This document is a project report on the problems and prospects of poultry business in Surkhet, Nepal. It provides background on poultry farming in Nepal and an overview of the poultry industry in Surkhet. The objectives are to determine the status of poultry farming in Birendranagar, Surkhet and to identify the problems and prospects. There are over 80 poultry farms in Birendranagar. The report will study the satisfaction levels and issues faced by poultry farm owners to understand how to better support the industry.

1. PROBLEMS AND PROSPECTS OF POULTRY
BUSINESS IN SURKHET
A Project Report
By
Anisha Thapa
T.U. Regd. No.:
Exam Roll No.:
Surkhet Model College
Submitted To
The Faculty of Management
Tribhuvan University
Kathmandu
In Partial Fulfillment of the Requirements for the Degree of
BACHELOR OF BUSINESS STUDIES (BBS)
Birendranagar, Surkhet
April, 2018

2. A STUDY OF PROBLEMS AND PROSPECTS OF POULTRY
BUSINESS
(A STUDY IN BIRENDRANAGAR, SURKHET)
A Project Report
By
Anisha Thapa
T.U. Regd. No.: 7-2-853-7-2014
Exam Roll No.: 8530003
Surkhet Model College
Submitted To
The Faculty of Management
Tribhuvan University
Kathmandu
In Partial Fulfillment of the Requirements for the Degree of
BACHELOR OF BUSINESS STUDIES (BBS)
Birendranagar, Surkhet
April 2018
DECLARATION
I hereby declare that the project work entitled PROBLEMS AND
PROSPECTS OF POULTRY BUSINESS IN SURKHET submitted to the
Faculty of Management, Tribhuvan University, Kathmandu is an original piece
of work under the supervision of Mr. Keshab Khadka, faculty member, Surkhet
Model College, Birendranagar, Surkhet and is submitted in partial fulfillment of

3. the requirements for the degree of Bachelor of Business Studies (BBS). This
project work report has not been submitted to any other university or
institution for the award of any degree or diploma.
………………
Anisha Thapa
Date: 2075/01/20
SUPERVISOR’S RECOMMENDATION
The project work report entitled PROBLEMS AND PROSPECTS OF
POULTRY BUSINESS IN SURKHET submitted by ANISHA THAPA of
SURKHET MODEL COLLEGE, BIRENDRANAGAR, SURKHET, is prepared
under my supervision as per the procedure and format requirements laid by
the Faculty of Management, Tribhuvan University, as partial fulfillment of the
requirements for the degree of Bachelor of Business Studies (BBS). I,
therefore, recommend the project work report for evaluation.
……………………

4. Mr. Keshab Khadka
Date: 2075/01/20
ENDORSEMENT
We hereby endorse the project work report entitled PROBLEMS AND
PROSPECTS OF POULTRY BUSINESS IN SURKHET submitted by ANISHA
THAPA of SURKHET MODEL COLLEGE, BIRENDRANAGAR, SURKHET, in
partial fulfillment of the requirements for the degree of the Bachelor of
Business Studies (BBS) for external evaluation.
………………… ……..………………..
Mr. ……………… Mr. Ganesh Acharya
Chairman, Research Committee Campus Chief/
Principal
Date: Date:

5. ACKNOWLEDGEMENTS
This study was conducted as our bachelor report during our last year at
Surkhet Model College. Within our bachelor report, we have had the chance
to, within a time frame, show our independency in applying our knowledge
obtained during our years in the program to the independent degree project. It
has surely been an improving and valuable experience. Furthermore, a
deeper knowledge in after-sales and its area have been achieved, and the
qualitative research approach has given us the opportunity to approach and
gain an insight into organizations in real life. This project was manageable
due to a number of people that we would like to thank.
Firstly, I would like to show my gratitude by specifically thanking my report
Supervisor Mr. Keshab Khadka and examiner Mr. Dipak Singh Rawat for
surpassing my expectations about the time and qualitative feedback devoted
to us. I would also like to thank Mr. Narayan Tiwari, Campus Chief of Shree
Surkhet Model College for his support. Lastly, I would like to thank the time
and support of my class friends and the owners of different hatchery farms in
Birendranagar, Surkhet who provided me opportunities to collect the data.
Anisha Thapa

6. TABLE OF CONTENTS
Declaration.........................................................................................................2
Supervisor’s Recommendation.........................................................................3
Endorsement.....................................................................................................4
Acknowledgements...........................................................................................5
Declaration.........................................................................................................2
Supervisor’s Recommendation.........................................................................3
Endorsement.....................................................................................................4
Acknowledgements...........................................................................................5
LIST OF TABLES
Table No. Description Page No.
1 Type of Poultry Farms in Surkhet 13
2 Reasons for Selecting Poultry Farming 14
3 Price of Live Poultry 15
4 Live Poultry Sold Per Day 15
5 Income from Live Poultry per Day 16
6 Number of Employees 17
7 Number of Eggs Produced per Day 18
8 Monthly Income from Poultry 19
9 Problems of Poultry Farming 20
10 Other Problems of Poultry Farming 21
11 Challenges of Poultry Farming 22
12 Prospects of Poultry Farming 23

7. LIST OF FIGURES
Figure No. Description Page No.
1 Type of Poultry Farms in Surkhet 14
2 Reasons for Selecting Poultry Farming 15
3 Price of Live Poultry 16
4 Live Poultry Sold Per Day 16
5 Income from Live Poultry per Day 17
6 Number of Employees 18
7 Number of Eggs Produced per Day 19
8 Monthly Income from Poultry 20

