Emerging Rural India through Contract Farming Intergtaion Model in the Poultry Sector: The Case of Suguna Poultry Farms

The Indian poultry industry is believed to be around 5,000 years old. Over the years, the sector has emerged as one of the fastest growing segments of the agricultural sector in India compared to any other agro-allied sectors contributing approximately 4 per cent to the country’s Gross Domestic Product (GDP) and 27 per cent to the agricultural GDP (Annexure I).1 Poultry development has not only grown in size but also in productivity. The production of the poultry business grows at annual varying rates of 8-15 per cent compared to agricultural crop production which grows at a rate of 1.5- 2 per cent per annum. Presently the industry is growing at the phenomenal rate of 12 to 15 per cent every year and the international credit agency, ICRA, has assessed that the growth rate of domestic broiler meat would rise at around 15-18 per cent, while that of eggs is tipped to rise at 5-7 per cent in the coming years.2 With rising incomes, growing urbanisation, and population growth in India, it is estimated that the demand for livestock products will double by 2020.3 It is also projected that the Indian poultry industry will emerge as the world’s second-largest market.