Poultry Project designed by NSPDT is very unique project, Government of Maharashtra and NSPDT are working together to implement the project in Maharashtra in tribal areas. Under this project we create women poultry producer company which is formed by women common interest groups and around 1000 members are partner in the company as share holders.
This project provides livelihood for the women, the model works veyr simple every beneficiary is given infrastructure to rear birds and 500 one day old chicks to rear, all the necessary suppliments are provided and at the end of the cycle of 40 days the team does the buy back thus giving maximum benefits to the women producer company. Every women earns $ 1500 to $ 1800 annually.
4. National Small-holder Poultry Development Trust (NSPDT)
NSPDT, through its small holder community model, enables poor women in rural
India to start and run successful poultry enterprises.
Vision: To inspire, encourage, facilitate and promote emergence of an efficient
farmer-owned network of well organized empowered small-holder poultry farmers,
setting the very best standards of professional excellence and wholesome
development
Mission: Promote and advance small-holder poultry as an instrument of
bettering lives and livelihoods of rural families
Roles: The following are the envisaged role(s) of the organization,
• To promote, protect and nurture the small holder poultry producers including launch new farmers
• Maintain system integrity and ensure compliance
• Sector Development Work including policy advocacy & mobilize public investments
• Support to State level Federation and business verticals, ensuring member-bias in business is retained
5. 5
National Small Poultry Development Trust
Over 10,000 women poultry producers work under aegis of the Trust
25 producers organisations (registered as Cooperative society/Producer Company)
3 state level federations (in MP, Jharkhand and Assam)
A Team of 40 dedicated professionals from Veterinary and Management backgrounds
In FY 2015-16:
28,199.2 metric ton live birds sold
Producer income: 21.60 crores
Sales turnover: 286.92 crores
Market leaders in live birds segment: Madhya Pradesh, Jharkhand
High level of back ward integration:-
•3 well-equipped hatcheries producing 11.0 lacs DOCs per month
•30,000 birds modern Parent Farm at Itarsi (MP) producing around 50 lacs
chicks annually, undergoing expansion to 80,000 birds capacity
•Over 7,000 MT of poultry feed produced monthly for in-house consumption
•Modern Feed Mills at State Level Federation producing Concentrate Feed for
Cooperatives
•Custom manufacturing feed-additives, and generic medicine from reputed
manufacturer – saving on brand mark-ups
•Raw materials, DOCs procured through single purchase points in State
Federation
Head Quarter: Bhopal, Madhya Pradesh
Ownership: Public Charitable Trust for spearheading smallholder poultry farming model
Year of Registration: 2009 with Registered office located in the State of Delhi
7. Context/History
PRADAN, a national level NGO started smallholder poultry farming (broiler chicken) in 1993 with
poor women from marginalised section at a tribal block “Kesla” in Hoshangabad district of MP
Women producers were collectivised around a cooperative society-registered in 2001 as “Kesla
Poultry Sahkarita Maryadit”
Each woman has a small poultry farm with rearing capacity of 400-800 birds built at her backyard.
She can manage this farm comfortably attending to the house-hold chores.
She can rear 5-6 batches of broiler chicken in a year and earns 40,000-60,000 annually. This is 100%
income enhancement in the context of a rural poor.
Cooperative model has been replicated in some of the poorest districts of MP, Jharkhand, Odisha
and Bengal over these years, recently NSPDT has started promoting 2,000 producers in Assam
Cooperatives are integrated at state level federation to facilitate techno-managerial supports,
backward and forward linkages, economy of scale etc.
8. Business Model (Smallholder Poultry)
Women from ST/SC families are promoted as poultry producers in contiguous villages, they are organised in
collective of 500-1,000 producers, which is registered as cooperative society/PC
Cooperative provides all the raw materials like chicks, feed, medicine, vaccines etc. and members are not
required to pay upfront
Cooperative provides technical services to members and organises for round the clock paravet service at village
Cooperative also provides marketing arrangement of ready birds- lifting from farmer’s doorstep
Producers are paid on the basis of Production efficiency (measured by Efficiency Index of broiler production)
calibrated in a reasonable way with the enterprise margin
Cooperative absorbs daily market fluctuations through in-built mechanism of risk mitigation by creating reserves
At year end if cooperative makes profit, part of it goes to producers as bonus, and another part goes for reserve
creation
Cooperative is managed by a team of experienced professional staff from Management and Veterinary
background supported by customised MIS software and Quality Management System (QMS)
Cooperatives are further integrated around state level federation- It runs feed plant, Parent farm and hatchery,
central purchasing and marketing cell etc. and thereby ensures supply of quality raw materials at best price and
better market access and realisation of ready birds
Margin of federation is shared within member cooperatives, which is reinvested for future growth like creating
backward integration facilities.
