Comparative analysis of constraints in contractual and independent broiler farming in South Karnataka

Introduction

The poultry sector has emerged as one of the fastestgrowing segments of Indian agriculture, making a significant contribution to nutritional security, employment generation, and rural livelihoods. The sector provides a reliable source of high-quality animal protein through the production of eggs and poultry meat and has experienced substantial transformation over the past few decades owing to technological advancements, improved genetics, better disease management practices, and increasing consumer demand. The poultry sector in India is divided into two main subsectors: commercial poultry and backyard poultry. The population of former in the country is 317.07 million, while the latter has the population of 534.74 million aggregating the country's total poultry population to 851.81 million (20 th Livestock Census, 2019). India occupies a prominent position in the global poultry industry. According to the Food and Agriculture Organization Corporate Statistical Database (FAOSTAT, 2023), the country ranks second in egg production and fourth in meat production worldwide. Egg production in the country has increased from 78.48 billion numbers in 2014-15 to 149.11 billion numbers in 2024-25, registering a compound annual growth rate (CAGR) of 6.63%. During the same period, the national per capita availability of egg improved from 62 eggs to 106 eggs per annum. The total meat production in the country has also increased from 6.69 million tonnes in 2014-15 to 10.50 million tonnes in 2024-25, of which nearly 50% (5.18 MT) is contributed by the poultry sector alone. The poultry meat production in 2024-25 has shown a growth of 3.10% over the previous year. The share of poultry meat in gross value added (GVA) from livestock sector has increased from Rs 53120 crore to Rs 113031 crore (at constant prices) with a CAGR of 8.41% during 2014-15 to 2023-24. The share of eggs grew with a CAGR of 7.18%, contributing Rs 33470 crore to GVA from livestock sector during 2024-25 (BAHS, 2025). These trends reflect the expanding role of the poultry sector in meeting the increasing demand for affordable animal protein in the country. Broiler farming constitutes an important component of the poultry industry and has undergone rapid commercialization. The production system has gradually shifted from traditional small-scale operations to more organized forms of production, particularly through the emergence of contract farming arrangements. Under contract farming, integrators generally provide critical inputs such as chicks, feed, medicines, and technical guidance, while farmers contribute housing facilities, labour, and routine management. In contrast, independent farmers operate on their own by procuring inputs and marketing birds in open markets, thereby retaining greater decision-making autonomy. Despite the growth of the broiler industry, farmers continue to face several constraints that adversely affect productivity and profitability. The type and intensity of these constraints may vary across production systems. Contract farmers may encounter issues related to capital investment, management practices, and dependence on integrators, whereas independent farmers are often exposed to market price fluctuations, rising input costs, and marketing uncertainties. Understanding these constraints is essential for developing appropriate interventions and policies that address the specific needs of different categories of broiler producers. Against this backdrop, the present study was undertaken to compare the constraints faced by contract and independent broiler farmers in South Karnataka. The findings of the study are expected to provide insights for policymakers, extension agencies, and other stakeholders in designing strategies to improve the efficiency, resilience, and sustainability of broiler production systems.

Material and Methods

Study Area and Sampling Design

The study was conducted in four districts of South Karnataka, namely Davanagere, Mysuru, Hassan, and Bengaluru Rural. These districts were selected for the investigation of constraints faced by contract and independent broiler farmers. A three-stage sampling procedure was adopted for the selection of respondents. In the first stage, the four districts were selected for the study. In the second stage, talukas having a higher concentration of broiler farms were purposively selected based on information obtained from integrated poultry companies, veterinary officers, and other relevant sources. In the third stage, broiler farmers were selected randomly from the identified talukas. A total of 136 broiler farmers were selected for the study, comprising 80 contract farmers and 56 independent farmers. Primary data were collected through personal interviews using a pre-tested structured schedule. The information collected pertained to the constraints encountered by farmers under the two broiler production systems.

Henry Garrett's Ranking Technique

The Garrett Ranking Technique was employed to identify and prioritize the constraints perceived by broiler farmers.

Respondents were asked to rank the listed constraints according to the severity of the problems they experienced. Since simple ranks do not indicate the magnitude of differences among constraints, the assigned ranks were converted into scores using Garrett's conversion procedure. The percent position of each rank was computed using the following formula proposed by Garrett and Woodworth (1969) [2]: The calculated percent positions were then transformed into Garrett scores using the conversion table developed by Garrett and Woodworth (1969) [2] . The scores obtained for each constraint from all respondents were summed and averaged. Constraints were subsequently arranged in descending order of their mean scores, with the highest mean score indicating the most severe constraint. This technique enables the conversion of ordinal rankings into quantitative measures, thereby facilitating meaningful comparison and prioritization of constraints across respondents.

Results and Discussion

The constraints encountered by contract and independent broiler farmers were analysed using Garrett's ranking technique. The results, presented in Tables 1 and2, indicate significant differences in the severity of constraints across the two production systems. The situation was markedly different among independent farmers. Fluctuation in market prices was identified as the most serious constraint, with a Garrett score of 81. Since independent farmers depend entirely on open markets for both procurement and sale of birds, they are highly vulnerable to price volatility. High chick and feed costs ranked second (score 79), reflecting the substantial contribution of feed and chick expenses to total production costs. High expenditure on medicines and vaccination was the third most important constraint (score 73), highlighting the burden of maintaining flock health without the support of an integrator. Independent farmers also reported poor market intelligence (score 65) and high incidence of diseases and mortality (score 61) as major concerns. Heavy investment requirements and working capital shortages ranked sixth (score 57), indicating the financial burden associated with operating independently. Constraints such as trader exploitation, limited chick supply, labour shortages, and inadequate access to institutional credit occupied the middle positions. Water and electricity problems were ranked least important, with a Garrett score of 22. Among the constraints identified in contract broiler farming, delay in the supply of inputs and payments was consistent with the findings of Prasad (2005) [11] , Kalamkar (2012) [6] and Jeevitha et al. (2018) [5] . The constraint of high capital investment was also reported by Manivannan (2012) [7] , Rifky (2016) [12] , and Jeevitha et al. (2018) [5] . In noncontract broiler farming, high costs of chicks, feed, and medicines were found to be major constraints, corroborating the findings of Naidu et al. (2002) [8] , Areerat et al. (2012) [1] , Kalamkar (2012) [6] and Jeevitha et al. (2018) [5] . Similarly, price fluctuations and high mortality rates were in line with the observations of Jeevitha et al. (2018) [5] . The constraints of high investment requirements and inadequate availability of finance were also consistent with the findings of Nath et al. (2012) [9] , Onuk et al. (2016) [10] , and Jeevitha et al. (2018) [5] .

Conclusion

A comparison of the two farming systems reveals that the nature of constraints differs substantially. Contract farmers were primarily affected by production and operational issues, particularly capital investment, disease management, and adherence to management practices. In contrast, independent farmers faced a combination of market-related and financial constraints, including price fluctuations, rising input costs, and limited market information. The relatively lower ranking of market-related constraints among contract farmers demonstrates the role of contractual arrangements in reducing market risk. However, contract farmers remained dependent on integrators for inputs, technical guidance, and production scheduling, which created a different set of operational challenges. Overall, the findings suggest that contract farming provides a degree of protection against market uncertainties but does not eliminate productionrelated constraints. Independent farmers, while enjoying greater managerial autonomy, are exposed to higher market and financial risks. These differences underline the need for tailored policy interventions, including improved access to affordable credit, disease management support, reliable input supply systems, and strengthened market information services to enhance the sustainability and profitability of both broiler production systems.

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