Analysis of financial feasibility of open house system for broiler chicken farming in Bulukumba Regency

Abstract

This study aimed to analyze the financial feasibility of broiler chicken farming using the open house system in Bulukumba Regency, South Sulawesi. The research focused on 94 partner farmers distributed across Ujungloe, Herlang, and Rilau Ale districts,, who were selected using purposive sampling based on their active participation in cattle farming and partnership schemes.. The novelty of this study lies in its regional and empirical specificity by comprehensively examining the cost structure and profitability of broiler farming under real-world partnership models. The research applied descriptive quantitative analysis to determine cost components, revenue, income, Breakeven Point (BEP), Revenue-Cost Ratio (R/C), and Benefit-Cost Ratio (B/C). The results showed that the average production cost per cycle was IDR 428,500,000 with a total revenue of IDR 468,750,000, resulting in a net income of IDR 40,250,000. The R/C ratio was 1.09 and the B/C ratio was 0.094, indicating that broiler farming using the open house system is financially viable and profitable for farmers in the study area. To enhance financial sustainability, farmers are recommended to improve cost efficiency through optimized feed management, adopt better health and biosecurity practices to reduce mortality, and strengthen market linkages to ensure stable selling prices. Additionally, scaling up production and adopting technological innovations could further increase profitability and competitiveness in the long term.