Poultry Farming
Poultry Farming
POULTRY FARMING
With specific reference to
Senapati district Manipur.
A dissertation submitted to the Department of Economics,
Don Bosco College (autonomous) Maram
In partial fulfillment for awarding Bachelor Degree of Economics
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1
PREFACE
This dissertation is the product of extensive research, analysis and reflection, carried
out from March 25 to 29 of 2024 throughout this process; I have received valuable
support and guidance from my supervision, classmate and teacher who insight and
feedback have been instrumental in shaping this work.
This information is collected both from primary and secondary data. This report solely
base of factual and valid data. The data are interpreted and presented in a scientific
manner.
It is my hope that this dissertation will serve as a useful resource for other
Researchers and practitioners, and that it will inspire further researcher and discussion
in this field. I will like to express my sincere gratitude to all those who have supported
me throughout this journey, and to acknowledge the numerous challenges and
obstacles that I have overcome along the way
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ACKNOWLEDGEMENT
I would like to express my special thanks to our mentor Dr Raj Kumar for his time
and efforts he provided throughout the year. Your useful advice and suggestions
were really helpful to me during the project’s completion. In this aspect, I am
eternally grateful to you.
I would like to acknowledge that this project was completed entirely by me and
not by someone else.
Z. Pouvei
3
Department of Economics
Don Bosco College
(AUTONOMOUS) Maram
P.O. Maram bazaar, Senapati District Manipur- 795015
Certificate
4
DECLARATION
I, Z Pouvei do hereby declare that this Dissertation entitled, ‘A study of
poultry farming in Senapati area’ is an original study that was carried out by
Z Pouvei under the supervision of prof. Dr Huidrom Imobi Singh,
Department of economics. Don Bosco College (AUTONOMOUS) Maram
I further declare that this dissertation has not been submitted for any
research degree in any other university or institution
(Z. POUVEI)
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CONTENT
Preface
Acknowledgement
Certificate
Declaration
1.1 Introduction 9
1.2 Significance of the study 10
1.3 Scope of study 11
1.4 Research problem 11-12
1.5 Objective of study 12
1.6 Limitation of study 12-13
1.7 Chapterisation 13
2. Research Design
2.1 Introduction 14
2.2 Methodology 15-16
2.3 Literature review 16-21
6
5.2 suggestion and conclusion 36
Chapter-1
1.1 Introduction
Poultry farming is a type of animal’s husbandry which raises domesticated bird such as chicken, ducks,
turkeys, etc. The most common type of farming in Senapati is pig farming, chicken farming, fishery,
7
and ducks. Among them Chicken were the most common type of farming. More then, 60 million
chickens were killed annually for consumption.
Poultry are domesticated avian species that can be raise for eggs, meat and feather. The term
“poultry” covers a large range of birds from indigenous to commercial breed of chicken to Muscovy
ducks, turkeys, guinea fenced, etc.
Poultry are raise throughout the world, with chicken by far the leading species everywhere. As regard
to other kind of poultry, the number of ducks in Asia is more compared to other region, while the
number of turkey is highest in North America.
Poultry farming in India have proven to be capable of enhancing both the productivity per hectare
and the productivity per head in agricultural sector. Among poultry farming, broiler breeding through
the application of modern technology has been found to be warmly welcomed by the agriculturists
and others. Senapati presents an encouraging picture in poultry farming. The number of commercial
broiler poultry farms has increased, providing both direct and indirect employment to both skilled
and unskilled labours. Though of recent origin, commercial poultry farming has achieved momentum
in Senapati because of its wide and varied potential and capability of employment creation, low
investment, quick returns, lesser combination of various factors of production, enhanced productivity
per unit of agricultural land, maintenance of soil fertility, etc. This study has aimed at detailing the
various components of cost and revenue in the business of poultry farming and the deducing of
empirical evidences on the nature of relationship between different variables, for instance, the gross
income, rate of productivity, extent of capacity utilization, size of farms in terms of number of birds
reared and the farms’ overall financial performance. Along with this, a descriptive approach was
made to highlight the challenges and opportunities in poultry farming in Mizoram, with special
emphasis on its economic and financial aspects.
This study entitled ‘a study on poultry farmers in Senapati area is a search into the growth and
development of poultry farms, specifically, in the private sector. The title is further justified by a
detailed analysis which encompasses such factors and dimensions that reflect the overall efficiency of
the poultry farms. The study has also attempted to make an appraisal of functional problems
currently being faced by the farms and to delineate the possible reasons for the unprofitability of
poultry farms, as far as the area is concerned.
b) Marketing and financial data for the welfare of current and future poultry farmer in Senapati.
