San Miguel Foods Inc.’s Poultry Contract Breeding Business Opportunity

magnolia chickenJoining the San Miguel Foods Inc.’s (Magnolia) roster of poultry contract breeders and growers is a good business opportunity for farm owners.

The success story of Magnolia’s contract grower, Ofel Dator together with her husband Serafin Dator, owners of Ofel’s Poultry Farm, began breeding chicken in 2005 with just minimal capital on hand. Today, in just a span of four years, Ofel’s Poultry Farm is doing a great business, earning well over P2.5 million a year.

So, why they chose this kind of investment?
1. The fact that Magnolia Fresh Chicken is one of San Miguel Food Inc.’s power brands, and therefore, it is a sure-fire investment.

2. They firmly believed, even in the face of the current economic crisis, that there would be no end to the need for chicken meat products — and therefore, no end to the need for their products.

3. It is a way to help provide jobs for other people in their community.

Now, are you ready to be one? For sure, you’d definitely be in good company since you’re joining the elite team involved in delivering Filipinos their beloved Magnolia Fresh Chicken.

Application Requirements/Process for New Contract Breeders

I. Application Process

1. Accomplishment of Contract Growing Application Form
2. Site or Farm Inspection
3. Approval of Proposed Site or Farm
4. Submission of Letter of Intent
5. Issuance of Letter of Commitment
6. Submission of Permits
7. Construction of Poultry House
8. Submission of Bond or Collateral
9. Contract Signing
10. Seminar
11. Check Placement

II. Investment Details

a. Farm Site

* At least FOUR (4) hectares land area; Within an agricultural zone
* Should be at least ONE (1) kilometer away from nearest livestock farm and population center
* With all weather-access road (to and from and within the farm) and must be passable to a 10-wheeler truck
* With reliable source of electricity and adequate potable water
* With full time farm manager and farm recorder

b. Document Requirements

* Completely filled-up application form
* Two (2) pieces 2”x2” picture
* Clear photocopy of latest Community Tax Certificate
* Clear photocopy of BIR Certificate of Registration
* Proposed farm site location/vicinity map
* Photocopy of Land Title

c. Bond and Collateral

* CASH (P100.00 per breeder)
* Real Estate Mortgage (REM)
o Original TCT
o Current Year’s Tax Declaration
o Tax Clearance
o Tax Receipt
o Special Power of Attorney (SPA) if not in applicant’s name

d. Building Design

Orientation:EAST – WEST Direction
Dimension:Length: 410 ft
Width: 40 ft
Height: 7 ft min
Elevation:1 ft from the ground line
Flooring:3” thick cement, 1 slope
Service Area:10 ft x 40 ft
Foot Bath:Concrete 1×1 m
Bird Proofing:Fishnet 0.5” x 0.5”
Maximum Load:7,900 breeders

e. Project Feasibility

Project Feasibility
Investment/bird (w/o Land & Land dev.)P 716.00
Gross Income/bird/cycle519.00
     Less: Operating Expense337.00
Net Income/bird/CycleP 182.00
Payback (yrs)5.9

f. SMFI and Contract Breeder Responsibilitites


* Day-old chicks
* Breeder Feeds
* Vaccines and Medicines
* Technical Assistance
* Laboratory Services
* Competitive Payment Scheme

2. Breeder

* Land
* Poultry House
* Feed Bodega
* Poultry Equipment
* Water and Electricity
* Security
* Labor
* Proper Farm Management

III. Contact Details

Mr. Joseph F. Toledo0917 8035270
Mr. Mario A. Bono0918 9250998
Dr. Carl John C. Collado (Mindanao)0917 7102036

Main Office Address

San Miguel Foods, Inc.
4th Floor DenCris Business Center Barangay Halang, Calamba City Laguna
Tel. Nos.: #049 834 2010

Main Office Address

San Miguel Foods, Inc.
4th Floor DenCris Business Center
Barangay Halang, Calamba City
Tel. Nos.:#049 834 2010

Mr. Noelson R. Pineda
Capacity Development Group Manager

Luzon Operations:

North LuzonMr. Enrique S. Jabiguero09178031848
 Engr. Vladimir A. Bayan09178670262
 Dr. Jorge S. Manahan09178688356
South LuzonMr. Arthur A. Torres09175684677
 Dr. Nathaniel Gil P. Arca09178051059
 Engr. Gary M. Patam09175117407

Visayas – Mindanao Operations:

Visayas-MindanaoDr. Amor A. Gomez09177054864
 Engr. Eugene P. Camerino09175119576
 Mr. Gerald P. Tejada09177182461
Central-Eastern VisayasMr. Jonathan Escanilla09178658532 / 09228055554
Western VisayasDr. Manuel Olan0917 5877624 / 09228858350
North MindanaoEngr. Rodney Erasmo09175900692 / 09228656677
South MindanaoDr. Rommel Virtucio09177001421

SMFI Calamba Office
4th Floor DenCris Business City Laguna

Mr. Jerome D. Carandang 09175941392
Ms. Emma S. Amarillo 09175075136

XI. Application Form

Click to download the application form below.
Download Contract Breeding Application Form

Click here, If you are interested to become a San Miguel Foods Inc’s Poultry Contract Growers.

