual  birds  is  advisable,  as  certain 
birds  in  good  flesh  can  be  taken  out  and  marketed  as  poultry  meat 
which  otherwise  in  a  few  days  would  show  marked  evidence  of  decline 
and  would  later  appear  as  a  loss. 

Culling  of  healthy  birds  merely  because  their  production  is  below 
certain  standards  can  be  carried  to  extremes.  Their  removal  from  the 
laying  flock  does  not  decrease  the  general  overhead.  Depreciation,  in- 
surance, taxes  and  labor  usually  continue  about  as  before.  On  a  farm 
that  is  housing  birds  to  capacity,  culling  would  have  little  effect  on 
expense  except  to  reduce  the  total  cost  of  feed.  The  decision  of  whether 
to  cull  or  not  can  be  made  largely  on  the  basis  of  returns  in  relation 
to  feed  cost.  For  instance,  a  pen  of  100  birds  would  consume  approxi- 
mately 200  lbs.  of  feed  in  a  week,  which  at  present  prices  would  cost 
about  $3.50.  When  eggs  are  worth  35  cents,  ten  dozen  or  17%  pro- 
duction would  pay  for  the  grain ;  at  25  cents,  fourteen  dozen  or  24% 
production  would  be  needed  to  balance.  As  long  as  the  equipment, 
buildings  and  labor  are  available,  something  above  feed  cost  may  be 
better  than  nothing. 

Or  based  on  a  year's  production  and  assuming  that  a  low  producer 
will  lay  most  of  her  eggs  during  the  low  priced  spring  period,  if  she  is 
able  to  lay  more  than  enough  to  pay  for  104  lbs.  of  feed,  this  small  in- 
come may  be  better  than  none. 


26 


X.  II.  Age.  Experiment  Station        [Bulletin  265 


If  we  assume  a  farm  with  capacity  for  1000  hens  and  with  available 
family  labor  and  if  it  is  further  estimated  that  250  of  these  hens  will 
produce  only  100  eggs  per  year,  culling  them  might  reduce  tin-  gross 
returns  -$600.  The  gross  expenses  might  be  reduced  $500.  Tims  if 
these  birds  were  Left  in  the  flock  the  operator  would  have  $100  more 
cash  at  the  end  of  the  year. 

It  is  desirable  to  grow  more  pullets  than  are  required  and  then  to 
eliminate  carefully  the  poorest  prospects  until  the  number  is  equal  to 
the  capacity  of  the  housing.  The  farm  can  then  operate  to  capacity 
through  most  of  the  year,  and  the  culled  pullets  can  probably  be  sold 
for  enough  to  pay  for  their  cost. 

The  above  discussion  of  culling  applies  only  to  market-egg  flocks. 
The  breeder  or  producer  of  hatching  eggs  and  baby  chicks  cannot  be 
too  strict  in  his  selection  of  birds  in  the  fall  nor  in  his  culling  through- 
out the  breeding  season. 

Rate  of  Decrease  in  Population  of  Laying  Flock 

The  size  of  the  laying  flock  during  the  various  periods  of  the  year  is 
dependent  on  three  factors:  (1)  removal  of  birds  through  death — mor- 
tality; (2)  removal  of  birds  for  sale  or  use  on  the  table— culling;  (3) 
addition  of  birds  to  the  laying  flock  by  housing  or  by  purchase. 

The  number  of  birds  each  week  in  the  average  laying  flock  is  shown 
in  Figure  6.    The  maximum  size  of  flock  was  reached  the  week  of  No- 


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Fioubb  () — Average  weekly  size  or  population  of  23  laying  flocks. 


vember  17.  Due  to  culling  and  mortality  the  number  declined  gradually 
and  at  nearly  a  constant  rate  until  about  June  1.  In  spite  of  the  fact 
that  culling  was  particularly  heavy  from  dune  on,  the  rate  of  decline 
slackened  because  of  the  addition  of  early  hatched  birds  from  the  new 
crop  of  pullets.  However,  in  spite  of  this  increase,  the  total  number  of 
birds  dropped  rapidly  alter  duly  1.  reaching  a  low  point  about  the  first 
of  September. 


May,  1932] 


Economic  Study  of  Poultry  Farms 


27 


This  rate  of  decrease  in  the  laying  flock  from  a  maximum  point  as 
well  as  the  date  of  maximum  population  naturally  varied  considerably 
on  different  farms.  In  order  to  study  this  difference,  the  number  of 
layers  in  four  individual  flocks  each  week  is  charted  for  the  year  on  the 
percentage  basis  in  Figure  7.    The  maximum  number  housed  is  consid- 


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Week  Beginning 


M         ^  —  (vj  eu        -WW        —  —  «^ 


Figure  7 — Weekly  population  of  laying  flock  for  four  farms,  two  of 
which  maintained  their  flock  at  nearly  full  capacity  and  two 
of  which   culled   heavily. 


ered  100%  in  each  case.  These  four  flocks  illustrate  entirely  different 
practices  in  respect  to  culling.  Flocks  Nos.  8  and  4  show  only  a  very 
gradual  decline  in  number  of  birds  from  the  peak  about  October  1.  Ap- 
parently very  little  culling  is  done  on  these  farms  during  the  fall,  win- 
ter and  spring.  In  the  case  of  Flock  8,  out  of  the  100  birds  housed  in 
October,  86  were  still  on  hand  the  following  September  1.  In  the  case 
of  Flock  No.  4,  heavy  culling  did  not  commence  until  May  11.  These 
two  flocks  operated  at  nearly  full  capacity,  as  far  as  number  of  birds 
was  concerned,  for  the  greater  part  of  the  year. 

In  contrast  to  these  flocks,  Farms  Nos.  6  and  3  culled  heavily.  On 
the  last  named  flock,  heavy  culling  started  immediately  after  the  birds 
were  housed  in  the  fall  and  continued  until  June,  when  the  flock  was 
replenished  by  the  addition  of  a  new  crop  of  early  hatched  1930  pul- 
lets. Culling  was  so  extremely  heavy  in  this  flock  that  out  of  each  100 
birds  of  October  20,  only  a  few  over  40  remained  by  the  middle  of 
March,  only  five  months  later.  By  June  1,  the  flock  was  reduced  to  only 
12%  of  the  maximum  number  of  birds.  It  is  obvious  that  this  last  men- 
tioned poultry  plant  was  run  at  full  capacity  for  only  a  very  short 
period. 

Per  Cent  of  Housing  Capacity  for  the  Year 

A  comparison  of  the  average  per  cent  of  capacity  at  which  the  laying 
flock  was  maintained  on  the  various  farms  is  of  value  as  a  measure  of 
efficiency.  The  estimate  in  Table  15,  based  on  a  direct  comparison  be- 
tween the  average  number  of  birds  for  the  year  with  the  maximum 
number  in  the  fall,  shows  that  the  farms  varied  from  89%  to  65.2%  of 
full  capacity. 


28  X.  II.  Agb.  Experiment  Station        [Bulletin  265 

Table  L5     Maximum  and  average  number  of  hints  in    '■'  laying  flocks 
inn!  tin  per  cent  of  capacity  for  the  year 


Farm 

Maximum 

Average  number 

Per  cent  capacity 

Per  cent 

number 

number  l> i r<l  < 

bird--  for  year 

per  year 

prod 

action 

1. 

L273 

991 

78 

39.9 

2. 

610 

471 

77 

33.9 

:; . 

1004 
3099 

654 
2548 

82 

30.9 

4. 

49.7 

1307 
5  1  3 

1040 
354 

80 
69 

34,8 

6. 

43.9 

995 
761 

697 
676 

70 

89 

40.6 

8. 

iii.c 

9. 

1936 
L341 

1519 

967 

78 
72 

36.9 

10. 

37.8 

1  1  . 

2126 
2727 

1614 
2105 

76 

77 

40.0 

12. 

43.0 

13. 

1060 
751 

836 
495 

79 
66 

38.0 

14. 

41.0 

15. 

1057 

704 

67 

39.3 

16. 

613 

458 

75 

36.4 

17. 

862 

583 

68 

39.0 

18. 

1314 

1117 

85 

35.9 

19. 

1000 

687 

69 

40.9 

20. 

1350 

1107 

82 

39.0 

21. 

575 

484 

84 

40.5 

22. 

1731 

1356 

78 

34.9 

23. 

1673 

1433 

86 

38.4 

Total 

29678 

22896 

1290 

995 

77 

39.7 

Six  farms  maintained  an  average  number  of  birds  of  over  80%  of  full 
capacity;  8  farms  from  75%  to  80%  ;  3  farms  from  70%  to  75%  ;  and  6 
farms  were  below  70%.  On  the  average  the  farms  maintained  an  aver- 
age population  of  layers  at  77%  of  the  maximum  housed  in  the  fall. 

Heavy  culling  may  improve  the  per  cent  production  of  an  individual 
flock,  but  a  comparison  of  the  last  two  columns  of  Table  15  shows  little 
correlation.  The  six  farms  which  maintained  an  average  number  of 
birds  of  over  80%  of  capacity  had  an  average  production  of  43.4%.  The 
six  farms  below  70%  of  capacity  averaged  40.5%. 

EGG  PRODUCTION 

The  seasonal  production  of  eggs  is  influenced  by  the  date  of  hatch  of 
the  Laying  flock.  It  will  be  noted  in  Table  16  that  most  of  the  birds  on 
the  23  farms  were  hatched  in  February,  March  and  April.  1929.  Only 
5%,  were  hatched  earlier  than  February  1,  and  on  the  other  hand,  onlv 
16.6%  after  May  1. 

Annual  Egg  Production 

Based  on  average  number  of  birds,  the  average  flock  production  per 
layer  was  145  eggs.  When  expressed  in  per  cent  production,  the  aver- 
age was  39.7%.  Variation  in  flock  production  on  individual  farms  was 
from  113  to  181   eggs  per  bird.    Only  three  Hocks  averaged  over  150 


May,  1932]  Economic  Study  of  Poultry  Farms 


•i!) 


eggs.  Eleven  flocks  averaged  between  140  and  150;  five  between  130 
and  140,  and  four  between  110  and  130  eggs. 

The  pullets  in  all  23  flocks  produced  approximately  150  eggs  per 
bird,  or  41%.  Only  one  flock  was  below  130  eggs.  Four  were  between 
130  and  140,  eight  were  between  140  and  150,  and  ten  were  over  150 
eggs. 

The  production  of  old  hen  flocks,  which  made  up  about  12%  of  the 
total  number  of  layers,  was  considerably  lower  than  that  of  the  pullets, 
being  only  112  eggs,  or  31%-  per  bird.  This  is  38  eggs  less  than  the 
average  pullet  production. 

Toward  the  end  of  the  year,  there  were  a  few  pens  of  early  hatched 
pullets  housed.  The  production  of  these  1930  pullets  averaged  20.8% 
for  the  short  time  before  the  records  were  closed,  and  is  included  al- 
though the  period  was  so  short  that  there  was  little  effect  on  the  flock 
production  for  the  year. 


Table  16- 

-Dii 

■tribution 

of  dates  of  hatch 

showing 

number  of  pullets 

hatched 

oy 

montl 

s  in  laying 

flocks 

on  23  farms  in  1929 

Number  of  pullets 

A 

Farm  No. 

Dec. 

Jan. 

Feb. 

Mar. 

April 

May 

Total 

22 

800 

589 

1389 

11 

. . . 

.... 

735 

252 

430 

(TO 

2067 

5 

... 

.... 

900 

397 

.... 

.... 

1297 

23 

. . . 

.... 

600 

975 

.... 

.... 

1575 

10 

. . . 

.... 

233 

233 

233 

234 

933 

15 

. . . 

.... 

842 

.... 

842 

13 

. . . 

.... 

820 

240 

.... 

1060 

17 

. . . 

.... 

431 

431 

.... 

862 

14 

. . . 

.... 

751 

.... 

.... 

751 

19 

. . . 

175 

825 

.... 

1000 

18 

. . . 

.... 

170 

427 

430 

1027 

i 

. . . 

645 

.... 

350 

.... 

995 

6 

. . . 

.... 

176 

107 

243 

.... 

526 

3 

130 

145 

145 

.... 

300 

142 

862 

9 

.  .  . 

.... 

.... 

1936 

.... 

.... 

1936 

16 

•  •  . 

.... 

.... 

.... 

.... 

484 

484 

1 

.  .  . 

>  ■  •  . 

450 

370 

.... 

255 

1075 

2 

■  .  . 

.... 

.... 

.... 

370 

240 

610 

21 

.  .  . 

271 

.... 

140 

120 

.... 

531 

8 

.  .  . 

.... 

.... 

659 

102 

761 

20 

■  •  ■ 

.... 

.... 

450 

450 

450 

1350 

12 

.  .  > 

.... 

•  .  •  • 

•  •  .  . 

1076 

1076 

2152 

4 

.... 



