HomeAgricultureHow to Do Poultry Farming? Cost & Profit Explained

How to Do Poultry Farming? Cost & Profit Explained

How to Do Poultry Farming? Cost & Profit Explained

Introduction to Poultry Farming!

Poultry farming is the rearing and management of certain species to procure their by-products, such as chicken, eggs, feathers, etc. The rearing can involve a lot of domesticated birds, such as — chickens, ducks, turkeys, geese, etc., depending on the location.

However, poultry farming lately is only connected with the rearing, breeding & management of chickens (a hen) only. Commercial poultry farming in India is on a steep rise, mainly in states such as:

Top States for Poultry Farming

Top States for Poultry Farming

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Importance of Poultry Farming in India

Poultry farming is a very “small budget” with a “huge profit” business. By investing approx. INR 4-5 lakhs, you can earn an annual income of Rs. 20,00,000. The best thing is, you can even start off with limited labour and space. India has almost 69% meat eaters and just 23% egg eaters specifically, who call themselves “eggitarians”). So

How to Start a Poultry Farming Business in India?

Starting a poultry farm in India is easy and profitable for Indian farmers. With a very few investments, this business is easy to start & scale. To help increase your earning potential, Here is your guide on how to start poultry farming business in India. Note the steps!

1. Identify the Types of Poultry Farming

You must know that there are two kinds or methods of poultry farming in India:

  • Broiler poultry farming
  • Country chicken farming

a. Layer Poultry Farming

In layer poultry farming, birds are reared or maintained for procuring their eggs mainly. The common timeline for different species of birds is between 18 weeks to 78 weeks.

b. Broiler Poultry Farming

In broiler poultry farming, both male & female chickens are reared for their tender, young meat. The chicken for this process should be 6 weeks old and weigh between 40 gms to 1.5 kgs.

Moreover, you need to decide the type of system you will adopt to rear and breed chickens. You can choose either a litter system, where birds are scattered or a cage system, where birds are kept systematically in cages.

1. Litter Poultry System

This is a method of raising poultry in which birds are kept on a floor covered with bedding material, such as straw or sawdust, to prevent the birds from touching the bare floor.

Litter Poultry System

2. Cage Poultry System

The Cage Poultry System is a method of housing egg-laying hens in which they are kept in small wire cages, typically with several birds in each cage.

2. Decide on Chicken Breed

Broiler chickens are classified into two breeds types:

a. Commercial broiler chicken breeds

These breeds are commercially reared to extract mainly their meat. They are ready to slaughter once they are 6-8 weeks old. Such breeds are genetically made to produce more meat. Some of the common commercial breeds of chicken are:

  • Hubbard
  • Caribro
  • Cobb
  • Avian
  • Krishibro

b. Dual purpose broiler chicken breeds

The dual breeds of broiler chickens are genetically modified to produce both meat & egg. They have heavy & strong bodies. Moreover, they lay brown-shelled eggs.

Some of the famous dual broiler chicken breeds are:

  • Rhode Island Red
  • Gramapriya
  • New Hampshire
  • White Plymouth Rock
  • Gramapriya

Select the breed based on the vision and capital you have to start your poultry farming business in India.

3. Have the Right Capital

The amount of capital required will depend upon the size of the business you are planning to start. The capital investment can be roughly between INR 50,000 to 2,00,000 for small-scale poultry farming businesses. Whereas, if you wish to start a large-scale poultry business, the investment can be as massive as Rs 10-15 lakhs.

However, if you don’t own such capital, you can:

a. Take small business loans – The best thing is, the interest rates can be less & you get tax rebates on the loan amount.

b. Take part in the government. schemes & programmes – You can avail of schemes like PM SVAnidhi Scheme. The government launched this loan scheme to help street vendors who suffered during Covid 19 wave. The scheme aims to grow the economy of street vendors by providing easy working capital loans. PM SVANidhi is a micro-credit scheme that grants loans up to INR 10,000 with subsequent amounts as INR 20,000 and INR 50,000 with a 7% interest subsidy without any collateral. The scheme aims to raise individuals’ capital power and facilitate digital transactions among street vendors.

c. Crowdfunding – You can ask people to offer generous funds in small or any capacity they can.

d. Or you can lend it even from any friends & family who support your vision of starting a poultry business.

4. Apply for Licences & Permits

Applying for certain licences and certificates is very important to start any small to big poultry farming business legally and safely in India. You will require the following registrations & licences to make your business lawful and credible.

5. Have a Poultry Farming Business Plan

Create a blueprint about how you will be starting the farm. Find answers to the following point in that plan:

  • Land or area to start
  • Poultry farming equipment list
  • Types/methods of poultry farming
  • Eggs production process
  • Broiler breeding process
  • Capital & cost evaluation
  • Funds & loans
  • Marketing & distribution channels

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6. Select the Business Location

Location is the most important factor in starting your poultry farming business. Make sure the location you choose has all amenities like electricity, water, drainage channels, local markets, selling markets, etc. However, keep the farm or factory in slightly isolated or far-off locations from residential areas, as chickens produce a foul smell.

