ABSTRACT

The sttkty delved into the economics of egg production at the Michael Okpara University of Agricul:ure, Umudike Poultry farm. Data were sourced from relevant production record for 2100 layers reared between the years 2001 and 2003. The dab were subjected to analysis using tables, percentages, gross marginal analysis, net farm income analysis, multiple regression analysis, and virginal analysis for allocative efficiency of resources. Feed cost accounted for about 79.7% of 'the total cost while labour, medication, utilities, equipment and facilities comprised other costs. Egg number/quantity accounted for about 86.Ol% of the total output of which empty bags, droppings and culled birds formed a part. The relative high value of tie gross margin (N804, 517.85) and Net farm income (N551, 497.85) in the profitability analysis is an indication that egg production is very profitable. Results of the regression analysis proved the double-log functional form to provide the best fit of all the four functional forms tried. The results idertified cost of feed, medication and labour costs as the major determinants of egg output. All the inputs had efficiency ratios greater than one and this implies that they were under utilized. High cost of feed and incidence of disease were identified as the major constraints to production. Another constraint was inadequate and unsatisfactory method of fund disbursement (from the University). To sustain profitability of the enterprise, improved breeds that are disease resistant and tolerant to indigenous conditions should he used in production. The farm should also embark on feed processing to reduce cost.