Senapati today is fast becoming an important hub of poultry industry in Senapati. Located at a
distance of 60 kilometres from Imphal, the Senapati town comprises a population of 8.61 lakhs
approximately of which 150 families are actively engaged in varying degrees of poultry farming, both
full-time and part time. It is one of the towns in Manipur where one can find a large concentration of
households engaging in large-scale production and commercialization of poultry meat and eggs.
Senapati, today, is the largest in the state in terms of gross production, total number of poultry
farmers, total number of poultry hens and total number of households engaging in employment
directly related to poultry and its ancillary industries. Accordingly, Senapati is the selected area of this
study
The main scope of poultry farming in Senapati area is to generate more income particularly for small
scale farmer. And also for the production of meat, feather etc. by selling this product they get income
in return and support their family, and meet their required expenses. Poultry farming play an
important role for the economic development of the people in senapati.
The present study is to evaluate and bring into picture of various aspect of poultry farming in Senapati
area. The major problems posed are.
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1. Lack of proper transportation facilities due to bad road condition and also farm location were
far away from the town which lead to difficulty in transportation
2. Technology used was still backward. There is still so much dependent on human labour and
primitive tools
3. How far the sizes of commercial broiler poultry farms influence the financial performance?
4. To see if the current levels of profitability of broiler poultry farms are being supported by feed
convertibility, capital and labour productivity, capacity utilization and capital intensity?
5. Whether the individual poultry farms are functioning efficiently
6. What is the extent of growth and development of commercial broiler poultry farming in
Senapati
The proposed study will try to examine the problem of employment and livelihood condition of
poultry farmers in Senapati area with the following objective in mind:
1. To study the socio-personal, psychological characteristics of farmers
2. To identify the training needs in selected area of training of poultry farmers.
3. To explore the relationship between the training needs and socio-personal and psychological ,
psychological characteristics of respondent
4. To study the difficulty faced by poultry farmers.
5. To assess the profitability of poultry farming through cost and return of poultry farming.
6. To identify the problem and constraints associated with poultry farming.
Considerable care and thought were exercised in making the study as objective and systematic as
possible. Though every care was taken to collect and interpret the relevant information there could
be some distortion in the interpretation of the responses. The opinions of the respondents may not
be free from individual biases and prejudices. It may be recognized that the findings of the study
should not be generalized beyond the limits of the districts/states where the study was conducted.
The generalizations of results should be applied in the broad context only where similar situations
prevail.
1.7. Chapterisation
Chapter I
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Introduction
The first chapter consist of a brief introduction on poultry farming in Senapati. It also
contains significance of the study, scope, research problem, objective limitation of the study and
Chapterisation
Chapter II :
Research design
The second chapter presents a review of related literature, methodology and relevant
to poultry farming and its related problem.
Bibliography / reference
Chapter- 2
Research design
2.1. Introduction
This section is to provide an overview of the available literature on the subject. This chapter
examines previous studies related to poultry farming. A number of studies were conducted on various
technical aspects of poultry farming. Some of them which are closely related to the present work are
being reviewed here.
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The original habitat of the ancestor of modern breeds of fowl is south and central India, the
Himalayan Terrain, Assam, Burma, Ceylon, Sumatra and Java. There are four known species of wild
fowls, namely, Red jungle fowl, Ceylon jungle fowl, Grey jungle fowl and Javan jungle fowl. The Red
jungle fowl is widely distributed throughout Eastern India, Burma and Sumatra; the Ceylon jungle fowl
in Ceylon; the Grey jungle fowl in South and Western parts of India, the Javan jungle fowl in Java and
adjacent islands. All four species have been breaded with one another and most of the modern
breeds have descended from these four wild species. The sport of cock fighting has important
influence in the domestication as well as distribution of fowls throughout the world as civilization
developed, the use of indigenous fowls progressed from cock fighting to utility purposes. The ever
increasing population of the world and the consequent high demand for food grain necessitated
substitutes for agricultural crops for subsistence. This led to improving and developing varieties of
fowls for utility purposes. Presently, there are more than 100 breeds of fowls with distinct features of
which only a few are reared for the purpose of egg and meat on commercial scale.
Poultry industry was first introduced in the United States of America by the “American Poultry
Association‟ in 1873. Commercial broiler production today had its beginning in the United States in
1920‟s although broiler poultry was produced in limited quantities as early as 1880. The world's most
intensive commercial broiler poultry area had its beginning in 1923 in Delmarra peninsula. By 1927,
broilers were produced extensively in many of the states in the United States of America
Poultry farming is carried out to some extent in all countries. In countries like the United States,
Canada, Australia, European countries and China, poultry industry is regarded as an integral part of
agriculture. Though the leading commercial poultry producers are the USA, Russia and China, the
adoption of contemporary scientific developments in the field of hatching, rearing, marketing, etc.
has led to considerable advancements in poultry farming worldwide.
