Development of Environmental Life Cycle Costing and Hotspot Identification for Broiler Chicken Production

Malaysia’s broiler chicken industry has expanded significantly and achieved full self-sufficiency. However, this rapid growth has intensified competition for natural resources with little attention to environmental aspects. Therefore, the objective of this study was to propose a sustainable practice for broiler chicken production. The environmental life cycle costing (ELCC) approach was used to assess the industry’s sustainability performance by integrating life cycle assessment (LCA), life cycle costing (LCC), and eco-cost valuation. A performance evaluation that included eco-costs indicated a potential cost increase of between 24.62% and 56.87%. Additionally, a financial appraisal using cost-benefit analysis (CBA) ascertained that this potential increase could not be absorbed by the producers without the costs being transferred to the consumers. To effectively reduce the higher potential costs, certain non-monetary measures for environmental mitigation could be implemented. These include encouraging broiler producers to utilise animal feed efficiently, which could reduce overall environmental emissions. Future research should focus on developing greener feed substitutes through the adoption of advanced technologies. This approach could spearhead government policy to implement sustainable practices that would benefit the overall poultry industry.