Download pdf - The Contribution of Poultry to Development & Poverty Reduction

A Living from LivestockPro-Poor Livestock Policy Initiative

Simon Mack, Dennis Hoffmanand Joachim Otte

XXII World’s Poultry Congress Istanbul, Turkey, 9 June 2004

The Contribution of Poultryto Development & Poverty Reduction


Outline

• Distribution and extent of poverty

• Rural livelihoods and the role of poultry

• Global trends in poultry sector growth

• Constraints to backyard poultry development and international initiatives

• Possible role of the commercial sector in support of backyard poultry


Poverty Should Concern Us All

25 - 50

>7550 - 75

10 -25< 10

No data

Proportion of people living in absolute poverty (<1$/day)

Source: World Bank 2003


Number of Poor (millions) by Region

0

200

400

600

800

1,000Ea

st /

Sout

h A

frica

Cen

tral /

Wes

t Afri

ca

Nor

th A

frica

/ N

ear E

ast

Chi

na

East

Asi

a ex

cl. C

hina

Indi

a

Sout

h A

sia

excl

. Ind

ia

Cen

tral A

sia

Cen

tral A

mer

ica

Car

ibbe

an

Sout

h A

mer

ica

People below US$1 a day People below US$2 a day

Source: World Bank 2003


Sources of Income for the Rural PoorN

on-A

gri

-cul

ture

Agr

icul

ture


Chicken Ownership – Rural Viet Nam

0

20

40

60

80lo

w

low

-m

ediu

m

med

ium

med

- hi

gh

high

Proportion (%) of householdsowning chicken

Income quintile

200

USD

/yea

r

430

USD

/yea

r

690

USD

/yea

r

1,12

0 U

SD/y

ear

3,20

0 U

SD/y

ear

Income quintile

0

5

10

15

20

25

low

low

-m

ediu

m

med

ium

med

- hi

gh

high

Average chicken flocksize

Source: 1998 Viet Nam LSMS


The Roles of Poultry in Poor Households

Chicken, ducks, geese, etc

Savings Food Fertilizer

Socialfunctions

CropsPonds

Socialnetworks

Cash/barter


Cash/income Benefits – Rural Viet Nam

‘Com

mer

cial

’0

10

20

30

40

50

60

70

80

90

100 Other agricincomeOther livestockincomeSaleschicks&ducksHome conschicks&ducks

Sem

i-co

mm

erci

al

Subs

iste

nce

Percent of agricultural income

Source:Viet Nam;1998 LSMS‘A

gric

ultu

ral h

ouse

hold

s’


Profitability of Backyard Chicken – Viet Nam

20.0Eggs consumed/sold (nr)

4.25Birds consumed/sold (nr)

390Return on investment (%)

2.16Investment/hen

8.45Gross revenue/hen

0.20Depreciation of hen7.65Value of birds consumed/sold1.00Value of eggs consumed/sold

Item

Average return per hen and year(values in USD)


Overall Sector GrowthAnnual growth (%) in poultry numbers 1998 - 2003

-0.5 – 0.5

>2.50.5-2.5

-2.5 - 0.5< -2.5

No data

Source: FAO, GLiPHA 2004


Growth of the Poultry Sector

100

105

110

115

120

125

130

135

1998 1999 2000 2001 2002 2003

DevelopingCountriesDevelopedCountries

Development of poultrynumbers, 1998 = 100

0

5

10

15

20

25

30

35

40

45

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

Developing countriesDeveloped countries

Source: FAOSTAT 2004

Poultry meat production,million metric tons


Backyard Poultry Growth

100

110

120

130

140

150

160

170

180

1998 1999 2000 2001 2002 2003

BrazilGuineaIvory CoastGhanaNepalMyanmarLaosCambodiaVietnam

Development of poultrynumbers, 1998 = 100

Source: FAOSTAT 2004


Main Constraints to the Backyard Sector

• High loss of young stock• Predation• Disease• Theft

• Poor yields of survivors• Parasites & diseases• Low-yield genotypes• Poor nutrition

• Poor institutional support• Extension services• Health services• Input supply

Outbreaks of Avian Flu 2004


Major International Poultry Initiatives

• Network for Poultry Production and Health in Developing Countries• Institution building for poultry

development• ACIAR Effort on Newcastle

Disease Control• Research and delivery of ND

vaccines• International Network for

Family Poultry Development (INFPD)• Information exchange

• IFAD and other donors -projects• Implementation: credit, health

& extension services, some research

• FAO – Pro-poor livestock policy initiative• Awareness raising, policy and

institutional framework


The Dichotomy of the Poultry Sector

Input supply

Marketing Production

Tech support

Industrial Sector

LayersEggs

BroilersMeat

Backyard Sector

Crops

Otherlivestock

Poultry

Household

Backyardchickens & eggs


Potential Contributions of Industrial Sector

Technical / Research• Genetics:

• Birds that combine adaptive with productive traits

• Health management:• Novel vaccines & drugs• Adapted delivery

mechanisms• Nutrition

• Feeding strategies for optimal resource use

Institutional / Services• Producer organization

• Contract farming• Specialization & co-

ordination• Knowledge transfer• Input supply

• DOCs• Feed• Medication


Conclusions

• Poverty is still at unacceptably high levels, particularly in sub-Saharan Africa and Asia

• Poultry, both backyard and industrial, is the fastest growing livestock sub-sector

• Backyard poultry contributes to poverty alleviation/mitigation through integration into complex livelihoods strategies

• Industrial poultry is the most efficient response to the growing demand for affordable protein and offers (some) employment opportunities

• Little competition between the sectors but potential for support from industrial to backyard


References & Further Reading

All documents can be dowloaded from the PPLPI Website:http://www.fao.org/ag/pplpi.html http://www.fao.org/ag/againfo/projects/en/pplpi/publications.html

Links to PPLPI Working Papers

#21 The Contribution of Livestock to Household Income in Vietnam: A Household Typology Based Analysis

#6 A Review of Household Poultry Production as a Tool in Poverty Reduction with Focus on Bangladesh and India

Links to AGA Livestock Sector Reports

Cambodia, Lao PDR, Thailand, Vietnam: Review of the livestock sector in the Mekong countries

Vietnam: Identifying barriers to entry to livestock input and output markets in South-East Asia

http://www.fao.org/ag/againfo/projects/en/pplpi/docarc/wp21.pdf

http://www.fao.org/ag/againfo/projects/en/pplpi/docarc/wp6.pdf

http://www.fao.org/ag/againfo/resources/en/publications/sector_reports/lsr_mekong.pdf

http://www.fao.org/ag/againfo/resources/en/publications/sector_reports/lsr_VNM.pdf

http://www.fao.org/ag/againfo/projects/en/pplpi/home.html

http://www.fao.org/ag/againfo/projects/en/pplpi/publications.html