8. ABBREVIATIONS
AD Anno Domini
BBS Bachelor of Business Studies
CBS Central Bureau of Statistics
FAO Food and Agricultural Organization
GDP Gross Domestic Product
GPT Global Poultry Trends
MOAC Ministry of Agricultural Cooperative
MOAD Ministry of Agricultural Department
TGDP Total Gross Domestic Product
TU Tribhuvan University
U.S. United States
USD United States Dollar
CHAPTER I

9. INTRODUCTION
1.1 Background
Poultry farming is the practice of raising poultry, such as chickens, turkeys,
ducks, and geese, as a subcategory of animal husbandry, for the purpose of
farming meat or eggs for food. More than 50 billion chickens are reared
annually as a source of food, for both their meat and their eggs. Chickens
farmed for meat are called broilers, whilst those farmed for eggs are called
egg laying hens. After 12 months, the hen’s productivity will start to decline.
This is when most commercial laying hens are slaughtered. The growth rate
of livestock sector is between 3.5 and 5 percent per annum which is more
rapid that crop. It is anticipated that the contribution of livestock sector will
reach 45 percent at the end of Agricultural perspective plan (1995 – 2015).
The poultry enterprises is also an emerging economic sector, over 65,000
people are employed in commercial poultry farming. Thus the livestock sector
can contribute significantly in rural poverty reduction and a tool for the rural
employment generation (FAO, 2016).
Poultry farming is regarded as one of the important occupations in Nepal. It
also plays a great role in developing the agriculture system as poultry farm is
related to agriculture. Poultry farming was started in Nepal centuries before
but the development of poultry farming was not satisfactory. It is said that
chicken was provided to army and battalions. Generally Brahmin people of
Nepal did not use to take chicken along with pork. It was regarded as taboo
in Brahmin community. So poultry was only limited to Limbus and Rais people
in the past. As Nepal is an agricultural country, poultry farming is one of the
important occupation of the peoples. Mainly local breeds are reared in Nepal

10. but improved breeds like broiler and layers are also occupying a large area
these days. Easy for rearing, less manpower, less investment etc. are some
possible causes of high development of poultry farming. Demand for the
chicken is increasing because of its low price and health importance. So
people have started poultry farming instead of other animals rearing. Latest
survey in Nepal shows that chicken is eaten most by the people of Nepal. So
there is high possibility of poultry development in Nepal. Mostly fowls are
reared beside turkeys and ducks are also reared. Still chicken is not
consumed by some Brahmin people in Nepal but it is getting forward as one
of the important branch of agriculture (FAO, 2016).
Livestock, including poultry is an integral part of the agricultural part of the
agricultural production system in Nepal, providing draft power, manure and
high value animal protein such as meat, milk and eggs for the human
consumption that accounts for approximately 32 percent of agricultural GDP.
Numerous people are involved in the production, slaughtering, processing,
and trading of livestock and livestock products. Over 2 million households own
cattle, and over 1.4 million households raise chickens (DOA, 2016).
There is no doubt to say that Nepal is an agricultural country. About 75% of
people in Nepal depends upon agriculture for their livelihoods. Livestock
production is an important agricultural subsector in Nepal, accounting for
about 29% of agricultural GDP, and about 11.5% of total national GDP.
Numerous people are involved in production, slaughtering, processing and
trading of livestock and livestock products.
History of commercial poultry production in Nepal is not very old but, in non-
commercial scale its history is very old. Population of poultry in 2064/2065

11. was 2,46,65,820 in Nepal and 28,61,700 in Chitwan district. Out of total
population of poultry of Nepal, Chitwan contribute 11.6%; share of poultry
population of Chitwan is 69.07 % of population of Central Development
Region (DLS-2008). Poultry farming have emerged as a major income
generating enterprise in agriculture sector over the last three and a half
decades. Today, poultry production has become one of the most rapidly
growing enterprises within the reach of the poor, women, marginal farmers
and entrepreneurs, considering the trends of population growth, urbanization,
road access, transportation linkages, increasing awareness on nutrition and
growing demands for consumer products, increasing international level
restaurants, it will be safe to assume that poultry sector will constantly grow in
a foreseeable future. In addition, since poultry farming are within the reach of
all classes of society, including women, marginal farmers and schedule caste
and tribes, it could become one of the government’s strategic activities for
poverty reduction and for reaching the most disadvantaged socio-economic
groups.
The size of Nepal’s poultry market has grown by 30 percent in the last five
years to Rs. 20 billion now, and the GDP contribution of the sector stands at
around 4 percent, according to the latest data compiled by poultry
entrepreneurs. The per capita poultry meat consumption, however, is still low
in Nepal, compared to other Asian countries, according to the Global Poultry
Trends (GPT). The size of poultry population has significantly increased in the
recent years and the present population of the laying hens is 7290875, the
meat production from poultry 17551 metric tonnes, the net egg production
from laying hens 6,34,60,000 (MOAC, 2009/2010). According to the Nepal

12. egg producers’ association, poultry farming contributes around 4 percent to
the GDP of the national economy.
Back home, though not much reflected in the per capita consumption data, it’s
a reality that the poultry business is flourishing as never before in Nepal. This
is a sector flourished with spontaneous private sector initiatives on
investments, market exploration and expansion. Nepal is an agricultural
country where majority of people depend upon agriculture for their livelihood.
Agriculture sector contributes to about 33.7%% of national GDP, out of which
only poultry sector contributes about 3.5% of TGDP (CBS, 2012).
Nepal - one of highest ratios of livestock to humans in Asia (5.8 livestock and
poultry/ household) with 70% of the population rearing the some types of
livestock. As the other most developing countries of the world, poultry
production in Nepal varies from the free range scavenging system to intensive
system (Abington and Clitch, 1993). Indigenous poultry breeds contribute 45
percent of total poultry population of Nepal. These are well adapted to the low
input production system, tolerance to the diseases, and poor nutrition in the
rural areas of the Nepal. Beside this extensive free range poultry production
system, intensive grain based poultry farming is booming day by day with
significant contribution on the national GDP. Backyard poultry farming is still
an important source of cash generation and protein supplement in rural areas
of Nepal, where majority of the country’s population live. Attempts to improve
the local Sakini chicken by grading up with the New Hampshire have met with
only limited success, because of reluctance of farmer to adopt the hybrid
chickens as well as the higher losses from the predation and the diseases.

