It looks attractive at high level but if you dig further the return is not attractive. This is for poultry
Calculation is based on 10,000 Chicken
I have done some financials.
Cost of Land (Not included)
currently recomented is a proper metal/aspestas shed. It cost 16 Lakhs for 10,000 chickens
Average weight of chicken is 2 KG. If you take up contract farming you will be given Rs.2.50 per kg. So it works out to be Rs.5.0 per chicken.
it takes 41 days to grow. Then 20 days the place has to left empty to prevent any diceses. so average 60 days cycle.
Labour cost approx Rs.1.50 per chicken.
So return Rs.5.0- Rs.1.50 = Rs.3.50 per chicken for every 60 days.
Electricity cost?
If you take up bank loan Assume Rs1000 per lakh EMI, Rs.32000 for two months.
So Rs. 35,000 - Rs.32,000 = Rs.3000 is the return.
Then risk, yield loss (approx 5%) and labour is a challange.
Not worth.
Any thouths? Feedback?