Starting A Business In The Poultry Industry

Starting a poultry farming project is no walk in the park! Preparation is important, right from installing infrastructure, raising birds, and marketing, and to compete with other poultry businesses. Another aspect of starting a poultry farming project is that if the preparation is done well it can succeed quite well, and fast.

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Benefits Of Poultry Farming:

  • Poultry farming provides a high yield.
  • Much capital is not required to become a poultry farmer.
  • Lots of spaces are not required to begin poultry farming. You can start with your available area.
  • Poultry farming might be immediately lucrative.
  • Only fewer maintenance is needed for poultry farmers.
  • You can easily acquire a license for this business.
  • You are raising agricultural products that have immediate demand.
  • Employment opportunities on multiple levels are created.
  • Most financial institutions & businessmen will approve lending packages for poultry farmers.
  • It has a quick return on your investment.
  • Marketing is very easy.

Start Your Poultry Business

Guidelines For Starting Poultry Farming Project

  • The Sector: This involves the niches in the poultry industry in India that produce broilers and layers, poultry feed, chicken breeding, egg and meat processing.
  • The Birds: Choose from the two types - broilers (meat production) and layers (egg production).
  • The Farm Branding: Branding involves naming your farm business along with creating a logo for the same.
  • The Location: In order for a farm to grow and prosper, it has been set up in the appropriate location.
  • Funding: In spite of having money in hand, there are other financial requirements for the poultry industry in India. They are salaries, equipment, more land, etc. Bank loans or other sources of financing would be helpful.
  • Word of Mouth: By spreading word of mouth, it will ensure that people are aware of your poultry business.
  • Professional Help: From raising birds to production, and managing the farm, it is always best to hire professionals.
  • Digital Footprint: By setting up a website, your business will have an online presence with a far wider reach.
  • Marketing: For starting a poultry farming project, a marketing plan is essential to analyze demand and supply of your market, along with understanding your target consumer.

How To Start Poultry Farming In India

When you ask yourself the question, ‘How To Start Poultry Farming In India’, you’d be happy to know that most of the points to consider have been covered in the above paragraph.

What comes next with starting a poultry farming project would be factors related to the health and safety of owners, workers, and customers, and poultry farming techniques. This includes providing a stable and secure infrastructure for production. This requires proper planning and support, especially from industry newcomers. The most important aspects being: the ideal location, properly secured infrastructure and equipment, verification by respective health departments and approval.

Apart from this, when it comes to how to start poultry farming in India, you also need additional financing for;

  • Day-to-day farming demands
  • Zoning and regulatory base awareness
  • Repairs
  • Training
  • Upgrades
  • Proper Waste management systems

How Much Does It Cost To Start Poultry Farming In India?

To understand how much it costs to start poultry farm business in India, let’s consider the cost of one of the two types of poultry farming techniques - Broilers (meat production) and layers (egg production).

Let’s look at the Expenses Involved in Running A Broiler Farm

So let’s say you start with 1000 chickens, with a total of 1050 sq.ft area, with a total duration of 45 days for production. To calculate the expenses involved we have to consider the following;

Cost of Broiler Farm Shed:


  • For an area of 1050 sq.ft, it costs Rs. 157,500 (Rs.150 per sq.ft).
  • However, rather than consider it as a cost it can be considered as a one-time investment.
  • There are various types of sheds based on the conditions of the area.

Cost of Broiler Chickens:

  • The broiler chickens are available from the age of one day.
  • The price for the chickens varies depending on their breed.
  • For the purpose of our discussion, let’s take cost at Rs. 40 per chicken for 1000 birds, it will be Rs. 40, 000/-.

Cost of Chicken Feed for Broiler Poultry Farm:

  • Since the total number of days is 45, let’s assume the birds require 6-10 kg feed per day, amounting to a total of 270 - 450 kgs of feed for 45 days.
  • If we consider the cost of feed as Rs. 20 per kg, then the total cost can range from Rs. 5400-Rs.9000 over a period of 45 days.
  • Once again, the cost of feed is based on its type and quality.

Cost of Farm Labour:

  • Let’s assume four labourers are required to maintain 1000 chickens on the farm.
  • Let’s price daily wages at Rs. 150 per labourer per day.
  • Hence labour cost for a day is Rs. 600, for 45 days, it costs around Rs. 27,000/-

Other Costs

  • Incidental expenses - electricity, water management, marketing costs etc.
  • We can calculate these costs at Rs.10 per chicken, to a total of Rs. 10,000

What Are The Documents Required For Starting Poultry Farming?

  • Identification card (PAN, Aadhaar)
  • Certificate of incorporation
  • Business License
  • Business Plan
  • Insurance Policy
  • Poultry Farm Business Permit
  • Tax ID
  • Animal Care Standards

Is Poultry Farming Income Substantial Enough To Run A Poultry Farming Project

When considering, ‘Is Poultry Farming Income Substantial Enough To Run A Poultry Farming Project’, you can analyze the costs discussed in the above paragraph and form an estimate of poultry farming income you can earn. Admittedly, they are based on basic industry costs and expenses but is fairly accurate in figuring out the kind of financial backing required to start a poultry business, how to sustain it and to ensure that poultry farming is a profitable business.

Now as per current market, on an average 1kg of chicken costs 150 Rs per kg. One chicken can weigh anywhere between 1.5 to 2 kg (or more). Then the market value of each chicken can range between Rs.225 – Rs.300. So total earning potential of 1000 chickens, can range between Rs. 225,000-300,000.

Now if we were to exclude the one-time costs or investment costs, we will see that poultry farming income substantial enough to run a poultry farming project. Apart from the poultry farming techniques discussed above, and the costs involved, it always helps to take advice from experienced poultry business owners.

Finally, we hope this article is helpful and has been helpful in guiding you with starting your poultry farming project.

FAQs On Poultry Farming

It is the process of raising domesticated birds such as chickens, ducks, geese, etc. for the purpose of farming meat or eggs for food.
Yes, but more than broiler poultry farming, poultry farming business in a safe way is more profitable. A healthy animal/bird can give you more income as there is high demand for eggs and chicken especially.
Yes, income obtained from Poultry Farming is taxable under the Income Profit and Gain from Business and profession.

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