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Small-Scale Livestock Production

Raising
Poultry
for Profit
This program was funded by the USDA
National Institute for Food and Agriculture
(NIFA) Beginning Farmer and Rancher
Development Program (BFRDP) under
award #2009-49400-05871.

What you need


to know before
you get
started

New marketing
opportunities
Environmental stewardship
Production practices
Safe product handling
Business licensing
Zoning restrictions

New Marketing
Opportunities

Leveraging flock
management
Certification
programs
Evaluating
program costs &

Certification and
Marketing
Consumers are interested in how
livestock are raised, handled & processed
Certification may allow you to secure a
premium for product or expand market
reach
Such as specialty food stores and restaurants
that require that their animal products be
sourced from humanely raised animals

How you manage your flock (your


stewardship practices) can influence your
marketing opportunities

Animal Welfare Certification


Programs
Distinguish livestock products as coming
from humanely treated animals
Certified production systems often are
more expensive than non-certified
Be sure to keep in mind the production
costs and marketing benefits of following
a certification program
Animal
Welfar
e
Approv
ed

USDA
Organi
c

Americ
an
Human
e
Certifie
d

Food
Allianc
e

Global
Animal
Partners
hip

United
Egg
Produc
ers

Possible Program Specifications


for Flock Management

Outdoor
access

Litter
managemen
t&
ammonia
levels

Sleep period
requirement

Space
allowances
(roosting &
range)

Catching
birds for
transport

Evaluating Certification
Programs
Goals

Make sure program goals align with


yours

Certification

Understand the certification process


& animals covered

Fees
Time
Commitment

Understand the programs fee


structure
Calculate the time required to
achieve & maintain certification

Estimate how your production


Production Costs costs may change under
certification

Evaluating Certification Benefits

Access to new
markets that
seek certified
products

Possibility of
charging higher
prices for
products

Access to
marketing
materials and
support from
certifying
organization

Ability to
connect with
customers based
on their values

Certifier may help


grower improve
safe production
and handling
techniques

Evaluating Certification Costs


More ranging or living area may be required for
each bird enrolled in the certification program
You may need more land
Changes to poultry health care You may need
to remove from your program sick birds that
you vaccinate or medically treat
Changes to poultry feeding You may need to
use feed from specific sources or follow certain
ingredient guidelines
Changes to poultry housing You may need to
build additional facilities to allow more space
per bird
More detailed record-keeping on poultry health
and raising You may need to allow more time
or hire someone to do this

Linking Production & Marketing


Decisions
Choose a breed that is appropriate for
the products you want to produce (meat
vs eggs)
If you are producing meat animals, do
you have a slaughter and processing
facility that will work with your level of
production?
Know who will buy your product before
you
produce it
Take a course in Good Agricultural
Practices (GAPs)

Environmental
Stewardship
To be a good neighbor
and food producer:
Manage manure
properly
Monitor storm water
runof
Dispose of mortalities
safely

Good Stewardship Leads to


Better Business Management
Minimizing:

Using best
Leads to a:
manageme
Animal and
Cleaner
nt
manure
production
practices
odors
operation
Dust
& to:
= Healthier
Insects &
predators

Dispose of
dead birds
Mitigate
runof

herd
Good
neighbor
relationshi
ps

Manage Manure Properly


Control unpleasant odors and dust
Know the nutrient content of your
manure, apply based on
nutrient/fertilizer value, and keep
records
Spread manure away from wells,
springs, and watercourses
When possible, till in fall-applied
manure
Keep piles of manure, spent bedding
and spoiled feed away from
watercourses

Monitor Storm Water


Runof
Conduct annual tests for bacteria and
nitrates in well water
Locate poultry operations away from
wellheads; protect wellheads in
pastures (consult local/state wellhead
protection
Use buferslaws)
and setbacks to protect
surface waters from direct contact
with animal waste and process waste
water
Divert clean water (run-on) around
production and waste storage areas
using berms, ditches grassy swales,
roof gutters

Dispose of Dead Birds Safely


Abide by state/local laws
Render within 48 hours, where service is
available (dead animals used to create a
new, usable product)
Compost in pile or bin, at high
temperature (130o-150oF)
Bury on farm, at least 300 feet away
from a watercourse and 3-ft deep, above
the wet season high watertable
Bury/dispose at a licensed landfill

