This study aims at identifying the types of production and marketing
in broilers projects, identifying the existing distribution channels and their
relative importance in the volume of sales in the region, and examining the
costing of the setting up and preparation of the final output along with the
marketing cost structure for the exiting projects. Using cross sectional data
from 28 projects in the eastern region, Saudi Arabia, representing about 62.2%
of the total productive projects in this region for the year 2014, the data was
utilized to study production capacity, technical coefficients, and net return per
broiler in each of two production types, namely: live broilers projects, live and
processed broilers projects.
There were 18 projects producing only live broilers, Average technical
coefficients for feed, chicks, and labor were estimated to be 2.49 kg/broiler,
1.07chicks/ broiler, and 0.0005 working day/ broiler, respectively. Net returns
per broiler was estimated to be 1.87 Saudi riyal (SR) which increased as
production capacity increases.
There were 10 projects producing live and processed broilers,
Average technical coefficients for feed, chicks, and labor were estimated to be
2.38 kg/broiler, 1.06 chicks/ broiler, and 0.002 working day/ broiler,
respectively. Net returns per broiler was estimated to be 2.12 Saudi riyal (SR)
which also increased as production capacity increased. The study showed that while the distribution channels for live broilers are limited, they reach five
channels for the processed broilers, the first of which is the sales of stalls
(32.3%), followed by the supplies (23.7%) and the central markets (21.8%),
Companies (20.2%), and finally sales of the farm by not more than (2%).
Moreover, marketing costs of processed broiler accounted for about 12.3% of
total costs; the results indicated the importance of slaughtering and processing
costs; represent about 40.6% of the marketing costs. On the other hand,
Storage and cooling costs, transport and distribution represent 20.8% and
15.5% respectively. Which requires the necessary investments for
slaughterhouses, means of storage and cooling, and transportation means to
provide opportunities for distribution of production, in addition to scheduling
supply.