2.2 Methodology
1. Universe study
The study was based on primary data collected from the producers of Senapati area. As
Senapati area also contribute a large amount of income through poultry farming. Before
launching the survey, the questioners was pretested and improved accordingly
2. Sampling method
A good survey sample should have both a small sampling error and minimum standard
error. This can be achieved if one has unlimited resources. However, given the constraints of
finance, time and data management, compromises have to be made in selecting the sample
size. Thus, given the limitations, Simple Random Sampling using a Random Number Table was
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employed where a sample size of 7 poultry farms engaged in poultry production was selected.
Additionally, about 2 retailers and 3 consumers were also interviewed for getting a realistic
view about existing marketing system of poultry.
3. Analytical technique
Production of farm commodities involves numerous relations between resources and
commodities. Some of these relationships were simple while the others were complex. In this
study, the production function was limited to analyze the data as required by the adopted
hypothesis.
4. Interview method
This study is based on field level primary data collected from selected farmers through field
survey method. We have followed interview survey method using questionnaire to collect
data from respondents to fulfill the objectives of the study. The selected farmers were
interviewed about cost and return that comes from their farm. In this study October of the
year 2016 was considered as sample time duration
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concluded that contracts and vertical integration are also associated with gains in production
efficiency and more value-added product offerings of consistent quality
Victoria (2003) studied the profitability of poultry farming in the Philippines. The research study
was conducted to characterize the chicken growers and their farms, determine farm profitability, and
identify the problems that beset the industry. It found that contract growing of chicken was a highly
profitable agribusiness enterprise and none claimed that the business was not profitable. As to the
problems encountered, no severe problems affected the industry. But to a slight extent, growers
complained of the occurrence of typhoon, delay in the delivery of the supplies by the company and
outbreak of disease. Based on the problems faced by the growers, the study recommended therefore
that measures of disease prevention should be further enhanced and partner companies should
endeavour to deliver supplies promptly
Murthy, et al. (2013) studied the profitability of poultry farming in Andhra Pradesh. The study
concluded that contract farming has become an increasingly important aspect of agri-business as well
as poultry sector in recent years. Poultry farming could play an effective role in improving the
economic status of the rural people by increasing their income besides providing nutritious food
through meat and eggs. From the farmer’s point of view, contractual arrangement can provide them
with access to production services, credit as well as knowledge of new technology. Moreover, pricing
arrangements can reduce the risk and uncertainty. Contract farming could act as an effective tool in
mitigating risks faced by farmers while marketing of poultry produce to final consumer. The paper
threw light on contract farming helping both the parties i.e., the producers and the companies, which
are involved in contract farming system. The case study found that in contract farming, major benefits
come from reduction in transaction costs and assurance of regular income for broilers farmers
Islam, et al. (2014) analyzed the effect of family training on profitability of small-scale broiler
farming in Joypurhat district of Bangladesh. The study analyzed the significant role played by poultry
industry in the growth and prosperity of the people of Bangladesh and compares the productivity and
profitability of trained and non-trained small-scale broiler farmers in the Joypurhat district of
Bangladesh. It concluded that trained broiler farmers made significantly higher profit than non-
trained farmers which is the direct impact of the family training. It also concluded that immediate
step must be undertaken to enrich the farmer’s knowledge and skill on small-scale commercial broiler
farming through family training with updated technologies for sustainability of prospective poultry
farming.
Balamurugan, et al. (2014) studied the cost and benefit of investment in integrated broiler farming
in Theni District of Tamil Nadu. It was carried out based on the primary data collected from 150
broiler farmers. The study showed that the total fixed investments per bird have been highest on
small farms, followed by medium and large farms. The total cost of meat production per bird and
returns per bird over the variable costs was found highest on small broiler farms, followed by medium
and large farms. On the basis of net present value, and internal rate of return, investment in broiler
farming was found profitable in all farm-sizes, with the highest profitability on large farms, followed
by medium and small farms. The small broiler farms were observed to be highly sensitive to increase
in costs and decrease in net returns. The study further observed that broiler farming was a profitable
venture with a bright future in Tamil Nadu for improving economic status of the farming community
in general and in the study area in particular.