1400 

1250 

456 

3106 

Total  number 

130 

1236 

4039 

9846 

7421 

4519 

27191 

Per  cent 

.5 

4.6 

14.8 

36.2 

27.3 

16.6 

100% 

Egg  Production  by  Weeks 

Figure  8  indicates  the  average  percentage  production  by  weeks  for 
pullets,  old  hens  and  the  flock  as  a  whole  on  the  23  farms.  Flock  pro- 
duction was  high  from  the  last  week  in  February  to  the  first  of  June 
with  a  peak  in  the  week  beginning  March  30;  the  low  per  cent  produc- 


30 


N.    II.  AGB.   Experiment  Station         [Bulletin   365 


tion  was  iii  October,  November  and  December.  In  a  general  way,  this 
production  curve  is  inverse  to  the  price  curve,  suggesting  that  this 
group  of  poultrymen  is  probably  little  better  than  the  average  in  secur- 
ing high  product  ion  during  the  period  of  high  seasonal  prices. 


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FIgure  8 — Average  weekly  percentage  e^p-  production  curves  on  2:5  farms. 


Of  particular  interest  is  the  comparison  of  old  hens  and  pullets. 
Production  of  old  hens  dropped  off  rapidly  after  September  1  and 
reached  the  low  point  of  5%  on  December  1.  After  this  date  it  in- 
creased rapidly,  reaching  43 %  by  March  1  and  a  peak  of  52 r/<  the  last 
of  May.  Spring  production  of  old  hens  was  nearly  as  high  as  that  of 
pullets,  while  summer  production  averaged  slightly  higher. 

Since  the  old  hens  were  very  low  in  production  in  the  fall  whim  the 
seasonal  high  price  indicates  a  shortage  of  fresh  eggs,  the  practicabil- 
ity of  keeping  old  hens  instead  of  pullets  for  market  eggs  may  be  ques- 
tioned. This  question  will  be  analyzed  in  detail  later  under  comparison 
of  costs. 

Keeping  old  hens  for  breeding  purposes  is  another  question,  and 
probably  is  an  efficient  method  of  maintaining  and  improving  the  qual- 
ity of  the  stock.  High  production  in  the  early  spring  after  a  long  rest 
is  ideal  for  the  production  of  vigorous  chicks.  Hens  which  have  sur- 
vived a  year  of  rigorous  culling  and  hardship  may  be  important  as 
breeders.  In  this  case,  the  low  fall  production  when  market  eggs  are 
high    is    largely    ol'fsel    by    good    production    when    hatching    eggs   are 

needed. 

Seasonal  Production  on  Individual  Farms 

Seasonality  of  v^x  production  varied  greatly  on  different  farms.  In 
Figures  9  and   10,  the  per  cent    production   is  illustrated   by  curves   for 

four  individual  farms.  Flocks  (i  and  4  show  a  high  production  in  Au- 
gust, while  Flocks  3  and  2  do  not  come  to  high  production  until  after 
the  first   of  the   S car. 


May,  1932] 


Economic  Study  of  Poultry  Farms 


31 


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Week  Beginning 

Figure  9 — Weekly  egg  production  curves  on  two   farms   with 


high  fall  production. 


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Week  Beginning 


Figxke  10 — Weekly  egg  production  curves  on  two  farms  with 

low  fall  production. 

It  is  interesting  to  note  that  all  four  flocks  rise  rapidly  in  production 
in  February,  reach  a  peak  some  time  in  March  and  then  slowly  decline. 
From  February  on,  the  production  in  all  flocks  tended  to  follow  similar 
curves.  This  would  seem  to  indicate  that  date  of  hatch,  management 
and  history  of  production  previous  to  March  1  has  little  or  no  effect  on 

spring  laying.  .  .      . 

Individual  farms  fluctuated  more  widely  in  production  than  is  shown 
in  the  curve  of  average  production  in  Figure  8.  The  averaging  of  all 
farms  tends  to  smooth  the  production  curve.  In  the  case  of  Flock  3, 
the  variation  was  from  12%  to  72%  —  a  spread  of  60%. 

Flock  6  consisted  largely  of  early  hatched  pullets.  These  birds  laid 
heavily  in  July,  August  and  September,  then  declined  in  production 
and  went  through  a  molting  or  rest  period  of  about  two  months,  when 
they  dropped  as  low  as  20%.  The  flock  began  to  pick  up  m  production 
in  December,  reaching  a  peak  of  52%)  about  the  first  of  March. 

Flock  4  also  early  hatched,  declined  in  production  from  July  to 
September,  after  which  it  averaged  about  36%  for  over  four  months. 
In  February  and  March,  it  increased  in  production  and  held  at  over 
60%  for  a  period  of  13  weeks. 


32 


X.  II.  Age.  Experiment  Station        [Bclletin-  265 


Flocks  3  and  2  had  a  record  of  very  low  production  behind  them  at 
the  beginning  of  tin*  spring  laying  season.  For  the  period  September  1 
to  February  1,  Flock  2  had  averaged  a  total  of  32.4  eggs  per  hen  and 
Flock  3  had  averaged  2s  eggs  per  hen.  This  contrasts  with  57.6  eggs 
per  hen  for  Flock  6  and  57  eggs  per  hen  for  Flock  4.  It  is  needless  to 
say  that  these  differences  in  production,  especially  at  a  season  when 
eggs  are  high  in  price,  reflect  no  small  difference  in  gross  returns  per 
hen. 

During  the  period  of  this  study,  the  Boston  quotations  of  top-grade, 
fresh  hennery  eggs  averaged  47.4  cents  per  dozen.  In  the  twenty-five 
weeks  when  the  market  was  above  this  average.  Farm  6  produced 
55.5%  of  its  yearly  total  eggs,  while  Farm  2  produced  35.1%. 

The  actual  weekly  production  of  eggs  on  the  group  of  23  farms,  if 
plotted,  would  show  a  curve  slightly  different  from  the  per  cent  pro- 
duction curve  in  Figure  8.  It  would  not  fall  as  low  during  the  fall  nor 
rise  quite  as  high  in  the  spring,  due  to  the  fact  that  per  cent  production 
figures  merely  show  relationship  between  number  of  eggs  and  number 
of  birds  and  do  not  indicate  the  actual  amount  of  eggs  laid.  With  the 
same  per  cent  production,  the  larger  number  of  birds  in  the  fall  pro- 
duce more  eggs  than  the  depleted  flock  in  spring  and  summer.  August, 
September  and  October  seem  to  be  the  low  months  in  numbers  of  eggs 
produced.  March  and  April  are  the  peak  months.  August.  September 
and  October  are  the  months  of  low  total  production,  and  fresh  egg 
price  quotations  are  high;  February,  March  and  April  are  the  months 
of  high  total  production  and  prices  are  low. 

In  Figure  11,  the  disposition  of  the  eggs  is  shown  by  four-week  peri- 
ods. Since  eight  of  the  farms  sold  a  considerable  number  of  hatching 
eggs  or  chicks,  the  average  supply  of  eggs  going  to  the  market  was 
actually  low  in  January.  February  and  March.    In  February,  over  half 


/Eggs  used  tor 

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I'n. i  re  ii     Disposal  of  eggs  by  4-week  periods  on  2:i  farms. 


May,  1932]  Economic  Study  of  Poultry  Farms  33 

of  the  eggs  produced  were  used  or  sold  for  hatching  purposes,  and  in 
December  and  March,  over  one-third.  Since  these  farms  handled  more 
eggs  for  hatching  than  was  required  for  reproducing  their  own  stock, 
the  solid  portion  of  the  chart  illustrates  one  of  the  problems  facing  cer- 
tain commercial  growers  in  supplying  a  regular  market.  Since  they  do 
supply  large  quantities  at  a  time  when  eggs  are  short,  they  have  so  far 
been  able  to  fit  into  the  marketing  scheme  very  nicely.  There  is,  how- 
ever, the  problem  of  getting  a  market  back  after  surrendering  it  to 
others  for  a  portion  of  the  year.  On  one  farm  approximately  98%  of 
the  eggs  in  February  were  used  or  sold  for  hatching.  Only  a  few  dozen 
eggs  went  to  market  that  month,  compared  with  22  cases-  weekly  in 
October. 

On  these  farms  as  a  whole,  approximately  30,800  more  chicks  were 
hatched  than  were  brooded  so  that  it  might  be  said  that  in  general  the 
solid,  the  shaded  and  about  20%  of  the  white  area  in  Figure  11  would 
illustrate  the  marketing  of  eggs  if  hatching  were  confined  to  individual 
requirements.  Or,  estimating  another  way,  the  98,032  chicks  brooded 
on  these  farms  would  require  about  11,670  dozen  eggs  a  year  for  hatch- 
ing based  on  a  70%  hatch,  and  these  would  be  taken  from  the  amount 
produced  during  the  months  of  January,  February  and  March.  This 
would  roughly  absorb  15%  of  the  eggs  produced  during  that  season. 

The  local  egg  market  is  affected  by  holding  eggs  for  hatching,  and 
thus  is  influenced  by  the  expansion  or  decline  of  the  broiler  industry. 
In  the  mid-west,  eggs  are  withheld  for  hatching  largely  in  April  and 
May  when  supplies  are  very  large,  which  helps  to  smooth  out  the  pro- 
duction curve  of  eggs  of  that  region. 

EGG  SIZE 

The  income  from  the  laying  flock  depends  not  only  on  the  number  of 
eggs  produced  but  also  on  their  quality  and  their  size.  Different  strains 
of  birds  vary  greatly  in  their  production  capacity  and  also  in  the  size 
of  eggs.  In  many  instances  where  breeders  have  attempted  to  develop 
strains  of  high  producing  ability,  the  size  of  eggs  has  been  ignored.  At 
the  present  time,  however,  more  and  more  importance  is  being  placed 
on  this  factor. 

Egg  Size  Distribution  by  Age  of  Pullets 

Then,  too,  there  is  a  progressive  change  in  egg-size  distribution  as 
pullets  grow.  In  the  first  few  weeks  of  production  there  is  a  very  large 
proportion  of  "pullet  eggs,"  while  six  months  later  practically  all  the 
eggs  may  be  above  24  ounces. 

Weekly  egg-size  distributions  were  obtained  on  22  Ked  flocks  of 
known  ages.  To  secure  this  data,  a  pen  or  group  of  birds  on  each  farm 
was  selected ;  on  a  given  farm  the  birds  were  of  uniform  age.  From  the 
production  of  each  of  these  groups,  a  sample  of  100  eggs  was  secured 
weekly.  Ordinarily,  this  sample  represented  the  eggs  gathered  on  the 
day  of  the  field  man's  visit.  Each  egg  was  weighed  individually,  and 
its  weight  recorded  by  checking  in  ounce  classes.  Thus,  for  each  pen 
of  known  age,  a  percentage  distribution  of  eggs  into  ounce  classes  was 
made.  Then  the  change  of  distribution  of  size  of  eggs  could  be  com- 
pared week  by  week. 


34 


N.  li.  Agr.  Experiment  Station        [Bulletin  265 


The  average  distribution  of  egg  sizes  is  shown  at  four  different  ages 
in  Figure  12.  The  curve  at  the  lefl  illustrates  the  distribution  at  24 
weeks  of  age.  It  will  be  noted  that  a  greater  part  of  the  eggs  produced 
fell  below  the  20-ounce  line  and  that  only  a  few  eggs  were  over  24 
ounces.  At  thirty  weeks  of  age.  the  entire  curve  of  distribution  has 
moved  to  the  right  about  21  L>  ounces.  At  forty  weeks,  the  curve  is 
practically  the  same  in  shape  and  range  but  is  to  the  right  of  the  thirty- 
week  curve  by  about  2  ounces;  and  again  the  fifty-week  curve  is  quite 
similar  except  that  it  is  still  further  to  the  right.  The  highest  point  of 
the  curve  of  the  L'4-week  old  pullets  was  20  ounces;  of  the  30-week  old 
pullets,  21. and  22  ounces;  of  the  40-week  pullets,  24  ounces;  and  of  the 
50-week  pullets,  26  ounces. 


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Weight  of  Eggs  -  Oz  per  Doz. 


I'"i< h  uk  12     Average  egg  size  distribution  of  22  Rhode  Island  lied  pullel 

flocks  at    four  different    ages. 


This  distribution  of  eggs  by  ages  has  an  important  bearing  on 
grades.  In  order  to  study  the  effect  of  size  of  eggs  on  gross  returns,  the 
distribution  for  each  week  was  separated  into  three  weight  classes: 
(1)  24  ounces  or  over,  (2)  20  ounces  up  to  24  ounces,  and  (3)  under 
20  ounces.  This  classification  is  a  little  stricter  than  the  state  grades, 
but  seems  the  most  practical  division. 

Distribution  of  Eggs  into  Grades  by  Age  of  Pullets 

In  Red  flocks,  as  shown  in  Figure  b'5,  the  number  of  eggs  under  20 
ounces  dropped  quickly  from  SO',  al  22  weeks  of  age  to  about  10$  at 
30  weeks  of  age.  The  proportion  of  large  eggs  (over  24  ounces)  in- 
creased from  5%  at  22  weeks  of  age  to  approximately  80%  at  50  weeks 
of  age,  after  which  there  was  no  significant  change  in  weight.  At  2!> 
weeks  of  age,  less  than  1.V,'  of  the  eggs  were  over  24  ounces,  an  I  less 
than  15$    were  under  20  ounces.    In  other  words,  at  this  age  the  aver- 


May,  1932] 


Economic  Study  of  Poultry  Farms 


35 


age  Red  flock  was  producing  mainly  medium-sized  eggs.  Prom  50 
weeks  on,  80r/i_  of  the  eggs  were  24  ounces  and  over;  20%  were  20  to  23 
ounces,  and  practically  none  were  under  20  ounces. 


