17-August-2024-Special-Article

BROILER CHICKEN INDUSTRY IN INDIA

The broiler chicken industry in India has undergone a significant transformation, evolving from traditional, small-scale farming into a highly organized and vertically integrated agribusiness.

This evolution has enabled even smallholders to engage in commercial poultry farming, resulting in increased productivity and profitability.

The industry’s growth has been fueled by technological advancements, rising demand for poultry products, and supportive government policies.

However, it also faces several challenges, including environmental concerns, feed price volatility, and animal welfare issues.

What are Broiler Chickens?

• Broiler Chickens: These are a specific type of chicken bred primarily for meat production. They are raised in controlled environments under poultry farming practices.
• Poultry Farming: The practice of raising domestic birds, particularly chickens, ducks, turkeys, and geese, for meat and egg production. It is a vital component of agriculture worldwide.

Advantages of Broiler Chickens

• Rapid Growth Rate: Broilers are selectively bred to grow rapidly, reaching slaughter weight in just 4 to 6 weeks.
• High Meat-to-Bone Ratio: Broilers are bred to develop large breast muscles, which are the most sought-after part of the chicken for consumers.
• Efficient Feed Conversion: Broilers efficiently convert feed into meat, making them cost-effective for commercial production.

State of the Poultry Industry in India

• Global Ranking and Production: According to FAOSTAT data (2020), India ranks 3rd in egg production and 8th in meat production globally.
• Growth in Egg and Meat Production: India’s egg production increased from 78.48 billion in 2014-15 to 129.60 billion in 2021-22. Meat production rose from 6.69 million tonnes in 2014-15 to 9.29 million tonnes in 2021-22.
• Broiler Meat Production: India produces approximately 5 million tonnes of broiler meat annually.
• Poultry Feed Production: In 2022, India’s poultry feed production reached 27 million metric tons annually.
• Growth Trends: The poultry sector has seen significant growth, with poultry meat production increasing at an average annual rate of 8% and egg production by 7.45% between 2014-15 and 2021-22.
• Market Size and Exports: The Indian poultry market reached Rs. 2,099.2 billion in 2023, with a projected CAGR of 8.9% from 2024 to 2032. In 2022-23, India exported poultry products to 64 countries, earning USD 134 million.
• Top Egg-Producing States: Andhra Pradesh (20.13%), Tamil Nadu (15.58%), Telangana (12.77%), West Bengal (9.93%), and Karnataka (6.51%).

Key Factors Behind the Growth of the Poultry Industry

• Vertical Integration: Companies use contract farming models, providing farmers with day-old chicks, feed, and technical support, streamlining operations and reducing risks.
• Technological Advancements: Environmentally Controlled (EC) sheds with automated feeding and climate control systems have improved growth efficiency and reduced mortality rates. Advanced breeding techniques have also enhanced growth rates and disease resistance in broilers.
• Increased Demand for Poultry Products: Urbanization and changing dietary preferences, including a shift towards processed and ready-to-eat poultry products, have driven the demand for chicken as a protein source.
• Government Support and Policies: Government initiatives, subsidies, and improved infrastructure for transportation and cold storage have encouraged investment and growth in the poultry sector.
• Financial Incentives for Farmers: Contract farming offers guaranteed payments and performance-based incentives, increasing farmers’ profit margins and promoting larger operations. Loans and credit facilities also support poultry farming investments.
• Export Opportunities: The potential for exporting poultry products to international markets presents a dynamic opportunity, although it is influenced by global market conditions and trade policies.

Challenges Facing the Poultry Industry

• Contaminated Environments: High-density confinement of chickens in battery cages leads to poor air quality, waste management problems, and greenhouse gas emissions. Poultry units with over 5,000 birds are classified as polluting industries by the Central Pollution Control Board (CPCB), requiring strict regulatory compliance.
• Feed Price Volatility: Fluctuations in the prices of feed ingredients like corn and soybean can impact profitability. Ensuring a stable supply and exploring alternative feed sources are essential to address this issue.
• Cruel Treatment of Animals: Industrial poultry operations often involve inhumane practices such as mutilation, starvation, and overcrowding, violating the Prevention of Cruelty to Animals (PCA) Act, 1960.
• Financial and Operational Challenges: The industry faces issues like large debts, reliance on informal facilities, and complex contract farming arrangements. Farmers often face significant losses due to market volatility and pressure from industry giants.
• Competition from Other Protein Sources: The poultry market faces competition from plant-based proteins, which are gaining popularity due to health and environmental concerns.
• Supply Chain Inefficiencies: Inadequacies in the supply chain, including transportation, cold storage, and distribution networks, can lead to wastage and affect the quality of poultry products.
• Waste Management Issues: The poultry industry generates significant waste, including methane, CO2, water effluents, and solid waste, causing soil and water pollution.

Initiatives to Support the Poultry Industry

• Poultry Venture Capital Fund (PVCF): Implemented by the Department of Animal Husbandry and Dairying under the National Livestock Mission (NLM), PVCF supports entrepreneurship and employment generation in poultry farming.
• National Livestock Mission (NLM): Provides financial assistance to States/UTs for implementing Rural Backyard Poultry Development (RBPD) and Innovative Poultry Productivity Project (IPPP).
• Assistance to States for Control of Animal Diseases (ASCAD) Scheme: ASCAD under Livestock Health and Disease Control covers the vaccination of economically important poultry diseases like Ranikhet Disease, Infectious Bursal Disease, and Avian Influenza.

Way Forward

• Enhance Business Environment: Improve ease of doing business by addressing challenges related to poultry exports and integrating informal sector units.
• Invest in Research and Development: Increase investment in R&D to drive innovation and advancements across the poultry sector.
• Strengthen Environmental Oversight: Enforce stringent environmental regulations, especially with the reclassification of the poultry industry as a highly polluting sector by the CPCB.
• Align Environmental and Animal Welfare Regulations: Ensure that India’s laws reflect the One Health principle, integrating lessons from public health crises.
• Social Awareness Campaigns: The government should fund awareness campaigns to educate communities on key aspects of poultry farming, including sustainability and animal welfare.

Mains Question:

Q.”Discuss the growth and challenges of the broiler chicken industry in India, emphasizing the role of technological advancements and government policies in shaping its current state.”(150 WORDS)