13. Starting from 1970 AD to 2014 AD the commercial poultry of Nepal has
spurting of waves with 1.68 million table eggs/ day, a million broiler chicks per
week and 0.4 million Kg of chicken meat per day but the trade is not worth
mentioning (Kaphle, 2014). The size of poultry population has significantly
increased in the recent years and the present population of the laying hens is
8233616 (MOAD, 2013), the meat production from poultry 42810 metric, the
net egg production from laying hens 8, 74,194,000. Per capita consumption of
egg was 15 in 1985 compared to 65 in 2013 which is very low as compared to
that of Sri-Lanka 80, China 115 eggs and Japanese 180 eggs. Per capita
availability of meat from poultry was 500gm in 1985 compared to 4.8 kg in
2013.The egg and meat production increased many fold but still per capita
consumption is far behind the status of many developing countries. This is
below the average of Asia (9 kg meat and 120 eggs). This low per capita
consumption of eggs and meat is opening the huge potential for poultry
industry in Nepal. The low level of consumption is due to low purchasing
power of Nepalese people and inadequate marketing infrastructure. The
objective of this review is to help in promotion of the intensive and backyard
free ranging chicken as means of sustainable poultry industry in Nepal.
1.2 Overview of Poultry Farming in Surkhet
Birendranagar is a city in mid-western Nepal, located in the Surkhet District of
Bheri Zone. At the 2011 census, the city's population was 52,137 in 12,045
households. There are many poultry farms in Surkhet. There are 532 Broilers
farms and 7 lass farms in Surkhet district (CBS, 2016-2017). There are more
than 80 poultry farms in Birendranagar, Surkhet only.
1.3 Objectives

14. The main objective of the study is to find out the situation of poultry farming in
Birendranagar, Surkhet. However, the specific objective of this study are as
follows:
 To determine the status of poultry farming in Birendranagar, Surkhet.
 To identify the problems and prospects of poultry farming in
Birendranagar, Surkhet.
1.4 Rationale
In recent years, there has been a growing recognition among the
development communities. The role of poultry production is accelerating the
pace of poverty reduction and reaching out to the poorest of the poor. There is
also growing evidence to demonstrate the role of poultry marketing in
enhancing the food and nutrition security or the poorest households and in the
promotion of gender equality. At the same time, the market and production
context of poultry production has been changing rapidly over the last the
decades. This report will reach out to the satisfaction level and problems of
poultry farm owners towards production and marketing of poultry products.
Poultry farming has also become a growing trend in Surkhet but unfortunately
most government extension programs in poultry field are not oriented towards
addressing the needs of poor advice to poultry farmers. Poultry is one of the
fastest growing segments of the agricultural sector in Nepal. Major factors
behind the fast growth of the sector are growth in per capita income, a
growing urban population and falling real poultry prices. Besides increased
investments in breeding, hatching, rearing and processing have also
contributed significantly towards the growth of the sector.

15. If the current situation prevails for longer time, it is sure that poultry industry
will certainly move away from Nepal. Research on production, processing and
marketing of poultry products is essential to increase productivity and to
maintain good environment. So, prioritizing the poultry disease investigation,
eradication and safeguarding the poultry industry would be valuable in
sustainable poultry industry serving poultry as sustainable food source for
human. Low per capita consumption of meat and eggs coupled with
unemployment existed in the country has created the adequate space for
sustainable expansion of poultry industry. On the other hand, climate change
induced climatic extremes, emerging diseases, change in consumer attitude
towards safe food, high cost of imported inputs are creating pressure on the
economy and environment with recent search for alternative to grain based
poultry rearing. Developing environment friendly poultry farming system is
urgent in Surkhet as well with documentation of prevailing diseases.
Therefore, the free range and backyard native chicken is likely to transform
this vulnerable poultry sector to sustainable animal industry if the transfer of
technology alternative to grain based diet, legal framework, support on food
safety and infrastructure facilities is set into action. Since the high chick
mortality, predation and low energy and protein in available feeds are the
major causes of low productivity of native chickens. Thus supplementation of
indigenous birds with energy, proteins, calcium coupled with the better
housing and disease control will increase the productivity of extensive system
thus corroborating the poultry sector. There is strong need for institutional
support, research strategy and government policy for betterment of poultry
sector and switching poultry business as sustainable food source enterprise of

16. the country. This report will provide a background for all those who are
interested to be involved in poultry farming. There is a need to study about the
problems and prospects of poultry farming in Surkhet. So, this study will be
applied to find out the challenges and problems faced by poultry farmers in
Surkhet.
1.5 Review
Considering the important contribution of poultry sector in the national
economy, livestock has been given the third important priority. There is a
growing trend of poultry keeping in the highway sides and other roadside
area. Currently there are 5 hatcheries in government sector and 75 hatcheries
in private sector. Similarly there are 178 feed industries in private sector and 1
in government sector. There is a tremendous potential for poultry
development in future. The future strategy may include steps and policy to
marketing level. Poultry farmers have better economic opportunity. It also
gives employment opportunity to women and rural people (Mishra, 2017).
Okot (2014) conducted a study "A co-operative approach to smallholder rural
poultry production in Uganda." He stated that the poultry industry in Uganda is
composed of 21.8 million birds and estimated to consist mainly of chicken
comprising of 10 million birds. Over 90% of Ugandan chickens are indigenous
stock reared under the Backyard system, producing an average of 50 eggs
per hen per year. The eggs are either for hatching chicks or used as table
eggs. The other 10% consist of improved exotic commercial layers and
broilers kept under the intensive system of husbandry mainly in urban areas.
Intensively managed commercial enterprises comprise of small units of
between 50 and 500 birds, the medium sized units of 500-1,000 birds; and