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average  22  red  flocks 


In  the  only  flock  of  Rocks  available,  the  eggs  over  24  ounces  in- 
creased in  number  from  2%  at  30  weeks  to  approximately  60%  at  45 
weeks.  In  three  flocks  of  White  Leghorns,  the  per  cent  of  eggs  over  24 
ounces  changed  from  5%  at  24  weeks  to  60%  at  35  weeks  and  to  ap- 
proximately 80%  at  50  weeks.  Since  the  number  of  Rock  and  Leghorn 
flocks  was  limited,  the  data  may  not  be  representative  and  no  intent  is 
made  here  to  compare  the  breeds. 

Effect  of  Dates  of  Hatch  on  Distribution  of  Eggs  in  Grades 

The  proportion  of  large  eggs  at  different  months  was  estimated  for 
six  different  dates  of  hatch.  It  was  assumed  that  the  average  egg-size 
distribution  of  the  22  Red  flocks  at  each  age  was  representative  of  the 
strains  in  New  Hampshire,  and  also  that  it  was  the  same  for  all  dates 
of  hatch  for  each  age.  The  January-hatched  pullets  would  thus  have 
42%  large  eggs  in  September,  58%  in  October,  66%  in  November  and 
80%  in  December.  On  the  other  extreme,  June-hatched  pullets  would 
begin  to  lay  in  December,  but  would  have  42%  large  eggs  in  February, 
58%  in  March  and  would  not  be  up  to  80%  until  May.  Of  course,  if 
each  pen  were  kept  housed  for  a  year,  the  June-hatched  pullets  would 
be  laying  large  eggs  in  the  fall  of  the  next  year.  April-hatched  pullets 
would  be  laying  42%  large  eggs  in  December,  58%  in  February,  66% 
in  March  and  80%  in  April. 

For  very  early  hatched  pullets,  provision  can  be  made  to  lay  on 
range  from  July  to  October.  They  can  then  be  housed  from  November 
to  the  next  November  when  the  new  crop  of  pullets  would  require  the 
house.  Thus,  without  adding  to  the  housing  capacity,  the  birds  are 
kept  for  about  16  months  after  beginning  to  lay.  The  mixture  of  pul- 
lets' and  old  hens'  eggs  would  influence  the  size  of  eggs  marketed  from 
July  to  October,  according  to  the  proportion  of  older  birds  and  the 
production  of  each  group.  In  the  fall  months  when  egg  prices  are  high, 
a  few  poultrymen  are,  thus,  able  not  only  to  expand  their  laying  popu- 
lation but  also  to  secure  more  large  eggs. 


36 


\.   li.  A<;r.  Experiment  Station        |Billetix  -0)7) 


Difference  in  Egg  Size  Between  Flocks 

There  was  a  marked  difference  in  flocks  in  egg-size  distribution.  The 
three  flocks  that  were  first  to  reach  a  point  where  75%  of  the  eggs 
weighed  24  ounces  or  more  to  the  dozen  were  selected  as  "high"  flocks. 
The  three  that  failed  to  reach  this  point  during  the  year's  production 
period  were  considered  as  "low"  flocks.    As  shown  in  Figure  14,  the 


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£5  30  35  40  45 

Age  of  Flock  in  Weeks 


50 


55 


60 


Figure  14 — Comparison  of  three  high,  three  low  and  average  Red  flocks 
in  per  cent  large  eggs   (24  ounces  or  over)  at  various  ages. 

three  high  flocks  were  consistently  higher  in  per  cent  of  large  eggs 
■over  the  entire  period.  At  50  weeks  of  age,  roughly,  87%  of  the  eggs 
of  the  high  flocks  were  above  24  ounces  as  compared  to  61%  in  the  low 
flocks.  The  average  weight  of  one  dozen  eggs  from  mature  birds  was 
26  ounces  in  the  high  and  24.13  ounces  in  the  low.  Both  groups  reached 
the  point  of  maximum  egg  size  at  approximately  45  weeks. 

The  question  arises  as  to  whether  or  not  production  was  enough 
greater  on  these  Low  egg-size  flocks  to  offset  the  disadvantage  in  egg 
size.  The  three  large  egg  flocks  produced  148.9  eggs  per  bird  and  the 
small  egg  floeks  150.4  eggs  per  bird — a  difference  too  small  to  be  sig- 
nificant. 


THE  PROBLEM  OF  DATE  OF  HATCH 

The  problem  of  best  date  of  hatch  involves  expected  egg  production 
at  different  dates,  sizes  of  eggs  at  different  dates,  price  of  various 
grades  at  different  dates,  and  cost  of  raising  pullets  at  different  dates 
of  hatch. 

The  price  received  by  the  farms  in  this  study  varied  greatly  on 
account  of  different  markets;  some  sold  at  wholesale  at  the  door,  others 
shipped  to  Boston  and  still  others  marketed  all  or  part  of  their  eggs  at 
retail.  The  market  quotations  of  the  Boston  Globe  for  the  period  have 
•accordingly  been  used  as  data  for  the  price  problem  involved  in  date  of 


May,  1932] 


Economic  Study  of  Poultry  Farms 


3? 


hatch.  Prices  for  the  medium  and  small  grades  were  not  always  avail- 
able and  in  many  instances  were  estimated.    (Figure  15.)    The  medium 


70 
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60 
58 
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50 
48 
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Figure  15 — Price  curves  for  three  grades  of  eggs  froni  June,  1929,  to 
September,  1930,  based  on  Boston  near-by  hennery,  brown, 
quotations.  (Due  to  incomplete  market  quotations,  the 
curves  for  the  Numbers  2  and  3  grades  were  in  part  esti- 
mated.) 

grade  eggs  run  approximately  20%  below  the  top  grade  in  price,  and 
the  small  eggs  approximately  40%  below  the  top. 

It  is  a  well  known  fact  that  birds  hatched  at  different  dates  tend  to 
follow  different  curves  in  their  production.  These  differences  are  par- 
ticularly marked  in  the  case  of  very  early  hatched  birds  as  compared 
with  late  hatched.  Unfortunately,  we  were  able  to  secure  separate  pro- 
duction figures  on  birds  of  definite  hatches  from  only  nine  lots  of  birds. 
(In  most  cases,  each  lot  represented  a  pen.)  Comparison  is  complicated 
by  the  fact  that  the  birds  were  in  different  flocks,  of  different  strains 
and  under  different  management  and  conditions.  Accurate  determina- 
tion of  the  differences  in  production  curves  could  only  be  obtained 
through  a  large  number  of  records.  However,  from  the  limited  data 
available  typical  production  curves  are  plotted  in  Figure  16*  for:  (1) 
December  and  January-hatched  birds;  (2)  March  birds;  (3)  May 
hatched  birds. 

1.  Production  Curve  on  Early  Hatched  Birds  (December  and  January) 

In  general,  very  early  hatched  birds  produce  heavily  during  July, 
August  and  September  of  the  first  laying  years,  and  usually  go  into  a 
partial  molt  the  latter  part  of  September  or  in  October.  Production  is 
low  during  the  period  October  1  to  February  1.   These  birds,  after  their 


*  The  curves  of  production  for  the  different  dates  of  hatch  as  plotted  are 
the  average  weekly  per  cent  production  curves  smoothed  by  hand. 


:;s 


N.  II.  Age.  Expebimeni   Station 


[  Bulletin  -it;;, 


rest  period,  produce  heavily  during  February,  March  and  the  spring 
months.  Peak  production  will  lie  reached  about  March  !>.  It  is  inter- 
esting to  note  thai  spring  production  on  these  early  birds  is  only 
slightly  Lower  than  that   of  May  hatched  birds. 


M 


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—  <sjr^        — nSJ         —  •■  pj        ^--(*jcj        •-  ^w         ==  *-*0         ""  _  ^  Sj         —  —  to  —  cu  —  Kj  o         —  (sj  •*-!         •-  —  esj  -w  Ri         —  fij  «vj         —  —  m  e 


£     i 


E 


Figure  16     Assumed  percentage  production  curves  for  pullets  of  three 

different   dates  of  hatch 


2.  Production  Curve  on  March  Hatched  Birds 

.March  birds,  representing  a  medium  date  hatch,  do  not  reach  as  hign 
a  peak  in  early  production  as  do  the  earlier  birds,  bnt  the  slump  due  to 
molt  is  not  as  great  nor  of  as  long  duration.  Peak  production  is  reached 
about  the  middle  of  March, — about  two  weeks  later  than  is  the  case 
with  the  earlier  birds. 


3.  Production  Curve  on  May  Hatched  Birds 

Production  on  May  birds  shows  a  gradual  increase  until  the  peak  is 
reached  about  the  middle  of  April.  While  it  does  not  reach  a  very  high 
point  until  March,  the  increase  is  gradual  and  is  not  interrupted  by 
any  molting  period.  The  spring  peak  in  the  case  of  late  hatched  bird's 
comes  about  six  or  seven  weeks  later  than  that  of  early  or  medium 
birds. 

These  figures  are  subject  to  great  modification  through  certain  man- 
agement methods  and  systems.  A  \\>\v  poultry  men  are  able  to  carry 
March  hatched  birds  through  without  a  molt,  It  is  also  true  that  May 
birds,  through  mismangement,  sometimes  go  through  a  molt.  However, 
it  is  thought  that  the  production  curves  are  fairly  typical  and  repre- 
sent the  tendency,  at  least,  of  the  curves  of  production  of  birds  of  these 
hatching  periods. 


doz. 

cents 

8,432 

$3687.46 

43.73 

7,968 

3361.82 

42.19 

8,111 

3196.27 

39.41 

Mat,  1932]  Economic  Study  of  Poultry  Farms  39 

The  Effect  of  Date  of  Hatch  on  Value  of  Total  Yearly  Output 

Applying'  the  production  curves  and  the  egg-size  figures*  to  the  price 
quotations,  the  comparative  market-egg  value  of  the  yearly  product 
for  the  three  hatching  dates  is  shown  in  Table  17.  In  arriving  at  these 
estimates,  mortality  and  culling  were  assumed  to  take  place  at  the 
same  rate  for  all  three  groups,  leaving  the  same  number  of  birds  at  the 
end  of  the  52nd  week  of  laying.  The  estimates  were  worked  out  on  the 
hasis  of  1000  birds  housed  in  the  fall. 

Table  17 — Date  of  hutch  and  value  of  annual  product  of  1,000  birds  assuming 
average  mortality  and  culUng  rate,  and  per  cent  production  curves 

as  in  Figure  19 

Total  Total  Value 

Date  of  hatch  production  value  eggs  per  dozen 

Early  (Jan.  ]  ) 

Medium     ( Mar.  7 ) 

Late  (May  7) 


The  gross  income  from  early  hatched  pullets  was  thus  found  to  be 
43.7  cents  per  dozen;  from  medium  hatched,  42.2  cents  per  dozen,  and 
from  late  hatched  39.4  cents  per  dozen. f  In  production  the  early 
hatched  birds  have  an  advantage  of  over  4  cents  per  dozen,  or  approxi- 
mately 50  cents  per  hen,  over  late  hatched  pullets.  While  it  may  re- 
quire more  skill  to  handle  the  early  hatched  pullets,  the  limited  data 
available  indicate  that  early  hatched  birds  produce  a  greater  gross 
value  than  do  late  hatched  pullets.  There  are  no  data  available  to  indi- 
cate any  significant  difference  in  cost  of  producing  the  pullets  at  dif- 
ferent dates. 

Evening  Up  Production 

The  poultryman,  in  his  decision  as  to  the  time  of  hatching  chickens, 
must,  of  course,  consider  the  probable  production  curves  of  these  birds. 
If  he  desires  heavy  spring  production  for  hatching  egg  purposes,  he 
may  do  well  to  hatch  rather  late — in  April  or  May.  If,  on  the  other 
hand,  market  eggs  are  the  sole  interest,  early  hatching  should  be  con- 
sidered. 

In  many  cases,  it  is  very  desirable  that  production  be  evened  up,  par- 
ticularly where  a  steady  supply  of  market  eggs  is  required.  The  poul- 
tryman may  then  wish  to  spread  his  hatching  dates  over  a  considerable 


*  The  average  distribution  of  eggs  into  grades  as  shown  for  22  flocks  in  Fig- 
ure 13  was  assumed  as  the  expected  distribution  for  any  given  age  regardless 
■of  date  of  hatch. 

t  Tn  comparing  gross  income  from  the  year's  production  of  pullets  of  differ- 
ent dates  of  hatch  from  the  limited  data  available,  emphasis  is  to  be  placed  on 
the  gross  returns  per  dozen  eggs  rather  than  total  gross  value.  Comparison  on 
.  the  latter  basis  involves  differences  in  total  dozens  produced,  while  compari- 
sons per  dozen  is  more  a  comparison  of  the  shape  of  the  production  curve, 
ignoring  to  a  large  extent  differences   in   total  production. 