9. 9/ Presentation to Rabo Foundation CML, Guwahiti; 9/3/10
Poultry Producers: Who are they?
Women with no significant opportunities for livelihoods
11. Producer Collective (Cooperative/PC)
(500-1,000 producers)
Central accounts, input supply, marketing
WholesalersSupervisors
(30-40 producers)
Inputs distbn, production
support
Small Producers
(500-1,000 birds)
Family Level
Income Rs.200-300/day for 200 days
or Rs.40,000-60,000 p.a.
Small Holder Broiler Farming Model
Producer Collective
Turnover : 15-30 crores Producer
Margin : 150-300 lacs
Retail outlets
Unit Cost : Rs.140,000 per family
– Rs.100,000 for capital asset
(shed&Equip) + Rs.22,000 for w/k
– Rs.3,000 for training & capacity
building
– Rs.15,000 for institution building
(incldg. Infra + external support)
12. Operations Overview
Mkt Leaders
Small
Largest Broiler Production Houses in Jharkhand,
Madhya Pradesh, Small presence in Odisha and WB,
Promoting 2,000 new producers in Assam
• Spawned sectoral growth in its operational area
Demonstrated relevance as income generation
programme for resource poor (landless) families in the
Central Indian Poverty Region
Demonstrated that small-holder broiler can succeed &
thrive
• one of larger integrations in India
• entirely owned by tribal & dalit women
Recognized for better-than-industry productivity
New
Initiative
13. Scalability & Sustainability
Experience: demonstrated scalability & sustainability in varied setting
• Setting new Coops, tapping markets, productivity, success in presence of integrated
farms
• Market leaders in MP and Jharkhand
Key Drivers:
• Better productivity & cost of production
• Effective tapping of local small dispersed markets
Year Unit 1997 2001 2003 2007 2010 2013 2014 2015 2016
Producers no. 150 220 400 3200 5617 7806 8034 8718 9,183
Coops no. 0 1 2 12 17 19 21 21 25
Fed no. 0 0 0 1 2 2 2 2 2
Birds sale mt. 445 655 915 7219 11069 17479 21629 24198 28200
Total
Revenue
Rs.cr 1.51 2.35 3.60 36.40 74.09 183.1 233.72 269.90 286.92
Producers
Margin
Rs.
lacs
10.6 18.8 28.8 291.1 791.3 1282.6 1693.5 2100.2 2100.6
Industry
Features
Slump Favorable Slump,
Integration
system
Bird Flu,
Disappearing
small farm
Vertical
coordinated
Control on
Value chain
Control on
value chain
Price
competitive,
Processing
Price
competitive,
Production
efficiency,
Processing
14. Social Impact
• 75-100 % increase in annual income, family
becomes net surplus and starts investing in land,
education, health etc.
• Effect of cash income stronger than that of
productivity growth - rural poor are “net buyers”
• Regular cash-flows in a variable monsoon
dependent portfolio
• Significant drop in distress migration
• Helps women stay back – restoring family/social life
– particularly children and their education
• Enhancement of farm livelihoods – buffer, manure
etc.
• Each cooperative has created 25-50 sustainable job
opportunities for the rural youth – as technical
supervisors, cooperative staff
Target Populace : Small
Holder Poultry shall
augment the income of
the family by Rs.40,000-
60,000 per annum with
400-800 capacity poultry
shed
15. Growth Plan
-20,000 producers in 50 cooperatives, Expansion in the existing states
and Promoting producers in new states like Assam, Bihar, Maharashtra
(Vidarbha)
-Monthly production of 50.0 lacs birds, Annual Sales Turnover of
Rs.1,000 crores, and Producers Income of Rs.100 crores
-Establishing chicken processing Plant to convert 25% of live birds to
fresh chilled and other value added products, and establishing chain of
Retail chicken shops in cities like Bhopal, Ranchi
-Enhancing backward integration by creating new parent farm and
hatchery facilities to produce minimum 50% of chicks requirement in-
house
by 2020,
21. Aspirations
Establish business systems allowing
for participation of women in
commercial broiler poultry sector in
Vidarbha region
Demonstrate and ground
model of community
owned poultry business
through integrated business
entity of farmers
8,000 women in 8 primary
Producer Companies and a
state level Federate
Producer Company with
support of Govt. of
Maharashtra
Producing annually 36,100
MT of poultry live birds
with a sales turnover of Rs.