Production Practices
Maintaining a
healthy flock
Managing sick
birds
Growing your
flock

Animal Welfare

Preventing disease
among your flock
involves good
stewardship and
management

Managing for Healthy


Birds Includes Providing
Adequate space & ventilation
Clean housing & bedding material
Access to water at all times
Nutritionally complete food
Protection from predators
Protection from extreme temperatures

Managing Sick Birds


Includes
Having a local avian veterinarian who
understands your flock management program
Establishing a plan for:
Any unknown disease
Avian Influenza & Exotic Newcastle (cause
significant morbidity in flocks)

In case of disease outbreak, having a plan for


cleaning and disinfecting vehicles &
equipment, and protecting your employees
Developing a quarantine procedure for sick
birds
Developing a disposal plan for dead birds

Growing Your Flock


Look for hatcheries participating in
Voluntary National Poultry Improvement
Plan (NPIP)
Certifies that poultry breeding stock and
hatcheries are free from certain diseases

Avoid poultry swaps or other unverified


sources
Quarantine new birds before integrating
into your flock
Keep in mind local regulations for
numbers of birds allowable in your area

Safe Handling
Eggs
Meat
Live
birds

Eggs: Safe Handling for Small


Flocks
Gathering
Washing
Sanitizing
Candling
Drying

Keep nests clean


Gather eggs 3 times/day to keep clean
Use unscented, food-grade detergent +
rinse water
Keep water temperature between 110F
and 120F
Dip in 120F water and bleach at 100200 ppm chlorine (1oz bleach per 1
gallon water)
Discard meat spots, blood spots and
cracked egg shells
Dry on racks before putting in cartons

Refrigerating

Store between 33F and 41F

Transporting

Must be clean
Maintain refrigeration

Eggs: Safe Handling for


Large Flocks (3,000 or more
laying
hens)
Register
with FDA under the Egg Rule
In your facility:
Buy chicks and young hens only from suppliers
who monitor for Salmonella bacteria
Establish rodent, pest control, and biosecurity
measures to prevent spread of bacteria
throughout the farm by people and equipment
Conduct testing in the poultry house for
Salmonella

Refrigerate: Eggs must be


refrigerated at 45 F, within 36 hours
of when they are laid
Pasteurization

Meat: Safe Handling


Handle all raw poultry carefully to prevent crosscontamination.
Chill to 40F or less within a specified time after
slaughter. Keep poultry products cold (40F or
below) or frozen (0F or below) during transport.
The term fresh may only be placed on poultry
that has never been below 26F.
Raw poultry held at temperature of 0F or below
must be labeled with a keep frozen handling
statement.
Raw poultry has a very short refrigerator shelf
life and should be frozen or cooked within two
days of purchase.

Live Birds: Safe


Handling
Live baby poultry (chicks, ducklings,
gosling and turkey poults) may carry
Salmonella
Bacteria may be in their droppings,
feathers, feet, or beaks
After handling baby poultry:
Wash your hands thoroughly

After handling any livestock


Wash hands thoroughly & change shoes
before entering a food production or
handling area

Business licensing
Which licenses you
need depends on:
Whether you are
selling eggs or meat
Where you plan to
sell your product
The scale of
production you are
considering

Getting Permission to do
Business

County, municipal & Homeowners


Association or
Neighborhood/Unincorporated
Community Covenants
Business Registration (typically from your
states Secretary of State, although some
cities & counties also require business
registration)
IRS Employer Identification Number (EIN,
if you have employees)
State taxes (sales tax, income tax, workers
compensation, unemployment insurance)
City/County sales tax license
Other business licenses (depending on your
sales outlet and product(s) offered for sale)

< 3000
>
=3000

Flocks under 3000


laying hens are USDA
grade exempt and
fall under state law
Flocks of 3000 and
over laying hens
require business
registration with
Food Safety
Inspection Service
(FSIS) through the
FDA

Image: James Bowe @ flikr.com / Creative Commons licensed

How Many Hens Do You


Plan to Have?

From place
of
production?

Farmers
market(s)?

Through
retail
stores?