40  X.  II.  Age.  Experiment  Station        [Bulletin  265 

period,  including  some  early  as  well  as  sunn'  late  birds.  Good  produc- 
tion during  July,  August  and  September,  which  are  usually  low 
months,  can  be  secured  by  having  early  hatched  birds. 

Efficiency  in  Use  of  Equipment 

Economy  and  efficiency  in  the  use  of  equipment  and  brooding  facili- 
ties demand  in  many  cases  the  raising  of  two  or  more  lots  of  chickens, 
'■specially  where  any  considerable  number  of  birds  are  brooded.  For 
instance,  the  man  requiring  2000  chicks  might  have  half  of  them 
hatched  during  January  or  February,  and  the  remainder  during  April 
or  May.  The  early  chicks  could  be  put  on  range  by  the  time  the  brood- 
ing equipment  was  required  for  the  later  ones.  In  this  manner  a  con- 
siderable number  of  chicks  may  be  raised  with  limited  equipment, 

In  some  cases  the  very  early  hatched  pullets  have  been  carried  on 
range  during  the  first  three  or  four  months  of  their  production  period. 
Whether  this  can  be  done  by  all  poultrymen  without  disturbing  the 
production  curve  as  assumed  for  birds  of  that  date  of  hatch  is  a  ques- 
tion. But  for  the  men  who  are  able  to  do  it,  the  flock  can  be  carried  as 
layers  for  16  months  with  housing  capacity  for  12  months,  and  the 
doubling  up  would  come  at  a  season  of  relatively  high  prices, — July, 
August,  September  and  October. 

The  determination  of  proper  date  of  hatch  is  largely  a  problem  for 
the  individual  poultryman.  Differences  in  markets,  skill  and  experi- 
ence, and  in  equipment  and  buildings  will  bring  men  to  different  con- 
clusions. 

COST  OF  PRODUCING  EGGS 

Eggs  a  Joint  Product 

The  feed,  labor  and  other  expenses  entering  into  the  poultry  enter- 
prise result  in  eggs,  fowl,  broilers,  etc.;  thus,  eggs  are  a  joint  product 
with  poultry  meat.  While  it  may  be  possible  to  assign  certain  costs  to 
the  whole  enterprise,  the  separation  of  the  cost  of  producing  eggs  in- 
volves much  arbitrary  allocation.  Whenever  the  joint  products  or 
by-products  are  unimportant  and  have  little  value,  a  rough  separation 
can  be  made  by  crediting  the  value  of  the  minor  product  to  the  cost  of 
the  major  product.  But  whenever  the  joint  products  are  equal  or 
nearly  equal  in  value,  Hie  costs  of  any  one  product  cannot  be  satisfac- 
torily separated  from  the  costs  of  the  other.  Estimates  on  the  cost  of 
producing  eggs,  therefore,  must  of  necessity  be  subject  to  wide  fluctu- 
ations, depending  on  changes  in  price  of  poultry  meat  as  well  as  in  cost 
of  grain. 

A  Formula 

In  a  rough  way,  as  an  average  of  the  farms  studied,  17  lbs.  of  feed, 
0.6  hours  of  labor,  4^  of  supplies  and  18. 1(-  in  overhead,  produced  0.4 
pounds  broiler,  0.7  pounds  fowl.  0.3  day-old  chick  and  one  dozen  eggs. 
And  since  the  price  of  broilers,  fowl  and  feed  fluctuate  greatly  in  value, 
perhaps  this  is  as  useful  a  method  of  studying  cost  of  producing  eggs 
as  any  other.  By  substituting  the  market  prices  of  fowl,  broilers  and 
Iced,  the  poultryman  may  have  a  guide  as  to  how  he  is  likely  to  come 
out  under  assumed  conditions.    Since  these  are  average  figures,  the  in- 


May,  1932]  Economic  Study  of  Poultry  Farms  41 

dividual  poultryman  should  make  adjustments  in  the  formula  to  more 
nearly  fit  his  special  case.  Some  operators  would  have  larger  and  oth- 
ers smaller  inputs  per  dozen  eggs. 

However,  if  this  formula  is  to  be  used  for  outlook  work,  it  is  well  to 
note  that  some  of  the  costs  enumerated  above  may  not  materially 
■change  whether  the  operator  keeps  hens  or  not.  The  13.7^-  for  overhead 
is  based  on  interest  on  estimated  investment,  depreciation,  insurance, 
etc.,  and  these  items  would  continue  even  if  the  hens  were  all  sold. 

Use  of  Formula  in  Outlook  Work 

To  illustrate  how  the  cost  formula  may  be  used,  we  may  assume 
approximate  prices  in  the  spring  of  1932: 

30^  grain         "1  C    8^  broilers 

18^  labor  I  J    14^  fowl 


4^  supplies 
13.7^  overhead 


y 


5^  chicks 

1     dozen  eggs 


or 
1  dozen  eggs  =  65.7  -  27  =  38.7^ 

It  would  appear  under  the  assumption  of  the  formula  that  the  poul- 
tryman must  average  38.7^  for  his  eggs  if  he  is  to  receive  wages  of  30^ 
an  hour  for  his  time,  5%  return  on  estimated  investment  and  an  allow- 
ance for  depreciation.  However,  if  he  decided  from  a  review  of  the 
outlook  that  the  price  of  eggs  for  the  year  would  average  lower  than 
38.7^,  he  might  still  decide  to  keep  on  because  some  return  on  capital 
invested  and  some  return  on  labor  are  better  than  no  return.  If  eggs 
averaged  only  25^  per  dozen,  he  would  be  able  to  get  some  return  above 
the  cost  of  feed  and  supplies.  It  will  be  noted  that  a  five-cent  decrease 
in  value  of  broilers  and  fowl  per  pound  raises  the  estimated  cost  of  pro- 
ducing eggs  by  approximately  five  cents  per  doz.  Such  a  formula  may 
have  some  value  in  showing  the  relationship  between  cost  factors,  cred- 
its for  by-products,  and  cost  of  eggs  and  enable  the  individual  to  have 
a  better  measure  of  his  position  relative  to  other  years. 

Since  these  costs  are  based  on  assumptions  of  rate  of  wages,  return 
■on  estimated  investment,  etc.,  and  since  the  value  of  these  is  somewhat 
dependent  upon  the  value  of  eggs,  the  definite  figure  on  cost  of  produc- 
ing eggs  has  little  value  in  itself  and  should  be  used  only  for  relative 
-comparison  with  other  years  or  as  a  means  of  roughly  comparing  effi- 
ciency on  individual  farms. 

^Relative  Comparison  of  Cost  of  Producing1  Eggs 

Although  eggs  are  a  joint  product  with  fowl  and  broilers,  in  order  to 
-study  some  of  the  management  problems  in  more  detail,  the  cost  of  pro- 
ducing eggs  was  estimated  for  each  of  the  23  farms.  For  this  purpose 
many  of  the  cost  items  had  to  be  allocated  arbitrarily  and  the  inven- 
tory of  pullets  at  the  beginning  of  the  year  was  given  a  definite  value. 
Since  the  same  methods  of  allocation  and  same  assumptions  were  made 
in  the  case  of  each  farm,  the  results  should  roughly  indicate  the  com- 
parative costs.   The  costs  are  based  on  the  following  assumptions : — 

1.  Value  of  pullets  at  housing  time  was  assumed  at  $2.00 — 


•■' 


N.  II.  Age.  Experiment  Station 


Bulletin  265 


approximately  the  market  price  at  the  time.  (It  should  be 
noted  that  this  market  price  is  dependent  somewhat  on  the 
outlook  for  egg  prices  during  the  winter  and  also  on  the 
market  for  fowl.) 

2.  Owner's  labor  was  valued  at  -Kir  per  hour  on  all  farms. 
Other  labor  was  charged  at  actual  cost. 

3.  Overhead  was  estimated  by  allocating-  insurance,  taxes,  in- 
terest, etc.,  on  the  estimated  investment  between  liens,  pul- 
let-rearing and  other  enterprises. 

-f.  Costs  were  based  on  production  for  market  eg<_;-s  only  and 
such  extra  costs  as  15.  \Y.  1).  testing,  certification,  the  keep- 
ing of  breeding  cockerels  and  cock  birds,  were  not  included. 

On  this  basis  the  relative  importance  of  the  different  cost  items  is 
shown  in  Figure  17. 


ITEM 


COST 
PER  DOZ. 


Percent  or  Total  Cost 

10       15      20     25      30      35     40 


45 


Teed 

l1  8  c  93 

Depreciation  on  Stock 

10.3 

Labor 

loo          9HHH 

Use  or  Buildings 

3.3        UH 

Misc.  Supplies 

m 

Interest  on  Stock 

.9       B 

Takes 

.8        1 

Litter 

.5       1 

Insurance 

4 

Use  of  Equipment 

4        1 

Land 

.3 

Grit  and  Oyster  Shells 

.3        1 

TOTAL 


501 


Figvre  17— Cost  <>f  producing  markel  e<^s        average  2:!  farms. 


Peed  per  dozen  eggs  averaged  8.3  lbs.,  or  21.8  cents  per  dozen.* 
was  approximately  43%  of  the  cost. 


This 


■  fi:i:d  cost 

The  amount  of  feed  consumed  by  the  laying-  flock  was  estimated  by  subtract- 
ing tlie  estimated  amount  consumed  by  cockerels  in  the  laying  pen  from  the 
total  feed  supplied  to  birds  in  Laying  pens.  It  was  assumed  for  this  purpose 
that  the  amount  consumed  l>y  pullets  and  cockerels  was  the  same.  The  produc- 
.'?<;. 7 sd.ti  do/en  eggs  required  the  consumption  of  3,305,717  pounds 


(ion    of    tin 

of    feed,  divided    as   follows: — 


Total 

i  ml 


Pounds  per 
dozen  <'^s 


Total 
cost 


Cost  per 
dozen  eggs 


Mash     -H7.:::::; 

Scratch    1,355,962 

Cod    liver    oil 2,422 

Ca  rt  ing  a  nd  sacks 

Total    feed    :2.:;o:..7i7 


:c42:i 

$29,625.40 

$.107 

1.899 

:.'<>,;i.-)<;.:{0 

.IOC) 

.009 

328.80 

.001 



168.71 

.0006 

8.33 


$59,479.21 


$.215 


May,  1932 1  Economic  Study  of  Poultry  Farms  43 

Depreciation  in  stock  was  10.3  cents  per  dozen  eggs,  or  20.6%  of  the 
total  cost.!  This  is  due  to  losses  from  mortality  of  birds  as  well  as 
shrinkage  in  value  per  bird  when  fowl  are  sold.  This  expense  is  de- 
pendent to  some  extent  on  the  inventory  value  of  birds  at  housing  time. 

Approximately  one  quarter  hour  of  man  labor  was  used  per  dozen 
eggs;  this  is  approximately  10  cents  per  dozen,  or  20%  of  the  total  cost. 

Use  of  buildings  was  3.3  cents  per  dozen,  or  7%  of  total  cost, 

It  is  evident  from  a  study  of  the  bar  chart  that  feed,  depreciation  in 
stock,  labor  and  use  of  buildings  constitute  about  90%  of  the  total 
•costs. 

The  relative  costs  on  each  of  the  individual  farms  are  shown  in  Table 
18  on  the  basis  of  cost  per  hen  and  in  Table  19  on  the  basis  of  cost  per 
dozen  eggs.  In  each  table  the  farms  are  arranged  in  the  order  of  the 
total  cost  per  dozen  eggs.  The  comparison  of  the  cost  items  on  these 
individual  farms  may  be  facilitated  by  studying  both  tables  and  noting 
in  detail  the  situation  on  a  few  of  the  farms.  The  reader  if  interested 
can  himself  carry  the  comparisons  to  a  study  of  all  the  farms. 

The  first  farm,  marked  A,  produced  eggs  for  42.2^  per  dozen.  On  this 
farm,  the  feed  cost,  the  depreciation  on  hens  and  use  of  buildings  and 
the  total  cost  per  hen  were  above  the  weighted  average,  while  the  labor 
•cost  was  below  the  average.  But  on  account  of  the  very  high  produc- 
tion of  49.7%,  all  these  costs  are  below  the  average  when  based  on 
per  dozen  eggs.  This  farm,  which  would  rank  fourteenth  on  the  list 
if  on  the  basis  of  cost  per  hen,  was  first  in  low  cost  per  dozen.  It  will 
be  noted  that  its  consumption  per  bird  was  98  lbs.  as  compared  to  the 
weighted  average  of  101  lbs.,  but  that  its  feed  cost  was  $2.91  per  cwt. 
as  compared  to  the  weighted  average  of  $2.62. 

The  second  farm,  B,  produced  eggs  for  44.1  cents  per  dozen.  In  this 
case  the  feed  consumption  per  hen  is  2  lbs.  below  A,  but  with  less  ex- 
pensive feed  per  cwt.  the  cost  of  feed  per  hen  was  22  cents  below  that 
of  farm  A.  Depreciation  on  hens,  building  costs  and  labor  costs  were 
low.  With  a  production  of  36.9%,  or  about  3%  below  the  average,  the 
feed  cost  per  dozen  eggs  was  above  average,  but  other  costs  were  below 
average. 

tDEPRECIATION  ON  STOCK 

Depreciation  on  stock  was  determined  by  subtracting-  the  value  of  fowl  sold, 
eaten  on  the  farm  or  on  hand  at  end  of  year  from  the  inventory  value  at  the 
beginning  of  the  year. 


