How to Start Egg Production in Australia: A Complete Guide for New Farmers
The numbers are mind-boggling - Australians eat 18.9 million eggs every day. Each person consumes about 266 eggs per year, making egg production a booming agricultural sector in Australia.
Australian egg farmers' productivity speaks for itself. They produced 6.98 billion eggs during the 2023-24 financial year. New South Wales leads the pack with 36% of total production. Queensland follows at 28.6%, and Victoria contributes 22.3% to the national output.
Starting an egg farm needs solid planning and knowledge of different production systems. Free-range operations now dominate retail sales at 57.4%. You'll need to think about which farming method suits you best as you build your egg production business.
This piece will walk you through each step to start your egg farming business in Australia. From basic planning to day-to-day operations, you'll learn what it takes to succeed in this growing industry. Let's take a closer look at the essentials you need to know.
Research and Plan Your Egg Farming Business
Research helps you maximize your chances of success in egg production. The Australian egg industry shows substantial growth, with annual revenue reaching AUD 2.09 billion in the 2023-24 financial year. Here's what you should know before you start.
Understand the Australian egg industry landscape
Australian egg businesses range from large vertically integrated farms to small-scale operations that serve local markets. The national flock size stands at 21.25 million layers. Eastern states lead the production numbers. New South Wales, Queensland, and Victoria make up 86.9% of the national flock.
Australia has three main egg production systems:
Free range
: Makes up 57.4% of grocery retail sales
Cage systems
: Represents 19.7% of sales
Barn-laid
: Holds 20.9% of sales
Consumer priorities and welfare concerns have moved production from cage systems toward free range and barn systems.
Decide your scale: backyard, small farm, or commercial
Your chosen farm scale shapes your approach:
Backyard production (under 50 birds):
Needs minimal regulatory compliance
Works well for direct-to-consumer sales
Suits small land parcels
Small commercial farms (2,000-10,000 birds):
Serves as a starting point for full-time poultry farmers
Needs capital from AUD 76,450 for mobile sheds to AUD 1.53 million for automated systems
Brings average annual income around AUD 552,271 for small-to-medium operations
Large commercial operations (over 10,000 birds):
Modern layer farms vary from small free range setups to sites with multiple environmentally-controlled sheds housing 40,000-100,000 birds each
Requires contract agreements with major distributors
Generates average industry income of approximately AUD 2.27 million yearly
Estimate startup costs and ongoing expenses
Your chosen production system determines your investment needs:
Small-scale free range operations need capital between AUD 76,450 for simple mobile housing to over AUD 1.53 million for a fully automated system. Contract growers must invest AUD 1.53-1.83 million for facilities housing at least 20,000 birds.
Small-to-medium egg businesses split their annual costs:
64% goes to inputs (feed, birds, vaccinations)
19.5% covers wages
6.3% pays for utilities
8.6% handles other costs including maintenance and marketing
Land costs range from AUD 30,580 to AUD 38,225 per hectare in some regions. Location plays a vital role—your site's proximity to feed ingredients and population centers matters.
Choose the Right Egg Production System
Image Source: Dirt-to-Dinner
Your egg farming success in Australia depends on picking the right production system. Each system comes with its own benefits and challenges that will shape how you run your farm.
Compare cage, barn, and free range systems
Australian farmers can choose from three main egg production systems, each with their own unique features:
Cage systems keep hens in wire enclosures inside controlled environments. These setups can house about 45,000 birds in climate-controlled sheds. Birds in cages have lower death rates, fewer diseases, and sick birds are easier to spot. While these systems make the best use of space, the hens can't follow their natural instincts like nesting and dust bathing.
Barn-laid systems (also called cage-free) let hens move freely inside large sheds. These setups usually house around 20,000 birdsand let them do natural things like perching and dust bathing. The birds have more freedom to move around, but farmers face more issues with feather pecking and spreading diseases.
Free range systems give birds both indoor housing and outdoor access during daylight. These farms usually keep up to 20,000 birdsand must have pop holes that open daily for outdoor access. The birds get the most natural environment, but they face more risks from diseases and predators.
Think about land, climate, and animal welfare
Weather affects your choice by a lot. Hens lay best between 20-24°C, which makes controlled environments better in harsh weather. The land you have will determine what's possible - free range needs lots of outdoor space, while cage systems work well in smaller areas.
Each system treats animals differently. Cages limit natural behaviors but keep more birds alive. Free range lets birds act naturally but puts them at risk from diseases and predators.
Line up your system with business goals
We focused on these key points:
Budget
: Cage systems need less labor but more strong equipment
Market positioning
: Free range eggs sell for more even though they cost more to produce
Scale ambitions
: Big commercial farms often use different systems to vary what they can sell
Let your values, money situation, and market plans guide this big decision.
Set Up Your Farm Infrastructure
A strong infrastructure forms the foundation of successful egg production in Australia. Your chosen system needs facilities that boost productivity, ensure animal welfare, and meet regulatory requirements.
Build or modify sheds and housing
Good shed design must focus on several vital principles. You need to think about community amenity factors first. The law requires specific separation distances between your operation and nearby homes. Egg laying operations have their own unique calculation methods.
Modern egg production facilities come in various sizes. They range from small free range operations with movable sheds to large sites. The bigger facilities have environmentally-controlled buildings that house up to 100,000 birds each. Each system needs its own specific setup:
Cage systems
: Rows of raised metal cages with manure belts underneath remove waste
Barn systems
: Floors covered with litter and perches, sometimes featuring slatted floors over manure removal belts
Free range
: Uses the same housing as barn systems but adds pop holes (doors) for outdoor access
Install feeding, watering, and lighting systems
Automated feeding and watering systems give birds consistent nutrition and hydration while cutting labor costs. Water quality matters most. You must test regularly for pH levels, contaminants, bacteria, and pathogens. Water connection units help maintain proper pressure. This prevents leaks that could create damp environments and cause health issues.