Updated: 06/27/2011
Sources: Magnoliachicken.com, The Philippine Star, Sept 2009

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57 Responses

  1. Donna Rose Babon Reposo says:

    Hello po, gsto ko po sana mag try ng contract grower. nag start nko mag alaga ng 200 chicken kada bwan kaso nahirapan ako idispose. My family has an existing 16hectares agricultural lot. im from samar po.

  2. Hasanor says:

    How about for those who have existing 5 hectre of land yet with no budget to build a poultry building. Does San Miguel guarantees to the bank for loan application of the contract grower?

  3. darwin says:

    good afternoon po, inquire lang po sana sir, gusto ko sana magtry sa contract grower, ilang heads po ba ang minimum yong pwede mka pag start. thanks po

  4. Alan says:

    How about for those who have existing 5 hectre of land yet with no budget to build a poultry building. Does San Miguel guarantees to the bank for loan application of the contract grower?

    • andrea says:

      Good day sir ngpapa rent po kmi ng poultry lipa city batangas ang location pls message me 09776522334

  5. Emelita Lauren says:

    My 13 hectares po available n lupa s may cawayan masbate, gus2 ko po sana magtayo ng broiler farming. please advise how to proceed. sbi po ng friend ko 1m lng puhunan s 1 building at aircon n unÉ I look forward to hear from you. Please send me email please.

  6. Edwin says:

    Our family business ACCOUNTING FIRM here in Quezon Province and we already cater this kind of business for many years. Business applications of any kind and problem with your VAT COMPLIANCE or CLOSURE OF YOUR BUSINESS in any government agencies let us know. Please, kindly email us at edwine7103@gmail.com, thanks

  7. add me on facebook,para ma-check po niyo yung mga recent project namin thank you po..

  8. Glenn Manikis says:

    our co. is selling cummins generator sets.. AT FACTORY PRICES! JUST PM ME….

  9. Lily May Gaan Gaamil says:

    Is this still operational until now po?

  10. hello po..ako po si dindo exiomo ng freeman trading, we offer assistance, supplying poultry houses, poultryb equipment for your tunnel vent and conventional poultry project, pls contact me for inquiry 09174778363/09227254044.

  11. like this business….

  12. I'm selling my farm lot ideial for poltry if you interested this my #+639154062825.

  13. Jasmin Gorinto Sinso Tilitil says:


  14. pepito says:

    Hello all,

    I am strongly considering starting my own Magnolia Poultry Business. Could anyone please advise on the MINIMUM size of land required to establish this business? This includes consideration for all the necessary extras required to operate efficiently and effectively.

    Your advice is greatly appreciated, Thank You.

  15. Papshustler says:

    can u help me for financial support to build it up?????

  16. Papshustler says:

    i would like to ask how much cost to build poultry farm as per cost of estimation and plans project. i got 1 hectare of lots.. good place.. and far of they highway… with source of water.. possible can enter 10 wheeler truck. for my estimation it can load about 20k birds.but in my adjoining lots it have already poultry farm…  how can i start ?? isn’t possible to survey to your nearest branch in your company.. site located in pangasinan.. my email add papshustler@yahoo.com

  17. Ma. angelica says:

    helo, meron po kaming 2 hectares sa Leyte, kaya lang tawid ilog. we are very much interested with regards to magnolia poultry business, paano po ba kami makakapagstart? saan po kaya ang pinakamalapit niyong branch para mapuntahan namin at makapagsurvey din kayo sa location. thank you so much po..

