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How To Start A Poultry Farm In India

Updated on :  

08 min read.

Poultry farming is one of the fastest-growing agribusinesses in India. Poultry farming means animal husbandry, dealing with different types of domestic birds for eggs, meat and feather production.

Poultry farming is a part of agriculture. In India, the raising and breeding of different types of birds have been in existence for a very long time. It has evolved from a non-scientific and unorganised system to a more planned, methodical, commercial, structured and scientific system.

The Government of India has launched a National Livestock Mission to promote the poultry farm business in India. It is also investing and providing financial assistance to the BPL households to start a poultry farm business.

Benefits of Poultry Farming

  • It is an excellent income generation source.
  • It requires small capital investment compared to other business forms.
  • It leads to an increase in employment opportunities.
  • The business license can be acquired easily.
  • It has a quick return on investment.
  • There is always a demand for eggs and meat; thus, it is a continuous source of income.
  • It requires fewer utility items like water, electricity, heat, etc., than other business forms.
  • The business reaches the Break-Even Point (BEP) soon, i.e., a point where there is no loss and no profit in the business.
  • It requires less maintenance.
  • There is easy access to bank loans for this business due to the several agricultural schemes launched by the government.

Starting a Poultry Farm in India

The following things are required to start a poultry farm business in India:

Business Plan

You must create a business plan before starting a poultry farm in India. A business plan is a roadmap of the business that outlines goals and details of achieving them. The business plan for poultry farming should generally contain the following:

  • Locating a suitable place to start the poultry farm.
  • List of required equipment.
  • Deciding on the bird variety on the farm.
  • Details of processes such as broiler breeding, egg production, etc.
  • Details relating to various resources for the business such as financial resources, human resources, management, etc.
  • Plans for advertising and marketing strategies.
  • Obtaining the required licenses and permissions.

Selection of Sector and Birds

After making a business plan, you should finalise the sector you cater to, such as meat production, chicken breeding, poultry feed production, egg production, egg and meat processing, etc. You can start a small poultry farm initially by selecting two-three birds and then include more birds depending on your business growth. 

Usually, poultry farmers raise birds like domestic chicken or fowl as broilers and goose, duck, peacock, quail, pigeon or turkey as layers. The three common categories of chicken in India are as follows:

  • Broiler chickens – They have a high growth rate and reach a fully grown stage in eight weeks. They also have a high quantity of meat.
  • Layer chickens – They are a unique breed under hens. They begin laying eggs from 18-19 weeks and can continue until 72-78 weeks. They can produce above 250 eggs each year.
  • Rooster chickens – They are called cockerel when they are young and known as roosters when they become adults. They take time to grow but guard the hens that lay eggs because of their territorial instincts.

Finalising Location

The next crucial step is finding the appropriate location or land to establish a poultry farm. The land size varies depending on the scale and type of the business. These are types of poultry farms in India based on land size:

  • Battery cage poultry farm – For this type, you require 4,000 sq ft for the birds and an additional 2,000 sq ft for other farm infrastructural needs. In a battery cage system, the birds will not be able to run or move freely.
  • Free-range poultry farm – For this type, you require approximately 12,000 to 36,000 sq ft. The birds are let loose in the fields to free-range in this system.
  • Semi-range poultry farm – In this type, the fowls are kept in coops and are provided with a paddock or small Penn to move around. For this type, you need around 8,000 sq ft of area.
  • Completely wild poultry farm – In this type, birds are raised in a natural environment with many trees. For a completely wild system, you need around 44,000 sq ft area, where a bird will have about two sq ft of coop space and 15-20 sq ft of free-range space.

The other factors to consider while deciding the location are to find an area away from the city, preferably calm, safe, pollution-free, and easily accessible amenities such as a market to buy commodities and freshwater.

Arranging Funds

You should make plans to obtain funds to start the poultry farm. You can get financial assistance from a bank that provides bank loans for agriculture at low-interest rates. You may even apply for financial aid from many government schemes that support agricultural ventures. Even though you can borrow funds from your friends or relatives, applying for bank loans or government schemes is better as they provide tax rebates on the loan amount.

Required Licenses

The various licenses required to start a poultry farming business in India are:

  • NOC (No objection certificate) from the local village panchayat, municipality and pollution board.
  • Permission for electrical use since you will need a transformer based on your poultry business size.
  • License from the groundwater department.
  • Business registration, such as, proprietary firm, partnership firm or company.

Certain other licenses that you can obtain which are not mandatory but are useful are as follows:

  • MSME/Udyam registration helps obtain various benefits such as Mudra loans, technology upgrade assistance, etc.
  • Trademark registration for your poultry farm logo which prevents others from using a similar or identical logo.

The government is promoting poultry farming due to the increasing demand for poultry products in the Indian market. Hence, getting the permissions and licenses for poultry farming is easy.

Management

It is necessary to take precautionary measures to ensure the birds’ safety and health, which will help their proper growth and nurturing. Providing nutritious food, clean water, and regular vaccinations to the poultry is essential. When you take adequate measures and have consistent regulations to manage the farm, you will not have to face huge losses due to diseases and other potential risks.

It is better to hire professionals to manage the farm. You can also join a farm business management course and get poultry farming training. There are many poultry farming institutes and training centres in India that provide professional training, a few of which are as follows:

  • Dr B.V. Rao Institute of Poultry Management & Technology. 
  • Central Avian Research Institute (CARI).
  • Indira Gandhi National Open University. 
  • National School of Open Schooling.

Marketing

After establishing your poultry farming business, you must advertise and market it to acquire customers. Create a marketing plan to analyse the market’s demand and supply, and understand your target consumers. Promoting your business to your target customers will ensure they are aware of your poultry business. You can get customers by spreading word of mouth about your business.

You can even start a website of your business where you provide information about your poultry business. The website will ensure that your business has an online presence and provide a far wider reach. You can also advertise the business in local papers and make visiting cards and pamphlets for publicising your products. 

Cost of Poultry Farming

The cost you incur for starting a poultry business depends on the business size or scale. In India, the approximate cost involved in establishing a poultry business is as follows:

  • For a small scale poultry farm – Around Rs.50,000 to Rs.1,50,000.
  • For a medium-scale poultry farm – Around Rs.1,50,000 to Rs.3,50,000.
  • For a large scale poultry farm – Around Rs.7,00,000 to 10,00,000.

In India, the poultry farming business is a profitable option. You can reach the BEP in just six months as many birds will start laying eggs at the age of six months. The profit that you can earn varies based on the business size. However, even when you are running a small size poultry farm, you can make a decent profit from it. You can also sell feathers and other farm by-products like gunny bags and manure, besides selling meat and eggs to make additional profit.

Disclaimer: The materials provided herein are solely for information purposes. No attorney-client relationship is created when you access or use the site or the materials. The information presented on this site does not constitute legal or professional advice and should not be relied upon for such purposes or used as a substitute for legal advice from an attorney licensed in your state.

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