View a PDF of our brochure for prospective producers

Transcription

Home-grown Success:
Opportunities For Independent Contract Producers
MIS 2694-4446 broc.indd 3
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7/28/09 3:08 PM
thank you for your interest
in raising poultry for perdue
Our company has been part of the agricultural community since 1920. That’s the year my
grandparents, Arthur and Pearl Perdue, started our company by selling table-eggs from their
poultry farm. A decade later, my grandfather started hatching eggs and switched to selling chicks
to other farmers. He quickly established a reputation for providing the best quality chicks, and
for his honesty and integrity.
He passed those traits on to my father, Frank, who transformed our company into an industry
leader, and who made the PERDUE® brand a household name synonymous with quality.
The same values continue to guide our company today. We remain a family-owned company
committed to quality. And the trust we’ve built with our partners in the agricultural community
remains at the foundation of our business.
At Perdue, we know that quality begins on the farm, with healthy birds raised by producers who
share in our commitments to quality, poultry welfare and environmental stewardship. If you
decide to become an independent contract producer for Perdue, you’ll find that our standards
are strict, but that’s what it takes to meet the expectations our customers and consumers have
of the PERDUE® brand. We value the role our producers play in maintaining our company’s
reputation for quality, and we will work closely with you to help you succeed.
Our family shareholders and I are dedicated to keeping Perdue a family-owned company built
on quality. We are committed to measured, strategic growth and innovation in marketing and
products –– a course that will keep Perdue strong and competitive. I invite you to “grow with us.”
Chairman of Perdue Inc.
7/28/09 3:08 PM
Why Grow for Perdue?
We’re a family-owned company and we never
forget that we started as a family farm. As
both a leading poultry and grain company,
we’re a trusted name in the agricultural
community. Perdue is committed to agriculture
and to maintaining the independence of the
family farm.
Charles Booth
Pickin’ n Scratchin’ Farm
Breeder Producer
He’s a numbers guy. A former
Certified Public Accountant, in
fact. And all he was looking for
was a smart investment. Charles
picked Perdue and within a year
he had two breeder houses. “I’m
a CPA. I don’t have any previous
agriculture experience. And I’ll
tell you right now, support from
From being the first to successfully brand
poultry to our ever-expanding roster of
value-added meal solutions and our innovative
advertising campaigns, we’re creating demand
for our products, growing market share and
keeping the PERDUE® brand relevant and
exciting. We’re the number-one brand of
premium fresh chicken in our marketing area,
and a leading foodservice supplier. We sell to
the leading names in retail and foodservice,
and we ship our products around the globe.
Your Perdue poultry houses will incorporate
the most-advanced designs and technology to
create optimal growing conditions for the birds,
improving performance while reducing labor.
We’re with you every step of the way, and our
flock supervisors’ ongoing guidance will help
you maximize your flock performance –– and
income. All along the way, you’ll have the
support of the industry’s most-advanced
technical services department, including
experts in poultry health and nutrition.
“
Of all the business ventures
I could get into, Perdue was
the most appealing — especially
for the profit margin.
”
–– Charles Booth, Breeder Producer
start to finish –– including my
flock supervisor –– has been the
greatest asset for me.”
We developed our own breed of chicken, and
remain the only company with a proprietary
breed. Our chickens are naturally healthy, with
performance advantages you won’t find in any
other bird.
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A Growing Relationship
The contract grower relationship has been part
of the way Perdue does business for more than
half a century, and with good reason: it’s mutually
beneficial to producers and to our company.
Contract growing became an industry standard
in the 1950s, and evolved out of economic
necessity. Prior to contract growing, farmers
purchased baby chicks and feed from poultry
companies, hoping to sell their flocks at a profit
when the birds reached market age. It was a risky
proposition for farmers, who, in many cases,
literally “bet the farm” on each flock. A poultry
disease outbreak or a bad turn in livestock prices
often meant financial ruin for farmers.
While the basic concept of the poultry contract
has changed little in more than 50 years, the
contract grower relationship has evolved.
To help new or expanding producers, our
contracts include “new house agreements,”
which provide a base income during the early
years that a new contract is in place, when the
producer is building equity in the investment,
and incentives to help producers with the
reinvestments necessary to keep their
operations competitive.
