Productivity cost model in 308 ROSS chicken poultry systems: Case study of contract farming in rural development cooperative

This paper explains the current costs characterization in broiler meat pro- duction under the economic conditions of Malaysia using mathematical and statistical techniques. State of the art of econometrical modelling currently used for regulatory decision-develop in the cost productivity model are described. This study examined the effects of the interac- tion between the main factors. Five variables considered in this study in which it has been divided into two types of variables which are depen- dent and independent variables. Four independent variables considered are the price of chick, starter fertilizer prices, chicken grower fertilizer prices and prices of chicken medicines. The multiple regression models involve the interaction up to the third level and considering 32 poten- tial models. Each model was tested with multicollinearity test and test coefficient with the objective of removing variables that were not signifi- cant. Concluded in this study that mathematical modelling using Eight Selection Criteria (8SC) would improve economic profitability of broiler productivity