Godrej Agrovet To Set Up Poultry Processing Plant

Godrej Agrovet, a part of the Rs 3,500 crore Godrej group is setting up a poultry processing plant in technical collaboration with The Netherlands headquartered Stork group of companies.

The integrated poultry division of Godrej Agrovet is setting up a 8,000 tonne processing plant at Taloja in Maharashtra at a cost of Rs nine crore, said BS Yadhav, general manager, integrated poultry division of Godrej Agrovet.

The proposed unit will improve its market share in the western region particularly in Mumbai, Nashik and Pune The company recently launched its 'real good chicken' in western region.

Its other processing unit (4,000 tonne capacity) is situated at Bangalore caters to the southern market.

 

As part of its expansion strategy, the company is planning to take its Real Good Chicken brand national. The company has plans to start similar projects at a national level but no timeframe has been fixed as yet, Yadav said.

The company claims that its chicken has a shelf life of 72 hours. It has a market share of about 4 per cent in the total poultry market, while Venky's has a market share of about 20 per cent.

The live chicken sales has a 90 per cent share and the processed poultry segment has a 10 per cent share. However the latter segment is growing due to increasing awareness about health and hygiene.

The poultry division contributed around Rs 100 crore to Godrej Agrovet turnover of Rs 700 crore in 2000-01. The two and half year old division is expected to break even this year.

Godrej Agrovet's businesses include animal feeds, agro inputs and the integrated poultry division.

The Indian poultry market is pegged at Rs 5,500 crore and the per capita consumption in a billion plus country was as low as one kg per annum, while the consumption in US and Pakistan was pegged at 45 kg and 3 kg, respectively.