Number  Value 


Old  hens  September   1,   1929 

Pullets   housed   during  fall 

Total    birds    

Sale    fowl     

Fowl  eaten  on   farm 

Inventory  1930    (1929  birds  remaining) 
Depreciation      


10.8S2 

27,748 

$15,376.65 
.-,5,478.00 

38,630 

18,717 
646 

14,318 

$70,854.65 

$25,227.07 

683.16 

16,431.10 

28,513.32 

ll  X.  II.  Agr.  Expehiment  Station        [Bulletin  265 

Table  18 — Annua!  costs  per  bird  "n   .'•>'  laying  flocks 


Farm 

Feed 
per  hen 

Ration 

cost 

per  100 

[•otal 

labor 
per  hen 

hrs. 

I  osl 

feed 

per  hen 

Depre- 
ciation 
on  sto< k 

Labor 

I'sf  of 

bldgs. 

Other 
costs 

Total 
costs 

A 

08.0 

$2.91 

2.7 

$2.85 

$1.42 

$.91 

$.53 

$.68 

$6.39- 

B 

'.if,.:, 

2.73 

2.4 

2.63 

.88 

.84 

.15 

.44 

4.94 

(' 

98.6 

2.11 

2.1 

2.38 

.93 

.82 

.41 

.30 

1.8  l 

I) 

84.9 

2.70 

::.:. 

2  '.' '.  i 

1.69 

1.40 

.33 

.39 

6.10 

E 

104.:; 

3.07 

2.7 

! 

.99 

1.04 

.16 

.19 

5.58 

F 

108.9 

2.:;  3 

:;.i 

2.5  l 

1.32 

1 . 1  5 

.31 

.:;2 

5.64 

G 

1  19.8 

2.40 

3.5 

2  81 

.94 

.37 

.48 

6.00 

H 

108.3 

2.:;'.i 

3.6 

2.59 

1.28 

1.20 

.20 

.64 

5.91 

! 

in:.'. 7 

2.63 

::..-. 

2.70 

1.24 

1.19 

.30 

.67 

6.10 

J 

n:.:. 

2.63 

:;.7 

2.56 

.87 

1.4  6 

.45 

.87 

6.21 

K 

116.8 

2.79 

2.:. 

3.26 

.79 

.90 

.66 

.59 

6.20' 

L 

95.0 

2.48 

7.1 

2.36 

.96 

2.59 

.44 

.;.:; 

6.88 

M 

106.9 

2.59 

2.1 

2 . 3  7 

1.35 

.95 

.21 

.61 

5.89 

N 

100.5 

2.63 

3.5 

2.64 

1.17 

1.34 

.36 

.39 

5.90 

() 

97.4 

2.33 

:;.;. 

2.27 

1.36 

1.38 

.24 

.53 

5.78 

1" 

97.6 

2.58 

2.8 

2.52 

.99 

1.12 

.31 

.77 

5.71 

<.» 

95.4 

2. (17 

2.1 

2..").". 

1 .95 

.94 

.47 

.57 

6.48 

E 

81.7 

2.58 

:;.:; 

2.11 

1.60 

1.30 

.70 

1.11 

6.82 

s 

115.2 

2.47 

4.1 

2.84 

1.63 

1.26 

.44 

.54 

6.71 

T 

100.7 

2.7(i 

:>,.:> 

2.78 

1.19 

1.41 

.50 

.87 

6.75 

r 

105.9 

2.56 

4.4 

2.71 

1.43 

1.76 

.48 

1.18 

7.56 

\' 

104.6 

2  '.'<'.' 

5.8 

2.43 

1.48 

2.30 

.61 

.72 

7.54 

w 

91.5 

2. si 

4.8 

2.57 

.79 

1.39 

.45 

.88 

6.08 

Weighted 

Average 

100.8 

*2.C2 

3.3 

$2.64 

$1.25 

$1.21 

$.40 

$.56 

$6.06- 

The  third  farm,  C,  had  a  cost  of  44.3  cents  per  dozen  eggs;  98.6  lbs. 
of  feed,  costing  $2.41  per  cwt.,  were  consumed  per  hen.  Feed  costs  per 
hen  were  $2.38,  or  47  cents  below  Farm  A.  Depreciation  per  bird  was 
49  cents  below  Farm  A.  Total  costs  per  hen  were  lower  than  for  any 
other  flock.  Production  of  eggs  was  only  35.9%,  and  on  this  account 
the  cost  per  dozen  eggs  was  higher  than  Farms  A  or  B. 

At  the  other  extreme  Farm  W  produced  eggs  for  68.9  cents  per 
dozen.  Feed  cost  per  hen  and  depreciation  were  below  the  average,  but 
other  cosfs  were  above.  The  total  cost  per  bird  was  about  the  same  as 
the  average,  but  on  account  of  the  very  low  production  of  30.9%,  the 
cost  per  dozen  was  the  highest  in  the  group  of  farms. 

farm  V  had  a  cost  of  61.5  cents  per  dozen  eggs.  In  this  case  the 
feed  consumption  was  4  lbs.  above  the  average;  but  as  the  price  of  feed 
used  was  only  $2.32  per  cwt.,  the  cost  of  feed  per  bird  was  $2.43,  or  20 
cents  below  I  he  average.  All  the  other  costs  were  very  high.  The  total 
cost  per  hen  of  $7.54  was  the  highest  in  the  group,  and  even  with  the 
good  production  of  40.9','  the  cost  per  dozen  eggs  was  very  high. 

This  brief  analysis  of  the  low  cost  per  dozen  on  the  first  three  farms. 
and  the  high  cost  on  the  last  two  farms  indicates  that  not  one  but  sev- 
eral  factors  are  important   in  securing  low  cost   production. 


May,  1932] 

Economic  Study  of 

Poultry  Farms 

45 

Table  19 — Annual  costs  per 

dozen 

eggs  on 

23  farms 

Farms 

Per  cent 

average 

production 

Feed            Labor 
per  1            per  1 
dozen            dozen 

Feed 

costs 

Dep- 
on 

stock 

Labor 

Use  of 
build- 
ings 

Other 

costs 

Total 

costs 

A 

% 
49.7 

lbs.               hrs. 
6.48            .18 

cts. 
18.8 

cts. 
9.4 

cts. 
6.0 

cts. 
3.5 

cts. 

4.5 

cts. 

42.2 

B 

36.9 

8.60            .22 

23.5 

7.9 

7.5 

1.3 

3.9 

44.1 

C 

35.9 

9.03             .19 

21.8 

8.5 

7.5 

3.8 

2.7 

44.3 

D 

43.0 

6.49            .27 

17.5 

13.0 

10.7 

2.5 

3.0 

46.7 

E 

39.0 

8.79            .22 

24.5 

8.3 

8.7 

1.3 

4.3 

47.1 

F 

38.4 

9.32            .27 

21.7 

11.3 

9.8 

2.7 

2.7 

48.2 

G 

40.6 

9.70            .29 

23.3 

7.6 

10.9 

3.0 

3.8 

48.6 

H 

39.9 

8.92             .29 

21.3 

10.6 

9.9 

1.6 

5.4 

48.8 

I 

40.6 

8.32            .28 

21.9 

10.1 

9.6 

2.4 

5.4 

49.4 

J 

40.5 

7.91            .30 

20.8 

7.8 

11.8 

3.6 

7.2 

51.2- 

K 

40.0 

9.61             .21 

26.8 

7.0 

7.4 

4.6 

5.7 

51.5 

L 

43.9 

7.11            .53 

17.7 

7.4 

19.4 

3.3 

3.8 

51.6 

M 

36.4 

9.65            .21 

25.0 

12.2 

8.6 

1.6 

5.7 

53.1 

N 

34.8 

9.25            .33 

24.3 

10.7 

12.3 

3.4 

3.6 

54.3 

0 

34.9 

9.18            .33 

21.4 

12.8 

13.0 

2.0 

5.2 

54.4 

P 

33.9 

9.46            .27 

24.4 

9.7 

10.8 

3.0 

7.6 

55.5 

Q 

39.3 

7.98            .20 

21.3 

18.8 

7.8 

3.7 

5.1 

56.7 

R 

39.0 

6.89            .28 

17.8 

13.4 

11.0 

7.5 

7.8 

57.5 

S 

38.0 

9.98            .36 

24.6 

14.1 

10.9 

3.8 

4.7 

58.1 

T 

37.8 

8.74            .30 

24.1 

10.6 

12.3 

4.4 

7.5 

58.9 

U 

41.0 

8.50            .35 

21.8 

11.5 

14.2 

4.5 

8.7 

60.7 

V 

40.9 

8.41             .46 

19.5 

12.8 

18.5 

4.9 

5.8 

61.5 

w 

30.9 

9.73             .51 

27.3 

12.6 

14.8 

4.6 

9.6 

68.9> 

Weighted 
average        39.7 

8.33             .28 

21.8 

10.3 

10.0 

3.3 

4.7 

50.1 

Feed  Cost 

Variations  in  feed  cost  per  dozen  eggs  are  due  to:  (1)  differences  in 
production,  (2)  differences  in  feed  consumption  per  hen  and  (3)  dif- 
ferences in  price  of  ration. 

For  instance,  Farm  D  had  a  low  charge  of  17.5  cents  per  dozen  eggs. 
On  this  farm,  the  feed  consumption  per  hen  was  very  low — 84.9  lbs. ; 
and  the  ration  was  about  average  in  price  per  cwt.  Thus,  the  feed  cost 
per  hen  was  low,  being  $2.29  as  compared  to  the  weighted  average  of 
$2.64.  Only  two  farms  had  lower  feed  costs  per  hen.  Since  the  produc- 
tion of  this  flock  was  very  high — 43% — the  feed  cost  per  dozen  eggs 
was  very  low. 

In  contrast  to  this,  on  Farm  W,  the  low  consumption  of  a  high  priced 
ration  resulted  in  approximately  an  average  cost  per  hen.  But  on 
account  of  low  production,  the  feed  cost  per  dozen  eggs  was  excessive. 

Farm  V,  with  good  production,  low  ration  cost  and  high  feed  con- 
sumption per  bird,  has  a  feed  cost  of  19.5  cents  per  dozen  eggs. 

Farm  K,  with  good  production,  high  ration  cost  and  high  feed  con- 
sumption, has  a  feed  cost  of  26.8  cents  per  dozen. 

Farm  P,  with  poor  production,  fairly  low  feed  consumption  and 
average  ration  cost,  has  a  feed  cost  of  24.4  cents  per  dozen. 

There  seems  to  be  no  particular  relationship  between  cost  of  ration 
p?r  cwt.   and   production,   or  between   yearly   consumption   and   pro- 


16  X.  II.  Agr.  Expebiment  Station        [Bulletin  265 

duction.  It  is  true  that  Farm  A  fed  a  certain  li i *_i'Ii  priced  ration  and 
gol  49.7^5   production,  but  it  is  equally  true  thai  Farm  W  fed  the  same 

ration  and  got  only  30.9%.  Also,  it  should  be  noted  that  Farm  L,  which 
had  the  second  highest  production,  43.9%,  fed  a  low  priced  ration.  On 
the  twelve  farms  with  below  $2.62  per  cwt.  ration  cost,  the  production 
averaged  (simple  average)  38.6$  at  a  teed  cost  of  21. 7c  per  dozen. 
On  the  farms  which  Fed  a  ration  costing  more  than  $2.62,  the  produc- 
tion averaged  39.3$  at  a  feed  cost  of  22. Sr  per  dozen. 

This  comparison  brings  up  an  important  problem  involving  technical 
as  well  as  economic  phases  of  poultry  feeding.  Laying  rations  based 
on  the  New  England  College  Conference  Formula  are  available 
throughout  the  state  at  a  small  margin  above  the  cost  of  the  ingredi- 
ents when  purchased  separately  and  have  proven  very  satisfactory  to 
many  individual  poultrymen.  The  formula  has  been  used  in  the  official 
egg-laying  contest  at  Storrs,  Connecticut,  where  record  production  has 
been  attained.  Since  the  conference  formula  has  proven  adequate  in 
securing  and  maintaining  high  production,  it  is  suggested  here  that  the 
New  Hampshire  poultrymen  should  use  the  market  price  of  the  in- 
gredients of  the  conference  mixture  as  a  base  in  comparing  ration 
costs.  In  other  words,  it  is  not  essential  or  necessary  to  feed  the  college 
conference  formula,  but  the  operator  can  at  all  times  compare  the  price 
of  the  commercial  feed  he  is  using  with  the  cost  of  the  college  confer- 
ence mixture  and  thus  guard  against  paying  too  much  for  feed. 

No  doubt,  the  individual  poultryman  is  constantly  laboring  under 
the  fear  of  doing  something  that  will  throw  his  laying  flock  out  of  pro- 
duction. This  fear  is  well  grounded  because  mistakes  in  feeding  or 
management  may  affect  production  and  bring  heavy  financial  losses. 
But  individual  poultrymen  in  this  study  in  January,  1930,  were  paying 
as  much  as  $12  more  per  ton  above  the  cost  of  rations  based  on  the  con- 
ference formula.  On  a  farm  averaging  1000  layers  this  extra  cost  of 
mash  would  amount  to  approximately  $250  a  year  on  the  laying  flock 
alone. 