  18. axle says:

    hi Bernard. can u pls email me the approx cost of building tunnel ventilation poultry house w/ dimension of 16m x 150m. also include the cost of equipment,fans,automatic feeders/drinkers,heaters etc. can u pls give me estimated cost for single and double deck poultry house. Nakakita kc ako ng poultry house na may second floor so the it can load up to 80000 birds, 40K sa baba then 40K sa taas..Thank you.e-mail add is: jhun_classique21@yahoo.com

  19. JOY G. says:

    I am a contract grower with Magnolia. Here are some tips if you are thinking of doing the same. Firstly, you must build a tunnel ventilated poultry house. It is advisable to build it big enough to house 36,000 chickens. The cost of building the house will be around 12 million pesos. Plus you will need a further 4 to 8 million to buy the following. You will need a few hectares of land, preferably around 8 hectares so you can expand your business later on. Then you have a whole range of other things to do before you start operating, such and installing electricity, business permits, obtaining receipt books from BIR prior to commencing, then organizing SSS and Philhealth for employees, You need to ensure you have a good water supply and if and when you find it you will need to have a deepwell, then the water must be tested to see if it is above the required quality. Then you will be best advised to buy a truck that is large enough to haul rice hulls, preferably a 12 wheeler. Then you will need to buy a generator big enough to provide electricity to the poultry house in case of brown outs (and there will be many). Please be wary of  hiring an engineer to construct the building, you will be paying a whole lot more than it actually costs. It is advisable to purchase the materials yourself and pay someone to build it. When you are ready to begin you will be loaded with one-day old chicks. The growth period is usually around 32 days to grow a chicken of around 1.7 to 1.8 kgs. After harvesting, don’t hold your breath while waiting for your check from Magnolia in 15 days as they promise. It takes 30 days or more, then it takes 4 days to clear before you have access to the funds, so make sure you have enough funds to pay wages, bills etc while waiting for your payment. The payment per chick will be around 15 to 19 pesos depending on your performance. The contract will not mention a rate increase during its term of three years. I hope this information has been helpful to someone intending to venture into the business of Contract Growing.

    • maricarmateo says:


    • Willy says:

      Hello Joy, salamat sa information. Gusto ko lang po sana itanong kung bakit aabutin ng 12million ang building para sa chicken po. Concrete po ba ung building? Hindi po ba puede ung gawa sa kawayan saka nipa ung bubong? Meron po kasi ako 10 hectares na ricefield gusto ko sana convert sa poultry raising

    • Dane says:

      Hi Mam thank you po sa reply.. bali dapat po pla magready ng 20M para makaumpisa ng minimum of 36,000 heads.. hayyyyyyy.. ang mahal po pla ng capital. Interested pa naman po sana ako kaso hindi ko kaya ang ganon kalaking capital. Mga pang milyonaryo na po pla tong business na to hehe

  20. Anonymous says:

    hi,i woulf like to have an business poultry one day how much money do i need to invest?
    thank you

  21. Lornagen c.catalan says:

    hi SMFI,
         I would like to have an puoltry business one day i need to know that how much money to invest and to build the poultry house?thanks alot

  22. Beaukid7 says:

    meron po kming 1.3 ha na lupa sa batangas..paano po kmi pwedeng magpasimula ng poultry farm sa tulong ng san miguel corps..

    • Bernard says:

      pakikontact po ako sir baka may maitutulong po 09227254044 sa poultry builders po ako supplier din po kame ng equipment,fans,automatic feeders/drinkers,heaters atbp..nag aassist din po kame ng mga individual na interesado pong pasukin ang poultry farming salamat po.

      • danmichael says:

        Hi Bernard,

        Paano ba maaavail ang services nyo? Ano ano ang mga requirements nyo?

  23. alma ledesma says:

    hello po interested po ako sa business na poultry…in case po ba magkano ang magagastos ko sa pagpapatayo ng house ng chicken thanks po

    • Monette_rn says:

      Hi, I have farm lot for sale here in Cebu. Its quite affordable, with 2 hectares lot area and its only P500 per sqm. This lot is owned by my cousin. You can contact me thru 09164033665. Hope to hear from you soon. Thanks 

      • Dj says:

        ANG MAHAL NAMAN NG FARM NYO KUNG 500/Sqm Eh di 10million yung 2 hectares samantalang dito sa pangasinan 2 hectares 2MIL LNG

    • Monette_rn says:

      Hi, I have farm lot for sale here in Cebu. Its quite affordable, with 2 hectares lot area and its only P500 per sqm. This lot is owned by my cousin. You can contact me thru 09164033665. Hope to hear from you soon. Thanks 

  24. Joselito Penados says:

    Good Day Sir,.

    Interested po din ako s business n ito, pero my 1 hec lng ang lupa ko,.pero pwede nmn pgtayuan ng required nilang building..sa BRGY IPIL, SURIGAO CITY po ang area namin,.alam niyu ba kng sino ang pwede kong kokontakin…
    Thanks po..

  25. Jogiealabado says:

    Dear SIR… Tanong ko lang po kung puwede ko iaply 1 hectar na lupa lang ang balak ko patayuan ng poultry sana po mabigyan nio ako ng idea kung magkano kapital mauubos ko sa pag papagawa ng building,,salamat po!