Rahman (2015) made an attempt to find out the general condition of poultry farming in Mizoram
based on primary data collected through his field survey on the management of broiler farms in
Aizawl district of Mizoram. The study found that poultry farming has been a popular choice of
vocation for small farmers. It is advantageous to such farmers as land and capital requirements are
small. It starts returns with a regular income and it has potential for providing rural employment. It
15
found that the estimated number of broilers available for consumption in the state during the year
2012-13 was 847,763 and net meat production was 1,561 tones. The per capita availability of broiler
meat for the year 2012-13 was estimated at 1.39 kg per year. According to the study, the poultry
sector in this state is unorganized and the marketing system is oriented neither to the producers nor
to the consumers, but to the middleman. The study also observed during the survey that the farmers
procured the chicks from local market of Aizawl city at the price ranging fromRs.40/-to Rs.50/- per
chick while the price of feed varies from Rs.30/- to Rs.45/- per kg. It concluded that poultry sector
helps in generating employment but the management system is not efficient to meet the ever
increasing demand of the consumers. The mortality rate is found to be very high. In order to enhance
the productivity of the farms, the management practices needs to be improved. There is a major role
for the extension workers to provide management information.
CHAPTER – 3
3.1. Introduction
In Manipur, the most preferred poultry bird is the broiler bird due to its fast growth, feed efficiency,
and ability to withstand extremes of temperature and humidity. The broiler bird reportedly
constitutes around 65-70 percent of the poultry market. Most of the broiler farms are simple open
sheds while only a few large broiler integrators have controlled – environment housing with
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automatic feeding and drinking systems with low investment. The growth in the broiler segment is
expected to remain strong due to consumer preference for chicken meat, increasing income levels,
and changing food habits and to meet the domestic requirement, there is a need of about six-time
increase in broiler meat production (GoI, 2015). Like most of the North East regions, in Manipur,
backyard farming is commonly practiced which usually comprises of rearing broiler and indigenous
birds with low production performances. Manipur state, though highly challenged by its difficult
terrain, poor transport and communication system, have tremendous scope for development of small
scale industries like broiler farming which can be a solution to the high unemployment problem
among the people. Broiler production and marketing is one of the potential farming businesses of
Manipur with the total population of broiler birds 24.80 lakhs in 2012 census as compared to 22.89
lakhs in 2007 census. The chicken (broiler) meat production rose from 4643 tons in 1997-8 to 6550
tons in 2015-16 in the state and the percentage of deviation of 2012 over 2007 is 8.38% (GoM, 2016).
As the income in Manipur has been increasing the demand for broiler meat has increased several
folds. During the last three decades the food habits have changed radically and poultry (broiler)
products have emerged on the top of the consumption basket of the middle class in the state. The
Government of Manipur stated that the broiler meat available in pockets in the market are not
adequate to meet the increasing demand and in order to meet the demand, approximately 1260 live
chicks are imported annually from other states like Andhra Pradesh, Haryana, Punjab, etc. but still the
state is inefficient to fulfill the regular market demands.
Now shops selling live birds and other poultry products especially that of broiler birds have
mushroomed everywhere in the state due to the increasing demand of the broiler meat (GoM, 2016).
The state has also set up developmental goals to promote more production and marketing of broiler
birds in order to meet the increasing demand of the local consumers. The situation thus, demands an
increasing focus towards it from research, development and policy making point of view. Broiler meat
being perishable commodity needs to have an effective and efficient marketing system. An efficient
and effective marketing system minimizes the cost of marketing services and ensures the largest share
of consumers’ price to the producers. But the presence of the intermediaries in the channel of broiler
meat marketing and distribution not only works against the managerial skill of broiler farmers but also
decreases the marketing efficiency. For the development of the marketing system of broiler meat, it is
necessary to know the marketing margin, and price spread of broiler birds which may help to explore
the possibilities of reducing marketing costs and margins for the welfare of the producers and
consumers. Marketing is as important as production and indeed it is an integral part of production.
Having stated the importance and potentiality, this study was conducted with the following specific
objectives
• To identify the marketing channels of broiler birds.
• To analyze the marketing cost, marketing margin, price spread and producer’s share in consumer’s
rupee of different channels.
• To determine the marketing efficiency of each channel.
Poultry industry has a crucial place in India, as eggs and chicken meat are important and rich
sources of protein, vitamin and minerals. Poultry provides rich organic manure and is an important
source of income and employment to millions of farmers and others engaged in allied and ancillary
activities in the poultry industry. Chicken is the most widely accepted meat in India. Unlike beef or
pork, it does not have a religious taboo. The prices of chicken meat are lower than those of mutton
and many Indian families, especially the educated people in urban areas have begun to accept eggs as
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a regular supplemental part of their vegetarian diet .The forecast surveys indicate that „as the present
younger generation moves to adulthood, the acceptability and demand for eggs and chicken meat in
next two to three decades is likely to increase very rapidly‟.