In  considering  laying  rations,  it  is  important  to  realize  that  pro- 
duction is  influenced  by  methods  of  feeding,  quantities  fed,  proportion 
of  mash  to  scratch,  adequate  supply  of  clean  water  at  all  times, 
warmth,  li^ht,  ventilation  and  health  of  stock,  and  details  of  handling 
the  flocks.  Failure  in  any  one  of  these  factors  may  throw  the  hens  out 
of  production. 

Labor 

The  labor  cost  is  dependent  to  a  Large  extent  on  the  number  of  layers 
per  worker.  Any  contemplated  organization,  however,  of  a  poultry 
farm  must  take  into  account  I  he  strength,  health  and  capacity  of  the 
operator.  It  is  thought  from  observation  on  this  group  of  farms  that  an 
average  man  in  the  prime  of  life  can  handle  1000  to  1500  laying  birds 
and  real-  the  pnllets  for  replacement  with  very  little  hired  labor.  The 
poultryman  who  expects  a  good  income  will  probably  have  to  plan  on 
at  least  1200  birds  for  a  one-man  farm  and  2500  for  a  two-man  farm. 


May,  1935]  Economic  Study  of  Poultry  Farms  47 

Depreciation  of  Stock  (Including  Mortality  Losses) 

Assuming  a  value  for  pullets  at  housing  time  based  on  the  market 
for  good  healthy  pullets  ready  to  lay,  there  is  a  considerable  loss  dur- 
ing the  year  from  mortality  and  in  shrinkage  to  a  merely  meat  value 
when  they  are  culled  from  the  flock. 

This  loss  or  depreciation  when  based  on  per  dozen  eggs  is  influenced 
by  the  time  of  culling  and  the  time  of  the  mortality  losses.  If  heavy 
mortality  or  heavy  culling  occurs  early  in  the  season,  there  are  fewer 
dozens  of  eggs  and  a  smaller  average  number  of  hens  to  absorb  the  loss. 
Hence,  the  depreciation  charge  per  dozen  eggs  would  be  higher.  As 
estimated  in  Tables  18  and  19,  the  losses  from  depreciation  averaged 
$1.25  per  bird  and  10  cents  per  dozen  eg^s.  Farm  K,  with  lowest  depre- 
ciation cost  per  dozen  eggs,  had  low  mortality,  culled  regularly  and 
sold  fowl  mostly  at  retail  prices. 

Use  of  Buildings 

The  estimated  cost  for  use  of  buildings  averaged  40  cents  per  bird 
and  3.3  cents  per  dozen  eggs.  The  high  costs  on  some  of  the  farms  re- 
sult from  operating  at  low  capacity  due  to  mortality  and  severe  culling 
as  well  as  to  use  of  new  or  expensive  buildings.  The  very  low  costs 
of  Farms  B,  E,  D,  H  and  M  were  due  to  the  use  of  moderate-value 
buildings  held  at  near  capacity.  Farm  A  used  expensive  buildings,  but 
on  account  of  holding  the  flock  at  almost  full  capacity  and  securing 
high  production,  its  building  cost  per  dozen  eggs  was  about  average. 

The  data  in  Tables  18  and  19  indicate  wide  variations  in  each  item 
of  cost,  and  a  careful  study  suggests  that  a  poultryman  may  secure  a 
combination  of  good  production  and  low  costs  in  all  the  items.  Suffi- 
cient number  of  layers  to  keep  the  men  employed  to  the  best  advantage, 
layers  housed  to  capacity  in  low  cost  buildings,  and  fed  on  good  but- 
low  cost  rations  is  a  combination  which  should  bring  success. 

Old  Hens  for  Market  Eggs 

The  question  of  keeping  over  old  hens  for  market-egg  production  in- 
volves a  comparison  with  pullets  as  to  costs  and  income. 

The  practice  of  retaining  the  best  of  the  flock  for  the  second  year 
means  that  ordinarily  about  80%  as  many  pullets  must  be  raised  to 
replace  the  flock,  as  when  only  pullets  are  kept.  Since  the  costs  of 
housing,  labor  and  feed,  seem  to  be  approximately  the  same  for  old 
hens  as  for  pullets,  the  difference  in  annual  cost  of  keeping  birds  is 
mainly  a  difference  in  depreciation  in  value.  Actually  on  most  farms 
this  is  a  question  of  the  cost  of  raising  pullets  as  compared  to  the  sale 
value  of  old  hens  for  meat.  For  instance,  if  old  hens  will  sell  for  $1.25 
each  and  if  pullets  can  be  conveniently  raised  in  view  of  other  possible 
options  for  time  and  equipment  for  $1.50,  the  difference  in  cost  of  keep- 
ing old  hens  or  pullets  will  be  this  difference  in  depreciation  of  25  cents 
per  bird.  That  is,  with  the  same  rate  of  mortality  the  old  hens  woidd 
shov\r  25  cents  less  depreciation  between  inventory  at  the  beginning 
and  sales  of  fowl  during  the  year. 


48  -\.  II.  Agr.  Experiment  Station        [Bulletin  '265 

It  would  serin  from  a  study  of  cost  of  pullet  production,  page  55, 
that  on  most  farms,  pullets  can  be  raised  for  approximately  the  sale 
value  of  fowl  and  under  these  conditions  there  would  be  no  difference 
in  depreciation,  and  the  cost  of  keeping  hens  and  pullets  for  a  year 
Avould  be  the  same. 

In  comparing  the  income  from  old  hens  and  pullets,  it  will  be  well  to 
note  differences  in  seasonal  and  total  egg  production  and  in  egg  size. 
A  comparison  of  the  egg  production  curves  for  old  hens  in  Figure  8 
and  for  pullets  in  Figure  16  illustrates  the  differences  in  seasonal  and 
total  production.  The  old  hens  not  only  produce  fewer  eggs,  but  in 
addition  the  low  production  comes  in  the  fall  when  eggs  are  high.  On 
the  other  hand,  about  82%  of  old  hens'  eggs  would  sell  as  firsts,  while 
eggs  from  pullets  would  grade  out  as  shown  in  Figure  13.  The  yearly 
production  of  1000  old  hens,  assuming  the  same  mortality  and  culling 
rate  as  for  pullets,  would  be  6609  dozen  eggs,  valued  at  $2756.81  as 
compared  to  a  production  of  7968  dozen  eggs,  valued  at  $3361.82  for 
March-hatched  pullets. 

In  other  words,  due  to  low  production  in  high  price  egg  season,  1000 
old  hens  would  return  $605  less  than  March-hatched  pullets.  Accord- 
ing to  the  differences  in  costs  and  income  under  conditions  obtained  in 
1929  and  1930,  old  hens  inventoried  at  60^  below  the  value  of  pullets 
would  give  returns  equal  to  those  of  pullets.  To  apply  the  situation  to 
current  conditions,  the  annual  product  from  old  hens  is  worth  82%  as 
much  as  the  product  from  pullets.  This  difference  in  gross  returns  of 
18%  can  be  taken  to  roughly  represent  the  difference  in  value  of  old 
hens  and  pullets  as  layers.  Thus,  if  eggs  average  30  cents  per  dozen 
for  the  year  the  product  per  pullet  housed  would  be  about  $2.39  and 
18%  of  this  would  be  40  cents.  Old  hens  would  be  worth  40^  less  than 
pullets  in  the  fall.  The  New  Hampshire  practice  of  keeping  mostly  pul- 
lets seems  to  be  sound. 

COST  OF  PRODUCING  HATCHING  EGGS 

In  addition  to  market  eggs,  16  of  the  farms  also  produced  a  consider- 
able number  of  hatching  eggs.  On  a  few  of  these  16  farms  only  enough 
hatching  eggs  were  produced  for  replacement  of  laying  flock.  At  the 
other  extreme  were  those  selling  large  numbers  of  hatching  eggs  and 
using  a  great  many  for  the  requirements  of  a  baby  chick  business.  The 
sixteen  farms  produced  (for  their  own  use  or  sale)  a  total  of  52,699 
dozen  hatching  eggs. 

On  all  of  the  farms  a  figure  representing  the  relative  cost  of  pro- 
ducing market  eggs  has  been  worked  out,  As  previously  mentioned, 
these  "market  egg"  costs  did  not  include  such  charges  as  B.  W.  D. 
testing,  certification,  or  any  charge  for  use  of  cockerels.  To  determine 
the  cost  of  producing  hatching  eggs  we  have  merely  added  these  extra 
costs  to  the  "market  egg"  figure.  It  must  be  admitted  that  certain  of 
the  charges  included  under  market  egg  costs  quite  probably  would  not 
have  existed  but  for  the  fact  that  hatching  eggs  were  being  produced. 
The  ofttimes  large  amount  of  labor  involved  in  certain  breeding  sys- 
tems, the  extra  care  in  management,  and  in  a  few  cases  extra  feed  all 
represent  more  or  less  unmeasureable  costs  which  were  absorbed  in  the 
cost  of  market  eggs. 


May,  1932] 


Economic  Study  of  Poultry  Farms 


49 


The  additional  costs  averaged  11.1  cents  per  dozen  for  eggs  actually 
used  for  hatching.  Of  this  amount  2.8^  was  for  testing  and  certifica- 
tion, 3.7^  for  depreciation  on  cockerels  and  4.6^  for  cost  of  feed  for 
cockerels.  The  total  cost  of  producing  hatching  eggs  averaged  60.2 
cents  per  dozen. 

The  additional  costs  in  producing  hatching  eggs  varied  from  4.1  to 
39.2  cents  per  dozen.  The  total  cost  of  producing  hatching  eggs  ranged 
from  46.4  to  88.6  cents  per  dozen. 

These  costs  were  estimated  on  the  basis  of  number  of  eggs  actually 
used  or  sold  for  hatching,  and  the  great  variation  can  largely  be  ac- 
counted for  by  the  presence  or  absence  of  some  source  of  disposal  of 
the  surplus  hatching  eggs  produced.  On  a  given  flock  of  birds  tested, 
and  mated  up  for  the  production  of  hatching  eggs,  the  total  extra  cost 
will  not  be  materially  changed  whether  all  of  the  eggs  produced  go  as 
hatching  eggs  or  whether  only  a  small  percentage  are  so  used. 

Evidently  some  of  the  men  who  had  incurred  the  extra  expense  were 
not  able  to  find  an  outlet  for  their  surplus  and  had  to  dispose  of  them 
as  market  eggs. 

Table  20 — Relation  of  number  of  hatching  eggs  prod  need  per  mated  hen 
to  east  of  producing  hatching  eggs 


« 

Hatching 

Extra 

Total 
cost 

Average 

eggs  produced 

costs 

Market 

producing 

Number  of 

Number 

number 

A 

per  dozen 

egg 

r                                       i 

hatching  eggs 

of 

of  mated 

Per 

hatching 

costs  per 

egg» 

per  mated  bird 

farms 

birds 

Total         mated  hen 

eggs 

dozen 

per  dozen 

cents 

cents 

cents 

Less  than  2  dozen 

4 

1222 

1105                 .9 

23.7 

49.2 

72.9 

2  to  3  dozen 

5 

1215 

3142               2.6 

13.1 

49.1 

62.2 

3  to  4  dozen 

4 

688 

2547               3.7 

16.2 

54.5 

70.7 

'Over  4  dozen 

3 

1458 

7459               5.1 

4.8 

46.1 

50.9 

All  farms 

16 

1130 

3294               2.9 

11.1 

49.1 

60.2 

In  Table  20  the  16  farms  are  sorted  according  to  dozens  of  hatching 
eggs  used  or  sold  per  mated  hen.  The  extra  costs  of  production  in  the 
four  classes — 23.7^,  13.1^,  16.2^  and  4.8^ — indicate  the  importance  of 
this  factor. 

The  average  price  recived  for  all  hatching  eggs  sold  by  these  farms 
during  the  period  December,  1929,  to  June,  1930,  was  69.7  cents  per 
dozen.  The  average  price  for  top-grade  market  eggs  during  this  same 
period  was  about  40^  per  dozen.  Obviously,  those  farms  which  were 
able  to  produce  hatching  eggs  at  an  extra  cost  of  less  than  10  cents 
•over  market-egg  costs  were  receiving  a  considerable  margin  from  this 
phase  of  their  business. 

Production  of  Hatching  Eggs  for  Replacement 

The  practical  question  of  whether  or  not  to  produce  their  own  hatch- 
ing eggs  is  raised  by  many  poultrymen.  From  a  breeding  pen 
averaging  40%  production  during  January,  February  and  March,  ap- 
proximately three  dozen  eggs  per  hen  could  be  expected,  or  roughly, 


X.  II.  Agr.  Experiment  Station        [Bulletin  265 


enough  to  obtain  10  pullets.  This  means  that  the  breeding  flock  would 
require  about  1<»',  of  the  capacity  of  the  bouse.  According  to  the  data 
in  Table  2i>.  the  extra  costs  on  the  production  of  three  dozen  hatching 
eggs  per  hen  would  be  approximately  15  cents  per  dozen.  Of  course, 
this  would  mean  the  spreading  oul  of  the  brooding  season  over  several 
months  which  might  not  lit  into  the  besl  use  of  available  time  on  many 
farms. 

