Poultry Production Case Study
I. INTRODUCTION
Poultry production is important and crucial in the Philippine economy because it supplies portion of the domestic protein requirement, contributes to export earnings, and provides a source of employment. According to the report of the Bureau of Agricultural Statistics (2014), the poultry subsector constituted about 15% shares from the total agriculture sector and it showed a 0.27% growth from the past year. Additionally, chicken (Gallus gallusdomesticus) has been the leading source of this progress in the subsector.
The chicken industry in the Philippines is diverse. It comprises of broilers, layers, or native chickens. The top animal enterprises which have been the most developed are egg production and chicken broilers (BAR, 2012). Moreover, the overall reported chicken population was 167 million as of January 2014 (NMIS, 2014).
Generally, poultry raising is capital-intensive because it requires a large amount of capital for the continuance of the farm operation. Although, the majority of the farmers in the agriculture sector is small scale and only a small portion of the capital are owned by themselves which makes them resort to borrowing either from formal or informal financial institutions. (Lasian, 2002 as cited by Travilla, 2006). As a result, chicken raisers incessantly use credit as the main source of capital.
Agricultural credit assists in providing financial services in the agricultural sector. It is also the common source of capital aiding in
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