17. few less than 5% of the large scale units of over 1,000 birds. The village
flocks consist of unimproved local chickens, typically 5-20 birds per family. A
part from chickens, other species of birds kept in rural areas include turkeys,
ducks and guinea fowls and pigeons.
Hamra (2010) reported that poultry farms, mainly chicken farms producing
meat or eggs, can be highly specialized operations. To maximize profits and
plan future enterprise activities, a feasibility analysis prior to investment and
proper management during the operation are required. Proper management
ensures efficient production and good quality products (meat or eggs). This is
accomplished by controlling diseases, maintaining feed efficiency, proper
handling of wastes, and proper sanitizing of the poultry house. Due to short
turnover rates of poultry flocks and strong market demand, the poultry
business could potentially be a profitable enterprise. This study details a
profitability analysis on a flock of broilers raised for the purpose of meat
production. A farm and its facilities were rented to grow and finish the flock for
market delivery. The farm was located in South Lebanon, in the Marjoyoun
Valley and was rented on a lump sum basis. Production (input) costs and
sales (output) prices were used to determine the feasibility of growing broilers
in the region. The flock was introduced into the poultry house on November
11th, 2009 and was managed until it reached the slaughtering phase, as per
market requirements, on December 20th, 2009. The total production cost was
$10,479 (including rental cost, labor salaries, electric cost, and other
miscellaneous costs). Because the farm used in this study was rented,
depreciation expenses on the buildings and equipment were not considered in
the feasibility analysis. The flock produced 4,428 kg of meat at a market

18. selling price of $3.10/kg of meat. Thus, total sales were $13,726.80 (USD),
resulting in a net profit of $3,247.80 (USD). Depending on the location of the
poultry farm and the owner’s experience and facilities, profitability may vary.
NBARD (2016) The National Bank for Agriculture and Rural development has
conducted on evaluation study entitled “Report on Commercial Poultry in
Krishna District of Andhra Pradesh”, a part of Financial scheme
implementation. The study assessed the adequacy and effectiveness of
forward and backward linkages, input availability, marketing facilities,
veterinary and extension services and financial viability of the investment. The
study also covered the economics of investment with different sizes of poultry.
They found that the average physical performance of functional sample units
in terms of egg production per layer and laying period was more or less in
conformity with the scheme assumption. The study suggested that the units
situated close to the consumer market enjoy the advantage of economy in
handling cost and therefore, turnout to be viable and more research
addressed to these questions should be necessary to facilitate decision-
making (NABARD, 2016).
Dagne (2015) reported that poultry production in tropical countries is based on
the traditional scavenging system and chickens are the most important poultry
species. The share of family poultry to total poultry population in developing
countries in general and in Africa in particular is not well documented but
estimated to reach 70 to 80%. A critical review of available literature from
eight Sub-Saharan African countries showed that village poultry on average
accounts for 78%, ranging from 30 to 99%, of the total poultry population. The
largest proportion of eggs and poultry meat in Ethiopia is produced by the

19. village system. Despite the fact that village poultry are more numerous than
commercial ones, and provide the largest proportion of products in developing
countries, little research and development work has been carried out to
characterize, understand and develop the system.
Banerjee (2004) observes that in comparison to other livestock, Poultry
requires less investment to start the farming. Persons from low income group
may also start the business on a small scale. Poultry farming offer the
opportunities for fulfillment or part-time employment particularly women,
children or elderly person on the farm operation.
Khan, Miah, Bhuiyan, Begum, Hussain and Khanum (2006) observe that
Local chickens dominate Poultry production in Bangladesh. In Sylhet mainly
poor families, who have arrived from outside and are landless rear Poultry.
Most of the households (58.33%) had 0-15 chicken. Most of the families
(75%) reared their chicken in combined house with duck. Materials used for
housing were similar to other parts of the country. Mainly female member
were involved in poultry rearing. About fifty percent farmers got on an average
less than 70 eggs per year per bird. A few farmers (5.56%) informed that they
had collected more than 130 eggs from a bird in a year. Highest egg
production was observed in winter season (52.78%) followed by summer,
spring and late autumn.
1.6 Methods
To investigate the problems and prospects of poultry farmers in Birendranagar of
Surkhet, following methods were employed.
1.6.1 Research Design

20. A research design is the plan for a research work. It is a set of methods and
procedures that are used to collect and analyze the variables that are
specified in the problems of the research. In this study, both quantitative and
qualitative research design are used and the nature of the study is descriptive.
1.6.2 Population and Sample
In this study, Birendranagar, Surkhet has been judgmentally selected as the study site.
The majority of poultry farms are located in Birendranagar of Surkhet.
All the poultry farms in Birendranagar of Surkhet were the population of this study
whereas among the poultry farms, 20 owners were selected as sample for this study.
1.6.3 Nature and Sources of Data
There are mainly two sources of data: Primary and secondary. For this study,
primary data were mostly be used. Primary data were collected from the
poultry farm owners. Interview schedule containing questionnaires on
problems and prospects of poultry farms were used to collect the data for this
study.
1.6.4 Data Collection Procedure
For the collection of data, face to face interview with the poultry farm owners was
employed. The data were collected through questions.
1.6.5 Presentation of Data
The data obtained from the interview with the poultry farm owners were put in
different tables. Numerals and percentage were used to analyze and present the data.
Suitable figures like bar-diagrams and pie-charts were used to present the data.
1.6.6 Tools and Techniques of Data Collection