As  Par  as  costs  of  producing  hatching  eggs  are  concerned,  it  would 
seem  fairly  practical  for  a  man  to  raise  his  own  stock.  There  are  other 
important  considerations,  however,  such  as  available  time  and  skill  for 
incubation,  and  available  time  for  brooding  small  lots. 

The  poultryman  has  three  options  in  obtaining  chicks  for  replace- 
ment. He  may  purchase  day-old  chicks  from  a  breeder;  he  may  produce 
hatching  eggs  and  have  them  custom-hatched;  or  he  may  produce 
hatching  eggs  and  incubate  them.  The  choice  of  these  options  should 
be  made  by  the  individual  in  the  lighl  of  his  own  situation  and  peculiar 
skills,  as  well  as  prices  of  purchased  chicks. 


1   laying  house  on  mic  of  the  co-opera  l  i  u  </  farms.  Lower  pens  arc  \if.ed 
for  individual  pedigree  mating  a 


INCUBATION  RECORDS  AND  COSTS 

Cost  of  Incubation 

The  twelve  farms  which  did  some  incubating  hatched  181,423  chicks. 
one  operator  hatched  2500  chicks  for  the  replacement  of  the  nock,  but 
the  others  hatched  to  supply  Orders  in  addition  to  their  own  replace- 
ments. (Table  21.)  One  farm,  specializing  in  baby  chicks  and  in  custom 
hatching,  incubated  over  60,000  chicks. 

The  average  per  cent  hatch  was  67.8%,  and  the  range  in  hatchability 
on  the  individual  farms  was  from  4(i.!»','    to  83.0%. 


May,  1932] 


Economic  Study  of  Poultry  Farms 


51 


Table  21 — Incuhation   record*   on   12  farms 


Farm  No. 


Number 

eggs  set 


10 

13 

9 

17 

18 

22 

6 

20 

16 

12 

4 

11 

Total  all   farms. 


19,962 

3,990 

13,577 

9,120 

30,803 

23,968 

8,320 

8,400 

7,944 

19,197 

37,036 

85,096 


Chicks 
hatched 


10,034 

2,499 

8,751 

4.279 

19,766 

15.221 

4,636 

5,661 

5,262 

13,720 

30,740 

60,854 


Per  cent 
hatch 


50.3 

62.6 
64.4 
46.9 
64.2 
63.5 
55.7 
67.4 
66.2 
71.5 
83.0 
71.5 


267,413 


181.423 


67.8 


The  average  cost  of  incubation  was  $1.86  per  100  chicks,  or  $1.26  per 
100  eggs  set,  (Table  22.)  The  range  in  cost  on  individual  farms  was 
from  $1.05  to  as  high  as  $5.23  per  100  chicks.  It  is  to  be  remembered 
that  this  cost  is  based  on  an  assumed  rate  of  40  cents  per  hour  for  time 
used  in  incubation  and  does  not  include  wages  of  management. 

Table  22 — Average  cost  of  incubating  267,413  eggs,  and  obtaining  181,423 

chicks  on  1,2  farms 


Total 


Per  100 
eggs  set 


Per  100 

chicks 

hatched 


Interest   on   buildings 

Depreciation    on    buildings. 

Interest   on    equipment 

Depreciation   on   equipment 

Fuel    cost     

Labor    (2798   hours)   

Share  of  taxes     

Share  of  insurance     

Miscellaneous  costs    

Total      


$156.75 

$.059 

$.086 

313.50 

.117 

.173 

419.44 

.157 

.231 

838.89 

.314 

.462 

416.39 

.156 

.230 

1052.37 

.393 

.580 

92.02 

.034 

.051 

60.88 

.023 

.034 

23.60 

.009 

.013 

$3373.84 


$1,262 


$1,860 


Cost  of  Producing  Day-Old  Chicks 

Using  the  estimated  cost  figures  for  production  of  hatching  eggs  and 
adding  the  estimated  incubation  costs  above,  the  following  figures  are 
obtained  as  the  cost  of  producing  day-old  chicks : 

Number  hatching  eggs  required  for  100  chicks  —  147.5 

Cost  of  hatching  eggs    $7.37 

Cost  of  incubation    1.86 

Total  cost  —  100  chicks $9.23 


52  N.  II.  Age.  Experiment  Station        [Bulletin  :><;.■> 

GROWING  PULLETS 

The  twenty-three  farms  started  a  total  of  93,035  chicks  for  replace- 
ment of  the  laying  flock  and  housed  :::».7l,>  pullets  or  38.4%  (Table  23). 

Table  23 — Summary  of  brooding  records  on  23  farms,  showing 
disposal  of  chicks  started 


Broilers  sold    

Roasters   sold    

Pullets  and  broiler  cockerels  sold. 

Started   chicks   sold 

I'sed    in    home 

Inventoried    as    broilers,    culls 

Pullets    obtained     

Iirced    cockerels    obtained 

Dead     

Total   started     


Total  for 

Per  cent  of 

23  flocks 

chicks  started 

Number 

% 

32,836 

35.3 

1,853 

2.0 

1,303 

1.4 

2,229 

2.4 

180 

.2 

2,585 

2.8 

35,728 

38.4 

2,816 

3.0 

13,505 

14.5 

93,035 


100 


Three  per  cent  were  saved  as  breeding  cockerels,  and  35%  were  sold 
as  broilers.  The  total  mortality,  including  all  chicks  unaccounted  for, 
was  13,505  birds,  or  14.5%.  The  range  in  mortality  for  individual 
farms  was  from  3.3$  to  40.9%.  In  addition  to  production  of  replace- 
ment pullets,  three  farms  produced  4997  special  winter  broilers.  The 
mortality  on  these  was  589  birds,  or  11.8%. 

When  the  farms  are  grouped  according  to  number  of  chicks  brooded 
in  Table  24.  the  difference  in  losses  in  mortality  are  not  enough  to  be 
significant  except  in  the  group  having  3000  to  4000  chicks.  This  group 
contained  two  farms  where  the  losses  were  exceptionally  heavy.  In 
general  there  is  no  evidence  that  those  who  brood  large  numbers  of 
chicks  have  higher  losses  than  others. 


Table  24     Relation  of  number  of  chicks  l>r<io<h<i  to  mortality 


Number 

of 
farms 

Number  started 

Number  died 

A 

Per 

cent 
mor- 
tality 

Range  in 

mortality 

per  cent 

number  chicks 

started 

Total 

for  group 

Average 
for  group 

t 

Total 

Average 

1000  -2000 

3 

47C.O 

1586.7 

569 

180.7 

11.9 

3.3  -22.6 

2001  -  3000 

.". 

12697 

2530.4 

1407 

290.4 

11.8 

6.8-22.0 

3001  -  1000 

4 

13774 

3443.5 

3 1 86 

796.5 

23.1 

10.5  -  40. r 

400]  -  .".000 

5 

L>  1  .->00 

4300.0 

2775 

555.0 

12.9 

7.9  -  28.2- 

r.ooi  &  over 

0 

•10304 

(1717.3 

r.478 

013.0 

13.6 

6.8  -  20.4 

All    Farms 

23 

93035 

404.-,. 0 

13506 

587.2 

14.5 

3.3  -  40.7' 

February,  March  and  April  appear  to  be  the  favorite  months  for 
hatching,  and  79%  of  the  chicks  brooded  came  in  these  three  months 
(Table  25).    Only  9%  were  brooded  after  April  30th. 


May.  1932] 


Economic  Study  of  Poultry  Farms 


53 


Table  25 — Dates  of  hatch  of  19M)  chick*  for  replacement  of  Jailing 

flock*  on  ,>A  farms 


Month 


Number 

Per  cent  of 

of  chicks 

total  hatched 

24G5 

2.6 

8609 

9.3 

20978 

22.6 

23032 

24.8 

29447 

31.6 

7479 

8.0 

1025 

1.1 

December 
January 
February 
March 

April 

May    

June 

Total 


93035 


1007o 


Detail  Records  on  Cost  of  Growing  Pullets  on  18  Farms 

In  the  case  of  18  heavy  breed  flocks  more  detailed  records  were 
secured  as  to  the  feed,  labor,  and  other  costs  entering  into  pullet  pro- 
duction. Of  the  63,331  chicks  started,  26,762,  or  42.3%,  were  saved  as 
pullets  or  breeding1  cockerels.  As  indicated  in  Table  26,  35%  were  sold 
as  broilers,  2.4%  as  roasters,  3.4%  as  started  pullets,  3.5%  were  held 
for  sale  as  cull  pullets  or  broilers  and  12.4%  had  died  or  were  unac- 
counted for. 

Table  26 — Summary  of  brooding  record*  on  IS  flock*  of  heavy  breeds, 
showing  disposal  of  chick*  started 


Number  chicks   died    

Number  broilers  sold    

Number  roasters    sold    

Number  pullets  and  breed  stock  sold .  . 

Number  started    chicks    sold 

Number  used   in   home 

Number  inventoried   as   broilers,   culls. 

Number  of  pullets  remaitiino    

Number  breed   cockerels   saved 

Total     


Total 

Per 

cent  of 

18  flocks 

chicks 

;  started 

7.868 

12.4 

22.241 

35.1 

1,493 

2.4 

417 

.7 

2,175 

3.4 

160 

.2 

2,215 

3.5 

24,678 

39.0 

2,084 

3.3 

63,331 


100% 


On  each  farm  there  were  usually  several  lots  of  different  aged  pullets 
which  wpre  not  kept  separate  when  on  range,  and  it  was  impossible  to 
cut  off  thp  cost  items  at  a  definite  age  of  pullet.  However,  the  records 
included  the  cost  items  on  pullets  until  they  were  removed  from  the 
range  and  housed.  Usually,  the  operator  housed  his  pullets  as  they 
approached  maturity ;  groups  would  be  removed  from  the  range  at  in- 
tervals, in  general  following  the  order  of  the  hatching  dates  of  the  dif- 
ferent lots.  But  under  these  conditions  some  of  the  lots  of  pullets  were 
removed  at  an  earlier  age  than  others.  Since  a  definite  cut  off  could 
not  be  made,  the  age  of  the  pullets  as  removed  from  the  range  should 
be  noted  when  considering  costs.   The  average  age  of  pullet  when  leav- 


54  \.  II.  Agr.  Experiment  Station        [Bulletin  265 

ing  range  was  21.8  weeks.  Over  70'  ',  were  between  19  and  27  weeks  of 
age. 

On  this  group  of  farms,  an  average  of  287  day-old  chicks  was 
started  for  every  100  pullets  housed.  However,  in  addition,  broilers. 
cull  pullets  and  other  stock  were  sold  or  held  for  sale,  roughly  equiva- 
lent to  210  lbs.  of  broilers  per  100  pullets  housed.  Tims,  in  this  group  of 
18  flocks  the  100  pullets  and  210  lbs.  of  broilers  are  joint  products  and 
result  from  the  same  expenditure  of  labor,  feed  and  other  cost  items. 
Jn  other  words,  an  expenditure  of  237  chicks,  3596  lbs.  feed,  85  hours 
labor,  $18.83  for  overhead  and  $10.67  for  supplies  produced  100  good 
pullets  and  210  lbs.  of  broilers. 

For  the  period  of  this  study,  viz.,  the  spring  of  1930,  the  situation 
was  approximately  as  follows  when  the  cost  items  are  estimated  in 
money  values : 


$47.40  estimated  value  of  chicks" 
100.94  feed 


100  pullets 


31.00  labor  \.  =    '  and 


210  lbs.  broilers 


18.83  overhead 
10.67  supplies 

or 
$208.84  =     100  pullets  and  210  lbs.  broilers 

It  is  obvious  that  if  the  sale  value  of  the  broilers  is  credited  to  the 
cost  of  growing  the  pullets,  the  market  value  of  the  broilers  may  have 
considerable  influence  on  the  result.  Losses  or  gains  on  broilers  are  thus 
absorbed  by  the  pullets.  Under  the  conditions  obtaining  on  these  farms 
the  sale  of  broilers,  etc.,  amounted  to  $77.61,  and  when  this  is  credited 
to  the  total  cost,  the  cost  of  producing  100  pullets  can  be  estimated  at 
$131.15.  In  noting  this  cost,  it  should  be  remembered  that  the  figure  is 
based  on  the  following  assumptions: 

1.  Chicks  valued  at  20c1   (market  value  at  that  time). 

2.  Peed  at  actual  cost, 

3.  Labor  at  eosl   tor  hired  labor  and  assumed  rate  of  40^  per 

hour  For  owner's  labor. 

4.  Overhead   based  on  depreciation   on  buildings  and   equip- 

ment,   interest    on    estimated    investment    in    buildings 
and  range,  and  share  of  other  overhead  expense. 

Use  of  Formula  in  Outlook  Work 

The  formula  given  above  for  the  cost  of  producing  100  pullets,  if 
used  roughly,  should  have  some  value  to  poultrymen  and  extension 
men  in  comparing  one  year  with  another,  and  by  substituting  prevail- 
ing prices  each  year  should  provide  some  guide  as  to  a  poultryman's 
relative  position  in  different  years.  Without  such  a  formula,  when  \\^h\ 
and  broilers  fluctuate  widely  in  price,  it  is  difficult  for  the  poultryman 
to  interpret  his  position. 

