Techno-managerial study on the application of probiotics in poultry and livestock production: focus on chicken and swine

Date

2010

Degree

Bachelor of Science in Agribusiness Management

College

College of Economics and Management (CEM)

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Abstract

This study aimed to assess the impact of the formulation of probiotics developed by Mr. Herbert Pantua on the four business functions of chicken and swine raisers. The technology developer was currently the President of Herb Republic, a restaurant in Los Baños, Laguna catering organic foods fresh from his own farm. The formulation was developed in 1995 and is still on the process of perfection. Probiotics are cultures of special microorganisms used as a dietary supplement that confers health benefit on the host when administered in adequate amounts. The probiotics, when ingested, exert its effects on the gastrointestinal tract of the host. This biotechnology is now gaining popularity as replacement for antibiotics used to promote animal growth in animal husbandry.

Personal interviews were conducted using questionnaires to gather the primary data used in the study. The technology developer was interviewed to determine the attributes of his probiotics formulation. A total of 12 respondents were interviewed. The respondents were composed of 7 users and 5 non-users of the probiotics. Adopters were interviewed to determine the effectiveness of technology as claimed by the technology developer. On the other hand, data were obtained from non-users to determine the relative advantage of probiotics as compared to conventional management practices in chicken and swine production. Descriptive analysis (i.e. cross-tabular frequency distribution tables) was done to analyze the information provided by the respondents.

The dissemination of the product was solely done by the technology developer. His mode of disseminating the probiotics were mostly farm demonstrations using his own farm located in Bae, Laguna and through word of mouth by private individuals who knows about his technology. Advertisement through the internet is still being prepared.

Results of the study showed that the predominant attributes of the technology experienced by the users are elimination of undesirable odor from the fecal matter of the animals, strengthening of the immune system of the animals and lowering the use of regular medications. On the other hand, the attributes of the product that were not much observed by users were the reduction in the incident of diarrhea and mortality rate and decreasing meat hardness. Among the users, only a minority of them said that they have experienced insufficiency of supply of probiotics since the technology developer prioritizes those who buy in bulk and whatever is left are the ones available for them. Most of the users are not price sensistive on the the cost of probiotics.

The impact of probiotics on the four business functions was analyzed using cost and return analysis of a broiler producer in Silang, Cavite and a swine farm owner in Los Baños, Laguna before and after the adoption of the probiotics. In broiler production, results showed that the probiotics significantly increased the productivity of the farm from 91% to 95%. Mortality rate had decreased by 4% after adopting the technology. Although the probiotics is more expensive than the antibiotics and labor cost had increased by P1.38 per bird, it was compensated by a P11.44 increase in gross income per bird. On the other hand, results on the impact of the probiotics in swine production shows that it has significantly increased the owner’s farm productivity by 4% and reduced total amount of feed consumption per head in swine by 25kg due to improvement in the feed conversion ratio from 2.6 to 2.3. It was recommended that the technology developer should lower the price of probiotics by identifying points in the value chain where he can cut the cost without sacrificing the quality of his product. He should also increase its promotion through forward integration by means of establishing additional market outlets for his product and improving the packaging by placing instructions on how to use it properly. To increase dissemination, he can license some of his existing customers to distribute his products after his patent application is approved. The author also propose to the technology developer to focus his marketing efforts to farmers who are middle aged, have at least received college education, and relatively new in farming business. Lastly, he should continuously improve the quality of his product by exploring others strains of beneficial microorganisms.

Language

English

Location

UPLB College of Economics and Management (CEM)

Call Number

LG 993 2010 M17 P53

Document Type

Thesis

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