21. Interview schedule was the main tool for the collection of data. The study used
questionnaire to collect information pertaining to the issues under study. In order to
maintain quality of the data before the conduct of actual task, the questionnaire was
checked and problems raised were addressed by taking it as an input for improvement
during and making necessary modifications.
1.7 Limitations
Due to limited budget and time constrains, the study was limited within the following
points:
i. The study was limited within Birendranagar Municipality of Surkhet district.
ii. The data were collected through interview schedule containing questionnaire
from 20 poultry farm owners in Birendranagar, Surkhet.
iii. The data were collected through primary sources.
CHAPTER II
RESULTS AND ANALYSIS
The data on poultry farming collected from the poultry owners are described as
follows:

22. 2.1 Data Presentation
Data can be presented in various forms depending on the type of data collected. A
frequency distribution is a table showing how often each value (or set of values) of
the variable in question occurs in a data set. A frequency table is used to summarize
categorical or numerical data.
The data obtained on problems and prospects of poultry farming in Birendrangar of
Surkeht are presented as follows:
2.1.1 Type of Poultry Farm
The types of poultry farms in the study area are shown in the table given below:
Table No. 1: Type of Poultry Farms in Surkhet
S. N. Type of Poultry No. of Farms Percent
1. Broilers 9 45.00
2. Layers 7 35.00
3. Hatchery 4 20.00
Total 20 100.00
Source: CBS, 2016
Table above shows that in the study area, 9(45 percent) of the poultry farm owners
have broiler farm, 7(35 percent) of the poultry farm owners have layers farm and 4(20
percent) of the poultry farm owners have hatchery farms.
The above data can be shown in figure as follows:
Figure No. 1: Type of Poultry Farms
2.1.2 Reasons for Selecting Poultry Farming
The reasons behind selecting poultry farming are shown in the table given below:
Table No. 2: Reasons for Selecting Poultry Farming
S. N. Type of Poultry No. of Farms Percent
1. For self employment 6 30.00

23. 2. Family business 4 20.00
3.
Government
encouragement 5 25.00
4. Easy to start 5 25.00
Total 20 100.00
Source: CBS, 2016
Table No. 2 shows that 6(30 percent) of the poultry farmers have started this business
for self employment whereas 4(20 percent) of the poultry farms have started this
business because it is their family business. Likewise, 5(25 percent) of the poultry
farmers have started this business because of government encouragement and the
same 5(25 percent) of the poultry farmers have started this business because it is easy
to start.
The above data can be shown in figure as follows:
Figure No. 2: Reasons for Selecting Poultry Farming
2.1.3 Price of Live Poultry
The price of per kilogram live poultry in Birendranagar, Surkhet is shown in the table
given below:
Table No. 3: Price of Live Poultry
S. N. Type of Poultry Price Per Kg
1. Broilers 240
2. Layers 190
Source: Field Survey, 2074
Table No. 4 shows that the price of one kg of broiler is Rs. 240 whereas the cost of
one kg of layers is 190 in Birendranagar market.
2.1.4 Live Poultry Sold per Day

24. The amount of live poultry sold per day according to the poultry farmers is shown in
the table given below:
Table No. 4: Live Poultry Sold per Day
S. N. Quantity (kg) No. of Owners Percent
1. 25 10 50.00
2. 26-50 4 20.00
3. 51-75 4 20.00
4. 75-100 2 10.00
Total 20 100.00
Source: Field Survey, 2074
Table No. 5 shows that 50 percent of the poultry farmers sell 25 kgs. of live poultry
per day whereas 20 percent of the poultry farmers sell 26-50 kgs. of live poultry per
day. Likewise, 20 percent of the poultry farmers sell 51-75 kgs. and 10 percent of the
poultry farmers sell 76-100 kgs. of live poultry per day.
The above data can be presented in figure as follows:
Figure No. 4: Live Poultry Sold per Day
2.1.5 Income from Live Poultry per Day
The income from live poultry per day according to the poultry farmers is shown in the
table given below:
Table No. 5: Income from Live Poultry per Day
S. N. Amount (per kg) No. of Owners Percent
1. 25-30 8 40.00
2. 30-40 5 25.00
3. 40-50 4 20.00
4. 50 and above 3 15.00
Total 20 100.00
Source: Field Survey, 2074
Table No. 5 shows that 8(40 percent) of the poultry farmers earn Rs. 25-30 by selling
one kg of live poultry per day whereas 5(25 percent) of the poultry farmers earn Rs.
30-40 by selling one kg of live poultry per day. Likewise, 4(20 percent) of the poultry

25. farms earn Rs. 40-50 by selling one kg of live poultry per day and 3(15 percent) of the
poultry farmers earn Rs. 50 and above by selling one kg of live poultry per day.
The above data can be presented in figure as follows:
Figure No. 4: Income from Live Poultry Per day
2.1.6 Number of Employees
The number of employees in the poultry farm of the study area are shown in the
following table:
Table No. 6: Number of Employees
S. N. Number of Employees No. of Owners Percent
1. One 7 35.00
2. Two 6 30.00
3. Three 5 25.00
4. Four and more 2 10.00
Total 20 100.00
Source: Field Survey, 2074
Above table shows that 7(35 percent) of the poultry farms have one employee
whereas 6(30 percent) of the poultry farms have two employees. Similarly, 5(25
percent) of the poultry farms have three employees and 2(10 percent) of the poultry
farms have four and employees.
Above data can be presented in figure as follows:
Figure No. 5: Number of Employees
2.1.7 Number of Eggs Produced in a Day
The number of eggs produced in a day in the layers farm of the study area are shown
in the following table:
Table No. 7: Number of Eggs Produced in a Day
S. N.
Number of Eggs Produced in a
Day No. of Owners Percent

