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🐔Indigenous Poultry Farming — NABARD Model Bankable Project

NABARD model project for 100 improved indigenous broiler birds with total cost of ₹14,000, 10% margin money, 5-year repayment, and IRR >50%. Covers improved desi breeds like Vanaraja and Giriraja — essential for IBPS AFO and NABARD Grade A animal husbandry section.

Indigenous (desi) poultry farming is positioned for BPL families, SHGs, and landless labourers as a low-capital, high-IRR livelihood activity. Backyard indigenous poultry contributes 30–35% of India’s total eggs — a statistic that regularly appears in exam questions.

  • Improved varieties developed: Vanaraja, Giriraja, Girirani, Krishna-J
  • Low-Input Technology (LIT) birds by CPDOs: Kalinga Brown, Kaveri, Chhabro, Chann
  • CPDOs located at: Chandigarh, Bhubaneswar, Mumbai, Bengaluru

Indigenous poultry farming — Kadaknath and backyard breeds
Indigenous poultry (Kadaknath, Aseel) under NABARD model. Kadaknath meat fetches ₹800–1,200/kg due to high iron content.
Kadaknath breed — black meat indigenous chicken
Kadaknath — distinctive black plumage and meat. Native to Jhabua district, Madhya Pradesh.

Project Overview

The model unit rears 100 improved indigenous broiler birds on an “All In All Out” batch system under deep litter. Birds are purchased as day-old chicks, reared for 55–60 days, and marketed at approximately 1 kg live weight. Up to 6 batches are run per year from Year 2 onwards.

The deep litter system on raised flooring (minimum 2 ft above ground) reduces disease risk. The shed can be built from bamboo, wood, thatch — locally available low-cost materials that keep project cost minimal.


Financial Structure

ComponentAmount (Rs.)
Shed (100 sq ft, mud wall + thatched roof)5,000
Equipment (feeders, waterers)1,500
Capital Cost6,500
Cost of 1st batch (100 DOC @ ₹25 each)2,500
Feed cost (1st batch)5,000
Recurring Cost7,500
Total Project Cost14,000
Margin Money (10%)1,400
Bank Loan (90%)12,600

NOTE

The total project cost of just ₹14,000 makes this one of the smallest NABARD model bankable projects. Despite the tiny investment, the IRR exceeds 50% — making it the highest-returning project per rupee invested in this series.


Technical Parameters

ParameterValue
Breed typeImproved Indigenous (Vanaraja, Giriraja etc.)
Birds per batch100
Rearing period55–60 days
Live weight at sale1 kg/bird
Feed consumption2.50 kg/bird
Mortality8–10%
Cost of DOC₹25/chick
Cost of feed₹25/kg
Sale price₹150/kg live weight
Floor space1 sq ft/bird
Batches per year6 (Year 1: 6 purchased, 5 sold)
Interest rate12% per annum

NOTE

Exam trap: 90 birds are sold per batch (100 purchased minus 8–10% mortality). Calculations based on 100 birds sold instead of 90 will give wrong income figures in case-based MCQs.


Income & Repayment

YearIncome (Rs.)Expenses (Rs.)Gross Surplus (Rs.)
167,50061,5006,000
281,00061,50019,500
381,00061,50019,500

Income per year (Year 2+): 6 batches × 90 birds × 1 kg × ₹150 = ₹81,000

  • Repayment period: 5 years
  • BCR: 1.24:1 at 15% discount factor
  • IRR: >50%

The very high IRR reflects the rapid capital turnover — 6 complete production cycles per year from a tiny ₹6,500 capital base. Under National Livestock Mission (NLM), chicks are distributed to BPL beneficiaries after rearing in mother units to 4 weeks under the Rural Backyard Poultry Development (RBPD) scheme.


Source & Full Report

This lesson is based on the official NABARD publication:

Model Scheme on Indigenous Poultry Farming

FieldDetails
PublisherNational Bank for Agriculture and Rural Development (NABARD), Mumbai
Sourcenabard.org — Model Bankable Projects
MirrorTNAU Agritech Portal
LicenceGovernment of India — free for educational use

📥 Download Full NABARD Report (PDF)

The figures in this lesson reflect the cost norms and technical parameters as published in the NABARD document. Actual costs may vary by state, season, and year of implementation. Always refer to the latest NABARD circular for current norms.

Summary Cheat Sheet

Concept / TopicKey Details / Explanation
Unit size100 improved indigenous broiler birds per batch, “All In All Out” deep litter system
Improved breedsVanaraja, Giriraja, Girirani, Krishna-J
Low-Input Technology (LIT) birdsKalinga Brown, Kaveri, Chhabro, Chann — by CPDOs
CPDO locationsChandigarh, Bhubaneswar, Mumbai, Bengaluru
Capital Cost₹6,500 (shed ₹5,000 + equipment ₹1,500)
Total Project Cost₹14,000 (one of the smallest NABARD MBPs)
Margin Money10% = ₹1,400
Bank Loan90% = ₹12,600
Rearing period55–60 days per batch
Live weight at sale1 kg/bird
Feed consumption2.50 kg/bird
Mortality8–10%90 birds sold per batch (not 100)
Cost of DOC₹25/chick
Cost of feed₹25/kg
Sale price₹150/kg live weight
Floor space1 sq ft/bird
Batches per year6 (Year 2 onwards)
Annual income (Year 2+)6 batches × 90 birds × 1 kg × ₹150 = ₹81,000
Interest rate12% per annum
Repayment period5 years
BCR1.24:1 at 15% discount factor
IRR>50% (highest per-rupee return in the series)
Backyard poultry share30–35% of India’s total egg production
Scheme for BPLRural Backyard Poultry Development (RBPD) under National Livestock Mission (NLM)
Shed materialBamboo, wood, thatch — locally available low-cost materials
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