Poultry farming were first domesticated in India in about 2000 BC. For many years early poultry
production consisted solely of family farm and household having backyard flocks of dual purpose
chicken. And Banda Vasudev Rao (1935-1996) was an Indian entrepreneur and agriculturalist
consider by many as the father of Poultry industry in India
The historical tapestry of Manipur reveals the deep rooted connection between its people and
agriculture. Over time, the evolution of farming practices has witnessed a substantial integration of
poultry farming into the agrarian framework. Initially conceived as a supplementary income source,
poultry rearing has progressively assumed a more central role within the state agricultural narrative.
The significance of poultry farming transcends mere economic contribution; it resonates with socio-
cultural dimension and nutritional sustenance. Manipur poultry sector serves as a critical avenue for
income generation, employment generation and empowerment of local communities, especially in
rural area
In the last two to three decades, poultry has made tremendous strides particularly in the private
sector with the result that India is now self-sufficient with regard to the requirements of high quality
breeding stocks, modern poultry equipment, availability of medicines and vaccines and technically
qualified skilled manpower.
Livestock Production: Egg: Manipur reported at 114.839 mn in 2022. This record an increased from
the previous number of 114.163 mn Unit for 2021. Livestock Production: Egg Manipur data is updated
yearly, averaging 101.784 from Mar.1998 to 2022 with 25 observations.
The chicken (broiler) meat production rose from 4643 tonnes in 1997-98 to 6550 tonnes in 2015-
16 in the state of Manipur and the percentage of deviation of 2012 over 2007 is 8.83% (GoM, 2016).
As the income in Manipur has increase the demand and consumption of broiler meat has increased
several folds.
CHAPTER - 4
Empirical and performance Analysis of poultry farming in Senapati
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Poultry development in Manipur has taken a new turn in the late eighties with establishment of
broiler farm in various places. Through there is no large scale industry in Manipur, about 40% of the
farmer keep poultry for subsidiary income. The estimate number of broiler available for consumption
in the state during the year 2022-23 was 534,420 and net meat production was 1,061 tons. The per
capita available of broiler meat for the year 2022-23 was estimate at 2,061 tons per year (with a
simple survey of past year 2022-23)
As per the current available study, poultry sector help in generating employment. The broiler
management system however is not efficient to meet the ever increasing demand of the consumer.
The mortality rate is to be found high. To enhance the productivity of the farm the management
practices need to be improved. There is major role for the extension workers to provide management
information through training, farm visit, to improve the knowledge level of the farmers in order to
enhance profitability and production of broiler farms. The marketing system for broiler is disorganize.
The middleman and commission agents control the marketing system. And there is an urgent need to
form cooperative or common interest group to prevent the exploitation of the farmer
Senapati in the past was completely dependent on the small scale production of poultry to meet the
consumption requirement of chicken meat. The commercial poultry industry has undergone rapid
development in recent years. This can be primarily attributed to;
1. The introduction of contractual cum vertical integration farming; shortage in the supply of
competitive products (red meat).
2. High prices of competitive products compared to the production cost of poultry
3. Low level of capital investment required by poultry enterprises compared to other agricultural
projects.
4. Good profits and quick turnover of capital.
5. Favourable climate for low cost poultry production.
As a result, poultry production in Senapati has achieved a high level of self sufficiency. Meat
production from chicken broiler during 2022-23 was estimated at 534,420 tonnes. Broiler meat
accounted for 12.97 percent of the total meat production. However, the demand of meat has
increased over time owing to cheap rate and high quality protein required to maintain good human
health. Therefore, there is a dire need to facilitate and promote poultry production in Senapati to
provide quality protein at low rates to the general masses. In spite of efforts being made to improve
poultry production, the net return in poultry production is still minimal. The present study was
conducted to overview the existing poultry production system in Senapati area with emphasis on the
estimation of cost of production and returns to poultry producers
4.2 Analysis and discussion: The main objective of this chapter is to describe the demographic and
socioeconomic characteristics of the study poultry farming including their age, education, farming
experience etc. In addition, farm characteristic such as involvement in poultry farming and access to
institutional credit have also been describe
1. Gender of respondent
gender No. of respondent percentage
Male 5 83%
female 1 17% 19
total 6 100%
female
17%
male
83%
Figure 4.2.1
The data on gender of the sampled poultry farmers reviled that 17% respondent were female
and 83% respondent were male
2. Educational status:
20
Illiterate - 0%
17% 17%
Below 10 – 16%
17%
PU - 17%
50%
BA – 50%
MA - 17%
Figure 4.2.2
As has seen from the above pie diagram distribution of educational status about 16% of the
respondent were below class 10, 17% had studied till PU, 17% Respondent were MA and 0%
were illiterate.
