Profitability of Indigenous Chicken: The Case of Producers in Makueni County, Kenya

Abstract

Indigenous Chicken(IC) (Gallus domestica) is increasingly becoming an essential component of diets in urban centers. This increase in demand is accompanied by an increase in production by smallholder farmers. These farmers rely on the indigenous chicken for food security, household income, employment and quick funds in emergencies. The profit associated with the production of indigenous chicken, constitutes part of the contribution of the Agriculture sector to the Gross Domestic Product (GDP) of Kenya. However, in Makueni County there is little information on the amount of profit from production of IC or its relationship with socioeconomic factors. The objectives of this study was to calculate the profit of IC in Makueni and to determine the relationship between socio economic factors and profit from IC.A total of 130 households were sampled using multi stage sampling after which data was collected using a pre tested questionnaire in a house hold survey. These data was then analysed using budgetary analysis and multiple regression in STATA 11. The results showed that the profit from IC production in Makueni was Ksh. 5347/100 birds (1US$= Ksh86.70).Age, education, access to credit, flock size, price and years in farmer group had a significant relationship with the profit. Therefore it is recommended to form marketing groups that will engage in contractual agreements with final buyers of indigenous chicken.