26. 1. 100-200 3 42.85
2. 200-300 2 28.57
3. 300-400 1 14.29
4. 400-500 1 14.29
Total 7 100.00
Source: Field Survey, 2074
In the study area, there are 7 layers farm in which the eggs are produced. Above table
shows that according to 3(42.85 percent) of the poultry farms produce 100-200 eggs
per day whereas 2(28.57 percent) of the poultry farms produced 200-300 eggs per
day. Likewise, 1(14.29 percent) of the poultry farms produce 300-400 eggs per day
and 1(14.29 percent) of the poultry farms produce 400-500 eggs per day.
Above data can be presented in figure as follows:
Figure No. 6: Number of Eggs Produced in a Day
2.1.8 Monthly Income from Poultry
The monthly income of the poultry farmers by poultry is shown in the table given
below:
Table No. 8: Monthly Income from Poultry
S. N.
Monthly Income (Rs. in
'000) No. of Owners Percent
1. 20-30 10 50.00
2. 30-40 4 20.00
3. 40-50 4 20.00
4. 50 and above 2 10.00
Total 20 100.00
Source: Field Survey, 2074
Table No. 6 shows that 10(50 percent) of the poultry farmers earn Rs. 20-30 thousand
per month whereas 4(20 percent) of the poultry farmers earn Rs. 30-40 thousand per
month. Similarly, 4(20 percent) of the poultry farmers earn Rs. 40-50 thousand per

27. month and 2(10 percent) of the poultry farmers earn Rs. 50 thousand and above per
month.
The above data can be shown in the figure which is as follows:
Figure No. 7: Monthly Income from Poultry
2.1.9 Problems of Poultry Farming
The major problems of poultry farming in Surkhet according to the selected poultry
farms are shown in table given below:
Table No. 9: Problems of Poultry Farming
S. N. Problems No. of Owners*
Perce
nt
1. Small market 16 80.00
2. No fixed price of live poultry 18 90.00
3. Problems in importing chickens 18 90.00
4.
Infection in chickens from time to
time 14 70.00
5.
Lack of proper rules and regulations
on poultry farming 16 80.00
6.
Lack of sufficient infrastructures and
skilled manpower 18 90.00
Source: Field Survey, 2074
Table No. 7 shows multiple responses on the problems of poultry farming in
Birendranagar, Surkhet. Among 20 selected poultry farmers, 80 percent said that the
problem in poultry farming was the lack of market whereas 90 percent said that the
problem is that there is no fixed price of live poultry. Likewise, 90 percent of the
poultry farmers said that the problems is in importing chickens whereas 70 percent of
the poultry farmers said that the problem is that there is infection in chickens from
time to time. Similarly, 80 percent of the poultry farmers said that the problem is the
lack of proper rules and regulations on poultry farming and 90 percent of the poultry

28. farmers said that the problem is that there is lack of sufficient infrastructures and
skilled manpower in poultry farming.
2.1.10 Other Problems of Poultry Farming
There were also other problems than mentioned above which are shown in the
following table
Table No. 10: Other Problems of Poultry Farming
S. N. Problems No. of Owners*
Perce
nt
1. Lack of government attention 18 90.00
2.
Lack of transportation facilities to
transport poultry 19 95.00
3.
Lack of proper training and
knowledge 17 85.00
4.
Lack of sufficient guideline and
counseling 16 80.00
5. Diseases from time to time 18 90.00
Source: Field Survey, 2074
Above table shows the multiple responses on the other problems of poultry farming in
the study area. Among 20 selected poultry farmers, 90 percent said that the problem in
poultry farming is the lack of government attention whereas 95 percent said that the
other problem is that there is lack of transportation facilities to transport poultry.
Similarly, 85 percent of the poultry farmers said that the other problem is lack of
proper training and knowledge to the poultry farmers whereas 80 percent of the
poultry farmers said that the other problem is lack of sufficient guideline and
counseling. Likewise, 90 percent of the poultry farmers said that the other problem is
the diseases in poultry from time to time.
2.1.11 Challenges of Poultry Farming
The major challenges of poultry farming in the study area are as follows:

29. Table No. 11: Challenges of Poultry Farming
S. N. Challenges No. of Owners*
Perce
nt
1. Problems of raw material 16 80.00
2. Problems of marketing 17 85.00
3. Problems of labour 18 90.00
4. Problems of power supply 17 85.00
5. Managerial problem 19 95.00
Source: Field Survey, 2074 *Multiple Responses
Above table shows the multiple responses on the challenges of poultry farming in the
study area. Among 20 selected poultry farmers, 80 percent said that the challenge in
poultry farming is the problem of raw material whereas 85 percent said that the
challenge is that there is problem of marketing. Likewise, 90 percent of the poultry
farmers said that the challenge is the problem of labour whereas 85 percent of the
poultry farmers said that the challenge is the problem of power supply. Similarly, 95
percent of the poultry farmers said that the challenge is the managerial problem.
2.1.12 Prospects of Poultry Farming
If poultry farming is taken as sustainable farming, it may have no any prospects. But
if it is taken as professional farming, it may have some prospects. The prospects of
poultry farming are shown in the following table:
Table No. 12: Prospects of Poultry Farming
S. N. Prospects
No. of
Owners*
Perce
nt
1. Sufficient income 19 95.00
2.
Employment opportunities for many
people 15 75.00
3. Self employment 16 80.00
4. Increase in prestige 14 70.00
Source: Field Survey, 2074 *Multiple Responses

