Editor’s note
See the Mobile Laying Hen Budget workbook (XLSX) for related information. If you do not have access to Microsoft Excel, please use the Mobile Laying Hen Budget sheet.
Producing eggs using mobile houses, otherwise known as “chicken tractors” or “egg mobiles,” can be a profitable enterprise with low barriers to entry. These lightweight, portable structures provide hens with access to feed, water, shelter and protection from predators while allowing access to forages and insects. Pasture-raised poultry also fertilize the soil and help control harmful insect populations.
Basics of operating chicken tractors on pasture
Chicken tractors come in many shapes and sizes. Entry-level chicken tractors holding fewer than 100 hens can be easily built on the farm (Figure 1). Larger, commercially built models can house several hundred birds and may include automatic feeding, watering, lighting and doors. There is a trade-off between capital and labor needed in the mobile poultry business, and success depends on identifying the right balance.
The basic chicken tractor design is a floorless shelter that restricts birds to the space within its footprint. Some tractors feature a raised subfloor that allows chickens to roam within a portable electric fence. In this system, the chickens have the shaded area under the tractor for shelter in addition to the indoor area, and managers can move the tractor less frequently by allotting multiple days of grazing area. However, moving this system is more time-consuming because the net wire fence has to be taken down and reconstructed. For operations transporting hens beyond a contiguous field, the raised, fully contained design is preferable because it does not rely on constant ground contact to keep the hens contained. The Mobile Laying Hen Budget workbook (XLSX) provides more detail on the production systems outlined in this budget, and you can customize the facilities and production system to fit your operation.
Managing laying hens in chicken tractors is similar to standard small-scale poultry production, with daily feeding, watering and relocation of the tractor. The tractor is moved daily for optimal pasture management. Twice-daily moves may be preferable under certain conditions. The time needed to complete daily activities in and around the tractor varies, but in all cases, efficiency should be pursued to minimize labor costs.
Pasture-based egg production system
This guide details pasture egg production at a small 60-hen scale and a medium 600-hen scale. More detail about the systems listed can be found in the budget workbook. The key differences in these models are their labor and capital intensiveness. The small model uses a home-built tractor made of wood, plastic sheeting and poultry net wire. The medium model uses a commercially built chicken tractor with many automated features, such as photosensitive doors, automatic feeders and waterers, and an egg-gathering system that collects eggs without the operator entering the tractor. Table 1 compares the investment required for each operation, and Table 2 estimates weekly labor needs.
Table 1. Facility investment used in mobile laying hen budget, in dollars.
| Item | Small-scale (60 hens) | Medium-scale (600 hens) | ||
|---|---|---|---|---|
| Initial investment | Annual cost | Initial investment | Annual cost | |
| Mobile house | 1,338 | 215 | 42,000 | 4,200 |
| ATV/UTV1 | 3,000 | 390 | 7,250 | 943 |
| Tractor2 | 5,000 | 533 | ||
| Feed bin | 4,300 | 387 | ||
| Water trailer | 3,000 | 300 | ||
| Feed trailer | 3,500 | 350 | ||
| Electric fencing | 300 | 78 | 950 | 247 |
| Brooder house | 344 | 46 | 10,548 | 970 |
| Egg cooler | 500 | 78 | 4,000 | 390 |
| Egg baskets | 150 | 18 | 500 | 60 |
| Egg candler | 40 | 6 | ||
| Egg washer | 400 | 62 | ||
| Automatic washer/candler | 9,000 | 810 | ||
| Total | 6,072 | 893 | 90,048 | 7,930 |
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Table 2. Labor requirement in mobile laying hen budget, in hours per week.
| Activity | Small-scale (60 hens) | Medium-scale (600 hens) |
|---|---|---|
| Feeding and watering | 0.6 | 1.0 |
| Egg gathering | 1.0 | 2.0 |
| Egg cleaning and grading | 1.5 | 4.0 |
| Egg handling and packaging | 1.0 | 4.0 |
| Moving chicken tractor | 1.0 | 1.5 |
| Other production tasks | 0.4 | 1.0 |
| Administration and management | 0.5 | 1.0 |
| Total labor requirement | 6.0 | 14.5 |
The poultry business has become highly concentrated in the last century, and small producers cannot compete with supermarket egg prices due to economies of scale. This budget assumes that all eggs are sold directly to consumers at a premium price. In any case, Missouri law requires that farmers selling eggs be licensed as an egg retailer if eggs are sold on any premise other than the farm where they were produced. If you choose to sell eggs to grocery stores, restaurants, farmers markets or any other retailer or end user, your farm must purchase an egg dealer’s license. See Selling Eggs in Missouri FAQ’s (PDF) for more information.
Economics of pasture-based egg production
Pasture-based egg operations can be lucrative with the right market access. This budget assumes about 37 weeks of annual laying at 5.25 eggs per hen per week, totaling 187 eggs per hen per year. This level of production does not require supplemental lighting but will require excellent flock management. A laying hen eats about a quarter pound of feed daily. Death loss of 7% is assumed. Hens are culled at 110 weeks and sold live for butchering or backyard flocks. Table 3 provides detailed estimates of income, expenses and profitability of the egg enterprise.