In  the  spring  of  1032,  for  instance,  with  feed  and  broiler  prices  low, 
the  formula  would  indicate  that  pullets  cost  nearly  as  much  as  in  1930 
when  broilers  and  i'ov(\  were  higher.  Thus,  substituting  1932  values  in 
the    formula: 


May,  1932] 


Economic  Study  of  Poultry  Farms 


55 


$35.50  chicks 
70.00  feed 
30.00  labor 
18.00  overhead 
10.00  supplies 

100  pullets 


=  100  pullets  and 

$37.80 

=  $125.70 


Detail  Cost  for  Heavy  Breeds 

The  cost  items  are  considered  in  more  detail  in  Table  27,  where  they 
are  estimated  on  the  basis  of  100  pullets  housed  and  the  value  of  broil- 
ers or  cull  pullets  credited.  The  few  breeding  cockerels  raised  were 
included  in  these  estimates  as  "pullets." 

Table  27 — Average  cost  of  producing  100  pullets  on  18  farms  (heavy  breeds) 

to  an  average  age  of  21.8   weeks 


Cost 


Value  of 

credits 


Per  cent  of 
total  cost 


Feed 

Mash     (2238.2    lbs.) $70.61 

Scratch    (1317.4    lbs.) 29.01 

Grit    (19.1    lbs.) .20 

Oats    (9.8   lbs.) 23 

Dried   milk    (3.9  lbs. ) .27 

Semi-solid  buttermilk    (2.1    lbs.) .09 

Cod   liver  oil    (1.4   lbs.) .27 

Miscellaneous    (3.8    lbs.) .26 

Total   feed    (3595.7    lbs.) 

Litter      

Coal    

Interest  on  equipment      

Interest  on  buildings      

Depreciation  on  equipment     

Depreciation  on  building's     

Interest    on    land 

Share  of  taxes    

Share  of  insurance      

Interest  on  investment  in  stock 

Miscellaneous  costs  and  supplies 

Labor    85    hours 

237  chicks   (estimated  at  20c  per  chick) 

Total    gross    costs 

Credits  per  100  Birds    Remaining 

Broilers    sold    (83.1    birds) 

L'oasters  sold    (5.6  birds) 

Bullets     and     breeding-     cockerels     sold 

(1.6   birds)      

Started  chicks  sold    (8.1  birds) 

Number  used  on  table    (.6  birds) 

Broilers  and  culls  inventoried 

(8.3   birds)      

Total   credits    (107.3   birds) 

Net   cost    


$100.94 

48.3 

2.49 

1.2 

6.32 

3.0 

1.20 

.6 

2.59 

1.2 

2.41 

1.1 

5.17 

2.5 

2.22 

1.1 

2.22 

1.1 

.94 

.5 

2.08 

1.0 

1.86 

.9 

31.00 

14.8 

47.40 

22.7 

$208.84 

100% 

$58.82 

6.80 

2.18 

2.16 

.47 

7.18 

$77.61 


$131.23 


56  N.  II.  A.GE.  Experiment  Station        [Bulletin  265 

The  total  gross  cost  per  100  birds  housed  was  $208.84.  Feed,  day-old 
chicks,  and  labor  are  the  largest  items  of  cost  and  together  make  up 
86%  of  the  total.  The  cost  of  chicks  was  estimated  at  20^  each, — an 
arbitrary  assumption  where  men  produced  their  own  chicks. 

For  every  100  pullets  saved,  107  birds  were  sold  from  the  flock  as 
broilers,  cull  pullets,  roasters,  etc.  As  shown  in  Table  28,  about  76%  of 
those  sold  were  taken  out  at  an  age  between  10  and  15  weeks.  Over 
12'  \  were  sold  before  10  weeks  of  age.  This  age  at  which  the  excess 
cockerels  and  cull  pullets  are  sold  has  a  bearing  on  the  cost  of  pro- 
ducing pullets  inasmuch  as  the  amount  of  feed  consumed  will  be  larger 
if  the  broilers  are  held  longer. 


*B' 


Table  28 — Average  age  at  which  broilers,  roasters,  etc.,  were  sold  prom  Js  flocks 
heavy  breeds   (culls  and  broilers  inventoried  at  time  of  cut-off 
regarded  as  sold  <it  cue  when  inventoried). 


Per  cent  of 

Age 

Number 

Per  cent  of 

total  number 

in  weeks 

sold 

chicks  started 

sold 

1 

2(>0 

.4 

.9 

9 

920 

1.5 

1.0 

3.2 

3 

2.:; 

4 

300 

.5 

1.0 

5 

20 

.1 

6 

20 

.1 

8 



9 

1330 

2.1 

4.6 

10 

3.-)f.S 

5.6 

12.4 

11 

7726 

12.2 

20.9 

12 

4597 

7.3 

16.0 

13 

2461 

3.8 

8.(1 

14 

1048 

1.7 

3.7 

i.~> 

242:> 

3.8 

8.4 

16 

1)22 

1.6 

:;.<; 

17 

427 

7 

1  4 

18 

174 

.3 

.<; 

19 

131 

.2 

.5 

20 

1049 

1.7 

:;., 

21 

293 

.5 

1.0 

22 

118 

.2 

.4 

2:; 

1  :> 

■    •    •    • 

.1 

2  1 

•    •    •    . 

25 

30 

.1 

86 

12 

27 

*    >    •    • 

2S 

LOO 

.2 

.3 

Total 

28701 

45.3 

100 

The  credits  from  sale  of  the  107  birds  amounted  to  $77.61;  the  esti- 
mated net  cost  per  100  pullets  at  an  average  age  of  21.8  weeks  was 
$131.23.    (Table  27.) 

Since  the  age  at  which  pullets  were  removed  from  range  to  houses 
varied  on  individual  farms,  accurate  comparisons  of  costs  between  in- 
dividual farms  were  not  attempted. 


May,  1932]  Economic  Study  of  Poultry  Farms  57 

Detail  Cost  for  Leghorns 

In  addition,  costs  on  three  flocks  of  Leghorn  pullets  were  obtained. 
Of  the  16,881  chicks  started,  41%  were  saved  as  pullets,  2.5%  were 
saved  as  breeding  cockerels,  42%  were  sold  as  broilers  or  culls,  and 
14.8%  died  or  were  unaccounted  for.  The  average  age  at  housing  time 
was  17.9  weeks  as  compared  to  21.8  weeks  for  the  heavy  breeds.  On 
account  of  this  difference  in  age  at  housing  time,  the  data  may  not  be 
used  in  comparing  breeds.  However,  a  study  of  Table  29  indicates  that 
the  gross  costs  per  100  pullets  are  lower  and  that  credits  from  broilers 
are  considerably  lower. 

Table  29 — Average  cost  of  producing   100  Leghorn   pullets  on  8  farms 
to  an  average  age  of  17.9  weeks 

Total    Debits    per   100   Birds    Remaining 

Item 

Feed     

Litter     

Fuel      

Interest   on   investment   in  equipment      

Interest   on   investment  in  buildings     

Depreciation   of  equipment       

Depreciation  of  buildings     

Charge  use  of  land  —  interest 

Share  of  taxes     

Share  of  insurance     

Interest  on  investment   in  stock 

Labor  cost     

Miscellaneous   costs    

Day-old    chicks     

Total    cost     

Credits   per  100    Birds   Remaining 

Broilers  sold    (82.0  birds) 

Pullets  and  breeding  cockerels  sold    (12.0  birds) 
Started   chicks    (.7    birds) 

Total  receipts    (94.7  birds) $43.92 

Net    cost     $125.82 


Further  Studies  Needed 

A  general  study  such  as  this  opens  up  many  problems  that  can  be 
adequately  solved  only  by  further  more  detailed  investigations.  For  in- 
stance, in  dealing  with  the  problems  of  different  dates  of  hatch  of  lay- 
ing flock,  technical  studies  are  needed  in  management  of  flocks  of  early 
hatched  pullets  to  determine  best  practices  in  avoiding  molt  and  in 
maintaining  steady  production.  Also,  production  records  are  needed  on 
a  large  number  of  pens  of  pullets  in  order  to  have  more  accurate  data 
for  comparing  different  dates  of  hatch. 


Value 

of 

Per  cent  of 

Cost 

credits 

total  cost 

$68.99 

40.6 

.86 

.5 

4.34 

2.6 

.95 

.6 

1.94 

1.1 

1.90 

1.1 

3.57 

2.1 

1.51 

.9 

1.28 

.8 

.92 

.5 

2.08 

1.2 

32.92 

19.4 

2.80 

1.7 

45.68 

26.9 

$169.74 

100% 

$30.26 

13 

.53 

.13 

N.  II.  Agr.  Experiment  Station        [Bulletin  265 

Data  are  needed  on  weekly  consumption  of  feed  and  weekly  gains  of 
chickens  Erom  beginning  of  brooding  to  20  weeks  of  age  in  order  that 
the  poultryman  may  be  able  to  dispose  of  the  male  birds  to  the  best 
advantage. 

Labor  efficiency  studies  are  needed  to  determine  in  detail  the  most 
efficient  methods  for  each  operation  as  guides  to  those  who  are  now 
unable  to  handle  large  numbers  of  layers.  From  this  material  there 
should  be  projected  types  and  sizes  of  poultry  organizations  for  one- 
man  and  two-man  units. 


SUMMARY 


1.  Detailed  records  for  the  period,  September,  1929,  to  September, 
1930,  were  secured  by  regular  visits  to  23  specialized  commercial  poul- 
try farms  in  southern  Xew  Hampshire.  These  flocks  averaged  as  fol- 
lows: 995  layers;  $13,424  investment;  $2070  farm  income;  and  $1399 
labor  income. 

2.  Great  variations  in  the  amount  of  chore  labor  were  found.  The 
range  was  from  1.1  to  5.8  hours  per  laying  hen.  The  high  labor  re- 
quirements on  certain  farms  were  due  to  poor  arrangement  of  build- 
ings, poor  watering  equipment,  unsystematic  organization,  small  size 
of  flock  and  uneconomic  practices. 

3.  Peed  consumption  averaged  8.7  lbs.  per  dozen  eggs.  Of  the  104 
lbs.  of  feed  consumed  by  the  average  layer  in  a  year,  40.5%  was  mash. 

4.  Mortality  and  culling  were  found  to  reduce  the  size  of  the  flock 
to  such  an  extent  that  the  average  population  of  layers  was  only  77% 
of  the  maximum  housed  in  the  fall.  Mortality  averaged  16.9%,  with 
a  range  of  5.6  to  35.9%.  Depreciation  and  mortality  losses  on  layers 
amounted  to  10  cents  per  dozen  eggs. 

5.  Pullets  exceeded  old  hens  in  production,  averaging  150  eggs  per 
bird  as  compared  with  112.  Average  production  of  all  flocks  was  145 
eggs  per  layer,  or  39.7%. 

6.  Eggs  were  found  to  increase  gradually  in  size  from  the  beginning 
of  laying  at  about  24  weeks  of  age  to  a  maximum  size  at  50  weeks  of 
age;  but  certain  flocks  showed  a  small-egg  tendency  during  the  whole 
period,  and  other's  a  large-egg  tendency.  There  was  no  evidence  of  re- 
lationship between  egg  size  and  production. 

7.  When  price  of  eggs,  egg  size  and  production  are  considered, 
early  hatched  pullets  gave  a  higher  return  than  late  hatched;  and 
pullets  gave  better  gross  returns  than  old  hens. 

S.  As  a  rough  statement  of  the  cost  of  producing  eggs,  tin1  follow- 
ing formula  was  developed  : 

17  ll.s.  feed       ~1  r    0.4  lbs.  broiler 

().<i  hours  Labor  [       produce       '     "^  ")S-  tmv' 


4('-  supplies 
l::.7r  overhead 


0.3  day  old  chick 

1   dozen    eggs 


A   similar   formula   was  developed    for   the   cost    of   producing   100 
pullets. 


May,  1932] 


Economic  Study  of  Poultry  Farms 


59 


9.  Hatching  eggs  were  found  to  cost  an  average  of  11.1  cents  more 
per  dozen  than  market  eggs.  The  range  was  4.1  to  39  cents,  depend- 
ing largely  on  the  number  of  hatching  eggs  used  per  mated  hen.  The 
average  per  cent  hatch  was  67.8,  and  the  range  in  hatchability  from 
46.9  to  83%.  Incubation  cost  averaged  $1.86,  and  day-old  chick  cost 
$9.23  per  100  chicks.  The  mortality  on  chicks  reared  for  pullet  re- 
placement was  14.5%. 

10.  It  is  believed  that  a  young  man,  given  proper  organization  of 
business  and  efficient  equipment,  can  handle  from  1000  to  1500  layers 
and  produce  the  pullet  replacements  with  very  little  hired  labor.  A 
sufficient  number  of  layers  to  keep  the  man  employed  to  best  advan- 
tage, layers  housed  to  capacity  in  low-cost  buildings,  fed  on  good 
but  low-cost  rations,  is  a  combination  which  should  bring  success. 


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