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Abstract

The purpose of this study was to analyze the economic feasibility of chicken farming under integration contracts. Multiple case studies were used to determine the economic situation of the activity performed by rural producers in the States of Minas Gerais and São Paulo. Data referring to zootechnical indicators, costs and incomes were collected for 18 months in every production cycle, in six farms located in Prados, State of Minas Gerais, and two located in Pratânia, State of São Paulo. Economic analyses were carried out based on the average of seven production cycles for each farm, totaling 56 batches. According to results, among eight producers analyzed in this study, the best economic result was not obtained for who showed the greatest production efficiency index, lesser production cost or greater total income. The economic success of this producer was due to the intricate balance between the chicken production performance, production costs, and incomes. In addition, the chicken farming was found to be highly dependent of ancillary incomes to the production process, by means of selling of poultry litter, without which the activity would be unfeasible in medium and long terms for the majority of chicken producers.

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