Table 3. Costs and returns to mobile laying hen enterprise, in dollars.
| Item | Small-scale (60 hens) | Medium-scale (600 hens) | ||
|---|---|---|---|---|
| Annual total | Per dozen | Annual total | Per dozen | |
| Income | ||||
| Egg sales | 4,403.90 | 4.70 | 44,048.40 | 4.70 |
| Cull hens | 208.00 | 0.22 | 2,104.00 | 0.22 |
| Total revenue | 4,611.90 | 4.92 | 46,152.40 | 4.92 |
| Operating cost | ||||
| Feed | 899.00 | 0.96 | 9,108.25 | 0.97 |
| Labor | 6,084.00 | 6.49 | 14,703.00 | 1.57 |
| Purchased chicks | 124.50 | 0.13 | 1,245.00 | 0.13 |
| Brooder operation | 235.20 | 0.25 | 697.50 | 0.07 |
| Egg packaging and labeling | 702.75 | 0.75 | 7,029.00 | 0.75 |
| Transportation | 225.00 | 0.24 | 900.00 | 0.10 |
| Marketing | 461.19 | 0.49 | 4,615.24 | 0.49 |
| Maintenance, fuel and utilities | 733.92 | 0.78 | 4,513.96 | 0.48 |
| Licensing | 40.00 | 0.04 | 40.00 | 0.01 |
| Operating interest | 190.11 | 0.20 | 857.04 | 0.09 |
| Total operating cost | 9,695.67 | 10.35 | 43,708.99 | 4.66 |
| Ownership cost | ||||
| Land use charge | 60.00 | 0.06 | 600.00 | 0.06 |
| Facility and equipment ownership | 831.82 | 0.89 | 7,164.79 | 0.76 |
| Taxes and insurance | 184.48 | 0.20 | 1,846.10 | 0.20 |
| Total ownership cost | 1,076.30 | 1.15 | 9,610.88 | 1.03 |
| Total cost | 10,771.97 | 11.50 | 53,319.87 | 5.69 |
| Income over operating cost | −5,083.77 | −5.43 | 2,443.41 | 0.26 |
| Income over total cost | −6,160.07 | −6.57 | −7,167.47 | −0.76 |
| Return to labor and investment | 755.76 | 0.81 | 14,700.31 | 1.57 |
| Breakeven egg price per dozen, less labor and facility cost | 4.05 | 3.29 | ||
| Breakeven price per dozen | 11.50 | 5.69 | ||
Production assumptions
This model assumes leghorn cross hens are purchased as day-old chicks. The hens are reared in a brooder and then a conventional house until laying age, when they are moved to the tractor. Half of the hens are replaced annually, with spent hens sold at about 110 weeks for backyard flocks or canning. Table 4 outlines key production assumptions of the pasture-based laying hens. Egg pricing and spoilage loss are major drivers of profitability. To maximize the quantity of eggs available for sale, it is crucial to minimize spoilage and breakage.
Table 4. Input assumptions in mobile laying hen budget, in dollars.
| Activity | Unit | Cost per unit | Small-scale (60 hens) | Medium-scale (600 hens) |
|---|---|---|---|---|
| Egg sales | per dozen eggs | 4.70 | 937.00 | 9,372.00 |
| Cull hens | each | 8.00 | 26.00 | 263.00 |
| Starter feed | 50-pound bags | 20.00 | 4.00 | 32.00 |
| Grower feed | 50-pound bags | 15.75 | 12.00 | 111.00 |
| Bagged layer feed | 50-pound bags | 15.00 | 42.00 | |
| Bulk layer feed | tons | 320.00 | 21.00 | |
| Labor | hours | 19.50 | 31.20 | 754.00 |
| Day old chicks | each | 4.15 | 30.00 | 300.00 |
| Transportation | miles | 0.90 | 250.00 | 1,000.00 |
| Egg packaging and labeling | per dozen eggs | 0.75 | 937.00 | 9,372.00 |
| Land expenses | per acre | 50.00 | 1.20 | 12.00 |
| Interest rate | annual percentage rate | 8% | 9,505.56 | 42,851.95 |
| Taxes | percent of revenue | 3% | 4,611.90 | 46,152.40 |
| Marketing expenses | percent of revenue | 10% | 4,611.90 | 46,152.40 |
Marketing eggs directly to consumers
Before selling eggs, it is important to understand your target market and how you will reach potential buyers. MU Extension’s Intel for Ag Market Intelligence platform can help you assess local demand and consumer preferences to guide your strategy. Once you understand your market, choose a market channel that fits your capacity and goals. Market channels can include farmers markets, on-farm stands, Community Supported Agriculture (CSA) partnerships, local retailers or restaurants, or home delivery or subscription services. To better understand the potential costs associated with these and other market channels, refer to MU Extension publication G647, Refining Market Channel Selections Based on Cost.
Take note of your ability to differentiate your product. Egg sellers often face a saturated market and should use creative packaging and clear messaging to share what makes their product special, including any unique production practices or heritage breeds. Sellers should also invest in attractive yet durable packaging and be prepared to engage with customers and share their farm’s story. Regardless of the product being sold, appealing packaging and strong storytelling skills will help you connect with customers. To build customer relationships and boost sales, invest time and effort in marketing through social media, flyers and other avenues. To learn more about establishing an online presence and leveraging social media, refer to MU Extension publication G6225, Post, Engage, Grow: A Social Media Primer, and to learn how to use social media for sales success, refer to MU Extension publication G6229, Harnessing Social Media to Drive Sales.
Conclusion
Egg production in chicken tractors can be profitable with proper management. Key practices include optimizing labor efficiency, securing quality markets, minimizing facility and equipment ownership costs, and reducing product waste. Download the Mobile Laying Hen Budget workbook (XLSX) to start planning your enterprise. If you are considering producing broilers on pasture, refer to MU Extension publication G742, Mobile Poultry for Meat Planning Budget, and its accompanying budget workbook.
This work is supported by the U.S. Department of Agriculture’s (USDA) Farm Service Agency through project award number FSA23CPT0012862. Its contents are solely the responsibility of the authors and do not necessarily represent the official views of the USDA.