High output hits AP poultry farmers

After making good profits in 2006-07, broiler farmers in Andhra Pradesh are facing fluctuating fortunes in the current financial year.

Last year's profits attracted more farmers into the broiler segment, thus leading to a 25 per cent rise in production. However, consumption has increased by the usual 10-12 per cent.

Chicken breeding, which used to be two crore a month in the state, has now gone up to 2.5 crore a month. While hatcheries are grappling with excess production, farmers are receiving only Rs 32-33 for a kg against the production cost of Rs 35.

They received the highest price of Rs 36 a kg in September. The cost of one kg broiler chicken meat in the retail market is Rs 65.

Farmers are hoping the sales would pick up by the end of December. According to G Butcha Rao, secretary, Andhra Pradesh Broiler Farmers' Association, if the present market conditions continue for three more months, farmers will lose half of their earnings and profits. "They will have to borrow money to even manage sheds," he added.

Meanwhile, broilers contract farming has made inroads into Nalgonda and Rangareddy districts of Telangana and Godavari districts and part of the Visakhapatnam district of coastal Andhra.

Chittoor has already come under contract farming. Taking advantage of the unprecedented and massive boom in real estate prices, a number of farmers in Telangana disposed of a part of their land and entered into contract farming with about 20 hatcheries.

These farmers erected sheds with a capacity for 6,000 chicken, costing Rs 1 lakh each.