Years of experence
2.5
13% 13%
2
0.5
0
below 1 year 1-2 year 2-3 year 4 years above
Figure 4.2.3
From the above figure we can study that, about 17% of the respondent had an experience of less
than 1 year this was followed by another 17% of the respondent has a farming experience of 1 – 2
year, 13% of the respondent had an experience of 2- 3 year and another 13% has an experience of 4
year and above
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4. Source of fund
25%
25%
57%
Figure 4.2.4
From the above figure we can study that the fund use by respondent, here it is found that 57% 0f the
respondent use its own personal fund, 25% get loan from the bank and 25% get government
subvention.
22
distribution of income
2.5
2
1.5
1 33% 33%
0.5 17% 17%
0
10,000-20,000 20,000- 30,000 30,000- 40,000 50,000 above
Figure 4.2.5
From fig 4.2.5 we can study the approximate income of the respondent per week as seen in the figure
the income group of 10,000 -20,000 has a percentage of 33% where as 17% each for the income
group of both 20,000 30,000 and 30,000 to 40,000 and income group of 50,000 above has a
percentage of 33%.
6. Working hour
As base on the research conducted it is found that the labor use in poultry farming is long, the
workers spend minimum time of 6 to 7 hour a day engaged in poultry work activities. The
working hour of the workers are shown below
23
rate of working hour per day
67%
4
3
2 33%
1
0
6 - 7 hr
7 - 8 hr
Figure 4.2.6
From the figure we can notice that farmer spend more time in farm activities and they spend
at least not less than 6 to 7 hour a day.
7. Method of heating:
17%
light bulb
hether
coal
other
83%
From the above figure we can study that most of the respondent use light bulb as a heating
system and 83% use it where as 17% of the respondent use electric heater to keep the
chicken warm.
8. Purpose of farming
24
Purpose No. of respondent Percentage
Meat 6 100%
Egg 0 0%
Feather 0 0%
Other 0 0%
Total 6 100%
meat
egg
feather
other
100%
Here base on my research study main motive of the poultry farmers is to produce meat. And 100% of
the farm that I visited produces poultry for the production meat
1.5
1 1
1
0.5
0
0
small no fixed infection of lack of other
market price chicken time proper
to time guideline
25
From the above figure it has shown the problem face by the farmer in rearing poultry and 2
person of the respondent said that small market system were also a major problem in the
supply of chicken and it contribute 33% percentage out of 100%, 33% of the respondent said
that there is no fixed price in the area, while 17% of the respondent feel that infection of
chicken time to time were also a problem faced in poultry farming and 33% feel that no
proper guideline was the major problem in poultry farming.
credit access
5
74%
4
3
26%
2
1
0
bank own source
Figure 4.2.7
27
ii. Variable cost
1. chicken purchasing cost
This cost is the primary cost of poultry grower. It varied from one farm to another farm
according to size and number the purchase. In the study area, the price of day old chicks
varied from Rs 50- 60. Here the average bird purchase cost is Rs 50. Per chicks
2. Feed cost
Feed cost is a major cost item for poultry farms. In our study area no firm produced their feed
inside the farm. All farms purchased feed from contract dealers at a pre-determined price. In
the study area, the average feed cost is Rs. 45 per kg
3. Veterinary cost
Veterinary expense is another important cost item of poultry production. Veterinary services
included cost of vaccine, medicine, and disinfectants. Total costs were calculated by taking
current market prices. Here, the average veterinary cost is around Rs 5,000
4. Other cost
Other cost incurred due to sudden occurrences, such as need for extra bird purchase,
equipment cost, extra medicine, water and other managerial cost are included here. The
average cost is Rs. 4,000
Here through the analysis of the above report of the poultry business in Senapati area it is
visible and capable of offsetting its own cost and profitable
4.4. Proof of hypothesis:
The null hypothesis is there is a positive correlation between production and farm inputs
The estimated coefficient of correlation and linear regression between production and inputs
of std. poultry farm shows the following relation
Y =X
Where
Y is the total revenue (TR)
X is the total variable cost (TVC)
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model R R Square adjusted Std. error
R Square
1 .962 0.92 0.906 34891
It is observed from table 4.5.1 that the value of R (the correlation coefficient) is 0.962, which
is almost +1 indicating a significant correlation between TR and TVC. Since R Square is 0.92, it
indicates that 92% of the total variation in TR is explained by the change in TVC. Further, the
significantly positive slope coefficient (2.85) of the equation denotes that the TR is directly
related to the TVC. Thus, TR and TVC are directly and positively correlated.