30. Above table shows the multiple responses on the prospects of poultry farming
according to the owners of the poultry farms. Among 20 selected poultry farmers, 95
percent said that the poultry farming helps to yield sufficient income whereas 75
percent said that the poultry farming provides employment opportunities for many
people. Likewise, 80 percent of the poultry farmers said that the poultry farm
increases self employment and 70 percent of the poultry farmers said that poultry
farming increases prestige in the society.
2.2 Analysis of Results
The poultry farm owners have broilers, layers and hatchery farms. The poultry
farmers have started this business for self employment, because of family business,
government encouragement and the is easy to start. Price of one kg of live broiler is
also low. The poultry farmers sell 25 kgs to 75 kgs of poultry per day. The poultry
farmers earn Rs. 25 to Rs. 50 and above per kg of live poultry. There are one to more
than four employees in the poultry farms. The layers lay 100 to 500 eggs per day in
the study area. The poultry farmers earn Rs. 20 to 50 thousand and above per month
from poultry farming. The problems in poultry farming are lack of market, lack of
fixed price of live poultry, problems in importing chickens, infection in chickens from
time to time, lack of proper rules and regulations on poultry farming, lack of sufficient
infrastructures and skilled manpower in poultry farming, lack of government
attention, lack of transportation facilities to transport poultry, lack of proper training
and knowledge to the poultry farmers, lack of sufficient guideline and counseling and
diseases in poultry from time to time. The main challenges of poultry farming are
problem of raw material, problem of marketing, problem of labour, problem of power
supply and the lack of managerial problem. The major prospects of poultry farming

31. are sufficient income, employment opportunities for many people, increase in self
employment and increase prestige in the society.
2.3 Findings
i. The study found that 9(45 percent) of the poultry farm owners have broiler farm,
7(35 percent) of the poultry farm owners have layers farm and 4(20 percent) of
the poultry farm owners have hatchery farms.
ii. In this study, 6(30 percent) of the poultry farmers have started this business for
self employment, 4(20 percent) have started this business because it is their
family business, 5(25 percent) have started this business because of government
encouragement and 5(25 percent) have started this business because it is easy to
start.
iii. The price of one kg of broiler is Rs. 240 whereas the cost of one kg of layers is
190 in Birendranagar market.
iv. It was found that 50 percent of the poultry farmers sell 25 kgs. of live poultry
per day, 20 percent sell 26-50 kgs. of live poultry per day, 20 percent sell 51-75
kgs. and 10 percent sell 76-100 kgs. of live poultry per day.
v. It was found that 8(40 percent) of the poultry farmers earn Rs. 25-30 per kg,
5(25 percent) earn Rs. 30-40 per kg, 4(20 percent) earn Rs. 40-50 per kg and
3(15 percent) earn Rs. 50 per kg by selling live poultry per day.
vi. The study found that 7(35 percent) of the poultry farms have one employee,
6(30 percent) have two employees, 5(25 percent) have three employees and 2(10
percent) have four and employees.
vii. In this study, 3(42.85 percent) of the poultry farms produce 100-200 eggs,
2(28.57 percent) produce 200-300 eggs, 1(14.29 percent) produce 300-400 eggs
and 1(14.29 percent) of the poultry farms produce 400-500 eggs per day.

32. viii. It was found that 10(50 percent) of the poultry farmers earn Rs. 20-30 thousand,
4(20 percent) earn Rs. 30-40 thousand, 4(20 percent) earn Rs. 40-50 thousand
and 2(10 percent) of the poultry farmers earn Rs. 50 thousand and above per
month.
ix. Among 20 selected poultry farmers, 80 percent said that the problem in poultry
farming was the lack of market whereas 90 percent said that the problem is that
there is no fixed price of live poultry.
x. Likewise, 90 percent of the poultry farmers said that the problems is in
importing chickens whereas 70 percent of the poultry farmers said that the
problem is that there is infection in chickens from time to time.
xi. In the same way, 80 percent of the poultry farmers said that the problem is the
lack of proper rules and regulations on poultry farming and 90 percent of the
poultry farmers said that the problem is that there is lack of sufficient
infrastructures and skilled manpower in poultry farming.
xii. Among 20 selected poultry farmers, 90 percent said that the problem in poultry
farming is the lack of government attention whereas 95 percent said that the
other problem is that there is lack of transportation facilities to transport poultry.
xiii. Similarly, 85 percent of the poultry farmers said that the other problem is lack of
proper training and knowledge to the poultry farmers whereas 80 percent of the
poultry farmers said that the other problem is lack of sufficient guideline and
counseling.
xiv. In the same way, 90 percent of the poultry farmers said that the other problem is
the diseases in poultry from time to time.

33. xv. Among 20 selected poultry farmers, 80 percent said that the challenge in poultry
farming is the problem of raw material whereas 85 percent said that the
challenge is that there is problem of marketing.
xvi. Likewise, 90 percent of the poultry farmers said that the challenge is the
problem of labour whereas 85 percent of the poultry farmers said that the
challenge is the problem of power supply. xvii. In the same way, 95 percent of
the poultry farmers said that the challenge is the managerial problem.
xviii. Among 20 selected poultry farmers, 95 percent said that the poultry farming
helps to yield sufficient income whereas 75 percent said that the poultry farming
provides employment opportunities for many people.
xix. In the same way, 80 percent of the poultry farmers said that the poultry farm
increases self employment and 70 percent of the poultry farmers said that
poultry farming increases prestige in the society.
CHAPTER III
SUMMARY AND CONCLUSION
3.1 Summary
Livestock, including poultry is an integral part of the agricultural part of the
agricultural production system in Nepal, providing draft power, manure and
high value animal protein such as meat, milk and eggs for the human
consumption. Poultry production is carried all around Nepal. However
production may vary within the agro – ecological ones and also within the

