Balyan expresses concern over low price realisation for poultry farmers; to soon call a meeting

Balyan directed his department secretary to hold a stakeholders meeting to address this issue and ensure there is better market integration.On the sidelines of the event, Poultry Federation of India PFI President Ranpal Dhanda said the cost of production quoted by the study was 2005 rates.

Union Minister Sanjeev Balyan on Wednesday expressed concern over the low price realisation of poultry farmers and warned that the government may have to intervene in case of their exploitation by private companies. The Minister of State for Fisheries, Animal Husbandry and Dairying also directed his department to soon call a meeting of all stakeholders to address this issue. The minister also pulled up the National Dairy Development Board (NDDB) for not being able to set up a cooperative outside Gujarat, which is as successful as Amul. Addressing an event, Balyan said, ''We (Government of India) have to intervene if small poultry farmers are exploited. The issue of market integration of poultry farmers with companies needs to be addressed''.

Poultry farmers, having a broiler farming contract with private companies, are getting lower realisation. Even a 2005 study by Ludhiana-based Guru Angad Dev Veterinary and Animal Science University has found that the poultry farmers were paid way below the cost of production, he said.

While the total cost incurred by a farmer was Rs 11.15 per kg, the return was only Rs 6.41 per kg, incurring a loss of Rs 4.75 per kg, he said and asked if the private companies want to operate like an East India Company.

As a result of poor market integration and lower price realisation, the minister said there has not been a single successful poultry farm in the last ten years. Balyan directed his department secretary to hold a stakeholders' meeting to address this issue and ensure there is better market integration.

On the sidelines of the event, Poultry Federation of India (PFI) President Ranpal Dhanda said the cost of production quoted by the study was 2005 rates. ''Now, the cost has further increased. It is about Rs 28.53 per bird, but farmers are getting in the range of Rs 14-16 per bird under the contract farming.'' The private companies should come out with a formula to calculate the cost of production, else poultry farmers will continue to suffer, he said.

PFI has also made a representation in this regard to the Prime Minister's Office. Earlier talking about the dairy sector, Balyan pointed out that the NDDB was solely established to emulate the Amul model outside Gujarat. The Board could succeed in some places but was not able to up a successful cooperative like Amul.

Further, Amul procures milk from northern states like Uttar Pradesh and Haryana but is not providing services that were given to Gujarat dairy farmers, he said. ''You procure milk from Uttar Pradesh and Haryana and what do you give back to our dairy farmers? I want a reply from NDDB, Amul and Animal Husbandry Secretary. Be it UP or Haryana, services given to Gujarat farmers should be to them,'' he said. He also urged dairy scientists to come out with a solution to ensure poultry and dairy feed are available at a lower price. ''If soyabean rates have shot up, cannot there be an alternative raw material (for making animal feed), what solution do the scientists have for this?'' Union Minister for Fisheries, Animal Husbandry and Dairying Parshottam Rupala said the dairy sector is growing at 8 per cent and the government is implementing various schemes to further strengthen the sector.

Minister of State for Fisheries, Animal Husbandry and Dairying L Murugan, Animal Husbandry and Dairying Secretary Atul Chaturvedi, NDDB Chairman Meenesh Shah, Banaskanth District Cooperative Milk Producers' Union Managing Director Sangram Choudhary and ITC Dairy and Beverages Head Sanjay Singhal were also present at the event.