“Egg production will get further democratised and decentralised”
Providing high-quality and freshly produced eggs through innovative technology and operational excellence is the raison d'être of Eggoz. The company has chalked out this path by collaborating with small farmers across India. The aim is to supply fresh eggs to every household, local shop, and markets and address the rampant malnutrition problem in our country. The company strives to play a pivotal role in achieving Nutritional Security of Rural India. In an email interview with Agrospectrum, Abhishek Negi, Co-founder, Eggoz shared his views about the projected status of poultry industry in India by 2030. Edited excerpts;
How do you see the Indian poultry sector shaping up by 2030?
Indian population is projected to grow to
1.5 billion by 2030 as per UN, which means in the next 9 years the poultry sector will have to grow much faster to fulfil demand of protein and poultry products like meat and eggs. As a country, we are already lagging behind in egg production and protein availability.
By 2030, egg production will get further democratised and decentralised – leading to the rise of micro entrepreneurs and localised supply chains. With more consumer awareness, traceability and quality standardisation of poultry products will become common demand and may also be enforced by authorities.
By 2030, we will also see further developments in production of plant-based protein, which may be more resource efficient, provided the economics are sound. We are already observing ethical and plant-based meat/ dairy companies grow significantly in the west.
Do you think that the current supply chain is good enough to keep enduring the burden of our country’s ever growing population?
Not at all. Even in 2021, close to 70 per cent of the egg production is concentrated in South and West India. While at the same time, more than 65 per cent of the demand is concentrated in Central, North to East India. Surplus production is supplied to demand centres. This long distance supply is non cold, non-traceable and eggs being supplied are typically 15-20 days old by the time they hit retail in consumption centres.
To solve this we need to localize egg production and supply chain. This would help in:
● Fresh produce for consumers,
● Easier traceability,
● Low wastage and pilferage in transportation and handling, and
● Higher yield for local farmers and boost to the local agri- economy.
● There must be more investment in egg processing centres and cold storages.
Poultry sector is still considered as the most unorganised sector. What steps would you recommend?
Poultry sector is largely a commodity business. As of 2019, 97 per cent of eggs were consumed in unpackaged format in India.
The sector needs more investment in building frontend, farm to consumer brands. Brand building will help companies earn better margins, create impact with higher income for farmers, stakeholders and to generate employment.
The sector is in dire need of technology intervention and consumer centric approach to drive product innovation and better service.
What steps should be taken to increase the egg production line, as on that front, India is still lagging behind compared to its foreign counterparts?
The minimum viable egg farm size in India is 10,000 birds that typically requires an investment of Rs 80-90 lakh. This is due to the elevated design of the farm that helps in ventilation for bird litter being collected daily. In most cases, the litter mountains are not cleared for the entire flock cycle which is 18-20 months, which leads to harmful greenhouse gases like ammonia. Because of this fact, the business has also been majorly run by big farmers and businessmen.
Imagine a way we can bring commercial egg farmers to small and marginal farmers who can rear a flock of 500-5000 birds. Indian agriculture is largely dependent on small and marginal farmers who currently cannot do egg farming due to the present capex heavy farm design. When executed at scale, small egg farming would bring about another white revolution in India and contribute significantly to egg production as well as farmer income.
At Eggoz, we have developed the Pragati farming model where farmers can start smart farms of 250 to 5000 birds. Eggoz provides 100 per cent purchase guarantee, supply of feed and inputs’ as well as regular veterinarian support.
Since the entire world is going digital, where does India’s poultry sector stand when it comes to digitisation? In the near future, do you think by adding digital connect, the business will further enhance the growth of India’s poultry sector?
Technology intervention in the poultry sector has been minimal. There is a huge scope of digitisation of the entire value chain right from bird management to supply chain.
Digitisation of the value chain will also help in providing traceability of produce and a much more efficient supply chain.
Data will help provide better conditions for the birds as well as provide predictive insights to mitigate livestock related risks. Data will also help build trust worthy traceable value chains that will develop consumer trust and superior experience. At Eggoz, we have developed technology platforms for end to end flock management, IOT connect and supply chain.