34. politically separated geographical areas. The production directly depends on
the market facilities, the climatic actors etc.
In this study, chickens were the only poultry found throughout 20 households
surveyed, which agrees that the only species of poultry found in Surkhet are
chickens. Households rear chickens in their backyards with minimal inputs.
Chickens serve households with rich protein from meat and eggs, enhancing
their nutrition with minimal expenses, when the cost of chicken meat and eggs
are very high in the market rendering it almost unaffordable to many people.
Poultry farming has been yielding income for the poultry farmers. Earnings
from poultry rearing are used to purchase agricultural inputs, clothes, and
household needs and pay school fees and rural taxes. Poultry are a means to
obtain household needs such as grains. Poultry play important socio-cultural
roles, as gifts, as objects of offerings to Gods and for consumption during the
festivals. Employment opportunities are increased due to poultry farming.
Usually, poultry is an asset for the family as a whole. Keeping poultry provides
employment opportunity for women and children, but sometimes, it is an
additional responsibility to women besides their daily chores of working in
kitchen, laundry, looking after children, gardening and looking after other
animals.
3.2 Conclusion and Implications
This study was carried out to find out the problems and prospects of poultry
farming in Birendranagar of Surkhet. Poultry farming is an important activity
for areas like Surkhet due to their ability to survive in harsh local conditions,
serving the rural farmers who have limited access to market and market

35. products with valuable proteins. In addition, poultry farming provides cash
income and have socio-cultural uses. Lack of training, labour, diseases in
poultry, lack of transportation and market are seen as important constraints
faced by the farmers to maintain the current flock of birds and to increase their
flock size. Simulations with management interventions such as preferential
chick housing in dual-purpose production systems and increased egg
incubation in egg production system are need to increase flock size and better
net returns than in the base situation. Other management interventions such
as daytime housing, feed supplementation with commercially formulated feed,
and crossbreeding are economically not feasible. There should be relation
between poultry development and poultry health plan to improve public health
hazard in the country. At present, there is little infrastructure to facilitate the
slaughter and marketing of poultry birds. Though there are some cold storage
and meat marketing scheme in private sector. Egg market is tied up with feed
industry. There is lesser concern towards the environment protection.
Therefore, it is advisable to have following strategies for betterment of poultry
production, management and good bio security measures that improve the
production in an environmentally friendly manner.
It can be concluded that, like in many other developing countries, village
poultry play important roles- from supplementing household meal, generating
cash income, and beings objects of gifts to animals for religious sacrifices.
Commercial chicken production and backyard free-range chicken rearing with
indigenous chickens require different approaches. From the current study,
following recommendations are deduced:
• There must be clear cut vision about commercial poultry development.

36. • There is ample opportunity of exporting eggs and meat in autonomous
region.
• The government should take initiatives for standardization for
exporting. It will create confidence in poultry farmers.
• There is an urgent need of poultry development board in which there
must be participation of producers, hatchery owners, feed industrialist,
medicine suppliers’, livestock experts, veterinarian, management
experts and planners.
• There must be soft loan programme towards poor farmers and women
group.
• There must be workable mechanisms of quality control of chicks, feed
and medicines.
• There must be policy for infrastructure development such as
slaughterhouse, cold storage etc. The processed product can fetch
more price.
• There should be bio-security policy along with environmentally friendly
plan for farmers and entrepreneurs.

37. BIBLIOGRAPHY
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Delhi.
CBS (2016-2017). Summary Report and Major Findings. Nepal Commercial Poultry
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CBS (2012). Statistical Year Book of Nepal. National Planning Commission,
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Dagne, A. (2015). Challenges and Prospects of Poultry Industry. Munich: GRIN.
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FAO (2016). Sustainable Livestock Production. Kathmandu: Food and Agricultural
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38. Khan, M. M. H., Miah, M. Y., Bhuiyan, M. M., Begum, S., Hussain, M. M., &
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39. APPENDIX
A. Personal Information of the Poultry Farm Owners
Name: ........................................................................
Age: .........................................................................
Sex: a. Male b. Female
Address: ................................................................
B. Problems and Prospects of Poultry Farming
1. Type of Poultry: a. Broilers b. Layers c. Hatchers
2. What are the reasons for selecting poultry farming?
a. For self-employment b. Family business c. Government
encouragement
d. Easy to start e. Others (Specify ..................)
3. What is the price of live poultry?
a. Broiler: b. Layers
Rs. ....................... Rs. .......................
4. How much live poultry do you sell per day?
a. 25 kg b. 26-50 kg c. 51-75 kg d. 75-100 kg
5. How many employees are there in your farm?
a. Males: .......................... b. Females:.............................
6. How many eggs are produced in your hatchery farms per day?
a. 100-200 b. 200-300 c. 300-400 d. 400-500
7. What is the income per kg of live poultry?
a. Rs. 25-30 b. Rs. 30-40 c. Rs. 40-50 d. Rs. 50 and above
8. What is the monthly income from poultry (Rs. in '000)?
a. Rs. 20-30 b. Rs. 30-40 c. Rs. 40-50 d. Rs. 50 and above

40. 9. What are the major problems in poultry farming?
a. Small market
b. No fixed price of live poultry
c. Problems in importing chickens
d. Infection in chickens from time to time
e. Lack of proper rules and regulations on poultry farming
f. Lack of sufficient infrastructures and skilled manpower
10. Are there any other problems related to poultry farming?
a. Lack of government attention
b. Lack of transportation facilities to transport poultry
c. Lack of proper training and knowledge
d. Lack of sufficient guideline and counseling
e. Diseases from time to time
11. What are the challenges in poultry business?
a. Problems of raw material b. Problems of marketing
c. Problems of labour d. Problems of power supply
e. Managerial problem f. Others (Specify ......)
12. What are the prospects of poultry farming?
a. Yes b. No
If yes, what are they?
a. Sufficient income b. Employment opportunities for many
people
c. Others (Specify ................)