The Cost and Market Impacts of Slow-Growth Broilers

Jayson Lusk, Nathanael M. Thompson and Shawna L. Weimer

Journal of Agricultural and Resource Economics, 2019, vol. 44, issue 3

Abstract: There has been substantial productivity growth in the broiler industry; however, high growth rates might adversely affect animal welfare, resulting in calls for slow-growth breeds. This research shows production costs are 11%'25% per pound higher for slower-growing breeds than for modern breeds, depending on the target endpoint. Breakeven wholesale price premiums needed equate net returns of slow- to fast-growth broilers range from $0.10/lb to $0.36/lb. Annual costs of an industry-wide conversion to slow growth are $450 million for consumers and $3.1 billion for producers. Consumer willingness-to-pay would need to increase 10.8% to offset the producer losses.

Keywords: Livestock Production/Industries; Production Economics (search for similar items in EconPapers)
Date: 2019
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Persistent link: https://EconPapers.repec.org/RePEc:ags:jlaare:292330

DOI: 10.22004/ag.econ.292330

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