State licensing can vary


depending on where
you plan to sell your
product
Licensing may be easier
if you plan to sell direct
to consumers from your
home or place of
production
However, check with
the market or retailer
for any licenses or food
safety audits they may
require

Image: James Bowe @ flikr.com / Creative Commons licensed

Where Do You Plan to


Sell Eggs?

Licensing for Retail & Wholesale


Meat Sales
To sell
packaged
poultry direct
to the
consumer

Must use state or federally


inspected slaughter and
processing facility (see
exemption for custom
processing)

To sell
packaged
poultry to
retail buyers,
wholesale or
farmers
market

Must use state or federally


inspected slaughter and
processing facility (see small
flock exemption)
Required: Labeling i.e., Net
Weight using Standard
Weights and Measures*
Optional: Grading

*Note that your processor can help guide you through the
packaging and labeling process.

Exemptions to USDA slaughter


and processing requirements
Exemption #1 for freezer meats
Sold before
Labeled
slaughter to
NOT FOR SALE
new owner AN
O
R

Processed for
Processed for
non-paying
household useAN
guests
D

Exemptions to USDA slaughter


and processing requirements
Exemption #2 for poultry,
but not recognized in all states
Producergrower 1,000
bird per year
limit

Producergrower 20,000
bird per year
limit

FO
R

FO
R

On-farm sales

Retail sales

Your County Health


Department May Require
A retail food establishment
license
for product
For
Colorado
Dept. ofsales.
Public
example
in Colorado: Plan
Health
& Environment
1.
Review
2.
3.
4.

County Health Department


Application
Inspection (possible)
Estimated fee: $115
Annual fee, but will be

One More Thing About Meat &


Egg Sales
Many farmers
markets require
vendors to carry their
own liability insurance
policy

For more info on licensing and


regulations
check with your local Extension office
or state Department of Agriculture

Zoning
restrictions Zoning is a restriction on
the way land can be used
Zoning regulations may
include where you can
(or cant) raise animals
Zoning may also define
the number of birds you
raise on your property

County & Municipal Zoning


Regulations
Present your plans earlyyour
local planning and zoning board
may have ideas to make your
business more viable or to
protect your resource base
Once you are in operation,
remember to consult local
officials before making any
changes to your business (to
structures or to products you

County & Municipal Zoning


Regulations
Livestock allowances are usually
outlined in land use codes
Large livestock are typically
prohibited in non-agriculturally
zoned county or municipal
districts
Many municipalities allow
private ownership/production of
a small number of fowl,
although many exclude roosters
and limit the density of
confinement
Your Homeowners Association
may also have restrictions on
poultry

Always verify
the number
birds legally
allowed on
your property
before
starting your
business

Regulations in Districts Where


Commercial Poultry Production is
Permitted may Include:
Commercial
or
agricultural
permit
requiremen
ts
Minimum
space
requiremen
t per
chicken;
restrictions
on roosters

Permit fee
often
required

Size and
type of
animal
structures;
location on
your
property

Standards
for odor,
dust, noise

Limited or
no
allowable
slaughter
on premises

Building a Profitable Business


Involves
Building
Customers
through

Building
Business
Processes

Building
Community
through

Marketing

Good
resource &
flock
stewardship

Safe
handling
practices

Good
neighbor
relations

through

Research &
compliance
with
regulations
and
certificatio
ns

that lead to a sustainable


business!

Photo credit: Aprilskiver

Questions?

Acknowledgments
Blake Angelo, Colorado State University Extension, Urban
Agriculture
Dr. Jack Avens, CSU Food Science and Human Nutrition
Thomas Bass, Montana State University Extension,
Livestock Environment Associate Specialist
Dr. Marisa Bunning, CSU Food Science and Human Nutrition
Emily Lockard, CSU Extension, Livestock
Dea Sloan, CSU Agricultural and Resource Economics
Martha Sullins, CSU Extension, Agriculture and Business
Management
Dr. Dawn Thilmany, CSU Agricultural and Resource
Economics
Heather Watts, CSU Agricultural and Resource Economics
Wendy White, Colorado Department of Agriculture
David Weiss, CSU Agricultural and Resource Economics

Photo Credits flickr.com


All photos used under the Creative Commons
License

James Bowe
7177637421

Aprilskiver
6351632089

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