29
UNIT 5
Findings, suggestions, and conclusion
5. Labor utilization
The workers spend minimum time of 6 to 7 hour a day engaged in poultry work activities. The
worker spends at least not less than 6 to 7 hour a day.
6. Poultry price
There is frequent price fluctuation in poultry product as well as old chick markets. Seasonal price
variation is observed, farming is at the peak in winter and lower in summer and monsoon due to
climatic condition which is not suitable for poultry, the price were also sold at different rate that
is live chicken and dressed chicken, and in term of life chicken the price range from 150-180 per
kilogram and dressed chicken has a price range of 250-280. Likewise the price of poultry bird also
varied its price from time to time
7. Cost of production
Total cost is defined as the sum of fixed cost plus variable cost. The total cost of production is
calculated to determine the input-output relationship. It was found that all poultry producer is
incurred both fixed cost and variable cost but majority of the producer incurred higher VC
(variable cost) on poultry production. In addition, variable cost are specific to each household
and varied with scale i.e. variable cost has direct relationship with scale i.e. variable cost has
direct relationship with the level of output, in other words, higher the production ( in KG) higher
will be the variable cost(in Rs). The variable cost primarily includes the cost incurred on:
i. Feed
ii. Vaccination and medication
iii. Electricity
iv. Water
v. Other day to day expenditures of the farm, this cost are known as the working capital required for the
production cycle
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*Fixed cost
8. Housing cost
Housing cost is the main important cost of poultry production. In the present study, some poultry
house was found within the living house and some were outside the living house. The housing
cost is calculated by the summation of the total making cost. In the study, the average housing
cost is Rs.55, 000 per season
9. chicken purchasing cost
This cost is the primary cost of poultry grower. It varied from one farm to another farm according
to size and number the purchase. In the study area, the price of day old chicks varied from Rs 50-
60. Here the average bird purchase cost is Rs 50. Per chicks
10. Feed cost
Feed cost is a major cost item for poultry farms. In our study area no firm produced their feed
inside the farm. All farms purchased feed from contract dealers at a pre-determined price. In the
study area, the average feed cost is Rs. 45 per kg
1. Vertically integrated contract Poultry Farming system in Senapati: the term ‘’contract’’ in broiler
production may vary from country to country and the mature of the integrator company. There
are basically two types of contracts production and marketing contracts. Production contract the
quality and quantity of broiler input to be determined and supplied by the contracting firm. The
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type of compensation that the grower will receive for service is also decided by the contractor. In
case of marketing, only price risk is shared by the grower and contractor. The contractor may
have more control over production decision depending on the type of production contract. The
poultry farming system adopted in Senapati according to the study is based on production
contract
2. Incentive for contract farming: according to the study the farmer decision is to enter in contract
has been motivated by some benefit or incentive from contracting. Risk and uncertainty are
common facts of poultry business. The primary constraints face by poultry farmers are:
a. Lack of capital
b. Lack of knowledge for rearing poultry
c. Outbreak of diseases
d. Unavailability of inputs
e. Inadequate institutional credit and
f. Absence of guaranteed and profitable market for inputs.
3. Credit facilities: from the study it is seen that majority of the poultry farmers were financially
week. And does not have enough credit institution to relay on.
4. Price variation: The price variation of the time period under the study is found to be high and
fluctuating resulting in the destabilization of the farmer’s income.
5. Technical knowledge: farmers should have technical knowledge to run a poultry farm.
However the study shows the farmers started poultry farm without being properly trained.
The farmers in most of the case are not familiar with the modern technologies to argument
production. Inadequate technological knowledge about poultry is found to be the major
problems.
RECOMMENDATION:
The following recommendation is put forward based on the findings and experiences gain
through field study-
a. To reduce the cost of production, farmers should form agriculture cooperative group which
will enable them to benefit from the economy of scale through bulk purchase of farm inputs.
b. Government should encourage the youth involved by providing them technical education in
the area of resources management of resources through the extension agents to reduce
production cost.
c. The power supply in the area need to be improved, as the chicken need to get warm with light
bulb system. Especially during hatching period
d. Source of water should be improve in order maintain clean environment
e. Poultry sales may be fixed on weekly or fortnightly based on consolation with producers.
f. Proper availability of vaccine, drugs, feeds to poultry farm is necessary
To conclude, a farmer decision to enter into a contract and his or her successful participation
in it will lead to increase revenue and reducing risk exposure. The result suggested that in the
study area, most of the contract system is under small farm category and the vertically
integrated contract system is substantially profitable farming system when comparing to
independent farming. Contract farming offers much incentive for farmers including new
market, technical assistance, specialized inputs, and financial support. The study has found
that vertically integrated contract farming system reduces price risk and a part of production
risk due to mortality was shared with the integrator. Moreover, contract farmers were also
assure of more stabilized prices even during a low demand period. So it will be concluded that
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well-organized vertically integrated poultry farming should be practiced and in future there
will be a feasible approach to increase poultry production in Senapati area.