Based on the type of chicken, breed & health condition, you will need space where you can have 3 separate areas of-

  • Floor space
  • Waterer space
  • Feeder space

7. Gather the Right Equipment

To continue the process, you will need the right kind of equipment. You will need:

  • Nests
  • Feeders
  • Cages
  • Coops
  • Waterers
  • Coops
  • Crates
  • Incubator
  • Egg tray & washers
  • Lighting fixtures
  • Perches
  • Brooders or heaters
  • Dressin & ventilation system
  • Waste disposal system

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8. Select Labour & Staff

The number of labour and staff will depend on the size of the farms or the number of birds you own. For beginners, you can start with just 200-500 birds and employ people to feed or breed them as per your budget, size & type of farm & requirements.

You must hire a knowledgeable 3-4 staff that you can entrust with the following responsibilities:

  • To feed food and water to the birds.
  • Walk through the farm to notice any sick or injured birds.
  • To assist in egg collection, sorting & grading if it’s layer farming.
  • To support putting eggs in cartons on a layer farm.
  • And, to regulate the climate & temperature of the farm, keeping birds’ comfort in view.
  • To conduct frequent maintenance throughout the farm. And ensure the watering, lighting & heating systems are working just fine.
  • To ensure high standards of animal welfare are thoroughly met.

9. Market Your Business

Identify how uniquely you would package your egg cartons for them to stand out in the market. As well as figure out the vendors, distributors or retailers who would sell your produced eggs.

Since we are in the digital age, you can also list yourself on instant delivery platforms like Blinkit, dunzo, big basket, Godrej’s nature basket, and many other platforms of choice.

Layer Poultry Farming Cost & Profit Analysis

Poultry farming business is easy to start with capital as small as Rs 2 -3 lakhs. If you start layer farming at a small level with just 1500 chickens, you can earn somewhere between INR 50,000 to 1 lakh. After deciding on the chicken, ascertain the place where you will be rearing them. Further, the estimated cost of starting the layer farming would be:

  • You need to have INR 50,000 to buy the chickens.
  • Besides this, you should have INR 1-2 lakh for spending on the cage & equipment.
  • You also need to have some money set aside for buying food & medicines for the chickens.

Note that the hens start laying eggs after 20 weeks and continue to do so for up to a year. You will be required to spend approx. INR 1 – 2 lakh for feeding the chicken. A layer bird can lay around 300 eggs annually.

If you start with 1500 hens and get 290 eggs from each hen, you will get around 4,35,000 eggs within a year. Even if you are able to sell 4 lakh eggs (after wastage), one egg retails for Rs. 5-7 in the market.

So, you will easily earn an annual revenue of:

When the price is Rs 5

Rs. 5 X 4,00,000 = INR 20,00,000

When the price is Rs 7

Rs. 7X 4,00,000 = INR 28,00,000

Poultry Farming Subsidies

Govt. provides a subsidy of up to 25% on poultry farming business loans. While for SC & ST, the subsidy can be up to 30%. You will just have to invest a small amount, and for the rest, you can avail of a poultry farm loan for the same.

You can easily get a new tractor loan with the application process!

Final Thoughts

These were the quick steps to start a poultry farming business plan in 2023 and beyond. By ensuring the above steps, right from selecting the poultry type to evaluating the govt. With subsidies, you can start a profitable poultry farming business in India. By investing a little capital as Rs 4-5 lakhs, you can expect to earn an income of INR 20 lakhs.

If you wish to explore other farming activities, make sure to have absolute quality farming tractors & implements from the best brands. And for more poultry farming information, stay tuned to our web stories.

Frequently Asked Questions on Poultry Farming

1. What is poultry farming?

Ans. It is a process of rearing birds either domestically or commercially to extract their by-products like meat, eggs & feathers.

2. What are the advantages of poultry farming in India?

Ans. Poultry farming is not seasonal, as eggs have huge demand yearly. Moreover, less capital investment & huge profit potential could be other reasons to pursue this business.

3. Is poultry farming profitable in India?

Ans. You can earn an average revenue of up to Rs 10-15 lakhs from the poultry farming business in India.

4. How to start poultry farming in India?

Ans. You’ll just need to identify the capital, location, govt. Schemes, types of poultry farming, and get started.

5. What management practices are common in dairy and poultry farming?

Ans. In dairy & poultry farming, you need clean & ventilated spaces and proper vigilance to prevent disease-infecting pathogens.

6. How much will it cost to start poultry farming for beginners?

Ans. You would need approx. INR 50,000 to 2 lakh to start your poultry farm.

7. Is there any poultry farming training?

Ans. You can avail of poultry farming training from various institutions like:

  • Central poultry training institute
  • Suguna institute of poultry training
  • Central avian research institute

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