The Egg Paradox in Assam

Soaring prices of eggs in Assam are a grim reminder of the persistent demand-supply gap in the state. Lakhs of unemployed youth in the state are chasing low-paid clerical jobs at a time when the state needs to procure eggs from other states to meet its demand, which is a striking paradox. Developing the poultry industry can not only bridge the demand-supply gap but also generate livelihood opportunities for a large section of unemployed youth. Scaling up egg production is not just about articulating a vision and initiating a mission but ending the disconnect between the skills of unemployed youth and the basic needs of the state. Rising prices burn holes in consumers’ pockets and offset household budgets. Yet, the recommendation by the Indian Council of Medical Research for per capita annual consumption of 180 eggs for required nutritional value in a balanced daily diet of non-vegetarians demands availability of eggs at an affordable cost. So long as the state continues to depend on procuring eggs from other states, consumers, who include a vast majority of unemployed youth, cannot escape price volatility. The state’s increasing production of eggs is encouraging, yet frequent price volatility cautions that there is no room for complacency and the focus must remain on boosting production to match demands. It is essential that government officials and poultry entrepreneurs provide a realistic picture of earnings from egg production as a livelihood option so that youth remain motivated to continue even with low but steady returns. The real challenge lies in transforming the informal backyard poultry rearing in the state into a formal, organised and scalable enterprise. While local chickens have higher disease resistance and involve less expenditure in rearing due to the low cost of feeding compared to layers, boosting production of eggs cannot be achieved simply by increasing the number of local breeds, as they lay a low volume of eggs and inconsistently. Layers, on the other hand, are ideal for commercial poultry farming, as they consistently produce a high volume of eggs. Nevertheless, managing a commercial farm of layers involves significant capital investment and recurring expenditure in providing quality feed and requires intensive care to keep them protected from disease. For youth seeking to start egg-producing enterprises, getting all necessary training is critical for the sustainability of their business ventures so that they can transform the potential into steady income activity. As poultry and livestock farming are still viewed as allied activities of agriculture, it creates a mental barrier in appreciating the importance of commercial production of eggs underscored in missions initiated by the government. Farmers who are fully engaged in rice production or other agricultural production for primary income cannot find enough time to run a poultry business on a commercial scale. As rice production has become less remunerative and compelling members of farm families in rural Assam to migrate to urban areas for alternative livelihoods, showing them the livelihood opportunities in poultry farming and livestock rearing as full-time enterprises can significantly check the outmigration. Challenges of availability of feed, transportation and marketing vary from place to place within the state, which needs to be kept in mind while showcasing success stories of egg production. Unless the entrepreneurs are motivated to identify the challenges unique to their areas and provided handholding support to overcome those, mere replication of an egg production model successful elsewhere risks failures and often becomes unsustainable. Entrepreneurs getting hassle-free access to loans from banks is essential to scale up production. Due to the government’s failure to explain the primary objectives of schemes and the objectives behind providing subsidies to support entrepreneurial ventures, often the beneficiaries of the schemes become overdependent on government support and fail to sustain their business when the subsidy period ends or the scheme is discontinued due to a dearth of funding or new priorities of government funding. It is important to understand why some government schemes and programmes often fail to motivate the majority of beneficiaries to become self-reliant and incorporate new strategies. The silver lining is that the digital payment ecosystem and the online marketing ecosystem have created new business opportunities in areas lagging behind, and it has now become much easier for an entrepreneur to reach out to target consumers. Significant improvement in the transportation system has also given rise to new marketing and distribution hopes in the state. The fast-changing financial and marketing ecosystem has brought huge opportunities for small businesses and entrepreneurs. The demand-supply gap indicates the availability of a large market in the state. As markets do not exist in a vacuum, supplies from major egg-producing states are filling it. Youths in the state understanding this back fact is essential to feel confident about starting an enterprise in egg production on a commercial scale. The state government support to local entrepreneurs also needs to ensure that adequate regulatory measures are put in place to prevent exploitative buy-back by big companies from small-scale egg producers.