With contract growing, the companies began
providing the chicks and feed, along with growing
advice, and farmers would raise the birds on their
farms. The company maintained ownership of
the birds, and paid the farmers a contracted price.
Under the modern poultry contract, the producer
is responsible for building and maintaining the
poultry house according to Perdue’s standards,
and for caring for our birds according to
Perdue’s grow-out programs, best management
practices, biosecurity requirements and poultry
welfare guidelines. Perdue provides specially
formulated feeds, any necessary medications
and expert guidance.
The new business model caught on quickly.
For farmers, it reduced the financial risk
while providing stable, year-round revenue to
supplement their seasonal income from crops.
For the poultry companies, it meant a consistent
supply of birds to meet the increasing demand
for chicken.
The modern poultry contract is intended to
isolate the producer from many of the risks
associated with the early grower contracts,
while also intending to provide year-round
income. The contracts are competitive,
and are designed to reward producers for
above-average performance.
JOHN GRIMES
Grimes’ Farm
Broiler Producer
He’s an NC State grad, a family
man, and an experienced row
crop farmer. With eight broiler
houses generating a healthy
profit, he has this to say about
joining the Perdue program,
“I’m concerned about the
investment in my peanuts, my
beans, my corn and my cotton.
But not about my chickens.” He
speaks with confidence about
this particular investment
because he knows he has
consistent support from Perdue,
and an investment that is
virtually unaffected by weather
conditions. Rain or shine,
the Grimes family is watching
their production grow.
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The Perdue Opportunity
Just as with all other types of farming, being a
poultry producer is not a 9-to-5 job; it’s a way
of life. But, if you’re seeking the independence
of your own business and a “farm” lifestyle, and
you’re willing to adapt to the unique demands of
raising livestock, becoming a poultry producer
may be right for you.
Jeff Beddingfield
Sunnyhill Farms
Breeder Producer
He came from the textile
industry, and it didn’t take
long for Jeff to see this was
the investment for him. And
he’s built three breeder houses
so far. “If you’re looking to
spend more time with your
family and enjoy a solid
investment, Perdue is a
no-brainer.”
As a contracted business partner working
exclusively with Perdue, you’ll be expected to
adhere to our standards, just as we have to
meet the standards set by our customers. You’ll
need to provide continuous care to the birds,
checking them multiple times each day,
tracking their health and growth, and
maintaining the poultry house equipment.
You, or a designated caretaker, must be available
at all times to respond immediately to any issue
with poultry house systems critical to bird health
and welfare. You’ll also have to incorporate
biosecurity (disease prevention) into your daily
life. But, you’ll never punch a time clock, and
you’ll have the satisfaction of owning your own
business, of helping provide wholesome food
to families around the world, and of being
associated with a trusted and respected brand.
the farm while the other maintains an outside
career. Some producers with multiple-house
operations have made their poultry farms
the primary source of income. For many
producers, running the poultry operation
is a family undertaking.
“
You are your own boss, but
if you need help, they’re
always there for you.
”
–– Jeff Beddingfield, Breeder Producer
For many farm families, their poultry houses
supplement other farm income, and can often
provide the additional income necessary to
farm “full time.” For other producer families,
one partner may “stay at home” to manage
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FAQs
What does it take to get started as a poultry producer?
You’ll need sufficient land, properly zoned and sited for poultry houses, located
within one of our growing areas, and access to the capital to build and equip
your poultry houses. Perdue will provide you with technical support, but the
successful producer must be prepared to provide each flock with constant care
and to properly maintain the poultry house and equipment.
What kind of investment is required?
The cost of building and equipping poultry houses varies depending upon the
site preparation, size and type of house, fluctuations in building material costs,
and local construction and trade rates. Your Perdue representative can give you
an up-to-date estimate for your local growing program. Existing houses may
require upgrades to meet current Perdue standards. In addition, and from time
to time, additional, potentially significant, investments may be required to
meet new and/or higher standards as, among other things, technology, legal
regulations or best management practices evolve.
How much can I expect to earn?
A Perdue representative can show you cash flow examples for the growing
programs in your area. As with any business, careful financial and tax planning
are essential to the success of your poultry farm.
What does Perdue provide and what costs do I incur?