270.07 crores creating
farmer wealth of Rs.21.67
crores annually.
22. The Project
Launch 8,000 new
producers including
their training, creation
of production sheds,
and organising them
in to 8 Poultry
Producer Companies
Strengthen and establish
the market linkages both
input and output markets
including setting up a
community owned Input
supply chain by
establishing feed plants,
parent farm and hatchery,
centralised marketing cell
and brand promotion
under the aegis of
Vidarbha Women Poultry
Producers Company.
23. The Project
Outreach: Based on techno-commercial feasibility in the
districts of Vidarbha region of Maharashtra
Anticipated
Impact
Established business
system to support
future growth
Dignified sustainable
livelihoods to 8,000
women farmers in
the next 4 yrs
Create employment of
1,000 local community
youths in the producer
companies , feed plants ,
parent farm and hatchery
Regular cash infusion to
the tune of Rs.22 crores
in the local economy
annually
24. Mitigating Risks
Higher Input cost: Integrate input
sourcing through state level
federation, Own feed plant and
Hatchery
Demand Volatility: In-built
mechanism to mitigate annual
demand crest & trough
Technical Capability: NSPDT has a
highly experienced team of
professionals mostly from
Veterinary and Management
background, planned efforts
under this project will have
adequate trained personnel
Market Risk: Effective tapping of
less volatile, faster growing, more
remunerative local small
dispersed markets is key driver
Ensuring Production Efficiency:
NSPDT has proven system and
process to ensure industry
standards
Impact of Bird Flu: Have very
little chance of happening at
smallholder poultry system due
to strong production system,
impact on industry is very less
now-a-days.
25. Key Project Metrics
The project aims to produce annually 8,500 MT of poultry live birds in next 5
years with a sales turnover of Rs. 64.1 crores and create farmer wealth of
Rs.5.1 crores annually
total 8,000 producers in 8 producer companies
Annual Activity Plan Unit Yr1 Yr2 Yr3 Yr4 Yr5
Collective (Producers Company) No 2 2 2 2 -
Feed Plant-Pellet@10.0 ton/hr No 1 - 1 - -
Parent farm&Hatchery unit No 1 - 1 - -
New Producers No 1,000 2,000 2,000 3,000 -
Active Producers No 500 2,000 3,000 6,500 7,600
Annual Chicks Placement No 625,000 3,500,000 6,000,000 14,625,000 19,000,000
Total Output (Live Birds) Kg 1,187,500 6,650,000 11,400,000 27,787,500 36,100,000
Sales Turnover of Collective Rs. 89,062,500 498,750,000 855,000,000 2,084,062,500 2,707,500,000
Producers Income@8% of sales Rs. 7,125,000 39,900,000 68,400,000 166,725,000 216,600,000
26. Project Budget
BUDGET SUMMARY 8,000 Producers
in Rs
Sl.
Budget Item Yr1 Yr2 Yr3 Yr4 Total Proportion Cost Sharing Pattern
A Producers level State Govt. Others/Loan
i Producer Infrastructure
100,000,000 200,000,000 200,000,000 300,000,000 800,000,000
43.2% 800,000,000 -
ii Training&Capacity Enhancement 3,000,000 6,000,000 6,000,000 9,000,000
24,000,000
1.3% 24,000,000 -
B Common Facilities
i
Producers Collective Support Infrastructure 23,850,000 47,700,000 47,700,000 71,550,000
190,800,000
10.3% 190,800,000 -
ii Project Office Infrastructure 1,000,000 - - -
1,000,000
0.1% 1,000,000 -
iii
Backward Intergration 345,000,000- 345,000,000-
690,000,000
37.3% 345,000,000 345,000,000
C
Implementation Overheads and Revenue
support
i Implemenation team cost 11,020,800 12,122,880 13,335,168 14,668,685
51,147,533
2.8% 51,147,533 -
ii
Revenue support to producers collective 20,294,400 22,323,840 24,556,224 27,011,846
94,186,310
5.1% 94,186,310 -
Grand Total 1,851,133,843 100% 1,506,133,843 345,000,000
27. Project Financing
Sl Source of Fund
Rs. in Crores
Share in Project
Cost%
I Grant Amount Maharashtra
Govt. 150.61 81.36
II Bank Loan 34.50 18.64
Total 185.11 100
