Archive · 11 Nov 2025
India's Poultry Sector Poised for 4-6% Revenue Growth Amid Margin Dip
Imagine India's chicken and egg business is like a big farm.
This year, the farm expects to sell more chicken and eggs, making more money overall, about 4-6% more than last year.
This is happening because more people in villages are buying chicken and eggs, and everyone is eating more protein.
However, the farm's profit on each chicken and egg sold might be a little less, maybe by 1-2%.
This is because the price farmers got for chickens was low for a while.
But, prices are starting to go back up, and the cost of chicken feed is also helping out.
Even with less profit per item, the companies are still doing okay because they aren't spending a lot of money on new equipment and aren't borrowing much.
The egg part of the business is doing especially well, as people in India eat far fewer eggs than the rest of the world, meaning there's lots of room to sell more.
India's poultry sector is projected to experience revenue growth of 4-6% in the current fiscal year.
Operating margins are expected to decline by 80-100 basis points due to lower broiler prices in the first half.
Steady consumption growth, driven by rural demand and preference for protein-rich diets, is fueling sector growth.
The egg segment is poised for strong revenue growth of 7-9%, with significant potential due to low per capita consumption.
Despite profitability pressures, the credit profiles of poultry companies are expected to remain stable due to modest capital expenditure and limited debt.
- Who
- CRISIL Ratings
- What
- India's poultry sector revenue is projected to grow by 4-6% this fiscal, while operating margins are expected to decline by 80-100 basis points.
- When
- This fiscal year, with specific data referencing Q1 and projections for the full year.
- Where
- India
- Why
- Revenue growth is driven by steady consumption, rising rural demand, higher per capita meat consumption, and a preference for protein-rich diets. Margin dip is due to lower broiler prices in the first half, partly offset by price recovery and favorable feed costs.
- Projected Revenue Growth
- 4-6% this fiscal
- Projected Margin Decline
- 80-100 basis points
- Egg Segment Share of Industry
- 55%
- Broiler Segment Share of Industry
- 45%
- Broiler Price Change (Full Fiscal)
- -4% to -6% year-on-year
- Egg Consumption per Capita (India)
- 102 per annum
- Global Average Egg Consumption per Capita
- 218 per annum
- Feed Cost Share of Material Cost
- 60-65%