You are responsible for building and equipping your poultry houses, and for
maintaining the house and equipment. Perdue will deliver our birds to your
farm; provide feed, veterinary care and any necessary medications; and pick
up the birds or eggs from your farm. You provide the labor to care for the birds
and for repairs and maintenance to the house and equipment. Depending upon
the growing region, producers are responsible for utilities, including electricity.
You’ll also need to budget for the cost of upgrades, some of which may be
required by Perdue to keep your operation competitive.
“
What are my obligations?
Your specific obligations are defined in the contract and your Perdue
representative can provide you with a sample copy for your growing program.
Since the grower contract and any other agreements discussed above are
legally binding agreements, and this brochure only provides a brief summary
of these agreements, we encourage prospective producers to have all the
documents reviewed by your own legal counsel to be sure you understand
their obligations before you commit to the purchase or construction of a
poultry house.
What factors will affect my income?
Your actual income will depend upon the number of houses you own, your
loan payments, re-investments in upgrades and your competitive performance.
There may be times that Perdue has to balance supply and demand in the
market, which may result in increases or decreases in targeted bird weights or
time between flocks. Your contracted base pay and any payments under a new
house agreement will not change, but these adjustments in production may
increase or decrease your total income within a given period of time. Poultry is
an agricultural commodity, and market conditions will affect your income and
profitability. There is also the risk of losses from extreme weather conditions
or disease, which can impact your potential profitability. Since you own the
poultry farm, you should carry sufficient insurance to, among other things,
protect your business from catastrophic losses or business interruption.
GREg & Mary Ann taylor
GMA Farms
Breeder Producer
A year after joining the Perdue
program, Greg says everything
is running smoothly. This program
is so user-friendly, Greg has been
able to continue running other
businesses, while using this
investment to work towards
How are poultry houses financed?
Perdue does not finance poultry houses. Farm Credit agencies and commercial
banks finance most poultry houses. Terms usually range from 10 to 20 years.
Financing is also available through leasing companies and agricultural loans
through local lenders. Your Perdue representative can provide you with
information on lenders in your area and assist you through the process.
We’ve managed to stay above our projected (profit) numbers, which is nice, of course.
–– Greg Taylor, Breeder Producer
retirement. “I knew nothing about
this to begin with. But Perdue
explained everything and has
been there, right from the
beginning.” Greg says that
he has had no complaints,
”
whatsoever. And his profits have
stayed above projections.
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OUR GROWING PROGRAMS
Independent contract producers raise our
chicken and turkey meat birds and manage
chicken breeder flocks. Perdue contracts with
producers on the Delmarva Peninsula (lower
Delaware and the Eastern Shore of Maryland
and Virginia) and in parts of Alabama, Florida,
Georgia, Indiana, Illinois, Kentucky, North
Carolina, South Carolina, Tennessee, Virginia
and West Virginia.
Andy & Darla eaton
with their children Alyssa & Peyton
A & J Eaton Farm
Turkey Producer
After working as a Perdue flock
supervisor, Andy decided it was
time to invest in his own poultry
operation. Andy and his uncle
partnered to start a turkey
operation. He knew from
experience it was a great
opportunity, and the chance
to become his own boss and
spend more time with his family
clinched the deal.
(See chart for a list of counties in which we have
grow-out or breeder operations. Please contact us
for information on current growing opportunities
in your area.)
“
Being my own boss is the
number one advantage of being
in business with Perdue.
”
–– Andy Eaton, Turkey Producer
BROILER
Chicken producers raise the meat-type birds
for our processing operations. Depending
upon the size of birds needed for each plant’s
production requirements, producers will grow
one-day-old chicks to 4 weeks of age for Cornish
up to approximately 8 weeks for our larger birds.
TURKEY
Perdue offers two turkey grow-out programs ––
hens and toms –– to raise birds for our
Washington, Ind., turkey-processing operation.
In both programs, producers operate side-by-side
houses for brooding/rearing and for finishing.
The brooding and rearing stage covers the first
six to eight weeks. The birds are then moved to
adjacent finishing houses until they reach the
proper weight for processing. The hen program
grows one-day-old poults to approximately 18
weeks, while the tom program grows poults to
approximately 20 weeks.
