The poultry farm is one of the fastest-growing agribusinesses in India. Poultry products are a great source of protein and lots of other nutrients. Animal protein is considered the best as it provides all the essential amino acids in the right proportions. Quite a large percentage of the Indian population depends on poultry products for satiating their taste buds and fulfilling their protein needs. According to a survey, the Indian poultry processing industry is expected to grow by 12% compound annual growth rate (CAGR) and reach a value of INR 107.6 Bn in 2023. This is enticing, making more and more people keen to know the cost of starting a poultry farm and it needs Poultry Management Software in India.

Well, the cost to start a poultry farm in India depends on several factors. And the primary factor amongst all is the size of the business. A small scale Poultry farming business will cost you lesser than the large scale poultry farming. Here in this post, we will discuss the different types of poultry farms industry needs chicken and poultry management software and the cost to start them.

Here we go……

COST DETERMINERS FOR A POULTRY FARMING BUSINESS

  1. Land for constructing shed for birds
  2. Sheds
  3. Poultry Equipment
  4. Birds (layers/broilers)
  5. Power Generator

COST OF DIFFERENT POULTRY FARMING BUSINESSES

Below is the detailed costing of different Poultry farms. Some are suggested by National Banks like NABARD (National bank for Agriculture Development, India):

1. Layer Farming Cost 

Project model for 20,000 layer birds according to (NABARD):

Cost of 2 acres of Land – INR 50 lakhs or above

Cost of constructing sheds for the birds – INR 66 lakhs

Recurring cost (which include, birds, supplies, and insurance) = INR 44 lakhs

Total Project Cost =

When you own land: INR 110 lakhs (excluding land cost)

When you buy new land for your business INR 150 lakhs (including land cost)

Note: The cost of your land will vary depending on the area. If you plan to buy land in an urban area, it will cost you very high. While buying a property in some outskirts will be profitable. However, it is recommended that you buy land in an outskirt because it will cost you lesser. Also, rural areas or outskirts are less populated and polluted, which will help you keep your birds healthy. Yes, the environment affects everybody, including your birds.

2. Broiler Farming Cost 

Project model for 10,000 broiler birds according to (NABARD):

Cost of 2 acres of Land – INR 50 lakhs or above

Cost of constructing sheds for the birds – INR 20.4 lakhs

Recurring cost (which include, birds, supplies, and insurance) = INR 10.5 lakhs

Total Project Cost =

When you own land: INR 30.9 lakhs (excluding land cost)

When you buy new land for your business INR 80.9 lakhs (including land cost)

NOTE: The cost of land varies from place to place and location to location.

3. Medium Scale Poultry (broiler) Farm

Project model for 5,000 broiler birds:

Cost of 1 acre of Land – INR 25 lakhs or above

Cost of constructing sheds for the birds – INR 10.2 lakhs

Recurring cost (which include, birds, supplies, and insurance) = INR 5.25 lakhs

Total Project Cost =

When you own land: INR 16 lakhs (excluding land cost)

When you buy new land for your business INR 41 lakhs (including land cost)

NOTE: The cost of land varies from place to place and location to location.

4. Small Scale Poultry (broiler) Farm

Poultry Broiler ERP Software Small scale poultry farming will cost you lesser as it minimizes the need for space, birds, and thus capital.

Costing for a small batch of 1000 birds – INR 20400/-

Cost of a conventional shed – INR 10,000/-

Additional Cost (Supplies etc.) – INR 20,000/-

NOTE: A small scale poultry farm may cost you between INR 50,000 to INR 1,50,000. Basically, it will depend on the number of birds. If you raise the number of birds, your cost will also increase with that.

5. Backyard Poultry Farming

Backyard poultry farming is a traditional form of poultry keeping in rural areas. Backyard poultry farm owners keep 5 – 20 birds at the most. They rear birds to meet their personal demands of egg and chicken mainly. Sometimes they may sell their birds or poultry products. However, it happens in case of an extreme emergency.

The only capital that you require is to buy your birds and create a small shed for them.

It may cost you INR 500 to INR 1000/-

The Bottom Line

The cost of starting a poultry farm in India will vary based on the size and type of poultry farming. Also, you will need to consult an expert before you finally delve into the idea fully.

As said earlier, poultry farming is growing in India. Even the Government of India runs various schemes to help poor and rural people with loans at subsidized rates to start their poultry business. The total cost will decrease substantially if you own a piece of land because the major chunk of money is spent on buying land. Also, to meet your financial requirements, you can either opt for a business loan from a financial institution like banks or take a loan from your friends and relatives or use your savings. However, a business loan is considered the best option, as you can get tax rebates on your loan amount.