This research was conducted in collaboration with The Small-Scale Meat Producers Association (SSMPA).
A pasture poultry market analysis and development of a pasture poultry enterprise budget
The Small-Scale Meat Producers Association (SSMPA) is a registered Not-for-Profit Society representing British Columbia (BC) farmers, primary producers, and ranchers that are raising meat outside of the conventional, industrial system.
After several years of exploration, SSMPA members believe there to be opportunity for growth of the pasture-based poultry sector in BC, given an increasing number of small-scale poultry farmers, increasingly adequate processing facilities and access to the significant consumer markets. There is a sense that BC has all the components for a strong, significant industry cluster. There are farms that want to raise more poultry, hatcheries, feed producers, processing facilities, and a large market of consumers who want to buy local, pasture-raised poultry. This belief was confirmed in 2022-2023, when SSMPA leadership met with producers all over BC.
There is a need for a scalable, manipulatable enterprise budget and a comprehensive assessment of the market on a regional basis (pasture poultry producers do not supply the commodity market, rather they supply, are part of regional food system markets).
It was ascertained that while small scale poultry sector senses there is opportunity to expand, actors need critical decision-making information. There is a need to take a deeper dive into the demand side and support sector growth. The enterprise budget will support current producers benchmarking and financially prepare for expansion. The market analysis will provide a realistic assessment of opportunity on a provincial and regional basis.
Market Analysis
Marketing information (price, quantity, product characteristics) help producers understand their customers and make decisions about how much to produce. Consumer demand for a highly differential pastured-raised poultry product is currently beyond the scope of the current regulatory system. This information is needed to inform new Policy development. The SSMPA have demonstrated that there is a demand for high valued pastured raised poultry and expansion of the pastured production system is necessary to meet this growing demand. The purpose of this market analysis is to provide information about the probable size of the pastured poultry market and expectations about clearing prices. This information can be used to inform farm business/financial planning and related Policies.
Enterprise Budget Development
Enterprise budgets (AKA partial budgets) are a basic farm business management decision making tool. They project the costs and returns of growing and selling a particular crop or livestock over a period of time. It comprises a simple, but thorough listing of income and expenses, based on a set of industry generated parameters. An enterprise budget is a physical plan because it indicates the types and quantities of production inputs and output; as well as a financial plan because it assigns
costs to all inputs used in producing the enterprise. Some of the uses of an enterprise budget are itemizing costs and returns (income), listing inputs and production practices, evaluating the financial potential or efficacy of the enterprise, estimating benefits and costs of fundamental changes in production practices, providing a foundation for a total farm plan, and supporting applications for credit.