The economic feasibility of on-farm feed milling for Arizona poultry ranches
Published in 1977
Arizona egg producers are at a comparative disadvantage in the local egg market because feed costs are above California levels. Onfarm feed milling was explored as an income-improving alternative. Plants were designed and budgeted for three flock sizes. The objective was to determine the least cost alternative between on-farm feed milling and commercial feed acquisition.
On-farm feed milling was feasible for all model mills since cost per ton was less than the cost of commercial feed. Economies of size existed in on-farm feed milling and cost-savings were greatest for larger volume egg producers requiring greater feed tonnages. The feed mill design for 75,000 birds provided cost-savings over commercial feed acquisition but did not offset the California advantage. Model mills for the 150,000 and 300,000 flock sizes eliminated the competitive disadvantage of Arizona egg producers by reducing feed costs sufficiently to compete with eggs produced in California