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Technology protects Nepali egg market

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२०८१ माघ १०, बिहीबार १४:५८
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Chitwan. With the increase in investment in the poultry farming business, Nepal is becoming self-sufficient in meat and eggs. Entrepreneurs in the relevant sector say that the negative impact on the economy due to the global market slowdown due to the COVID-19 pandemic has also affected Nepal’s ‘poultry’ business.

The Poultry Entrepreneurs Forum has drawn the attention of the government to provide one-time relief assistance to poultry entrepreneurs who were displaced after the demand for eggs in the Nepali market decreased sharply and the transaction volume was negligible during the COVID-19 pandemic. Apart from those whose investments have sunk due to the COVID-19 pandemic, most farmers are modernizing and technologically upgrading their businesses in line with the times, making the country’s economy dynamic to some extent. According to Forum Chairman Raghunath Bhatta, about Rs 160 billion has been invested in Nepal’s poultry business at present, and about half of that, i.e. Rs 80 billion, is invested in egg production. The forum has clarified that the 3.2 million eggs produced daily in Nepal meet the market demand.

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Businessmen say that if advanced technology had not been introduced into the poultry farming sector in Nepal, this sector would not have become self-sufficient by now. In recent days, the poultry farming sector in Nepal has become self-sufficient because farmers have become commercial and invested heavily.

According to Binod Pokharel, Executive Director of Daunne Agro Farm, the country’s largest mid-sized farm, the demand for eggs has been met by the large investment made by layer chicken farmers. Currently, more than 20 large commercial farms in Nepal are doing poultry business in environmentally friendly cages. In these cages, chickens are kept with the temperature adjusted as per the requirement. The eggs laid by the chickens are collected in one place using automatic equipment. Executive Director Pokharel informed that the work is being done using the highest technology with less manpower.

Currently, it costs about 60 million rupees to build environmentally friendly cages to raise 50,000 chickens in Nepal. By the time the chickens are kept in those cages and eggs are produced, the cost reaches about 100 million rupees. Executive Director Pokharel said, “Recently, the attraction towards egg production is increasing as the price is getting according to the cost. This has created employment and the need to import eggs from abroad has ended. I request the government to create an environment for farmers displaced from the poultry business to re-enter this business with relief assistance.”

Pokharel, who has been raising 400,000 chickens in the winter of Nawalparasi (Bardaghat-Susta Purb), is building cages for an additional 200,000 chickens. According to him, despite the high risk, Nepali farmers and businessmen have invested crores of rupees, which is why the local egg market has been able to sustain itself. Khilungkalika Agro Farm, which raised 200,000 chickens in Bhirkot, Syangja, is raising an additional 400,000 chickens by establishing ‘Janakpur Agro Farm’ in Janakpur. ‘Dumkibas Poultry Farm’ in Nawalparasi itself has been raising around 400,000 chickens.

Khilungkalika Agro Managing Director Bheshraj Aryal said that a huge investment has been made in egg production. He said that if the eggs have to be sold at less than the cost price, this investment will be at risk. Trilochan Kandel, former president of the Nepal Egg Producers Association, said that 75 percent of eggs are produced in high-tech environmentally friendly cages. According to him, the market that has fallen after the Covid infection has displaced 75 percent of egg producers. He said, “If big investors had not come to this area, the egg market would not have been self-sufficient.” Chairman Kandel said that currently, there are around 250 farmers raising chickens out of more than 30,000 in Nepal.

Bhatt, Chairman of the Poultry Entrepreneurs Forum, said that the sudden drop in egg prices after the Covid infection has displaced many entrepreneurs from this area. He said that those who are currently in this business have been able to survive by taking additional bank loans. He clarified that farmers have been displaced due to the increase in the price of feed and medicine along with the bank interest rate in the Nepali market.

Former chairman of the Poultry Entrepreneurs Forum, Rajendra Lamichhane, said that farmers have been displaced due to the earthquake, blockade, COVID pandemic, economic recession, etc. Recently, due to the increase in large commercial farms with modern technology, many farmers have been displaced, but the demand has been met. After the farmers started migrating, two years ago, farmers in the concerned areas formed the Nepal Layers Poultry Farmers Association. Lamichhane informed that with the countrywide marketing of the organization, old farmers have started raising more chickens and new farmers have also started coming. Pokharel, chairman of the association and executive director of Kisan Agro, says that farmers and entrepreneurs who produce eggs have been able to get cost prices because they have organized marketing under his leadership. He said, “If we had not organized ourselves, Nepal would have had to import foreign eggs and eat them.”

Pokharel said that most of the chicken farmers have a large amount of bank debt. According to him, those who took loans by putting up collateral are not even in a position to sell the collateral and repay the loan. He says that the poultry farmers have been displaced from this area due to not being able to pay the interest on the loans taken from the bank during the course of running the business. During the Covid pandemic, farmers received egg prices below 8 per egg. He says that it was difficult to cover the losses at that time. Currently, about 3.2 million eggs are being produced in Nepal daily. Experts say that the cost price of eggs is 16.56. Executive Pokharel said that after two years of continuous marketing by the association, farmers have been successful in getting the cost price.

 

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