By Adel Yusupov, U.S. Grains Council Regional Director for Southeast Asia

While the Indian poultry industry has been growing annually by more than 15 percent, fueled by growing consumer demand, growth has slowed in the past six months due to rising prices. Many small farmers cannot survive the high cost of inputs and volatility of the live poultry markets. This is a potential opportunity, and in recent months, the U.S. Grains Council has been taking steps to increase collaboration between the United States and India, work closely with end-users, and partner with other companies in the value chain, in hopes that consistent engagement will increase coarse grain demand in the region and encourage better market access.

The current situation is forcing many to rethink the use of corn and soybean meal, and look at other sources of protein that could be available in India. The Council has been providing grain outlook information to the industry and suggesting less costly alternatives including corn gluten meal and distiller’s dried grains with solubles (DDGS). While there are still restrictions to importing both of these products into the country, the Council is ensuring that Indian importers understand the value and potential use for the products in the future, as India is expected gradually to become better integrated into the global grain supply chain.

The Council believes that the local Indian poultry sector will continue to modernize and expand its commercial production capacity. Through Council efforts in the past, poultry producers adopted more modern production and processing practices and implemented hazard analysis and critical control points (HACCP) food safety standards.