2. shahzad Reg. #: 2006-ag-1003 Roll # : 603 Meat & Egg Marketing in Pakistan Submitted to. Dr. ZIA-UR-REHMAN.

3. Marketing Marketing can be defined as : Performance of business activities that directs the flow of goods & services from the producer to consumer or user. It involves following factors:  Buying  Selling  Physical movement b/w point of production & point of consumption

4. History  Poultry farming in Pakistan began in 1960’s.  Rapid growth in 1970’s.  The no. of poultry farm increased from year to year.  Production in early 70’s grew in the range of 20- 30% per annum.  In the 80’s the annual growth rate continued b/w 10-15%

5. Marketing setup in Pakistan  Poultry industry produce 2 major products i.e. poultry egg & meat.  Marketable broiler are produced at 6wks of their age.  Egg production takes an annual cycle.  Production requires diff. supporting activities.  Eggs are sold directly from cages without cleaning, candling & grading.  Poultry is sold through wet markets in Pakistan

6. Current status Investment in poultry sec. is about 1 million US $  Includes over 20,000 Farms, 285 Hatcheries,141 Feed Mills.  4 GP companies operating in Pak includes Al-Noor Group, Grand Parent Poultry Pvt. Ltd., Haider GP Project & Quality Poultry Breeder.

7.  Total annual production= 5 M parent stock chicks 50 % of which is provided by Hubbard.  Al-Noor Group is only 1 that has layer GP.  Annual production of layer parents is 0.3 Million.  Total no. of layer & broiler breeder in Pak is 430.

8. Major Companies in Breeding Operations 6 Major Companies in Pak.  Big Bird Group of Companies Lahore,  Hi-Tech Poultry Breeders Lahore,  Islamabad Chicks Rwp.  K&N Group of Poultries Karachi.  Olympia Poultry Farms Lahore,  Sadiq Bros. Rwp.

9. Factors Effecting Marketing Factors which effect marketing are as follows  Age & maturity  Appearance of birds or carcass  Sex  Size of birds  Weight of birds at the time of marketing

10. Poultry Processing for Marketing Processing involves following steps:  Slaughtering  Scalding  Plucking or defeathering  Evisceration  Packing

11. MARKETING CHANNELS  Means or the path through which the product travel from producer to end consumer.

12. BROILER MARKETING CHANNALS POULTRY FARMER ( PRODUCER) WHOLESALER RETAILER ULTIMATE CONSUMER (DOMESTIC)

13. EGG MARKETING CHANNEL POULTRY FARMER ( PRODUCER) WHOLESALER RETAILER ULTIMATE CONSUMER

14. Main points of marketing channels  Egg market fluctuate on daily basis.  Wholesaler & retailer buy according to the size of the eggs but the retailer sells to the consumer without any grading.  Some farmers have yearly contract with wholesaler.  Market is dependent upon the no. of buyers & sellers in the wholesaler market.  Retailer can earn more then wholesaler.

15. Broiler Marketing Survey  180 large & small broiler farms in Karachi Lahore Faisalabad & Islamabad were surveyed.  There are following 4 probable channels of distribution of broilers.

16. (C) (R) (W) (F) FWRCConsumerRetailerWholesalerFarmer1 FW-CConsumer -WholesalerFarmer2 F-RCConsumerRetailer -Farmer3 F--CConsumer - -Farmer4

17. Channels of distribution in PAKISTAN Total Avg. IslamabadFsd.LahoreKarachi 83.75% 99% 58% 95% 80%FWR C 5% - - 15%FW-C 5.83% 0.5% 22% - -F-RC 5.62% 0.5% 15% - 5%F—C

18. EGG MARKETING SURVEY  Usually there are agreements b/w the commission agents & farmers who collect the eggs 1-2 times in a wk then they may supply direct to retailer or salesman  Breakage rates is 3-5%.  Wholesaler also do some grading.  They pay 50-60 Rs. pr case les for medium eggs & 150-200 per case for small eggs  Some people may go for storage of eggs which costs 15-20Rs./case/month

19. Poultry Feed Marketing  Marketing expenses on 1 bag is 20-25 RS.  Price of feed depends on price of ingredients & Govt. policies.  Feed mills offer 8-10 % commission to feed distributors.  Offer 40-60% credit to distributors. Marketing channels: Feed mill feed distributors farmer

20. Marketing Of Day Old Chicks  Business is usually on total cash basis.  Chick price fluctuate on daily basis.  Seasonal fluctuation.  Chick grading on hatchery.  Chicks are distributed in boxes of 100 chick capacity.  Commission agent get 0.25-1.0 Rs /chick. M arketing channel: Hatchery Agency Layer /Broiler farms (Distributor(

21. Problems  Eggs are directly sold from cages without cleaning, candling & grading.  Seasonal fluctuations.  Inadequate management.  Chicken is still luxury in our country.

22. Opportunities/Advantages  Cheapest source of animal protein.  Less time required to rise.  Less land required.  Unique characters of poultry products.  Fertility rate is high  Quick & efficient process of converting non edible protein into edible protein (meat + egg).  Poultry manure is a good fertilizer.

23. Recommendations To Improve Poultry Marketing In Pakistan  Channel of distribution should be shortened.  Reduction in duties to import equipments.  Farmer should have their own sale outlets.  Scope of export of processed poultry products to Middle East & other countries should be accessed properly.