Source-This post on Modern Poultry Farming has been created based on the article “How broiler chicken industry has become India’s most organised and vertically integrated agri-business” published in “The Indian Express” on 14 August 2024.
UPSC Syllabus-GS Paper-3- Agriculture- Economics of Animal-Rearing.
Context– The article examines the Contract Farming Model in India’s poultry industry, where IB Group/ABIS Exports plays a key role by supplying essential inputs such as chicks, feed, and technical support. This model features a payment system based on growing charges (GC), which measures the efficiency and performance of poultry production.
This approach highlights the ongoing transformation in India’s poultry sector, showcasing its shift towards greater commercialization and integration, and establishing it as one of the most organized segments in the agricultural industry.
What is the difference between Environmentally Controlled and Open poultry farming?
EC houses have higher initial costs but provide better control over bird health and faster growth. In contrast, open houses have lower setup costs but face issues like higher mortality rates and slower growth, though they are still a practical choice for some farmers.
What is the significance of India’s Broiler Industry?
1) Transformation in Poultry Farming -Broiler integration companies have turned poultry farming from small-scale, free-range methods into a large-scale commercial industry. About 40% of the 30,000 farmers working with IB Group now use environmentally controlled (EC) houses for their operations.
Read More- Horticulture in India
2) Vertical Integration -The broiler industry is one of India’s most organized agricultural sectors, managing the entire supply chain from breeding to sale. Unlike dairies, which only buy milk from farmers without supplying cows, poultry integrators control every stage of production.
3) Advanced Hatchery and Feed Operations -IB/ABIS Exports runs 10 hatcheries across India, processing over 65 crore eggs each year with advanced European technology. Chicks are delivered to farms within 12-15 hours. The company also operates eight feed plants and the largest soybean processing unit in Madhya Pradesh, providing key protein ingredients for poultry feed. Vaccines are administered to the eggs using specialized ‘In-Ovo’ machines before hatching.
4) Poultry Breeding and Genetics– Companies like Suguna, IB/ABIS, and Venkateshwara Hatcheries manage parent and grandparent farms for egg production, using GP chicks from Aviagen’s farm in Tamil Nadu. Indian broiler chickens are mostly foreign breeds like Ross, Hubbard, and Cobb, with Suguna also offering its own breed, ‘Sunbro.’
Way ahead- The industry needs to move towards branded and packaged poultry products to improve market presence and consumer acceptance. This shift will require substantial efforts to change consumer behavior, like the changes seen in the dairy industry with milk and curd
Question for practice
What distinguishes Environmentally Controlled poultry farming from Open poultry farming? Why is the broiler industry important in India?
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