  26. bernard says:

    mam jackie please kol me nalang po 09159054066 thank you po!

  27. jackie says:

    April 24th, 2011 @2:51pm

    interested po ako sa bznez n2 may problem lang po ako only i have is 1 hec. of land at magkano po b ka2ilanganing capital to build a building?

  28. rubio says:

    magkano po lahat ng magagastos?

  29. bernard says:

    mam cheryl pls do contact this number mam thanks po! 09227254044..

  30. bernard says:

    hello mam cheryl.mam is it ok for you if you will just contact my cellphone number? mam.because most of the time,am working at the farm assisting our co-workers for building tunnel vent poultry.dont worry mam i can help you,thru Gods will! 09227254044.Godbless

  31. cheryl says:

    hi! am cheryl willis. i would like to build up a chicken farm. i have 15 hec. land 5 kilometers away from population center and reachable by 10 wheelers truck and have a good source of water and electricity and have a full time farm manager who have expirience from other farm and certified veterinarian.
    hoping for your reply!
    cheryl willis

  32. bernard says:

    ms.jing pls do contact po this no.baka makatulong po ako salamat po!09227254044,

  33. jing says:

    interested po ako sa bznez nato sa tingin ko pasado lahat ng requirements isa lang ang problema 1.5 has lang area ko pwde ma adjust na pang 1.5?

  34. Adlai says:

    Hi all,

    I’m Adlai Castro, from Batac City, Ilocos Norte. I currently have a pawnshop business and an outlet of western union money transfer. I am planning to put-up for a another business, which is worth the investment.

    My family owns a 13 hectare agricultural land and I’m planning to invest in poultry business.


    1. How much money do i need to put up the building?
    2. How many chicks will fit in the building?
    3. Return of Investment?

    Pls. Email me as soon as you have time.

  35. ailyn says:

    meron po ako lupa dito sa batangas city sa bukid wala lng building..ilang heads po b ang pinapaalagaan? magkano po kaya magagastos sa building?

  36. rdugay says:

    I’m interested to be a contract grower of SMFI, and planning to retire as an OFW , i have 3 hectares suitable for poultry business as per your requirements. May I, know how much a capital to build a building?

  37. roger says:

    POssible po bang mag join kahit na hindi sa yo ang lupa say meron kayong 10 years lease agreement dun sa lupa na pagtatayuan mo ng poultry farm.

    Acceptable po ba sa SMFI kung mag lease ako ng existing poultry building para doon ko ilagay ang mga chickens?

  38. arlene says:

    I just want to know if a previous contract grower can still reapply with the company….my brother had invested for the company 7 fully mechanized building, they want to be a contract grower with the company again…is there a possibility for this or a chance for them?

  39. Rene U. Baysa says:

    1. is there a SFMI Dressing plant near (100 km radius):
    – Imbaan, Rosario, La Union (3.717 hectares)
    – Amagbagan, Pozorrubio (4.3 hectares)
    – Ambalite, Pugo, La Union (11 hectares)
    – Taloy Sur, Benguet (1 hectare)
    (These are the 4 different locations were I plan to have my poultry farm for contract growing business)

    2. Does the seminar or training schedule be made after the filing of the application? or could the seminar be conducted even before the filing of the application form.

    Tyvm, Sir,

    Bro. Renz

  40. riza arbole says:

    How much money do i need to start with a poultry business / contract breeding?

    • henry says:

      ms riza, kung gusto mo maging contract breeder sa san miguel foods inc. para sa poultry meron silang requirements,tignan mo sa smfi poultry contract breeding business apportunity…sila magbibigay lahat mga 1 day old chicks at feeds pati vacines and medicines pati technical assistance,,pero sa yo ang lupa at bahay para sa mga broilers..

      • Hiry88 says:

         hello po,ako po si hairia midtimbang taga mindanao. ask lng po ako ng advise pra sa magnolia poultry breeding. sna po matulungan nyo ako kng ano magandang gawin.

    • JOY G. says:

      minimum 15 million pesos. I am in the business.

      • resty says:

        Hi joy

        Nag I inspire po ako na maging I sang contrack grower, pero sa dami ng na babasa sa Internet good and bad experience nag kakaron po ako ng douth, at isa pa po wala po akong experience, meron po bang school or training para sa pag a alaga ng manok.

        I will really appricate if you can give me some idea, or you can share some tips and trick in chicken farming

        Maraming salamat po

  41. malindig says:

    Dear sir,

    Meron ako 6 ha. n lupa sa quezon province..dati tinataniman namin ng mais. ano ang proseso ng contract growing. at magkano initial capital singpore based ako

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