Bibliography / reference
33
Asif, Maqbool; Khuda, Bakhshi and Abid, Shohab Ahmad (2005), ‘Marketing of
Commercial Poultry in Faisalabad City (Pakistan),’ Journal of Agriculture & Social Sciences,
1813–2235/2005/01–4–327–331.
Bennett, C.F. 1976. ‘Analyzing Impacts of Extension Programmes,’ ESC No. 575.
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Bradford, R.W., P.J. Duncan and B Tarcy (1999), ‘Simplified Strategic Planning: a No-
nonsense Guide for Busy People Who Want Results Fast. Worchester,’ USA: Chandler
House Press.
Beck, Roger; Hoskins, Colin and Mumey, Glen (1994), ‘The Social Welfare Loss from Egg
and Poultry Marketing Boards,’ Canadian Journal of Agricultural Economics, Volume 42,
Issue 2, pages 149–158, July 1994.
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Research Report: IX/ADRT/118, Agricultural Development and Rural Transformation
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System and Implications for Small Holders in India: Some aspects of Economic and Social
Development,’ (eds.) S.Mahendra Dev and K.S. Babu, Academic Foundation, India.
Kumar, S., and S. Anand (2007), ‘Contract Farming India: Prospects and Challenges,’
Kurukshtra, 55, 29-30
Jadhav, N V; Maini, S and Ravikanth, K (2009), ‘Comparative Efficacy Studies of Herbal and
Synthetic Choline Supplements on Broiler Growth and Performance,’ The Internet Journal
of Veterinary Medicine, 5:2..
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Mehta, R., R.G. Nambiar, C. Delgado and S. Subramanyam (2003), Policy, ‘Technical and
Environmental Determinants and Implications of the Scaling-up of Broiler and Egg
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QUESTIONNAIRS
35
POULTRY FARMING
DATE………………….
Dear, Sir/madam
I Z. Pouvei a student of DON BOSCO COLLEGE (AUTONOMOUS) MARAM, from ECONOMICS
DEPARTMENT, as part of my course curriculum, for the partial fulfillment of my BA in ECONOMICS; I
am obligated to conduct a research on “POULTRY FARMING”. So I therefore request you to kindly fill
up the statement given below.
Your answer and identity will be kept confidential strictly and will be used for academic purposes only.
Thank you
Yours sincerely
INSTRUCTION
Kindly read each statement and decide your respond on four (4) point alternative, viz. agree, strongly
agree undecided, disagree, and strongly disagree. And put a (✓) mark in the relevant box which is
nearest to your respond. Please answer to all the statement. Your answer will be kept confidential
36
TICK (✓) THE RELEVENT RESPONDS.
1. Gender of respondent:
A) Female B) male
2. Farming experience:
A) 1 year below B) 1 to 2 year
B) 2 to 3 years C) 5 years and above
3. How many time in a day you feed your life stock
A) Once B) Twice
C) Thrice D) more than thrice
4. Numbers of workers
A) 5 to 10 B) 10 to 15
C) 15 to 20 D) 20 above
5. Working hour per day
A) 3 to 4 hour B) 5 to 6 hour
C) 6 to 7 hour D) 7 to 8 hour
6. Income per week (approximately)
A) 10,000 to 20,000 rupee B) 20,000 to 30,000 rupee
C) 30,000 to 40,000 rupee D) 50,000 above
7. Major problem of poultry farming.
A) Small market B) No fixed price of live poultry
C) Infection of chicken time to time. D) Lack of sufficient guidelines
E) Other
8. Purpose of poultry farming.
A) Meat B) Egg
C) Feathers D) Other
9. Source of funding.
A) Personal fund B) Bank loan
C) Government subvention C) Other
10. Do you vaccinate your chicken? If yes how may time a month
A) Yes B) No
…………………………………………………
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C) Turkey D) Other
12. Method of heating system use
A) Light bulb B) Coal
B) Heater D) other
13. Which age group of chicken get infected the most
A) Younger age B) Mid age
C) Old age D) Not specific age
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