The small and marginal owners of poultry farms are losing their grounds to the big investors owing to fewer opportunities. They are being compelled by the multinational investors to retreat from poultry farms. The stakes of multinational companies have leapt from 4-5 per cent to 31-32 per cent compared to the last few years. More than 90 per cent small and marginal owners were quiet in the past when multinationals did not surface in Bangladesh. Actually their golden dreams started fizzling out while the big companies reduced production costs in their own farms.
The big companies are doing it by initiating a large-scale production of eggs, day-old chicks, feed and medicine on their own. They have controlled the business with their acumen and earning more profits with the help of a good chain management. On the other hand, the small and marginal owners are being compelled to purchase all necessary inputs at higher prices. Added to this is lack of their business acumen.
There is no proper loan scheme for the small owners that could help them and keep poultry free from temporary dangers such as avian influenza. Even they don't ask for loan willingly due to small profits they earn. The paltry income has brought doom to their poultry farms.
According to the Bangladesh National Poultry Farm Protection Council (BNPFPC), around 9,000 poultry farm owners have closed down their businesses due to immense losses in the last decade. Against this backdrop, the big companies have improved a lot with the help of a good chain management.
A survey was conducted under the Breeder Association in 2012. It showed that a higher number of broiler chick was produced by the CP, a Thailand-based multinational investor in this sector. At first, the CP used to produce more than 1.1 million a week in 2012. This company used to produce layer chicks too.
The poor loan system for small and marginal investors is quite dismal compared to the multinational companies. In spite of having craved for loan, they are not getting the vital input in time. The government should facilitate easy loan to the small poultry farm owners so that they could insure their businesses against tough competition from the multinationals. The government should provide subsidies to the small and marginal investors when avian influenza spreads. Even if the government can provide financial help at the existing terms, the small and marginal investors would have benefited greatly.
Maskurul Alam
maskurulra@gmail.com
Helping small poultry farmers survive
FE Team | Published: January 19, 2014 00:00:00 | Updated: November 30, 2025 06:01:00
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