BREEDER
Perdue also contracts with independent breeder
producers. Breeder farms operate one of two
types of houses: pullet houses are used to
raise breeder stock from chicks to maturity;
breeder houses are used to produce eggs
for our hatcheries.
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State
Counties
Growing Program
Contact Us
Alabama
Coffee, Covington, Dale, Geneva and Houston
Broiler
Alabama
Coffee, Covington, Dale, Geneva and Houston
Breeder
[email protected] • 478-994-7819
Delaware
Kent and Sussex
Broiler
Florida
Holmes, Jackson, Okaloosa and Walton
Broiler
Georgia
Baldwin, Bibb, Bleckley, Crawford, Crisp, Dodge, Dooly, Houston Jasper, Jones, Lamar, Broiler
Monroe, Pike, Pulaski, Spalding, Taylor, Upson, Wilcox and Wilkinson
Georgia
Early
Breeder
[email protected] • 478-994-7819 Indiana
Daviess, Dubois, Greene, Gibson, Knox, Martin and Pike
Turkey
Kentucky
Butler, Christian, Daviess, Edmonson, Grayson, Hart, McLean, Muhlenburg, Ohio, Todd and Warren
Broiler
Kentucky
Butler, Edmonson, Grayson, Hart and Warren
Breeder
Maryland
Caroline, Dorchester, Kent, Queen Anne, Somerset, Talbot, Wicomico and Worcester
Broiler
North Carolina
Anson, Bladen, Davidson, Harnett, Hoke, Lee, Montgomery, Broiler
(Rockingham/Dillon Operation)
Moore, Randolph, Richmond, Robeson, Scotland, Stanly, Union
North Carolina
Bertie, Chowan, Edgecombe, Gates, Halifax, Hertford, Martin, Northampton, Perquimans
North Carolina
Alexander, Bertie, Davie, Edgecombe, Franklin, Halifax, Hertford, Iredell, Martin, Nash, Northampton, Breeder
Pitt, Rowan, Stokes, Surry, Warren Wilkes, Wilson and Yadkin [email protected] • 252-459-9998
South Carolina
Chesterfield, Darlington, Dillon, Horry, Marlboro and Marion
Broiler
Tennessee
Cannon, Warren, White and Van Buren
Breeder
Broiler
(Lewiston Operation)
Virginia
Accomack
Broiler [email protected] • 302-855-5651
Virginia
Danville, Halifax and Pittsylvania
Breeder
West Virginia
Hardy, Hampshire, Mineral, Grant and Pendleton
Breeder
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the perdue commitment
George & Sherri Hoover
G & S Hoover Farm
Turkey Producer
George has roots in agriculture.
“I was raised on a farm and
always wanted to get back to
some kind of farming.” When
Perdue’s flock supervisors provide producers on-going counsel throughout the growing cycle to help maximize flock performance.
They ensure adherence to our strict standards for food safety, bird health, poultry welfare and environmental stewardship.
a ‘for sale’ sign went up at an
existing farm near his home,
George seized the opportunity
to become an independent
contract producer. “It was the
right opportunity at the right
time for me.” Today, he
manages a five-house turkey
operation in Indiana.
“
Perdue offers an incredible scope
of resources, including a lot of
hands-on training and support.
”
–– George Hoover, Turkey Producer
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Our hatcheries give our birds a strong, healthy start even before they’re born. Automated incubators maintain
the ideal temperature and humidity levels, even turning the eggs to mimic the mother hen’s actions. Day-old
chicks are vaccinated against common diseases and then transported to independent family farms, where the
contract producers have prepared their poultry houses for the arrival of the young birds.
Perdue manufactures our own poultry feeds from all-natural ingredients, free of pesticides and carefully
blended to meet the nutritional requirements of our birds at every growth stage. These feeds are delivered
to the farms of independent contract producers throughout the growing cycle.
Gary Howell, Director of Nutrition in Perdue’s Technical Services Department, works with a team of quality
control coordinators, feed mill managers, live production managers, scientists and technicians to provide
Perdue’s chickens and turkeys with optimal nutrition from quality, all-natural ingredients.
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www.perdue.com
©2009 Perdue Inc.
7/28/09 3:08 PM

View a PDF of our brochure for prospective producers

Transcription

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