Lighting systems shape hen behavior, growth, and egg production by a lot. Light intensity changes feeding patterns and where hens lay eggs. Nests should stay darker to draw hens in. Regular lighting schedules help maintain normal reproductive cycles and optimal production. Most modern systems use energy-efficient LED lighting. These lights use less power while creating the right conditions.
Plan for waste management and biosecurity
Smart waste management protects the environment. You need drains and ponds to catch and contain wastewater to protect surface water. Indoor operations must have impermeable liners under infrastructure to safeguard groundwater.
Biosecurity measures stop diseases from spreading. Strong hygiene practices between flock placements work best. During laying periods, regular dry cleaning removes dust, feathers, and feces from equipment. You can reduce contamination risks by limiting vehicle movement, installing perimeter fencing, and keeping visitor logs.
Start and Manage Your Flock
Managing a laying flock needs careful bird selection, close monitoring, and detailed record-keeping. Australian egg production's success depends on how you handle these elements.
Select the right breed of laying hens
Your choice of breed significantly affects your farm's output. ISA Browns stand out as a popular choice among Australian farmers. These birds can lay up to 350 eggs each year. Rhode Island Reds produce 250-300 eggs yearly and farmers value them for their tough nature and friendly personality. Australian farmers developed Australorps specifically for local conditions. These birds adapt easily to different environments and excel in free-range settings.
The breed selection process should look beyond just egg production numbers. Climate adaptability plays a vital role in your decision. Many customers buying from small flocks prefer brown-shelled eggs. Remember that brown and white eggs share the same nutritional value.
Monitor health, nutrition, and egg laying cycles
Your hens need about 20 grams of protein daily to keep laying eggs. A balanced diet is a vital part of egg production. Laying hens require a calcium-to-phosphorus ratio of about 5:1, while growing birds need a 1:1 ratio. The quality of feed directly affects shell quality and productivity.
Daylight stimulates egg production. Your hens need 14-16 hours of light each day to maintain their best laying cycles. You might need timer-controlled supplemental lighting during shorter days to keep production steady.
Keep an eye on death rates in your flock. Expect about 4% for chicks up to eight weeks, 15% for growers, and 12% for layers. The yearly death rate throughout a flock's life typically ranges from 20-25%.
Record keeping and daily farm routines
Good egg production needs complete record-keeping. Your records should cover egg production rates, feed conversion ratios, water use, and vaccination schedules. Death rates serve as key indicators of flock health. Set and track a daily mortality limit, such as 0.1% per week.
Make egg collection, feed and water checks, and environmental monitoring part of your daily routine. Regular egg collection stops hens from brooding or eating their eggs. Clean feeders and waterers often to avoid contamination.
Keep detailed records of where your birds come from, when they arrive, and what medical treatments they receive. These records are a great way to get to the root of problems, improve your management approach, and show that you follow regulations.
Conclusion
Australia's egg production business looks promising with Australians eating 18.9 million eggs every day. The market has transformed as free-range systems now make up 57.4% of retail sales, showing how consumer priorities have evolved.
Your success in egg farming starts with careful planning. You need to pick the right production system and set up a resilient infrastructure. A well-laid-out approach to managing your flock and running daily operations will create a strong foundation for profits. It also helps to keep detailed records and follow biosecurity protocols to ensure your business stays sustainable.
The Australian egg industry keeps growing. New farmers can start anywhere from small backyard operations to large commercial facilities. Your success depends on how well you match your chosen scale and system with your available resources, what the market needs, and your personal goals.
Note that egg farming needs commitment, attention to detail, and the ability to adapt as market conditions change. A solid plan and good management will help you build an egg production business that adds value to Australia's thriving agricultural sector.
FAQs
Q1. Is egg farming a profitable venture in Australia? Egg farming can be profitable in Australia, especially with the growing demand for free-range eggs. The industry has seen significant growth, with rising egg prices allowing farms to potentially expand profit margins. However, profitability depends on factors such as efficiency, scale of operation, and ability to adapt to market changes.
Q2. What are the initial costs involved in starting an egg farm in Australia? The costs to start an egg farm in Australia vary widely depending on the scale and type of operation. For small-scale free-range operations, initial investments can range from AUD 76,450 for basic mobile housing to over AUD 1.53 million for a fully automated system. Larger commercial operations may require even higher investments.
Q3. How do I choose the right breed of laying hens for my farm? Selecting the right breed depends on factors like egg production capacity, climate adaptability, and market preferences. Popular breeds in Australia include ISA Browns, known for high egg production, Rhode Island Reds for their hardiness, and Australorps for their adaptability to various environments. Consider both productivity and suitability for your specific farming conditions.
Q4. What are the key factors in maintaining a healthy and productive flock? Maintaining a healthy and productive flock involves proper nutrition (including adequate protein and calcium), consistent lighting schedules, regular health monitoring, and maintaining optimal environmental conditions. It's crucial to keep detailed records of egg production, feed conversion ratios, and mortality rates to ensure flock health and productivity.
Q5. How do different egg production systems compare in terms of welfare and efficiency? The three main egg production systems - cage, barn, and free-range - each have their pros and cons. Cage systems are more efficient in terms of space and disease control but restrict natural behaviors. Barn systems allow more movement but face challenges with feather pecking. Free-range systems offer the most behavioral enrichment but come with increased biosecurity risks. The choice depends on your priorities regarding animal welfare, efficiency, and market positioning.