Shanthi Poultry Analysis
1. Introduction 1.1 Industry Profile
India ranks top in animal and cattle population. The meat and meat processing industry is still to come up. Some top players in the meat processing industry like Venkateswara Hatcheries, Godrej Agrovet, Vista Processed Food, Al Kabeer, Allanasons etc., with modern state-of-the-art slaughter and processing plants, have changed the entire scenario, making the industry grow at almost 10%. There is a huge scope for expanding exports, especially in buffalo and poultry meat, eggs and dairy products.
India's poultry product exports are mainly confined to eggs and egg powder, which are growing due to cost competitiveness and logistical advantages. Poultry meat exports are negligible due to high costs, inadequate meat processing facilities and infrastructure bottlenecks. In recent years, some South India-based integrators have been exploring the possibility of exporting poultry meat to the Middle East and South-East Asian markets.
Presently 100% Foreign Direct Investment (FDI) is permitted in the food processing sector. Also FDI in food retailing, covering dairy, poultry, marine, vegetables and fruits might help the entire food processing industry grow. Poultry farming in India has transformed from a mere tool of supplementary income and nutritious food for the family to the major commercial activity generating the required revenue. The growth of the industry with steady production of 1,800 million kg of poultry meat, 40 billion egg per year and employment generation of about 3 million people indicates the future prospects for the industry. Changing food habits, rising income of the middle class Indian, presence of private players, rising market demand of the Indian poultry produce in the export market are some of the contributing factors to the growth of the industry.
1.1.1 Growth
A major constraint affecting the growth of the poultry industry in India is the lack of basic infrastructure such as storage and transportation,
India ranks top in animal and cattle population. The meat and meat processing industry is still to come up. Some top players in the meat processing industry like Venkateswara Hatcheries, Godrej Agrovet, Vista Processed Food, Al Kabeer, Allanasons etc., with modern state-of-the-art slaughter and processing plants, have changed the entire scenario, making the industry grow at almost 10%. There is a huge scope for expanding exports, especially in buffalo and poultry meat, eggs and dairy products.
India's poultry product exports are mainly confined to eggs and egg powder, which are growing due to cost competitiveness and logistical advantages. Poultry meat exports are negligible due to high costs, inadequate meat processing facilities and infrastructure bottlenecks. In recent years, some South India-based integrators have been exploring the possibility of exporting poultry meat to the Middle East and South-East Asian markets.
Presently 100% Foreign Direct Investment (FDI) is permitted in the food processing sector. Also FDI in food retailing, covering dairy, poultry, marine, vegetables and fruits might help the entire food processing industry grow. Poultry farming in India has transformed from a mere tool of supplementary income and nutritious food for the family to the major commercial activity generating the required revenue. The growth of the industry with steady production of 1,800 million kg of poultry meat, 40 billion egg per year and employment generation of about 3 million people indicates the future prospects for the industry. Changing food habits, rising income of the middle class Indian, presence of private players, rising market demand of the Indian poultry produce in the export market are some of the contributing factors to the growth of the industry.
1.1.1 Growth
A major constraint affecting the growth of the poultry industry in India is the lack of basic infrastructure such as storage and transportation,